Enterprise Information Systems Topic 6 – Overview Topic’s learning objectives: · Yunnan Lucky Air Case Study · An Empirical Study in Selecting Enterprise Resource Planning Systems 6.1 Yunnan Lucky Air Case Study Read the case study ‘E-commerce at Yunnan Lucky Air’ by Berenguer et al 2008 and answer the following questions. The article can be found on the module website. Questions: i. Why is it important for Lucky Air to be a leader in IT? ii. Consider that you worked for Yunnan Lucky Air in a role that involved technology and strategy. You have been asked to outline their future IT strategy to best utilize Web 2.0. Based on the information presented in the case study and the course material what solutions would you rcommend? iii. Some of the advantages of using Paypal for an airline have been discussed. What could be the disadvantages? iv. Based on what is discussed in the article and the course material how can the conversion rates of browsing and researching online be improved with a better CRM? ( Pause for thought Yunnan Lucky Air operated as a low cost carrier modelling itself on the American airline Soutwest. Does this mean it should also model its IT on Soutwest or should it customise it to their environment? ) 6.2 An empirical study in selecting Enterprise Resource Planning Systems Read the case study ‘An empirical study in selecting Enterprise Resource Planning Systems Article: The relation between some of the variables involve on it. Size and Investment.’ by Pacheco-Comer and Gonzalez-Castolo, 2012, and answer the following questions. The article can be found on the module website. Questions: i. Explain the ‘ERP anatomy’ illustrated in figure 1. Are there alternative anatomies of an ERP? ii. What were the empirical goals of this survey? Would you add anything to these? iii. What were the findings of this research? Does this agree with other research on this topic? ( Pause for thought We have seen in a number of articles how the size of an organization impacts the choice and implementation of an ERP. We have also seen in the Lucky Air case study how IT may be important strategically. Do you believe that it is the size of the company or the business strategy that is the deciding factor for the MIS strategy? ) Further reading Rainer R.K., Watson H.J. (2012) Management Information Systems: Moving Business Forward, Wiley. Gunasekaran, A., Shea, T. (2009) Organizational Advancements through Enterprise Information Systems: Emerging Applications and Developments: IGI Global Motiwalla, L. And Thompson, J. (2012) Enterprise Systems for Management: International Version, 2/E, Pearson Higher Education Magal, S. R. and Word, J. (2012) Integrated Business Processes with ERP Systems, Wiley Plus course Cruz-Cunha, M. M. (2009) Social, Managerial, and Organizational Dimensions of Enterprise Information Systems, IGI Global Obrien, J. and Marakas G. (2007): ‘Enterprise Information Systems’.

1. Enterprise Information Systems
Topic 6 – Overview
Topic’s learning objectives:
· Yunnan Lucky Air Case Study
· An Empirical Study in Selecting Enterprise Resource Planning
Systems
6.1 Yunnan Lucky Air Case Study
Read the case study ‘E-commerce at Yunnan Lucky Air’ by
Berenguer et al 2008 and answer the following questions. The
article can be found on the module website.
Questions:
i. Why is it important for Lucky Air to be a leader in IT?

2. ii. Consider that you worked for Yunnan Lucky Air in a role
that involved technology and strategy. You have been asked to
outline their future IT strategy to best utilize Web 2.0. Based on
the information presented in the case study and the course
material what solutions would you rcommend?
iii. Some of the advantages of using Paypal for an airline have
been discussed. What could be the disadvantages?
iv. Based on what is discussed in the article and the course
material how can the conversion rates of browsing and
researching online be improved with a better CRM?
(
Pause for thought
Yunnan Lucky Air operated as a low cost carrier modelling
itself on the American airline Soutwest. Does this mean it
should also model its
IT
on Soutwest or should
it
customise it to their environment?
)
6.2 An empirical study in selecting Enterprise Resource
Planning Systems
Read the case study ‘An empirical study in selecting Enterprise
Resource Planning Systems Article: The relation between some
of the variables involve on it. Size and Investment.’ by
Pacheco-Comer and Gonzalez-Castolo, 2012, and answer the
following questions. The article can be found on the module
website.

3. Questions:
i. Explain the ‘ERP anatomy’ illustrated in figure 1. Are there
alternative anatomies of an ERP?
ii. What were the empirical goals of this survey? Would you
add anything to these?
iii. What were the findings of this research? Does this agree
with other research on this topic?
(
Pause for thought
We have seen in a number of articles how the size of an
organization impacts the choice and implementation of an ERP.
We have also seen in the Lucky Air case study how IT may be
important strategically. Do you believe that it is the size of the
company or the
business strategy that is the deciding factor for the MIS
strategy?
)
Further reading
Rainer R.K., Watson H.J. (2012) Management Information
Systems: Moving Business Forward, Wiley.
Gunasekaran, A., Shea, T. (2009) Organizational Advancements
through Enterprise Information Systems: Emerging Applications
and Developments: IGI Global
Motiwalla, L. And Thompson, J. (2012) Enterprise Systems for
Management: International Version, 2/E, Pearson Higher
Education

4. Magal, S. R. and Word, J. (2012) Integrated Business Processes
with ERP Systems, Wiley Plus course
Cruz-Cunha, M. M. (2009) Social, Managerial, and
Organizational Dimensions of Enterprise Information Systems,
IGI Global
Obrien, J. and Marakas G. (2007): ‘Enterprise Information
Systems’, Chapter 12: Local and International Management of
Information Technology, 13th ed., McGraw Hill.
Enterprise Information Systems
Topic 5 – Overview
Topic’s learning objectives:
· Extending the Organization to Customers

5. · Extending the Organization Along the Supply Chain
5.1 Extending the Organization to Customers
Until section 4.1 we covered the broad issues that impact an
organization and its systems. In the last section we discussed
the internal systems so it is logical to follow that with an
analysis of how an organization extends its systems to its
customers. The next section, 5.2, follows this logical
progression covering how organizations extend their systems in
the opposite direction, towards their suppliers.
The main method an organization uses to extend to the customer
is by utilizing a Customer Relationship Management, CRM,
system. A CRM system should be part of a CRM strategy to be
customer focused and customer driven. Having the word
relationship as part of the term as opposed to transaction
indicates the focus on long term nurturing of relationships.
Every customer may have different needs and a different value
to the organization.
A CRM keeps all the information necessary when dealing with a
customer in one place and may also enable the process of
serving them. It should allow the customer to be treated as an
individual as the person from the organization using it will have
some information about them such as their name and the
previous purchases they made. This should be the case even if
the person that deals with them is different each time although
many CRM systems try to channel the customer to the same
person every time so that the service is even better. One of the
benefits of a CRM is in situations where there are large periods
of time between the customer engaging with the organization.
The people dealing with that customer might change and even if
it is the same person they would not remember all the details
about a situation. The CRM can immediately provide a log of
previous customer interactions and what was agreed.

6. A place where the CRM’s role may be more obvious to many
people is at a hotel where they know who you are after you give
your room number and may even surprise you with a
complementary gift if it is you birthday. Hotels are also an
environment where the different needs and different value of a
customer are clear. A family on holiday will have different
needs to a business guest. And someone who rents an expensive
suite has a different value to someone
that has a standard room. The person that has rented the suite
for thousands of pounds a day will be given more attention and
could be given complementary gifts worth hundreds of pounds.
As with most types of information systems CRMs can be quite
simple or very sophisticated and complex. Most will have the
elements illustrated in figure 5.1 and follow that process. When
people discuss CRM systems they usually talk about people
from the organization using technology to enhance their
interaction with the customer. These are referred to customer
facing applications. There are other applications where the
customer just deals with the system such as search
functionalities and recommendations of similar products.
Figure 5.1: The customer relationship management process.
(
Pause for thought
A CRM system has a number of typical functionalities and
benefits such as better customer satisfaction and retention.
Despite these broad typical functionalities and benefits there are
more specific benefits that are dependent on the nature of the

7. company. For the following types of companies consider what
specific benefits can be
acrued:
Airline
company
Car
manufacturer
Mobile phone network
operator
)
5.2 Extending the Organization Along the Supply Chain
After looking at how the organization’s systems extend to the
consumer we turn our attention to how they extend to the
supplier and the supply chain. Some issues are the same for
systems that are internal or external linked to either the
customer or the supplier. They all share information, make sure
all the information is up to date and encourage specific
processes to happen. Some more specific issues are particular to
supply chains.
When people think of supply chains they may think of
manufacturing. A car manufacturer is supplied by raw materials
such as steel and glass but may also be supplied with parts such
as a gear box. Some suppliers may also be competitors. For
example a Samsung phone can have a battery from Sony.
Beyond the various materials involved in industry a supply
chain covers information, money and services.
Whatever is being transferred by the supply chain increasing
visibility is important. The process of the supply chain starts
with the process of arranging what will happen. This can be
considered upstream as illustrated in figure 5.2. The subsequent

8. flow of materials can be considered a second step and can be
considered as downstream. Inter-organizational information
systems can be used to reduce costs of transactions, improve
information quality and flow and speed the process up.
There are some specific systems used for supply chains. The
first is the Electronic Data Interchange, EDI is a communication
standard that enables partners to send standardised forms often
needed by the supply chain. The second are extranets that allow
specific partner to have access to specific sections of a
company’s systems and network. Lastly portals are a webpage
that includes all the information necessary for collaboration
between suppliers.
Figure 5.2 Generic Supply chain
(
Pause for thought
Organizations outsource anything that is not their core
competency. They try to find the best supplier possible for each
thing. This often leads to using competitors as suppliers.
Examples are mobile phones where Sony, Samsung and LG are
suppliers for Apple, Sony for Samsung, Samsung for LG and so
on. Considering the interconnectedness of modern supply chains
identify three advantages and three disadvantages of having
your
competitors as suppliers.
)
(
Optional exercise
Read following article by Simon Croom on the impact of e-
business on the supply
chain, an empirical study of key developments and answer the

9. following questions. The article can be found on the internet or
on the module
website.
Briefly explain in your own words the purpose of this
study.
Briefly discuss what the e-supply chain management priorities
are.
Briefly discuss how e-supply chains have
evolved.
)
Further reading
Rainer R.K., Watson H.J. (2012) Management Information
Systems: Moving Business Forward, Wiley.
Gunasekaran, A., Shea, T. (2009) Organizational Advancements
through Enterprise Information Systems: Emerging Applications
and Developments: IGI Global
Motiwalla, L. And Thompson, J. (2012) Enterprise Systems for
Management: International Version, 2/E, Pearson Higher
Education
Magal, S. R. and Word, J. (2012) Integrated Business Processes
with ERP Systems, Wiley Plus course
Cruz-Cunha, M. M. (2009) Social, Managerial, and
Organizational Dimensions of Enterprise Information Systems,
IGI Global

10. Obrien, J. and Marakas G. (2007): ‘Enterprise Information
Systems’, Chapter 12: Local and International Management of
Information Technology, 13th ed., McGraw Hill.
MBALN-736A CASE STUDY for Final Examination
New York City Cabbies Strike Over New Information System
New York City's Taxi & Limousine Commission has mandated
that alt licensed city cab owners install new information
systems in their cabs. The new state-of-the-art system connects
the cabs to a wireless data network. The new system will not
be used for dispatching cabs (most New York City cabs are
hailed from the curb) but will provide text messages informing
cabbies of nearby opportunities. It includes global positioning
system technology that provides an interactive map that
passengers can use to see their current location, destination, and
routes. The new system will allow customers to pay via credit
card, and will provide music and other forms of entertainment.
The system also automates the process of keeping business
records of fares and trips and spits out receipts for customers;
cabbies will no longer need to maintain records with pencil
and paper.
Sounds like a win-win situation, right? Many of the cabbies
don't agree. They are concerned that the GPS system will track
their movements after hours. About 85 percent of New York
City cabbies are independent contractors who own their cab and
use it for their personal transportation while off duty. They are
also upset about the $1,300 that they need to pay for the system
and a five percent required fee for every credit card transaction
made by their customers. Mostly, they are upset that they were
not a part of the decision and design process that led to the

11. citywide mandate. In a headline-making move, the New York
Taxi Workers Alliance, which represents 10,000 of the city's
13,000 cabbies, called a two-day strike to pressure the city to
rethink its new system.
Unfortunately, the strike had little effect as many cabbies
stayed on duty, unable to afford the time off of work.
The city is moving forward with the deployment of the new cab
information system. It has justified the expense to the cab
drivers by pointing out the increase of cab fares over the past
two years that doubled driver wages to $28 an hour on average;
an increase that was imposed with promises to customers for
better service and in-cab technologies.
New York City's Taxi & Limousine Commission versus the New
York Taxi Workers Alliance provides several lessons about
business interactions and information systems. Today's
businesses have an incredible amount of pressure on them to
implement the latest and smartest technologies and information
systems. Often it is a business's information system that gives a
business an important advantage over its competition. The City
of New York no doubt feels pressure to provide visitors and
locals with high-quality service and smooth running
transportation systems. If it fails in this regard, visitors and
locals may begin to find other cities more attractive to visit
and reside in. Information systems also allow businesses to
operate more efficiently and effectively. The new system for
New York City cabs ultimately saves drivers and passengers
time and energy.
Finally, this story illustrates a resistance to change that is often
experienced when implementing sweeping new information
systems in large businesses and organizations. Many businesses
today are revamping entire corporate systems and investing in
retraining employees and winning them over to the new system.
This is an integral and challenging part of new system

12. implementation. So should you visit New York City anytime
soon, and experience the cool technology built into the cabs,
remember the struggle that went into bringing this new system
to life, and give your driver a generous tip.
SOURCES: H ambLen, Matt, “N.Y. taxi agency says cabs will
get GPS technology, despite strike threat,”
Computerworld, August 7, 2007, www computerworld.
com/action/article.do ?
command=viewArticleBasic&articleld=9032482&source=rss_ne
ws10. Hamblen, Matt, “N.Y. taxi drivers set strike date to
protest GPS systems,” Computerworld, August 23, 2007,
www.computerworld.com/a ction/articl e. do ?command= vie
wA rticl eBasic& articl e/d=9032482&source= rss_news!0.
Lopez, Elias, “City Cabdrivers Strike Again, but Protest Gets
Little Notice,” New York Times, October 23, 2007,
www.nytimes.com/2007/10/23/nyregion/23taxi.html?_r=1
&ref=nyregion&oref=slogin.
MBALN-736A Enterprise Information Systems
Final ExaminationFormatting
Your assignment should be typed using Times New Roman 12
font. It must have 1.5 line spacing. All margins should be 1
inch.
Assignment File Name
Your file should have the following format: Surname, space,
first name, space, module code, space, ‘Assignment’, space,
assignment number, space, date in MMYY format.
Example:

13. Zarifis Alex MBALN-736A Assignment 2 0213.
Referencing and Plagiarism
Direct quotations of 6 to 40 words must be included in double
quotation marks followed by the author last name and page
number. For direct quotations of more than 40 words you should
use a blocked indented paragraph. However, your assignment
should not be a mere copy and paste of other people’s work
even if you properly reference it. Quoting or reproducing large
sections of other work and referencing it does not earn any
marks as it does not show that you understand the issues or that
you can apply them. Try as much as possible to paraphrase
other’s work and include your own opinions and examples.
When you paraphrase, note that you still have to identify the
source of your information. All assignments are checked for
plagiarism extensively by the markers using a variety of
methods and technologies including TurnItIn. Students that have
plagiarized will fail the module or be expelled from the course.
It is important that you reference properly all information that
you have obtained from other sources. Instructions on how
to reference are
UNICAF
(
ENTERPRISE INFORMATION SYSTEMS
) (
[MBALN-736A]
)
(
1
)

14. available in the module page and the student support page. If
you have any questions regarding your assignment please do not
hesitate to contact your module tutor.
Marking
The Student Assessment Feedback form gives you an indication
of the marking criteria. Some key points are: In order to pass
you must show that you understand most if not all the theory at
a basic level and you can apply it. In order to get a high mark
you must show an in depth understanding of the material, a high
level of analytic ability, extensive research and an ability to
craft a well- structured answer.
Instructions for Assignment
Read the unit overviews, the associated chapters in the book,
participate in the online discussions until week 6, read related
research, the web pages related to this assignment and answer
the associated questions. After exploring some academic
research for the first assignment we will explore some industry
solutions. The following website has information on the
SIMATIC IT Preactor software:
http://w3.siemens.com/mcms/mes/en/mescomponents/preactor/p
ages/ildefault.aspx
Questions
1) Explain in your own words the capabilities of the software.
Have there been any success stories of companies using it? Are
there similar products from competitors and how do these
compare as far as capabilities are concerned?
(700 words)
2) Give an overview of E-commerce, M-commerce and E-
business. Discuss how companies that work using the E-

15. business model can obtain a competitive advantage in relation
to traditional businesses. Explain how traditional companies
can implement the E-business
UNICAF
model while keeping their traditional status. Also discuss how a
traditional business can fully convert to an E-Business
(dropping its traditional status). Analyse the benefits of E-
commerce for the customers of such business.
(1000 words)
3) Read the case study for Assignment 2 and answer the
following:
a) What were the concerns of the New York City cabbies over
the new use of the new system? Were their concerns justified
and why or why not?
b) If you were the manager of the New York City's Taxi &
Limousine Commission, what would you have done to create a
smoother transition to the new system?
c) Many cabbies expressed the opinion that the technology
being installed in their cabs was inevitable, no matter what their
opinion. Do you agree with this assessment? Why or why not?
d) As a customer of a cab service, would you appreciate the
benefits provided by the new system in New York City? Would
it help provide you with a favourable view of the city in
general? List the benefits and provide your view of each.

16. (800 words)
UNICAF