Introduction to MIS
Chapter 7
Integration of Information
Copyright © 1998-2002 by Jerry Post
Introduction to MIS
1
Integration
Everyone in the
company
including
managers,
salespeople,
and engineers
need access to
the same data
across the
organization.
Introduction to MIS
2
Outline
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Business Integration
Enterprise Resource Planning
Customer Relationship Management
Workgroups
Data Warehouses
Integration with Diversity
Cases: Automobiles
Appendix: Microsoft NetMeeting
Introduction to MIS
3
File: DeptStore2000.mdb File: C07E06.xls
Business Integration Example
Daily Sales Report
February 7, 2004
Department Item#
House
1153
5543
W.Clothing
5563
7765
9986
Shoes
1553
6673
Q-sold
52
13
1
4
2
2
1
Price
2.95
0.59
87.32
54.89
15.69
65.79
29.39
Total Sales:
Value
153.40
7.67
87.32
219.56
31.38
131.58
29.39
660.30
Commissions
Emp#
1143
2895
4462
7893
9963
Name
Jones
Brown
Smith
Torrez
Cousco
Introduction to MIS
Dept
House
M.Clothing
W.Clothing
Shoes
M.Clothing
Returned Merchandise Log
February 7, 2004
Item#
1153
3353
4453
8878
Q
3
6
2
1
Total
12
Price
2.95
27.59
15.95
24.95
Value
8.85
165.54
31.90
24.95
231.24
February 7, 2004
Sales
543.95
775.35
1,544.52
876.93
589.47
Rate
5%
4%
5%
6%
5%
Amount
27.20
31.01
77.23
52.62
29.47
4
Integrated Report Example
Weekly Sales Analysis
2/01/04 - 2/07/04
Manager comments are written in the first ten pages,
along with comments on special events.
Department Analysis
Dept
Sales
Returns
Commissions
House
4,113.58
25.35
205.68
W.Clothing 54,221.92
998.52
3,024.64
M.Clothing 28,664.48
356.24
1,421.58
Shoes
10,225.31
853.47
592.36
Total:
97,225.29 2,233.58
5,244.26
Net
3,882.55
50,198.76
26,886.66
8,779.48
89,747.45
Sales & Net Sales
60000
40000
20000
0
House
Introduction to MIS
W. Cloth. M. Cloth.
Shoes
5
1960s & 1970s MIS Pieces
Accounting:
Integrated Data
Separate
Reports
Marketing:
Forecasts
Production:
MRP
Purchasing:
Orders
Introduction to MIS
Sales:
Orders
6
Sales
Terminals
Changes
1970s
Management
sales
data
Sales
Terminals
Central
computer:
create reports
3 reports
(printed)
Manager:
Integrate, graph
analyze
weekly reports
Secretary:
type & revise
1980s
Sales
Terminals
sales
data
Sales
Terminals
Management
3 reports
Central
Manager:
(printed)
computer:
Integrate, graph
create reports
analyze
1990s
Sales
Terminals
weekly reports
personal computer
Management
query
sales
data
Sales
Terminals
Introduction to MIS
DBMS:
On-line data
data
Personal Computer
Weekly reports &
ad hoc queries
(applications)
7
Integration in 2000s
Management
Sales
Terminals
query
sales
data
DBMS
Sales
Terminals
data
Executive Information
System
Personal Computer
Or PDA
Or Browser
Suppliers
Production/
Service
Enterprise Resource
Planning
Banks
Introduction to MIS
8
Business Integration
Design feasibility
& production costs
Design &
Engineering
Designs and Quality
product planning
planning
& monitoring
Marketing
Manufacturing
planning
& monitoring
Vendors
Distribution
Purchasing Demand-pull Mass
Customization
Just-in-Time
partnerships
& joint
development
Introduction to MIS
Administration & Management
HRM Accounting Finance
Quality control
& Custom orders
MIS
Customers
Quick
Response
partnerships
& joint
development
9
ERP Integration
Headquarters
(France)
Database
Financial data
General ledger
Payroll
…
Subsidiary
(Spain)
Use inventory item.
Deduct quantity.
Update inventory value.
Check for reorder point.
Order new item through EDI.
Update Accounts payable.
Weekly financial status.
Cash flow.
Budget versus actual cost.
Introduction to MIS
Database
Manufacturing
Product details
Inventory
…
Project cost report.
Daily production report.
10
Enterprise Resource Planning
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Integrated systems
Examples
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SAP
Peoplesoft
Lawson
J.D. Edwards
Basic features included
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Accounting
Purchasing
HRM
Investment management
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International environment
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Multiple currencies
Multiple languages
Procedures and practices
Follows local (national) rules
Follows consolidation rules
Example
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Introduction to MIS
U.S. firm with European
subsidiaries.
Data is entered once
European reports are
generated for subsidiaries
following local rules
Results are converted and
consolidated to U.S. firm
following international and
U.S. rules
11
SAP
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Based in Germany, now
worldwide
Support for international
transactions and multinational
firms
Runs on multiple database
and hardware platforms
Can handle large and small
companies
Expensive, but price is
relative.
Introduction to MIS
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Financials
Logistics
Human resource
management
12
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General ledger
Accounts receivable/payable
Special ledgers
Fixed assets
Legal consolidation
Investment Management
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SAP Financials
Financial Accounting
Investment
planning/budgeting/control
Depreciation
forecast/simulation/calculate
Controls
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Overhead cost
Activity based costing
Product cost
Profitability analysis
Introduction to MIS
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Treasury
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Cash management
Treasury management
Market risk management
Funds management
Enterprise Control
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Executive information
system
Business planning and
budgeting
Profit center accounting
Consolidation
13
SAP Logistics
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Purchasing
Materials management
Manufacturing
Warehousing
Quality management
Plant maintenance
Service management
Sales
Distribution
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Product data management
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Sales and distribution
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
Introduction to MIS
Master data management
Design and change process
Product structure
Development projects
Sales activities
Sales order management
Shipping and transportation
Billing
Sales information system
14
SAP Logistics
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Production planning and
control
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Production planning
Material requirements
planning
Production control and
capacity planning
Costing
Order information system
Shop floor information
system
Introduction to MIS
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Project system
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Work breakdown structures
Network planning
techniques, milestones
Cost, revenue, financial,
schedule, and resource
management
Earned value calculation
Project information system
15
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SAP Logistics
Materials management
Purchasing
Inventory management
Warehouse management
Invoice verification
Inventory controlling
Purchasing information
system
Quality management
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Quality planning
Quality inspections
Quality control
Quality notifications and
certificates
Quality management
information system
Introduction to MIS
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Plant maintenance
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Structuring technical
systems
Maintenance resource
planning
Maintenance planning
System for technical and
cost accounting data
Maintenance information
system
16
SAP Logistics
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Service management
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Customer installed base
administration
Service contract
management
Call management
Billing
Service information system
Introduction to MIS
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Integration
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When the clerk enters a sale,
bills are generated
automatically (mail, fax, or
EDI).
Sales and revenue are
instantly updated in financial
and control modules.
The sales information
system and EIS provide
various up-to-date views and
reports.
17
SAP HRM
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Personnel management
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HR master data
Personnel administration
Information systems
Recruitment
Travel management
Benefits administration
Salary administration
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Payroll accounting
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Time management
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Organizational management
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Organization structure
Staffing schedules
Job descriptions
Planning scenarios
Personnel cost planning
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Introduction to MIS
Gross/net accounting
History function
Dialog capability
Multi-currency capability
International solutions
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Shift planning
Work schedules
Time recording
Absence determination
Error handling
18
SAP HRM
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Personnel development
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Career and succession
planning
Profile comparisons
Qualifications assessments
Additional training
determination
Training and event
management
Introduction to MIS
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Other features
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SAP Business workflow
Internet scenarios
Employee self-service
19
SAP Integration
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Financial general ledger
holds all base totals.
Sub-ledgers are defined for
important accounts
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Accounts payable
Manufacturing
User-defined
etc.
All transactions automatically
flow through
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Including currency
conversions
Special rules can be defined
Introduction to MIS

Simple example
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Manufacturing uses an item
from inventory
The quantity on hand is
updated
The inventory value is
automatically changed
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On any sub-ledgers
On the general ledger
Reports are generated in any
currency
New orders and payments
can be generated through
EFT.
20
Customer Relationship Management
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Multiple Contact Points
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The goal is to provide a single, integrated view of all customer
activity, available to all employees who interact with the
customer.
Feedback, Individual Needs, and Cross Selling

Having better information enables workers to provide better
service, meet the individual needs of each customer.
Introduction to MIS
21
Workgroups
Computers are increasingly used to support teamwork and workgroups.
Data, comments, and analysis are created and shared through networks
of computers.
Introduction to MIS
22
SharePoint: Discussion
Introduction to MIS
23
SharePoint: Survey
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Create a new survey
Add questions
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Introduction to MIS
Multiple Choice
Open ended/text
Selection Lists
Run the survey
Graph the results
24
Tracking Changes and Adding Discussions
Introduction to MIS
25
Recorded (wave)
comment
Annotation
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Insert - Comment
Insert - Object - Wave
Make sure you and your
colleagues have a sound
card and microphone.
Set up and test the
multimedia tools.
Know what you want to say
and keep it short.
Video can be used also but
you need a camera, video
capture card, and editing
software.
Comment
Introduction to MIS
26
SharePoint: Subscriptions to Monitor Changes
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Introduction to MIS
Users can subscribe to a
document or a directory.
They will be notified by
e-mail when changes
are made.
Or notified with a list of
changes once a day,
once a week, or on
whatever schedule the
user selects.
27
SharePoint: Routing Slip for Workflow
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Introduction to MIS
A routing slip sends
documents by e-mail to each
person on the list in order.
The document records
changes and comments.
Users on the list can approve
or reject changes.
28
Problems with Sharing
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Same software
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Same environment, fonts, devices, drivers
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Data conversion tools weak.
Exact layouts require same versions.
Hardware conversions not exact.
Missing devices might cause crashes.
Need access and network paths.
Transmission time.
Concurrency
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Tracking.
Locking.
Replication.
Introduction to MIS
30
Data Warehouse/Legacy Systems
Data
warehouse Shared access
Interdepartmental
teams
Analysis
tools
Data
Selected
data items
Data
Data
Data
Introduction to MIS
Decision maker manager
Sales transactions
and production operations
31
XML: eXtensible Markup Language
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Introduction to MIS
Used as a standard
means to transfer data to
machines with unknown
capabilities.
Most hardware and
software can read and
understand the data.
The tags describe the
content.
Usually a separate
schema file is used to
describe the tags and the
document structure.
33
GDSS
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Group Decision Support Systems
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Brainstorming
Shared access
Voting
Record of comments
Anonymity?
Drawbacks
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Typing
Facilitator
Costs
Introduction to MIS
34
GDSS Room
Group decision support systems can be used to coordinate meetings,
record notes, take votes, and encourage participation. As shown in this
system by Ventana corporation, each participant enters data in a PC,
with summary results displayed on the central screen.
Introduction to MIS
35
Microsoft Pivot Table
Sum of SalePrice
ModelTypeSaleState
Hybrid
Mountain
Race
Road
Tour
Track
Grand Total
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Quarter
Quarter1
49,111.21
138,419.65
215,602.55
145,108.33
79,222.71
7,703.77
635,168.22
Month
Quarter2
38,365.38
150,297.45
231,187.01
112,108.20
89,869.80
7,450.00
629,277.84
Quarter3
58,022.29
133,240.00
243,694.51
111,749.85
81,602.01
15,125.00
643,433.66
Quarter4
53,507.33
141,669.80
238,500.00
120,901.80
95,506.07
4,750.00
654,835.00
Grand Total
199,006.21
563,626.90
928,984.07
489,868.18
346,200.59
35,028.77
2,562,714.72
Data - Pivot table report.
Select data using a database query (Rolling Thunder).
Choose data for rows, columns and table computations (row:
ModelType, SaleState; column: Month(SaleDate); Table: SalePrice.
Create additional groups (Mark quarters, Data - Group and outline Group.
Hide or show detail.
Introduction to MIS
43
Cases: Automobile Industry
Introduction to MIS
45
Cases: Ford Motor Company
General Motors
www.ford.com
www.gm.com
What is the company’s current status?
What is the Internet strategy?
How does the company use information technology?
What are the prospects for the industry?
Introduction to MIS
46
http://www.microsoft.com/netmeeting/
Appendix: Microsoft NetMeeting
Sound,
Video
Document
Participants
Video
Introduction to MIS
47
Appendix: NetMeeting Chat Screen
Introduction to MIS
48
Appendix: NetMeeting WhiteBoard
A simple graphics tool, but it is shared by all participants.
All comments and drawings are sent to the other screens.
Introduction to MIS
49
Appendix: NetMeeting Shared Document
Tools
Protect Document
Track Changes
Changes are displayed as they are typed.
The owner can integrate them later.
Introduction to MIS
50