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the available data, technology, people, and processes available to perform business processes and tasks. |
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anything, tangible or intangible, that can be used by a firm in its processes for creating, producing and/or offering its products (IT infrastructure is an asset). |
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something that is learned or developed over time in order for the firm to create, produce or offer it products. |
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Logically-related data that is captured, organized and retrievable by the firm |
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includes data, technology, people, and processes |
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management activities performed to obtain, enhance relationships with, and retain customers. |
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better customer service, which leads to competitive advantage for the business. |
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An approach that improves the way a company finds raw components it needs to make a product or service, manufactures that product or service, and delivers it to customers. |
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An interorganizational relationship that affords one or more companies in the relationship a strategic advantage |
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Awakening a sleeping giant; Demonstrating bad timing; Implementing IS poorly; Failing to deliver what users what; Web-based alternative removes advantages; Running afoul of the law |
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the business as discrete functions (accounting, sales, production, etc.). |
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Advantages to Silo Perspective |
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Allows optimization of expertise. Group like functions together for learning. |
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DisAdvantages to Silo Perspective |
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Significant sub-optimization. Tend to lose sight of overall organizational objectives. |
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Process is defined as an interrelated, sequential set of activities and tasks that turns inputs into outputs |
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Advantages to Process Perspective |
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Helps avoid or reduce duplicate work. Facilitate cross-functional communication. Optimize business processes. |
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a tool for change that uses small incremental changes |
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It seeks to eliminate defects from any process |
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Business Process Reengineering (BPR) |
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Radical answer to TQM. Often not fully accepted by personnel. |
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The different approaches for radical redesign all include |
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Begin with a vision of which performance metrics best reflect the success of overall business strategy. Make changes to the existing process. Measure the results using the predetermined metrics. |
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Risks of Radical Redesign |
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Lack of senior management support. Lack of a coherent communications program. Introducing unnecessary complexity into the new process design. Introducing unnecessary complexity into the new process design. Combining reengineering with downsizing |
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processes that iterate through a constant renewal cycle of design, deliver, evaluate, redesign, and so on |
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term for looking beyond individual business processes and considering the bigger, cross functional picture of the corporation. |
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A set of information systems tools used to enable information flow within and between processes. |
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Characteristics of Enterprise Systems |
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Integration – seamlessly integrate information flows throughout the company. Packages – they are commercial packages purchased from software vendors (like SAP, Oracle, Peoplesoft, etc.). Best practices – reflect industry best practices. Some assembly required – the systems need to be integrated with the existing hardware, OS’s, databases, and telecommunications. Evolving – the systems continue to change to fit the needs of the diverse marketplace. |
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Benefits of Enterprise System |
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All modules easily communicate together. Useful tools for centralizing operations and decision making. Can reinforce the use of standard procedures. |
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Disadvantages to Enterprise System |
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Implementation is an enormous amount of work. Most require some level of redesigning business processes. Hefty price tag (sold as a suite). They are risky. |
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