Ppt Slides On Tps,Dps & Eps

4,417 views

Published on

This presentation details about various levels in the Management Information system.

2 Comments
2 Likes
Statistics
Notes
  • very good ppt information and very good design
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • so so
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
No Downloads
Views
Total views
4,417
On SlideShare
0
From Embeds
0
Number of Embeds
6
Actions
Shares
0
Downloads
130
Comments
2
Likes
2
Embeds 0
No embeds

No notes for slide

Ppt Slides On Tps,Dps & Eps

  1. 1. INFORMATION SYSTEMS IN THE ENTERPRISE
  2. 2. <ul><li>This lecture will address the following questions: </li></ul><ul><ul><li>What are the key system applications in a business? </li></ul></ul><ul><ul><li>What role do they play? </li></ul></ul><ul><ul><li>How do information systems support the major business functions? </li></ul></ul><ul><ul><li>How do these functions interrelate? </li></ul></ul><ul><ul><li>What role does software have in management of those interrelationships? </li></ul></ul>OBJECTIVES
  3. 3. <ul><li>This is one way to view various subtypes of systems in business </li></ul><ul><li>Why do you need to be aware of the various subtypes of systems? </li></ul><ul><ul><li>Helps you to understand different uses of systems </li></ul></ul><ul><ul><li>For allocation of resources </li></ul></ul><ul><ul><li>For decisions of adoption and maintenance </li></ul></ul><ul><ul><li>This is your catalog of what you could buy if you had all the resources in the World </li></ul></ul>Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
  4. 4. <ul><li>Will talk about systems both by level of use within business structure and within functional sub-group areas </li></ul>Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
  5. 5. <ul><li>Will talk about systems both by level of use within business structure and within functional sub-group areas (cont.) </li></ul><ul><ul><li>Different software helps different groups of users at different levels within business hierarchy </li></ul></ul><ul><ul><li>At each hierarchical level, each of four business functional areas have their own software types </li></ul></ul><ul><ul><li>Further, some software crosses levels or functional areas and integrates business processes </li></ul></ul>Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
  6. 6. <ul><li>Will talk about systems both by level of use within business structure and within functional sub-group areas (cont.) </li></ul><ul><ul><li>In industry, each specialized type of software exists </li></ul></ul><ul><ul><li>Has specialists who develop, sell, implement, and maintain just those niches </li></ul></ul><ul><ul><li>Usually, specialists are needed within each area based on knowledge of both technology and business function </li></ul></ul><ul><li>(e.g., my old firm hired technologists and taught them about foodservice, or foodservice people and taught them about technology…but both skills were needed for foodservice management software) </li></ul>Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
  7. 7. Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Overview of Strategic Level Systems: Information Systems that Support Long-Range Planning of Senior Management.
  8. 8. Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Overview of Management Level Systems: Support monitoring, controlling, decision-making, and administration by middle management.
  9. 9. Types of Information Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Overview of Operational Level Systems: Produces routine answers. Nuts and bolts of the business.
  10. 10. Six Major Types of Systems <ul><li>Examples of types of systems at the 4 levels </li></ul><ul><ul><li>Level 1-Transaction Processing Systems (TPS) </li></ul></ul><ul><ul><li>Level 2-Management Information Systems (MIS) </li></ul></ul><ul><ul><li>Level 2-Decision Support Systems (DSS) </li></ul></ul><ul><ul><li>Level 3-Executive Support Systems (ESS) </li></ul></ul><ul><li>Let’s discuss each… </li></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
  11. 11. KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Lowest Level (operational)- Transaction Processing Systems (TPS): Inputs: Transactions or events Processing: Sorting; listing; merging; updating Outputs: Detailed reports; lists; summaries Users: Operational personnel; supervisors A computerized system that performs and records daily routine transactions necessary to the conduct of the business Example: payroll system; production instructions Six Major Types of Systems
  12. 12. <ul><li>Level two (management level)- </li></ul><ul><li>Management Information System (MIS): </li></ul><ul><li>Inputs: Summary transaction data </li></ul><ul><li>Processing: Simple models; low level analysis </li></ul><ul><li>Outputs: Summary reports </li></ul><ul><li>Users: Middle managers </li></ul><ul><li>Example: Weekly, monthly, and annual resource allocation. Not five year plans and not daily details, but something in between. </li></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Six Major Types of Systems
  13. 13. <ul><li>Management Information System (MIS) </li></ul><ul><li>Some characteristics of MIS that make them differ from DSS (on next slide) </li></ul><ul><ul><li>Structured and semi-structured decisions </li></ul></ul><ul><ul><li>Output is often the kind that you need routinely each term (quarter, month, year) to evaluate how to proceed next (quarterly sales data for past 5 years) </li></ul></ul><ul><ul><li>Generally, you can “eyeball” your decision </li></ul></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Six Major Types of Systems
  14. 14. <ul><li>Also level two (management level)- </li></ul><ul><li>Decision Support System (DSS): </li></ul><ul><li>Inputs: databases optimized for statistical analysis </li></ul><ul><li>Processing: Interactive. Simulations and statistical analysis </li></ul><ul><li>Outputs: Responses to queries; statistical test results. </li></ul><ul><li>Users: Professionals, staff </li></ul><ul><li>Example: Could answer the following query: </li></ul><ul><ul><li>“ We need to trim 5% of our menu offerings to limit complexity in operations. Which items are the worst performing; are most likely to lead to sales of other products left on the menu, and have the most ingredients unique to their recipes?” </li></ul></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Six Major Types of Systems
  15. 15. <ul><li>Top level (strategic level)- </li></ul><ul><li>Executive Support System (ESS): </li></ul><ul><li>Inputs: Aggregate data. Internal and external </li></ul><ul><li>Processing: Interactive and graphical simulations </li></ul><ul><li>Outputs: Projections </li></ul><ul><li>Users: Senior managers </li></ul><ul><li>Example: 5-year operating plan. Answer question like “what are long-term industry cost trends and how are we doing relative to them?” </li></ul><ul><li>Gets data from all internal IS plus external industry data bases </li></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Six Major Types of Systems
  16. 16. <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>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Characteristics of Executive Support Systems (ESS) Six Major Types of Systems
  17. 17. <ul><li>Notes to be aware of: </li></ul><ul><li>Note #1 - A single software package like Microsoft Office or even an application like Microsoft Excel could be classified as any or all of the following: DSS, TPS, MIS, or ESS (albeit, a trivial ESS, DSS, etc.) </li></ul><ul><li>What matters here is how the tool is used </li></ul><ul><li>Basically, a CBIS meets a need posed by the environment </li></ul><ul><li>A service is provided by the CBIS is a solution. It is a DSS, etc., depending on what solution in the corporate hierarchy it serves. </li></ul><ul><ul><li>Analogy: a BMW is either a luxury car or an expensive paper weight depending on what you use it for. But it can be either or both. </li></ul></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Six Major Types of Systems
  18. 18. <ul><li>Note #2 – Software “packages” aren’t what you think </li></ul><ul><li>Software is mostly a collection of software “components” assembled and reused as needed (like Lego blocks) </li></ul><ul><li>Applications don’t really exist except as a way to describe a set of “software services” </li></ul><ul><li>Many services share components but are bundled and marketed differently based on user group and task </li></ul>KEY SYSTEM APPLICATIONS IN THE ORGANIZATION Six Major Types of Systems
  19. 19. <ul><li>INTERRELATIONSHIPS: </li></ul><ul><li>TPS generally feed all other systems </li></ul><ul><li>MIS generally indicate when a DSS is needed and provide input for them to crunch </li></ul><ul><li>- ESS take all internal data but usually only summary data from MIS and DSS level </li></ul><ul><li>Output data from one is input data for others to process </li></ul>Six Major Types of Systems KEY SYSTEM APPLICATIONS IN THE ORGANIZATION
  20. 20. <ul><li>We now understand what the three types of systems are based on hierarchy within an organization </li></ul><ul><li>However, each business function has its own specialized information systems at each level </li></ul><ul><li>See the book for examples of specialized software within each business function </li></ul>SYSTEMS FROM A FUNCTIONAL PERSPECTIVE
  21. 21. <ul><li>Not all business activities are contained within a single functional area, so you can’t just identify applications by area </li></ul><ul><li>Can also identify systems by processes </li></ul><ul><li>Important because some business tasks are subsets of a business process and some processes are cross-functional </li></ul><ul><li>Business processes </li></ul><ul><li>Def: manner in which work is organized, coordinated, and focused to produce a valuable product or service </li></ul><ul><li>Cross-Functional Business Processes </li></ul><ul><li>Def: Transcend boundary between sales, marketing, manufacturing, and research and development (e.g., order fulfillment process…) </li></ul>Business Processes and Information Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
  22. 22. The Order Fulfillment Process INTEGRATING FUNCTIONS AND BUSINESS PROCESSES Here you see that order fulfillment cuts across sales, accounting, and manufacturing and distribution
  23. 23. <ul><li>Many processes are larger than one division and the software should be too </li></ul><ul><ul><li>If goes across entire enterprise, is called an “ Enterprise System ” (ERP) </li></ul></ul><ul><ul><li>If across multiple firms is “interorganizational system” (IOS). Eliminates media breaks! </li></ul></ul><ul><li>This way software has a single point of management to handle integration and settle disputes. </li></ul><ul><li>Standardization of hardware, software, and data allows for easier maintenance </li></ul><ul><li>Share data and avoid redundancy </li></ul>Benefits of Cross Functional Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
  24. 24. <ul><li>Difficult to build: Often manual processes need to be changed at same time. Creates political and motivational problems </li></ul><ul><li>Technology: Standardization of hardware, software, and data difficult if systems are legacy (although e-Business helps…see ch.4) </li></ul><ul><li>Centralized organizational coordination and decision making: takes control away from end users. Makes decision making across groups easier but may be bad decisions. </li></ul>Challenges of Cross Functional Systems INTEGRATING FUNCTIONS AND BUSINESS PROCESSES
  25. 25. <ul><ul><li>We see that specialized software exists for each niche of the pyramid in Figure 2-1, as well as across niches </li></ul></ul><ul><ul><li>To reiterate: </li></ul></ul><ul><ul><ul><li>In industry, each specialized type of software exists and has specialists who develop, sell, implement, and maintain just those niches </li></ul></ul></ul><ul><ul><ul><li>Usually, specialists are needed within each area based on knowledge of both the technology and the business function (including integration specialists and providers of IOS and ERP) </li></ul></ul></ul><ul><ul><li>You need to be aware of various subtypes of systems because it helps you to understand different uses of systems for allocation of resources and for decisions of adoption (as discussed in lecture ch3) and maintenance </li></ul></ul>Conclusion
  26. 26. INFORMATION SYSTEMS IN THE ENTERPRISE

×