OPIM 203C.02 Business Information Systems Matt Dean

Syllabus 3 exams, each 25% Lab Practical = 25% Office Hours: Questions?

Ground Rules Mobile Phones = OFF Come prepared for class Respect your classmates

Questions During Class Ask questions at anytime, provided you agree that my answer may be one of the following: –We’ll discuss that later –Let’s take that offline –I don’t know

Introductions Name Year in school/Background Why you are here What you expect to learn from this course Interesting fact about yourself

Bridget

Why Learn About BIS? Every business uses some sort of information system

What is an Information System? IS have 5 fundamental components Hardware Software Data Processes People The objective of any IS is to convert raw data into information.

What is Information Technology? Information Technology (IT): –Narrow Definition: IT refers to the technological side of an information system. –Broad Definition: IT refers to the collection of information systems, users, and management for an entire organization

Business Information Systems Throughout the 1970’s and 1980’s, and accelerating into the 1990’s, businesses around the world have been pouring money into IS and IS knowledge workers. The reason is that well planned IS investments can enhance competitiveness locally, regionally, nationally, and globally.

Example of BIS Boeing used an advanced IS to build the 777 aircraft solely in cyberspace! –Speed to market was increased, due to: Improved ability of different workgroups to collaborate on design changes Ability to accommodate changing customer specifications into the design without having to start over Ability to test potential design changes to the existing airframe using computer simulated wind tunnel tests In addition, the 777 is the most advanced commercial aircraft in the world, with automated functions that result in pilots acting as ‘flight managers’

Example of BIS CIGNA Corp, one of the nations leading providers of employee benefits, is using IS to move the company’s healthcare claim processing onto an e-business platform –Computers enabled with decision support systems will determine which claims should be paid and for what amount –The time to process a claim will be reduced from 10 minutes to fractions of a second –Errors will decrease, and quality audits can be automated –Savings will be substantial with minimal incremental costs with increased claim volume (as opposed to hiring more claim processors) –Electronic Data Interchange, via the Internet, will enable CIGNA to reimburse providers in days rather than months

Example of BIS General Electric’s finance arm, GE Capital, is investing millions in the UCONN Business School, and in a collaborative e-business research lab, in order to find new ways of improving the numerous business lines that comprise the company. –GEC now offers on-line credit application and approval –Interactive websites allow the user to pick which financing option works for them –The company also offers on-line bill presentment and payment. Payments can be made automatically if you like, or at your discretion with the click of a mouse –GEC is also committed to knowledge discovery and invests heavily in data mining applications

Example of BIS Dell, Inc. is one of the world’s leading producers of consumer and business computing systems. Dell practices what they preach! –By electronically linking with suppliers and distributors, Dell is able to keep near-zero inventory. This is a huge competitive advantage in an industry where inventory depreciation due to obsolescence is extremely high. –Although Dell pushes inventory into the hands of the suppliers, they don’t make any enemies. By sharing knowledge regarding the customer base, Dell enables the suppliers to plan production accordingly –Dell also invested in an expert system to provide on-line help to customers. The system remembers what problems have been faced and which solutions were most effective. Diagnostic algorithms enable the user to click to enter data and assist the help system in determining the cause of the problem.