1. Type of System and IS Competitive Advantage Soetam Rizky

2. Type of System

3. Major Type Transaction Processing Systems Management Information System Decision Support System Executive Support System

4. Type of System - TPS Basic business systems that serve the operational level A computerized system that performs and records the daily routine transactions necessary to the conduct of the business

5. Type of System Major Type Transaction Processing Systems Management Information System Decision Support System Executive Support System

6. Type of System - MIS Management level Inputs: High volume transaction level data Processing: Simple models Outputs: Summary reports Users: Middle managers

7. Type of System - MIS Figure 2-5

8. Type of System Major Type Transaction Processing Systems Management Information System Decision Support System Executive Support System

9. Type of System - DSS Management level Inputs: Transaction level data Processing: Interactive Outputs: Decision analysis Users: Professionals, staff

10. Type of System - DSS Figure 2-7

11. Type of System Major Type Transaction Processing Systems Management Information System Decision Support System Executive Support System

12. Type of System - ESS Inputs: Aggregate data Processing: Interactive Outputs: Projections Users: Senior managers

13. Type of System - ESS Top Level Management Designed to the individual senior manager Ties CEO to all levels Very expensive to keep up Extensive support staff

14. Before we continue…. TPS, DSS, MIS or ESS that we must build first ?

15. The Dimensions of Competitive Advantage Strategic advantage has a fundamental effect in shaping the firm’s operations. Tactical advantage is when the firm implements a strategy better than its competitors. Operational advantage deals with everyday transactions and processes.

16. © 2007 by Prentice Hall Management Information Systems, 10/e Raymond McLeod and George Schell 16 Strategic Planning for Information Resources (SPIR) Chief Information Officer (CIO) Chief Technology Officer (CTO) Strategic Planning – Enterprise–executive committee – Business areas–resources for human, information, financial, marketing, manufacturing

17. © 2007 by Prentice Hall Management Information Systems, 10/e Raymond McLeod and George Schell 17 The SPIR Approach Concurrent development of strategic plans for information services and the firm so that the firm’s plan reflects the support to be provided by information services. The IS plan reflects future demands for systems support.

18. © 2007 by Prentice Hall Management Information Systems, 10/e Raymond McLeod and George Schell 18 Strategic Planning for Information Resources

19. © 2007 by Prentice Hall Management Information Systems, 10/e Raymond McLeod and George Schell 19 Core Content of a Strategic Planning for Information Resources The objectives to be achieved by each category of systems during the time period. The information resources necessary to meet the objectives.

20. Quick Summary TPS, DSS, MIS or ESS ? Competitive advantage using strategic IS Aligning IS and business strategy

21. Questions / Comments ?