Chapter 1
2. Define business profiles, processes, and modeling. 1. Analyze the historical (or simulation) data to determine where improvements are needed. If the evaluation is satisfactory, stop. 2. From the data, come up with an idea for improvement. 3. Create a simulation scenario incorporating that idea and run a simulation. 4. Evaluate the results to determine whether it has resulted in improvement and repeat the cycle.
5. How do companies use EDI? What are some advantages of using XML?
Initially, electronic commerce between two companies used a data sharing arrangement called electronic data interchange (EDI). EDI enabled computer-to-computer data transfer, usually over private telecommunications lines. Firms used EDI to plan production, adjust inventory levels, or stock up on raw materials using data from another company’s information system.
6. Describe five types of information systems, and give an example of each.
Office Information Systems is an information system that uses hardware, software and networks to enhance work flow and facilitate communications among employees.
Transaction Processing Systems is an information system that captures and processes data generated during an organization’s day-to-day transactions. A transaction is a business activity such as a deposit, payment, order or reservation.
Management Information Systems is an information system that generates accurate, timely and organized information so managers and other users can make decisions, solve problems, supervise activities, and track progress.
Decision Support Systems is an information system designed to help users reach a decision when a decision-making situation arises.
Expert Systems is a computer system designed to analyze data and produce recommendations, diagnostics and decisions that are controlled.
7. Describe four organizational levels of