Week 7:
Enterprise Information
Systems
MIS 2101: Management Information Systems
Based on material from Information Systems Today: Managing in the Digital World,
Leonard Jessup and Joseph Valacich, Pearson Prentice Hall, 2007
Also includes material by David Schuff, Paul Weinberg, and Cindy Joy Marselis.
Learning Objectives
Scenario


You work for a mid-sized manufacturer of supplies for
white boards.
Working in groups of 3…each of you will take
responsibility for:




Inbound Logistics/Procurement
Operations/Manufacturing
Outbound logistics/Order Fulfillment
What information do you need and what types of
systems would you need to make your team efficient
and effective?
Scenario (cont.)

What types of information needs to flow from one
team to the next to make the organization efficient
and effective?

How do we facilitate this flow of information from
one system to the next?
Scenario (cont.)

What type of information flows between teams
within your organization & what type of information
flows between your organization and your
business partners (suppliers & customers)?
Legacy Systems

Problem:
Number of information systems growing over time
 Lack of integration in existing systems

•
•
•
•
Different computing platforms
Difficult to integrate
Data must be reentered from one system to another
Same pieces of data stored in several versions
Legacy System Approach
Enterprise System Approach
Integrated Database
Internally Focused Systems
Externally Focused Systems
Internally Focused Systems: Value
Chain
The Complete Picture
Learning Objectives
Enterprise Resource Planning

What is an Enterprise Resource Planning (ERP)
system?
Enterprise Resource Planning
Enterprise Resource Planning
16
ERP Challenges

What are some of the challenges with implementing
an ERP?

Why would a company want to do this?

Who might resist? Why?
Remember the problem with
legacy systems…

Problem:
Number of information systems growing over time
 Lack of integration in existing systems

•
•
•
•
Different computing platforms
Difficult to integrate
Data must be reentered from one system to another
Same pieces of data stored in several versions
Price Updates
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onal
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rm
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lly se
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sin
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er
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ari
ffs
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ding
s
tant
Unit
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ring
Bu
APR
t/ Cu
Co
Info
and
en
ns
Co
ate
rpor
Daily
Billin
gs
Le
ve
l
Rohm
ea
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tom
er
ly
bjec
t Ar
rd
Cost
s
Area
n
O
New
ata
Dimen
sion
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aC
us
D
ea
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sts
Su
ence
ess
Prod
uc
sts
PRD
B
t Ar
Co
Input is
Keyed into
all Business
the System
ides
Needed
as
ov
Pr
ATTA
K
User
Input
da
Stan
bjec
at
e
as
Focus
Pivot
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Input
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tio
n by
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l
Order Data Only
ts)
ufac
turin
g Su
Order
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ment
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h
rc
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of
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Knoxv
ille
ERIN
sp
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ct
u
Information
Corporate Constants Reference
Co
st
ep
orts
P
Payroll Data
Dslsct
ytd
(Corpor
ate
Constan
Man
Payr
oll
Pricin
g
Focus
Datab
ase
M62
Foreign
Sales
Corpora
te
Tax
DFIA
Info
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ce
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SACO
S
or
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S
P
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ep
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cast
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er
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File
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tion
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cin
Files
ts
lR
ce
d Ex
tic
Sta
DslsC
osts
Pricing
tR
Prop
erty
Fixed Property Data
M26
Prici
ng
Corporate Level Information
Sams
on
Web Trends Reports
Manu
factin
g
Mars
h
LIC
ON
Reference Data
Web
Trends
Reporti
ng
an
dC
os
Payroll
System
s
Corpor
ate
Consta
nts
Cost Repo
rts
Banks
Insourc
e
CS
Income
Tax
Pro
fit
Brazili
an
Bank
File
/Profit and
Budget
Appllica
tion
Paid
Vouch
er
Detail
Constru
ction
Expens
e
Data from IDMS Table
Freig
ht
Invoi
ce
Forecas
t Subject
ReferencArea, Corpora
te
e Info
Current State
System Map
Mexic
an
Payme
nts
Manage
r
Applica
tion
Asp
en
Office
Svs
Syste
m
LOA
M
DAZ
EL
Lab
Resu
lts
Mono
mers
CDR
OM
Invoic
e
Archiv
al
Proce
ss
Plex
eComme
rce
Configuration
What is “configuration” of an ERP
system all about?


What is meant by a “vanilla”
implementation?

What is “customization”?
Learning Objectives
Question?
Forget about MIS and technology and
computer systems…as a business
professional, what do you think about when it
comes to attracting and retaining the most
profitable customers?
What information do you need to do these
things?
Customer Relationship Management
Customer Relationship Management

CRM overview
Like all
enterprise
systems, CRM
spans many
functional areas
25
Successful CRM Strategy
Comprehensive CRM
27
Operational
CRM
Order Processing & Tracking
Contact Development, Assignment, & Management
Customer History, Preferences, and Management
Sales Forecasting and Performance Analysis
Sales Administration
Automate service requests, complaints,
product returns, and information requests
Comprehensive view of the competitive environment
Including competitors, industry trends, and environmental
Factors.
CRM –
GoldMine
CRM Supports Three Major
Functions
30
CRM – Management Issues
Data Sharing and Data Ownership
 Technology Issues

Learning Objectives
Supply Chain Management

What is “Supply Chain Management” all about
and how do “Supply Chain Management
Systems” create value?
34
Question
Who works for a company which manufactures
some product?
 What do you make?
 What stuff do you need to make your product?
 Where do you get this stuff?
 What happens to you if they run out of this
stuff?

Supply Chain Management

Wal-Mart and Procter & Gamble (P&G) SCM
Information
flows?
SCM & Porter’s 5 Forces
Can partnerships and
investments in your supply
chain give you a competitive
advantage?
37
SCM architecture

SCM modules support two functions
 Supply chain planning

Supply chain execution
38
Tightly Integrated SCM vs. Portals
Dell with Many
Customers
Elemica
Big 3 with Many
Suppliers
Example: Distribution Portal

What is a “distribution
portal” and what types of
businesses use them?
Example: Procurement Portal

What is a “procurement
portal” and what types of
businesses use them?
Radio Frequency
Identification

What is RFID?

Who is using it?

How is it creating value?
The Big Picture
Learning Objectives
The Formula for Enterprise
System Success
1.
2.
3.
4.
Secure executive sponsorship
Get help from outside experts
Thoroughly train users
Take a multidisciplinary approach to
implementations