...14.1 Introduction * Information technology (IT) an important enabler of effective supply chain management * Typically spans the entire enterprise and beyond, encompassing suppliers on one end and customers on the other. * Includes systems that are: * internal to an individual company * external which facilitate information transfer between various companies and individuals Questions * What is the impact of business process change on IT implementation? * What are the goals of IT from the perspective of supply chain management? * What IT components are needed to achieve the goals of supply chain management? * What are the supply chain component systems and how should they be approached? * What are decision support systems and how do they support supply chain management? * What criteria should be used to select decision support systems? * What drives the selection of best of breed systems? 14.2 The Importance of Business Processes * Recent study by MIT, PRTM and SAP * Companies that invest mostly in business processes do better than those who invest in IT only and lack the appropriate business processes. * Investments only in technology without the appropriate business processes lead to negative returns. Challenges * Identify measures to characterize supply chain effectiveness * KPIs and SCOR Model are objective ways * Develop measures to characterize the level of maturity of the business...
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...Intelligence (BI) is a general classification of utilizations and innovations for social event, putting away, breaking down, and giving access to information to offer undertaking clients some assistance with making better business choices. Decision Support System: A decision support system (DSS) is a computer program application that breaks down business information and presents it so clients can settle on business choices all the more effectively. Similarities: The key similarity in these two definitions is “making business decisions”, and moreover, both ideas are centered on settling on these choices in a superior and less demanding way. The other vital comparability is they both include choice making “based on data”. Differences: The term decision support systems refers to the tools for choice making, while programming makers use term business knowledge for comparable usefulness. 2. Simon’s four phases of decision making are intelligence, design, choice, and implementation. * Intelligence comprises of social occasion data by inspecting reality, then recognizing and characterizing the issue. In this stage issue proprietorship ought to likewise be set up. * Design comprises of deciding options and assessing them. On the off chance that the assessment will require development of a model, that is done in this stage too. * The choice phase consists of selecting a tentative solution and testing its validity. * * Implementation of the decision...
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...devices and also cellular networks provide financial services to its customers. The bottom-line of it all is that endless possibilities are in the doors of business firms, provided that they are being open to IT-enabled tools and solutions. Negatively affected industries can create new products and services, find another platform to deliver existing products and services, or take partnership from another firm. Transformation of the Business Enterprise One foremost impact of technology is the reduced employees in every organization. While traditional businesses tend to hire many employees to increase its production, firms these times are compelled to flatten organizations. IT has simplified business processes. As a result, multi-level management structure is being eliminated and obviously various manual labors are being replaced by machines. Work responsibilities are also becoming flexible among employees as MIS help their work easier and faster and most...
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...BU1410 Management Information Systems Unit 2 Assignment 1 Instructor: Willie Cooper Jr. Chapter 2 1. What are the major functions of a business that are important for understanding the role of information systems? * Define a business and describe the business functions. * According to the book “A business is a formal organization whose aim is to produce products or provide services for a profit.” * There are four major business functions. They are manufacturing and production, sales and marketing, human resources, and finance and accounting. * Manufacturing and production: assembling the product, checking product quality, producing bulls of materials * Sales and marketing: Identifying customers, making customers aware of products, selling the products * Human resources: hiring employees, evaluating employee job performance, enrolling employees in benefits * Finance and accounting: paying creditors and employees, creating financial statements, managing cash accounts * Define business process and describe the role they play in organizations. * Business process is the steps and tasks that describe how a business’ work is organized. A business process is important so that each employee follows the same steps and tasks when working for an organization. * Identify and describe the different levels in a business firm and their information...
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...1. What are the major types of information systems in a business? What roles do they play? 2. Why should managers pay attention to business processes? Why do firms need to integrate their business processes? 3. What are the benefits and challenges of using enterprise systems? 4. What are the benefits of using information systems to support supply chain management and collaborative commerce? 5. What are the benefits of using information systems for customer relationship management and knowledge management? Key Terms The following alphabetical list identifies the key terms discussed in this chapter. The page number for each key term is provided. |Bullwhip effect, 53 |Management-level systems, 39 | |Collaborative commerce, 54 |Manufacturing and production information systems, 48 | |Collaborative planning, forecasting, and replenishment (CPFR), 55 |Office systems, 42 | |Decision-support systems (DSS), 44 |Operational-level systems, 38 | |Desktop publishing, 43 |Private industrial networks, 55 | |Document imaging systems, 43 |Reverse...
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...Designing and Managing the Supply Chain David Simchi-Levi Philip Kaminsky Edith Simchi-Levi Solutions for Discussion Questions1 Kerem B¨lb¨l u u 1 We would like to thank Shiming Deng for his valuable contributions to the preparation of this manual. Chapter 1 Introduction to Supply Chain Management Discussion Questions Question 1 Pick any car model manufactured by a domestic auto maker. For example, consider the 2002 Ford Thunderbird. a. The supply chain for a car typically includes the following components: 1. Suppliers for raw materials 2. Suppliers for parts and subsystems 3. Automobile manufacturer (Ford, in this example). Within a company, there are also different departments, which constitute the internal supply chain: i. Purchasing and material handing ii. Manufacturing iii. Marketing, etc. 4. Transportation providers 5. Automobile dealers b. Many Þrms are involved in the supply chain. 1. Raw material suppliers. For instance, suppliers for steel, rubber, plastics, etc. 2. Parts suppliers. For instance, suppliers for engines, steering wheels, seats, and electronic components, etc. 3. Automobile manufacturer. For instance, Ford. 4. Transportation providers. For instance, shippers, trucking companies, railroads, etc. 5. Automobile dealers. For example, Hayward Ford. c. All companies involved in the supply chain want to maximize their respective proÞts by increasing revenue and decreasing cost. However, companies may employ different 2 strategies in order...
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...INTEGRATED SUPPLY CHAIN MANAGEMENT IN THE GOVERNMENT ENVIRONMENT ABSTRACT With the fall of East European Socialist-Bloc and opening up of the Asian markets, the trade barriers began falling during the 1980’s and continued throughout the 1990’s. This development lead to organizations having a supply chain, that criss-crossed the whole globe. The proliferation of trade agreements has thus changed the global business scenarios. The Integrated Supply Chain Management (ISCM) is now not only a problem of integrated logistics (as a process) but also demands that the supply chain management (SCM) must look into the ramifications of these arrangements on the cost of transportation (including tariffs or duties) of products within a trade zone and outside it, besides, developing logistics strategies. The field has thus developed in the last few years for bridging the gap between demand and supply vis-à-vis efficiency and cost trade-offs. The SCM now not only involves the “management of logistic function”, as was done in the past (to achieve internal efficiency of operations) but, includes the management and co-ordination of activities, upstream and downstream linkage(s) in the supply chain. The integrated supply chain management, in particular include : Planning and Managing supply and demand; Warehouse Management; Optimal Inventory control; Transportation and Distribution, Delivery and customer’s delight following the basic principles of supply chain management viz. working together;...
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...INTEGRATED SUPPLY CHAIN MANAGEMENT IN THE GOVERNMENT ENVIRONMENT R.K. Gupta* and Pravin Chandra** ABSTRACT With the fall of East European Socialist-Bloc and opening up of the Asian markets, the trade barriers began falling during the 1980’s and continued throughout the 1990’s. This development lead to organizations having a supply chain, that criss-crossed the whole globe. The proliferation of trade agreements has thus changed the global business scenarios. The Integrated Supply Chain Management (ISCM) is now not only a problem of integrated logistics (as a process) but also demands that the supply chain management (SCM) must look into the ramifications of these arrangements on the cost of transportation (including tariffs or duties) of products within a trade zone and outside it, besides, developing logistics strategies. The field has thus developed in the last few years for bridging the gap between demand and supply vis-à-vis efficiency and cost trade-offs. The SCM now not only involves the “management of logistic function”, as was done in the past (to achieve internal efficiency of operations) but, includes the management and co-ordination of activities, upstream and downstream linkage(s) in the supply chain. The integrated supply chain management, in particular include : Planning and Managing supply and demand; Warehouse Management; Optimal Inventory control; Transportation and Distribution, Delivery and customer’s delight following the basic principles of supply chain management...
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...INTEGRATED SUPPLY CHAIN MANAGEMENT IN THE GOVERNMENT ENVIRONMENT R.K. Gupta* and Pravin Chandra** ABSTRACT With the fall of East European Socialist-Bloc and opening up of the Asian markets, the trade barriers began falling during the 1980’s and continued throughout the 1990’s. This development lead to organizations having a supply chain, that criss-crossed the whole globe. The proliferation of trade agreements has thus changed the global business scenarios. The Integrated Supply Chain Management (ISCM) is now not only a problem of integrated logistics (as a process) but also demands that the supply chain management (SCM) must look into the ramifications of these arrangements on the cost of transportation (including tariffs or duties) of products within a trade zone and outside it, besides, developing logistics strategies. The field has thus developed in the last few years for bridging the gap between demand and supply vis-à-vis efficiency and cost trade-offs. The SCM now not only involves the “management of logistic function”, as was done in the past (to achieve internal efficiency of operations) but, includes the management and co-ordination of activities, upstream and downstream linkage(s) in the supply chain. The integrated supply chain management, in particular include : Planning and Managing supply and demand; Warehouse Management; Optimal Inventory control; Transportation and Distribution, Delivery and customer’s delight following the basic principles of supply chain management...
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...Designing and Managing the Supply Chain David Simchi-Levi Philip Kaminsky Edith Simchi-Levi Solutions for Discussion Questions1 Kerem B¨lb¨l u u 1 We would like to thank Shiming Deng for his valuable contributions to the preparation of this manual. Chapter 1 Introduction to Supply Chain Management Discussion Questions Question 1 Pick any car model manufactured by a domestic auto maker. For example, consider the 2002 Ford Thunderbird. a. The supply chain for a car typically includes the following components: 1. Suppliers for raw materials 2. Suppliers for parts and subsystems 3. Automobile manufacturer (Ford, in this example). Within a company, there are also different departments, which constitute the internal supply chain: i. Purchasing and material handing ii. Manufacturing iii. Marketing, etc. 4. Transportation providers 5. Automobile dealers b. Many Þrms are involved in the supply chain. 1. Raw material suppliers. For instance, suppliers for steel, rubber, plastics, etc. 2. Parts suppliers. For instance, suppliers for engines, steering wheels, seats, and electronic components, etc. 3. Automobile manufacturer. For instance, Ford. 4. Transportation providers. For instance, shippers, trucking companies, railroads, etc. 5. Automobile dealers. For example, Hayward Ford. c. All companies involved in the supply chain want to maximize their respective proÞts by increasing revenue and decreasing cost. However, companies may employ different ...
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...Chapter 2 IT Infrastructure and Support Systems IT at Work IT at Work 2.1 Western Petro Controls Costs with its Trade Management System For Further Exploration: Which processes are being automated and why? PetroMan is a comprehensive trading system that triggers buying and selling activities and integrates contract management, risk management, accounting, and pipeline scheduler. Using the PetroMan, the company can place bids and automatically capture a contract for refined products; and schedule and confirm deliveries in pipelines. PetroMan also handles the resale of fuels, including electronic invoicing and a credit module that checks and tracks a customer’s credit risk. This tracking is done by hedging large purchasing contracts by selling futures on the New York Mercantile (Commodities) Exchange. By hedging, the company protects itself against the risk of a large drop in oil prices. The software is plugged directly into the primary commodity exchanges--automating the process. Why is controlling risk important? By hedging, the company protects itself against the risk of a large drop in oil prices. The software is plugged directly into the primary commodity exchanges--automating the process. Does PetroMan provide Western Petro with a competitive advantage? Explain. Competitive advantage is defined as the strategic advantage one business entity has over its rival entities within its competitive industry. Achieving Competitive Advantage strengthens and positions...
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...Management Information Systems Laudon & Laudon Lecture Notes on Management Information Systems (Chapters: 1, 2, 5, and 9) 1. Concepts of MIS/IS 2. What’s New in Management Information Systems? 3. Digital Firm 4. Strategic Business Objectives of Information Systems 5. Information Systems (IS) Vs. Information Technology (IT) 6. Perspectives on Information Systems 7. Information System and its Functions 8. Contemporary Approaches to Information Systems. 9. Dimensions of Information Systems 10. Defining IT infrastructure: 11. Evolution of IT infrastructure 12. The IT Infrastructure Ecosystem 13. Types of Structured Business Information Systems 14. Systems That Span the Enterprise Concepts of MIS/IS: Management Information Systems: MIS means the whole network of systems which support the organization to manage their business affairs. • Many organizations have information systems that are entirely manual. Such systems are a subset of a wider class of systems, computer-based information systems, which rely on information technology as well as humans for their operational functions. IS need not be necessarily computer-based. Management information systems (MIS) deals with behavioral issues as well as technical issues surrounding the development, use, and impact of information systems used by managers and employees in the firm. As such, MIS is defined as the study of information...
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...Hours [ 01. MBA DECEMBER-2010 Subject: Information Systems Management Maximum Marks: 60 Note: Attempt any five questions. (a) (b) List and describe any four reasons why information systems are so (8) important for business today? (4) Differentiate the following with an example: (i) Data and Information (ii) Information and knowledge (a) Explain the following decision making situation in intelligence, design and choice phase as developed in the SIMON MODEL: (6) (i) Marketing a new product (ii) Appointing a Finance Manager (iii) Purchase of Equipment (b) 02. Differentiate between: (i) OPEN and CLOSED system (ii) Deterministic and a probabilistic system Give an example of each and identify system boundaries. 03. I (a) (b) (6) Why does a decision maker resort to bounded rationality in a decisionmaking situation? Can a decision be called as right or wrong? What is the measure of correct decision? (6) Write short notes on: (3x2=6) (i) Marketing Information System (ii) Human Resource Information Systems (HRIS) 04. (a) (b) (c) What are the characteristics of MIS? How do MIS differ from TPS? (4) What are the three basic components of a DSS? Briefly describe each. (4) Differentiate: Data Driven DSS and Model Driven DSS. (4) 05. (a) (b) What is strategic Information System (SIS)? (4) Discuss the importance of VALUE CHAIN ANALYSIS of an organization. (8) 06. (a) Discuss the various...
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...Chapter 2 Global E-business and Collaboration Management Information Systems Chapter 2: Global E-business and Collaboration Learning Objectives • What are business processes? How are they related to information systems? • How do systems serve the different management groups in a business and how do systems that link the enterprise improve organizational performance? • Why are systems for collaboration and social business so important and what technologies do they use? • What is the role of the information systems function in a business? 2.2 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 2: Global E-business and Collaboration Business Processes and Information Systems • Business processes: – Flows of material, information, knowledge – Sets of activities, steps – May be tied to functional area or be crossfunctional • Businesses: Can be seen as collection of business processes • Business processes may be assets or liabilities 2.3 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 2: Global E-business and Collaboration Business Processes and Information Systems • Examples of functional business processes – Manufacturing and production • Assembling the product • checking the product for quality – Sales and marketing • Identifying customers • selling the product – Finance and accounting • Creating financial statements • paying creditors – Human...
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...efficient and cost effective, it encompasses activities at many levels, and provides competitive advantage. System approach – system-wide strategy minimizing costs over the entire supply chain Challenge of SCM: 1. Strategies cannot be determined in isolation. 2. Minimize cost while maintaining system-wide service levels. 3. Uncertainty and risk Global optimization is complex because facilities are dispersed over a large area, different facilities have different goals, it’s a dynamic system; changes over time due to changing business and customer environment, seasonal fluctuations, competitors, trends, etc. Sources of uncertainty: lead-time, demand, transportation times, component availability, etc. Approaches to manage risk: 1. Build redundancy 2. Use info to better sense and respond to disruptions 3. Incorporate flexibility 4. Improve supply chain processes to including risk assessment measures Building blocks in effective supply chain: strategic partnerships, info sharing, outsourcing, e-business. Strategic issues – deal with long term goals (number, location, capacity of facilities) Tactical issues – quarterly/yearly basis (transportation, purchasing, inventory policies) Operational – day-to-day (truck-loading, scheduling, lead-time quotations) Supply chain disruptions: * Part shortages * Roll-out problems * Order change by customers * Production problems * Development problems * Quality problems Dealing...
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