Week 7: Enterprise Information Systems MIS 2101: Management Information Systems Based on material from Information Systems Today: Managing in the Digital World, Leonard Jessup and Joseph Valacich, Pearson Prentice Hall, 2007 Also includes material by David Schuff, Paul Weinberg, and Cindy Joy Marselis.

Learning Objectives

Scenario You work for a mid-sized manufacturer of supplies for white boards. Working in groups of 3…each of you will take responsibility for: Inbound Logistics/Procurement Operations/Manufacturing Outbound logistics/Order Fulfillment What information do you need and what types of systems would you need to make your team efficient and effective?

Scenario (cont.) What types of information needs to flow from one team to the next to make the organization efficient and effective? How do we facilitate this flow of information from one system to the next?

Scenario (cont.) What type of information flows between teams within your organization & what type of information flows between your organization and your business partners (suppliers & customers)?

Legacy Systems Problem: Number of information systems growing over time Lack of integration in existing systems Different computing platforms Difficult to integrate Data must be reentered from one system to another Same pieces of data stored in several versions

Legacy System Approach

Enterprise System Approach Integrated Database

Internally Focused Systems

Externally Focused Systems

Internally Focused Systems: Value Chain

The Complete Picture

Learning Objectives

Enterprise Resource Planning What is an Enterprise Resource Planning (ERP) system?

Enterprise Resource Planning

Enterprise Resource Planning

ERP Challenges What are some of the challenges with implementing an ERP? Why would a company want to do this? Who might resist? Why?

Remember the problem with legacy systems… Number of information systems growing over time Lack of integration in existing systems Different computing platforms Difficult to integrate Data must be reentered from one system to another Same pieces of data stored in several versions

Configuration What is “configuration” of an ERP system all about? What is meant by a “vanilla” implementation? What is “customization”?

Learning Objectives

Question? Forget about MIS and technology and computer systems…as a business professional, what do you think about when it comes to attracting and retaining the most profitable customers? What information do you need to do these things?

Customer Relationship Management

Customer Relationship Management CRM overview Like all enterprise systems, CRM spans many functional areas

Successful CRM Strategy

Comprehensive CRM

Operational CRM Order Processing & Tracking Contact Development, Assignment, & Management Customer History, Preferences, and Management Sales Forecasting and Performance Analysis Sales Administration Automate service requests, complaints, product returns, and information requests Comprehensive view of the competitive environment Including competitors, industry trends, and environmental Factors.

CRM – GoldMine

CRM Supports Three Major Functions

CRM – Management Issues Data Sharing and Data Ownership Technology Issues

Learning Objectives

Supply Chain Management What is “Supply Chain Management” all about and how do “Supply Chain Management Systems” create value?

Question Who works for a company which manufactures some product? What do you make? What stuff do you need to make your product? Where do you get this stuff? What happens to you if they run out of this stuff?

Supply Chain Management Wal-Mart and Procter & Gamble (P&G) SCM Information flows?

SCM & Porter’s 5 Forces Can partnerships and investments in your supply chain give you a competitive advantage?

SCM architecture SCM modules support two functions Supply chain planning Supply chain execution

Tightly Integrated SCM vs. Portals Dell with Many Customers Elemica Big 3 with Many Suppliers

Example: Distribution Portal What is a “distribution portal” and what types of businesses use them?

Example: Procurement Portal What is a “procurement portal” and what types of businesses use them?

Radio Frequency Identification What is RFID? Who is using it? How is it creating value?

The Big Picture

Learning Objectives

The Formula for Enterprise System Success Secure executive sponsorship Get help from outside experts Thoroughly train users Take a multidisciplinary approach to implementations