ENTERPRISE INFORMATION SYSTEMS (EIS)
Program
Bachelor in Management
Instructor:
Associate Professor S. Mischenko
Department:
Information technologies in management
Course status
Elective
Concentration
International Management, Financial Management, Marketing
Year
3-d year
Term
Fall – 2011
Workload:
3 ECTS, 45 hours of classes
Prerequisites:
Information technologies in management-1, 2
Course aim and
objectives:
The traditional business education covers in great details the
topics of marketing & sales, management, accounting & finance and
other functional disciplines. However, when it comes to first job, the
SOM graduates will doubtlessly start dealing not with the functions as
such, but with the information systems (e.g. 1C, SAP, Oracle, other
purchased or “homegrown” systems). Systems cover most of the
functional management stuff. Not a single business transaction could
be performed apart from systems.
One can hardly succeed in management, keeping low-level
competence in systems deployed across his/her business units. The
systems are getting more and more sophisticated, and they rely on
rapidly evolving information technologies. It takes a long time for not
prepared newcomer to gain the systems’ skills. How can it be that
students spend years studying business topics and don’t bother to give
tangible respect to information systems knowledge to contribute to
their prospect employer's mission, as well as to their own career
opportunity?
The objective of this course is to bridge the gap between the
fundamentals of how businesses operate (processes) and the tools that
business people use to accomplish their tasks (enterprise systems).
Because the modern business environment is highly complex, we have
focused our course around generic processes: purchasing, sales,
production and finance. We are to provide students with a clear
understanding of how different functional groups inside a company
interact with systems to accomplish work . We also use this processbased approach to introduce students to the role of enterprise systems
in eliminating (or multiplying?) inefficiencies and improving (or
spoiling?) performance. We illustrate these discussions with multiple
examples from real-world companies, and those operating on the
Russian marketplace.
We aim to prepare students for their encounters with modern
business systems lie in their future, so that they are not disadvantaged
by a lack of understanding of sophisticated logic and technology these
systems employ! Provided students got clear understanding how
enterprise information systems handle generic business-processes,
they should feel quite confident in front of any business system,
weather it is manufacturing, trading, retail, logistics, construction,
finance, state agency or municipal office.
Course content:
1. Organizations, Business Processes, and Information Systems.
The functional view of the Organization: the typical departments, type
of works in each. The process view: Core Business Processes, various
flows associated with them. Enterprise Information Systems (EIS) in
organization. Types of data in EIS. Master data. Harmonizing master
data across business units & functions – the challenging task for system
integration.
2. EIS Technology.
Three-Tier architecture of EIS: presentation, application, database.
Evolution of EIS: mainframe, client-server, service-oriented
architecture. Types of EIS. ERP systems. Core ERP & and Bolt-Ons.
Configuring and customization.
3. Accounting information systems (AIS).
Basic accounting systems - predecessors /parents of EIS/ERP. The
backbone of EIS data logic: Accounting model of the business. Chart of
accounts. Why book-keeping is often so lousy, how to prevent it? AIS
architecture, typical Bolt-Ons: Bank-client, Tax & statutory reports filing,
Payroll. Evolution of AIS. Banking & Global Payment systems.
4. Key operational business processes handled by EIS.
4.1 The Procurement (requisition-to-pay) Process.
Key steps, document and information flows (Purchase requisition
Purchase order, Packing List, Invoice payment), role of different
functional areas, financial impact. Supply chain management
enablers. Warehouse accuracy. Electronic data interchange.
4.2 The Order Fulfillment (order-to-cash) Process.
Key steps, document and information flows (Quotation, Sales
Order, Shipment, Invoicing, Payment processing) role of different
functional areas, financial impact. CRM evolution. Retail Sales
management.
4.3 The Production Process.
Processes and strategies (to order, to stock). Master data in
production (Bill of Material, Work Centers, Product Routing).
Document and information flows (Planned order, Production Order,
Material withdrawal, Goods receipt). Product life cycle
management. How to handle “Production” for special industries
(e.g. Logistics, Construction, Communications… )
4.4 The EIS Financial & other Processes.
EIS support to Cash Management, Receivables/Payables
Management, Asset Management, Payroll, Taxes filing. Billing
systems.
5. Management Business-Processes. Business Intelligence.
Management data categories: Actual, Budget, Estimate. EIS support to
Actual periodic reporting & consolidation of business units’ statements.
Budgeting & Rolling Estimates cycle. Investments planning, HR
management.
6 EIS Life Cycle: Planning, Implementation and Operation and
Maintenance.
Why Organizations Change Their Information Systems? Planning
project, EIS costs and benefits analysis. Implementation methodologies.
Maintenance & upgrading.
Teaching Methods:
The course is based on interactive teaching style with intensive student
participation. As a part of the course, students should prepare a
software BI solution during their lab works.
Grading Policy:
Student’s work for the course will be assessed in 3 key aspects: success
in lab works, lectures attendance and activity and knowledge of the
course topics (exam).
Exam is held as a written test based on all course issues and materials.
The final assessment is composed as follows:
•
Final exam – 55%
•
Student lab work – 30%
•
Students’ activity in class – 15 %
Required reading:
Simha R. Magal, Jeffrey Word. Essentials of Business Processes and
Information Systems, 2009.
Marianne Bradford. Modern ERP: Select, Implement & Use Today's
Advanced Business Systems, 2010