IS 425

1
IS 425

• Enterprise Information LECTURE 2
• Winter 2006-2007

2
Agenda

• Homework
• Individual Paper Assignment
• Review Value Chain
• Review Information Organizing Mechanisms
• Architecture versus Infrastructure
• Information Architecture Model and Types
• Information Needs with Others
• Information Systems People Supported
• Organizational Structures
• Information Needs Within
• Next week

3
Homework

• What are the top 3 HOT TOPICS?
• Form teams
• Each team justifies its list of the 3 top HOT
  TOPICS using facts/information.
• What facts are more persuasive?

4
Individual Paper Assignment

• Due Week 5
• An IS Competency Analysis
• Specifications Grading Criteria

5
How is information used in each sector?

• Agriculture sector?
• Manufacturing sector?
• Service sector?
• Information sector?
• Examples?

6
Value Chain review
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The Value Chain Industry Perspective
Supplier
OL
Manufacturer
IL
OL

Distributor
IL
OL
Suppliers
Manufacturer
Distributors
Customers
8
Porters Industry and Competitive Analysis (ICA)
Barriers to Entry
Bargaining Power of Channels End Users
Bargaining Power Of Suppliers
Competitive Intensity
Threat of Substitute Products or Services
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Review Information Organizing Mechanisms

• The Fundamentals
• DATA elementary descriptions or FACTS
• INFORMATION DATA meaning
• KNOWLEDGE INFORMATION CONTEXT where context
  conveys understanding, experience, accumulated
  learning and experience

10
Review Information Organizing Mechanisms continued

• Information System Types
• By Functional Area
• Accounting Information System
• Finance Information System
• Marketing Information System
• By Organizational Structure
• Departmental Information System
• Enterprise Information System
• Inter-Organizational Information System

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Review Information Organizing Mechanisms continued
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Review Information Organizing Mechanisms continued

• Interrelated Support Systems The TPS collects
  info thatis used to build the MIS and EIS. Info
  from other sources also goes into the EIS

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Architecture versus Infrastructure

• Architecture A plan of the information
  requirements in an organization
• A guide for current operations
• A blueprint for future directions
• Infrastructure the realization of the
  architecture consisting of 5 components
• Computer hardware
• General-purpose software
• Networks and communication facilities
• Databases
• Information management personnel
• What is not a component?

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Schematic View of Infrastructure
Applications
Inside matrix includes the specific applications
software typesOutside ring is the
infrastructure
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An Information Architecture Model

• Between centralized and decentralized
  whereBusiness/Data/Communications central base
  with decentralized strategic/managerial/operation
  al applications.

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General Types of Information Architecture

• Mainframe environment
• One computer with dumb terminals
• PC environment
• Only PCs connected by networks
• Networked (distributed) Environment
• 2 or more computers linked
• Client/Server is dominant
• Internet-based E-business Environment
• Application architecture
• Collaborative Commerce

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e-Business Application Architecture
Business Partners, Suppliers, Resellers Distributo
rs,
Supply Chain Mgmt
Logistics
Production
Distribution
Stakeholders
Employees
ERP
HRMS/ E-Procurement
Finance Auditing Mgmt Control
BI
EAI
CRM
Marketing
Sales
Cust Svce
Selling Chain Mgmt
Customers, Resellers
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Traditional vs. Emerging Enterprise Architecture
By default IT-driven Application focus Cost
savings and Control
By design Business-driven Infrastructure
focus Revenue-generation efficiency
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Information Needs with Others

• Business Pressures create pressures on
  Organizations
• Organizations respond to pressures with IT
  supported activities

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Information Needs with Others

• These pressures from market, technology and
  society demand responses from organizations.
  These pressures either alone or with one another
  can impact an organizations value chains
  viability.

The major business pressures
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Information Needs with Others

• These 5 organizational components maintain an
  equilibrium until business pressures force a
  realignment of the 5 for a response.

Framework for organizational and societal impacts
of information
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Information Needs with Others

• Critical Response Activities
• -5 major groups
• --Strategic Systemsgives advantage over
  competitionvery rarely lasts
• --Continuous Improvements
• --Business Alliances
• --ECommerce
• --BPRbusiness process reengineering

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Information Systems People Supported
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Organizational Structures

• Organizations
• By Function where people are grouped around the
  resources they commonly use
• Most small and mid-sized firms
• By Divisions where large organizations are
  subdivided into smaller functional units
• Most large firms

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Information Needs Within

• When organized around functions (traditional
  organization form), each function maintains its
  own information leading to each function having
  its own information systems
• Information that must be shared is shipped from
  one function to the nextfollowing the paper
  trail
• Early legacy systems automated the existing
  information flows between functions

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Information Needs Within

• Later, the need to update various functions with
  the same facts led to
• A common database
• Decentralized processing simultaneously at
  several locations
• A process orientation from the functional
  orientation, i.e., reorienting peoples work to
  the accomplishing outcomes
• Streamlining work so it always is rationalized in
  terms of outcomes
• Can Build a unique system
• That is a BUSINESS PROCESS REENGINEERING (BPR)
• Or Can Buy a system
• That is an ENTERPRISE RESOURCE PLANNING (ERP)

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e-Business Application Architecture
Business Partners, Suppliers, Resellers Distributo
rs,
Supply Chain Mgmt
Logistics
Production
Distribution
Stakeholders
Employees
ERP
HRMS/ E-Procurement
Finance Auditing Mgmt Control
BI
EAI
CRM
Marketing
Sales
Cust Svce
Selling Chain Mgmt
Customers, Resellers
28
Internal and External Process Enablement
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Next Week

• Software Methods/Software Development
• Security Issues
• Homework Due
• Readings from course home page