Laudon Management Information Systems 14ed ch9 ppt

6.1Copyright©2014PearsonEducation,Inc.publishingasPrenticeHallAchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplicationsChapter9VideoCasesVideoCase1a:WhatIsWorkday:EnterpriseSoftwareasaService(Saas)VideoCase1b:Workday:MobileSolutionsforiPadVideoCase2:EvolutionHomecareManagesPatientswithMicrosoftCRM(2011)VideoCase3:SinosteelStrengthensBusinessManagementwithERPApplications(2008)InstructionalVideo1:Zara’s:WearingToday’sFashionswithSupplyChainManagement9.2Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•Describehowbusinessesuseenterprisesystemstoachieveoperationalexcellence.•Explainhowsupplychainmanagementsystemscoordinateplanning,production,andlogisticswithsuppliers.•Describehowcustomersrelationshipmanagementsystemshelpfirmsachievecustomerintimacy.•Explainthechallengesposedbyenterpriseapplications.•Describethenewtechnologiesusedbyenterpriseapplications.LEARNINGOBJECTIVES9.3Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•Problem:Volatiledemandforchips,longproductionleadtimes,andmanualplanningprocesses•Solution:Systemtoforecastdemandandreduceforecastplanningtime–SAPtools,includingadvancedplanningandoptimization(APO)system•Demonstratesuseoftechnologytoreducecosts,increasesales,andincreasecustomersatisfactionTechnologyHelpsNvidiaAnticipatetheFuture9.4Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•EnterpriseSystems–Enterpriseresourceplanning(ERP)systems–Suiteofintegratedsoftwaremodulesandacommoncentraldatabase–Collectsdatafrommanydivisionsoffirmforuseinnearlyalloffirm’sinternalbusinessactivities–InformationenteredinoneprocessisimmediatelyavailableforotherprocessesEnterpriseSystems9.5Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•EnterpriseSoftware–Builtaroundthousandsofpredefinedbusinessprocessesthatreflectbestpractices•Financeandaccounting•Humanresources•Manufacturingandproduction•Salesandmarketing–Toimplement,firms:•Selectfunctionsofsystemtheywishtouse.•Mapbusinessprocessestosoftwareprocesses.–Usesoftware’sconfigurationtablesforcustomizing.EnterpriseSystems9.6Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplicationsEnterprisesystemsfeatureasetofintegratedsoftwaremodulesandacentraldatabasethatenablesdatatobesharedbymanydifferentbusinessprocessesandfunctionalareasthroughouttheenterpriseFigure9-1HowEnterpriseSystemsWork9.7Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•Businessvalueofenterprisesystems–Increaseoperationalefficiency–Providefirm-wideinformationtosupportdecisionmaking–Enablerapidresponsestocustomerrequestsforinformationorproducts–IncludeanalyticaltoolstoevaluateoverallorganizationalperformanceEnterpriseSystems9.8Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•SupplyChain–Networkoforganizationsandprocessesfor:•Procuringmaterials,transformingthemintoproducts,anddistributingtheproducts–Upstreamsupplychain:•Firm’ssuppliers,suppliers’suppliers,processesformanagingrelationshipswiththem–Downstreamsupplychain:•Organizationsandprocessesresponsiblefordeliveringproductstocustomers–InternalsupplychainSupplyChainManagementSystems9.9Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplicationsThisfigureillustratesthemajorentitiesinNike’ssupplychainandtheflowofinformationupstreamanddownstreamtocoordinatetheactivitiesinvolvedinbuying,making,andmovingaproduct.Shownhereisasimplifiedsupplychain,withtheupstreamportionfocusingonlyonthesuppliersforsneakersandsneakersoles.Figure9-2Nike’sSupplyChain9.10Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplications•SupplyChainManagement–Inefficienciescutintoacompany’soperatingcosts•Canwasteupto25%ofoperatingexpenses–Just-in-timestrategy:•Componentsarriveastheyareneeded•Finishedgoodsshippedafterleavingassemblyline–Safetystock:Bufferforlackofflexibilityinsupplychain–Bullwhipeffect•InformationaboutproductdemandgetsdistortedasitpassesfromoneentitytonextacrosssupplychainSupplyChainManagementSystems9.11Copyright©2014PearsonEducation,Inc.ManagementInformationSystemsChapter9:AchievingOperationalExcellenceandCustomerIntimacy:EnterpriseApplicationsInaccurateinformationcancauseminorfluctuationsindemandforaproducttobeamplifiedasonemovesfurtherbackinthesupplychain.Minorfluctuationsinretailsalesforaproductcancreateexcessinventoryfordistributors,manufacturers,