Exam 2 Review

Topics

Chapter 5

 Data Resource Management    Database Terminology Types of Relationships Comparison to File Systems

Labs

    Introduction to Databases Wagemart Scheduling (DSS) Supply Chain Mgmt. & RFID Fund Trading Lab (DSS)

Student Presentations & Related Reading (see website)

 DBMS       CRM ERP SCM EIS DSS GIS  Expert System will be on the final but not this exam

First, understand the big picture.

Historical Perspective

 Information Systems were initially designed to meet the needs of traditional

functional areas

of business Accounting Production or Operations Finance Marketing Human Resources

Modern View

  Enterprise Systems are so valuable and superior, Functional System are rarely developed anymore An Enterprise System can replace several Functional Systems Finance System CRM System Production or Operations (PCS) Accounting System Marketing System HR System

Modern IS Systems

  The big software developers (Oracle for example), now sell

Enterprise Systems

(cross-functional), not functional systems.

 i.e., they don’t sell a marketing System, but they do sell a CRM system.

Why?

Oracle Siebel Essential for Operations Finance System Used by Accounting Used by Marketing HR System

In the Real World

  You might use more than one Enterprise System.

Example, if you work in Accounting, you might use 2 different Enterprise Systems and one functional system.

ERP System Finance CRM System Accounting System Accounting Production Marketing Human Resources

Why this course matters

 Accountant’s without a back-ground in MIS might not understand the roles these three systems play and why all three are necessary.

ERP System Finance CRM System Accounting System Accounting Production Marketing Human Resources

Key Principle

  These system exist because of common goals and the need to share information.

Business Processes are not isolated to one area ERP System CRM System Accounting System Production Accounting Finance Marketing Human Resources

Traditional Classification (Types of Systems)

Information Systems Operations Support Systems Transaction Processing Systems (TPS) Process Control Systems (PCS) Management Support Systems Enterprise Collaboration Systems (ECS) Management Information Systems (MIS) Decision Support Systems (DSS) Executive Information Systems (EIS)

Modern View

 But, Cross-Functional Systems are so complex, they do not fit into one category.

Information Systems Operations Support Systems Process Control Systems (PCS) Management Support Systems Executive Information Systems (EIS) CRM System

Transaction Processing Systems (TPS) Enterprise Collaboration Systems (ECS) Management Information Systems (MIS) Decision Support Systems (DSS)

WTF?

 Q: Why did we study the different types if modern systems rarely fit one specific type?

  A: Some basic systems still fit perfectly into a category  Example: Outlook is just an ECS.

A: Some enterprise system lack a certain characteristic.

 Example: A poorly design CRM may not have any DSS characteristics.

In the Real World

 Does this mean an ERP system replaces all these other systems?

ERP System Information Systems Transaction Processing Systems (TPS) Operations Support Systems Process Control Systems (PCS) Enterprise Collaboration Systems (ECS) Management Support Systems Management Information Systems (MIS) Decision Support Systems (DSS) Executive Information Systems (EIS)

In the Real World

 It means that an ERP system has some of the characteristics of all these types of systems.

 But, you still might need a basic TPS to handle your point of sale operations and ECS to collaborate.

Information Systems Cash Register System (POS) Operations Support Systems Management Support Systems Peoplesoft Transaction Processing Systems (TPS) Process Control Systems (PCS) Enterprise Collaboration Systems (ECS) Outlook Management Information Systems (MIS) Decision Support Systems (DSS) Executive Information Systems (EIS)

Second, make sure you understand databases

Almost all information systems have an underlying database

Basic Information System Architecture

User

Forms Reports Charts Applications Algorithms User Interface Queries

Information Systems

that transform Data into something more useful…

DBMS Database:

Tables Relationships Metadata

Logical vs. Physical

User Logical Access Layer

how to access the DBMS Forms Reports Charts Applications Algorithms User Interface Queries

Physical Access Layer

how to actually fetch the data from a hard disk or server

DBMS Database Information Systems

Why Databases are so great…

 Database Management System (DBMS) does all the nitty-gritty work.

 Information Systems just have to deal with Logical (high-level) Access.

Logical Access Layer

how to access the DBMS

Physical Access Layer

how to actually fetch the data from a hard disk or server

DBMS

Before Databases

Sales Team Warehouse Manager VP of Finance Marketing Application

Customer Data Docs

Inventory Management System (TPS)

Special Inventory Data File

Financial Calculator Tool

Financial Spreadsheets

These

Information Systems

are custom built based on the data (documents, files, spreadsheets)

Functional Systems built with DBMS

Sales Team Warehouse Manager VP of Finance Marketing System Inventory Management System (TPS) Finance System

DBMS

These

Information Systems

are now Database Applications

Customer Data Inventory Data Financial Data

Enterprise Systems built with DBMS

Sales Team Warehouse Manager VP of Finance CRM System Inventory Management System (TPS) ERP System

DBMS

These

Information Systems

are now Database Applications

Customer Data Inventory Data Financial Data

Databases

 But, databases are not just a bunch of tables

OID

001 002 003

CID

508 508 510

Orders PID

199 201 201

Quantity

500,000 2 1 

CID

508 509

Customers FName

Eric Andrew

LName

Breimer Zych

Address

...

...

PID

199 200

Products Description

Viagra Tooth Paste

Cost

$45.99

$2.58

Greg Smith ...

201 Hair Gel $5.99

510 A database also includes relationships between the different tables

Types of Relationships

One to One ThingA

Relationship

ThingB Man Woman

Married

Types of Relationships

One to Many Faculty Student Student Student

Advises Get Advisement

Types of Relationships

Many to Many Course Course

student takes course

Student Student Student Student

course has a student

Supply Chain Management Systems

 Remember Lindsey and Deanna’s presentation.

Process of SCM:

 SCM systems assist with  flow of Raw materials  Producing products  Providing service  Delivering the product to the end consumer.

Goals of an SCM system:  Speed  Efficiency  Reduce Cost  Improve Supply chain cycle times (to get a company’s products from concept to market)

Five Basic Components:

1. Plan 2. Source 3. Make 4. Deliver 5. Return

Third, review student presentations

See the website… Also, the website tells you the corresponding reading.

Know the supply chain…

 This wasn’t adequately covered in any of the presentations.

What if you don’t have enough bike parts?

What if there aren’t enough bikes in Finished Inventory?

SCM Example

 Supply Chain Systems are so complicated that its sometimes hard to see simple solutions.

 Simple Solution: The guy who orders parts queries the Finished Inventory Database and the Orders Database.

 In the older system, he only looked at the Parts database to see if they should re-order parts.

SCM Fundamentals

 Implementing and then using an SCM can re engineer a company.

 This could improve the company’s operations significantly  Leads to Strategic Advantage   However, notice that an SCM system if very Operational  Its used everyday to support the core business process.

ERP systems are very different…

ERP Systems

     So how are they different than SCM Systems?

The key is the word “Planning” Planning is a forward thinking process  Planning for next year… Supply Chain management  Planning for your next order Implementing and using an ERP can re-engineer a company in even more strategic ways.

 SCM system are more focused on ….?

ERP Example

 Remember the presentation by…  Shalagh, Tara, and Kristen

One ERP System: Peoplesoft

 Peoplesoft by ORACLE   Helps Companies with: Customer Relationship Management   Financial Management Supply Chain Management    Project Management Asset Lifecyle Management Sales and Other Application

ERP ADVANTAGES

 Complete orders faster  Fewer errors  Security features to protect against outside crime  Better customer service  Improved efficiency and productivity  Easier to share data across departments  Complete revenue cycle faster

Do you get it?

 What’s more likely…  An ERP system has a CRM and SCM built into it.

 A SCM system has an ERP and CRM built into it.

Here is another distinction

  SCM system help deliver products to customers faster… CRM systems can also help with this…  But, CRM system are more focused on things like  Customer Service   Improving Sales Marketing Support

Remember Ken & Nicole’s presentation…

 Sales -

Marketing

 Marketing & Customer Service 

Customer service could be an operational devision.

 Training -

HR

CRM and Human Resources

 Professional Development  Performance Management  Human Resource Development & Compensation

Players Within a CRM

 Customer Advocates & Experience Designers  Performance Managers & Marketing Analysts  Customer & Employee Surveyors & Analysts

Input

 Database with:  Customer’s interactions with the organization  Support information  Requests  Complaints  Interviews  Survey responses

DSS

 Julie, Lizzy, and Mike’s presentation is a must see…

Why Use a DSS?

Linear Programming Regression Analysis Decision Trees Forecasting

Analytical Modeling

Type of Modeling What-if analysis Sensitivity analysis Goal-seeking analysis Optimization analysis Example

If we raised our advertising budget by 15% of our employees, what would happen to sales?

Continuously raise our advertising budget by 1% to monitor its relationship to sales Increase our advertising budget until sales reach $10 million What number of advertisements maximizes our overall profit?

In the real world…

 Most Management Information Systems are now so interactive that….

 Every MIS is really a DSS.

 Interactivity and Data Modeling are the key ingredients that distinguish a DSS from an MIS.

Where do GIS’s fit in?

 There are a new kind of DSS that integrates geographic data with regular table-based data.

 Maps + Spatial Data + Tables  See the presentation by Jill, Will, and Stacey…  Things to look at: Raster vs. Vector

EIS: The top of the pyramid

 A picture is worth a thousand words: An Executive EIS SCM PCS MIS MIS DSS CRM MIS External Data TPS

EIS

 see Larissa &Ciara’s slides for more details…