2 INFORMATION  SYSTEMS IN THE ENTERPRISE Chapter
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Major Types of Systems <ul><l...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Enterprise Systems INTEGRATIN...
<ul><li>Business processes  </li></ul><ul><li>Manner in which work is organized, coordinated, and focused to produce a val...
<ul><li>Unique ways to coordinate work,  </li></ul><ul><li>information, and knowledge </li></ul><ul><li>Ways in which mana...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Figure 2-16 Traditional View ...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN TH...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Types of TPS Systems KEY SYST...
System Architecture: Transaction Processing System
<ul><li>Major functions of systems: </li></ul><ul><li>Budgeting, general ledger, billing, cost accounting </li></ul><ul><l...
<ul><li>Major functions of systems: </li></ul><ul><li>Sales management, market research, promotion, pricing, new products ...
<ul><li>Major functions of systems: </li></ul><ul><li>Scheduling, purchasing, shipping, receiving, engineering, operations...
<ul><li>Major functions of systems: </li></ul><ul><li>Personnel records, benefits, compensation, labor relations, training...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Human Resource Systems SYSTEM...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Payroll TPS KEY SYSTEM APPLIC...
System Example: Payroll System (TPS)
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Overview of Inventory Systems...
Management Information System (MIS) <ul><li>Management Information System (MIS) </li></ul><ul><ul><li>An MIS provides mana...
<ul><li>Management Information System (MIS): </li></ul><ul><li>Management level </li></ul><ul><li>Inputs:  High volume dat...
<ul><li>Structured and semi-structured decisions </li></ul><ul><li>Report control oriented </li></ul><ul><li>Past and pres...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN TH...
System Architecture: Management Information System
Management Information System <ul><li>Scheduled reports </li></ul><ul><li>Key-indicator reports </li></ul><ul><li>Exceptio...
Outputs of a Management Information System Scheduled Reports Produced periodically, or on a schedule (daily, weekly, month...
Key-Indicator Report Summarizes the previous day’s critical activities and typically available at the beginning of each da...
Demand Report Gives certain information at a manager’s request .   Exception Report Automatically produced when a situatio...
Drill Down Reports Provide detailed data about a situation.
<ul><li>Decision Support System (DSS): </li></ul><ul><li>Management level </li></ul><ul><li>Inputs:  Low volume data </li>...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN TH...
Four Types of Models
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN TH...
<ul><li>Top level management </li></ul><ul><li>Designed to the individual </li></ul><ul><li>Ties CEO to all levels </li></...
<ul><li>Executive Support System (ESS): </li></ul><ul><li>Strategic level </li></ul><ul><li>Inputs:  Aggregate data </li><...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN TH...
<ul><li>Cross-Functional Business Processes </li></ul><ul><li>Transcend boundary between sales, marketing, manufacturing, ...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise The Order Fulfillment Process...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Types of Information Systems ...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise TYPES OF INFORMATION SYSTEMS ...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise INTERRELATIONSHIPS AMONG SYST...
 
2 INFORMATION  SYSTEMS IN THE ENTERPRISE Chapter
<ul><li>Knowledge Work Systems (KWS): </li></ul><ul><li>Knowledge level </li></ul><ul><li>Inputs:   Design specs </li></ul...
<ul><li>Information systems help organizations   </li></ul><ul><li>Achieve great efficiencies by automating  parts of proc...
Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Human Resource Systems SYSTEM...
<ul><li>Finance and accounting:  Paying creditors, creating financial statements, managing cash accounts </li></ul><ul><li...
<ul><li>Manufacturing and production:  Assembling product, checking quality, producing bills of materials </li></ul><ul><l...
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  • CD screentour: MIS
  • Types of is

    1. 1. 2 INFORMATION SYSTEMS IN THE ENTERPRISE Chapter
    2. 2. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Major Types of Systems <ul><li>Executive Support Systems (ESS) </li></ul><ul><li>Decision Support Systems (DSS) </li></ul><ul><li>Management Information Systems (MIS) </li></ul><ul><li>Transaction Processing Systems (TPS) </li></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
    3. 3. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Enterprise Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES Figure 2-17
    4. 4. <ul><li>Business processes </li></ul><ul><li>Manner in which work is organized, coordinated, and focused to produce a valuable product or service </li></ul><ul><li>Concrete work flows of material, information, and knowledge—sets of activities </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Business Processes and Information Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
    5. 5. <ul><li>Unique ways to coordinate work, </li></ul><ul><li>information, and knowledge </li></ul><ul><li>Ways in which management chooses </li></ul><ul><li>to coordinate work </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise INTEGRATING FUNCTIONS AND BUSINESS PROCESSES Business Processes and Information Systems
    6. 6. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Figure 2-16 Traditional View of the Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
    7. 7. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION <ul><li>Transaction Processing Systems (TPS): </li></ul><ul><li>Basic business systems that serve the operational level </li></ul><ul><li>A computerized system that performs and records the daily routine transactions necessary to the conduct of the business </li></ul>
    8. 8. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Types of TPS Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Figure 2-4
    9. 9. System Architecture: Transaction Processing System
    10. 10. <ul><li>Major functions of systems: </li></ul><ul><li>Budgeting, general ledger, billing, cost accounting </li></ul><ul><li>Major application systems: </li></ul><ul><li>General ledger, accounts receivable, accounts payable, budgeting, funds management systems </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Financing and Accounting Systems SYSTEMS FROM A FUNCTIONAL PERSPECTIVE
    11. 11. <ul><li>Major functions of systems: </li></ul><ul><li>Sales management, market research, promotion, pricing, new products </li></ul><ul><li>Major application systems: </li></ul><ul><li>Sales order info system, market research system, pricing system </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise SYSTEMS FROM A FUNCTIONAL PERSPECTIVE Sales and Marketing Systems
    12. 12. <ul><li>Major functions of systems: </li></ul><ul><li>Scheduling, purchasing, shipping, receiving, engineering, operations </li></ul><ul><li>Major application systems: </li></ul><ul><li>Materials resource planning systems, purchase order control systems, engineering systems, quality control systems </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Manufacturing and Production Systems SYSTEMS FROM A FUNCTIONAL PERSPECTIVE
    13. 13. <ul><li>Major functions of systems: </li></ul><ul><li>Personnel records, benefits, compensation, labor relations, training </li></ul><ul><li>Major application systems: </li></ul><ul><li>Payroll, employee records, benefit systems, career path systems, personnel training systems </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise SYSTEMS FROM A FUNCTIONAL PERSPECTIVE Human Resource Systems
    14. 14. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Human Resource Systems SYSTEMS FROM A FUNCTIONAL PERSPECTIVE Figure 2-11
    15. 15. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Payroll TPS KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Figure 2-3
    16. 16. System Example: Payroll System (TPS)
    17. 17. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Overview of Inventory Systems SYSTEMS FROM A FUNCTIONAL PERSPECTIVE Figure 2-10
    18. 18. Management Information System (MIS) <ul><li>Management Information System (MIS) </li></ul><ul><ul><li>An MIS provides managers with information and support for effective decision making, and provides feedback on daily operations. </li></ul></ul><ul><ul><li>MIS provides information to the users in the form of reports </li></ul></ul><ul><ul><li>Output, or reports, are usually generated through accumulation of transaction processing data. </li></ul></ul><ul><ul><li>MIS is an integrated collection of subsystems, which are typically organized along functional lines within an organization. </li></ul></ul>
    19. 19. <ul><li>Management Information System (MIS): </li></ul><ul><li>Management level </li></ul><ul><li>Inputs: High volume data </li></ul><ul><li>Processing : Simple models </li></ul><ul><li>Outputs: Summary reports </li></ul><ul><li>Users: Middle managers </li></ul><ul><li>Example: Annual budgeting </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
    20. 20. <ul><li>Structured and semi-structured decisions </li></ul><ul><li>Report control oriented </li></ul><ul><li>Past and present data </li></ul><ul><li>Internal orientation </li></ul><ul><li>Lengthy design process </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Management Information System (MIS)
    21. 21. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Management Information System (MIS) Figure 2-5
    22. 22. System Architecture: Management Information System
    23. 23. Management Information System <ul><li>Scheduled reports </li></ul><ul><li>Key-indicator reports </li></ul><ul><li>Exception reports </li></ul><ul><li>Ad hoc (demand) reports </li></ul><ul><li>Drill-down reports </li></ul>Creates reports managers can use to make routine business decisions MIS
    24. 24. Outputs of a Management Information System Scheduled Reports Produced periodically, or on a schedule (daily, weekly, monthly).
    25. 25. Key-Indicator Report Summarizes the previous day’s critical activities and typically available at the beginning of each day.
    26. 26. Demand Report Gives certain information at a manager’s request . Exception Report Automatically produced when a situation is unusual or requires management action.
    27. 27. Drill Down Reports Provide detailed data about a situation.
    28. 28. <ul><li>Decision Support System (DSS): </li></ul><ul><li>Management level </li></ul><ul><li>Inputs: Low volume data </li></ul><ul><li>Processing: Interactive </li></ul><ul><li>Outputs: Decision analysis </li></ul><ul><li>Users: Professionals, staff </li></ul><ul><li>Example: Contract cost analysis </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
    29. 29. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Decision Support System (DSS) Figure 2-7
    30. 30. Four Types of Models
    31. 31. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Decision Support System (DSS) Figure 2-6
    32. 32. <ul><li>Top level management </li></ul><ul><li>Designed to the individual </li></ul><ul><li>Ties CEO to all levels </li></ul><ul><li>Very expensive to keep up </li></ul><ul><li>Extensive support staff </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Executive support system (ESS)
    33. 33. <ul><li>Executive Support System (ESS): </li></ul><ul><li>Strategic level </li></ul><ul><li>Inputs: Aggregate data </li></ul><ul><li>Processing: Interactive </li></ul><ul><li>Outputs: Projections </li></ul><ul><li>Users: Senior managers </li></ul><ul><li>Example: 5-year operating plan </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
    34. 34. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Executive Support System (ESS) Figure 2-8
    35. 35. <ul><li>Cross-Functional Business Processes </li></ul><ul><li>Transcend boundary between sales, marketing, manufacturing, and research and development </li></ul><ul><li>Group employees from different functional specialties to a complete piece of work </li></ul><ul><li>Example: Order Fulfillment Process </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise INTEGRATING FUNCTIONS AND BUSINESS PROCESSES Business Processes and Information Systems
    36. 36. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise The Order Fulfillment Process INTEGRATING FUNCTIONS AND BUSINESS PROCESSES Figure 2-12
    37. 37. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Figure 2-1
    38. 38. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise TYPES OF INFORMATION SYSTEMS Figure 2-2
    39. 39. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise INTERRELATIONSHIPS AMONG SYSTEMS Figure 2-9
    40. 41. 2 INFORMATION SYSTEMS IN THE ENTERPRISE Chapter
    41. 42. <ul><li>Knowledge Work Systems (KWS): </li></ul><ul><li>Knowledge level </li></ul><ul><li>Inputs: Design specs </li></ul><ul><li>Processing: Modeling </li></ul><ul><li>Outputs: Designs, graphics </li></ul><ul><li>Users: Technical staff </li></ul><ul><li>Example: Engineering work station </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
    42. 43. <ul><li>Information systems help organizations </li></ul><ul><li>Achieve great efficiencies by automating parts of processes </li></ul><ul><li>Rethink and streamline processes </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Business Processes and Information Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
    43. 44. Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Human Resource Systems SYSTEMS FROM A FUNCTIONAL PERSPECTIVE
    44. 45. <ul><li>Finance and accounting: Paying creditors, creating financial statements, managing cash accounts </li></ul><ul><li>Human Resources: Hiring employees, evaluating performance, enrolling employees in benefits plans </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Examples of Business Processes INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
    45. 46. <ul><li>Manufacturing and production: Assembling product, checking quality, producing bills of materials </li></ul><ul><li>Sales and marketing: Identifying customers, creating customer awareness, selling </li></ul>Essentials of Management Information Systems Chapter 2 Information Systems in the Enterprise Examples of Business Processes INTEGRATING FUNCTIONS AND BUSINESS PROCESSES

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