Enterprise Business Processes and Applications (IS 6006)

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Enterprise Business Processes and
Applications(IS 6006)

• Masters in Business Information Systems 2008 /
  2009

Fergal Carton Business Information Systems
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Last week

• Characteristics of a process
• Sustainability
• Efficiency
• Quality versus quantity
• How does it react under duress (eg. school run)
• Exercise getting a loan
• Current crisis related to inter-bank dealings
• Issues in loan process
• Cost / efficiency of credit checking?
• Relationship with bank manager?
• Risk assessment relies on non-structured
  information
• Process relies on data integrity
• Eg. purpose of loan often not validated

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This week

• Exercise bank loan
• Meaning of integration?
• What is an enterprise application?
• Family of applications
• Some reading

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Getting a loan

• Apply for loan
• Provide personal profile information
• Run checks on credit worthiness
• Calculate repayment capability
• Check references and liquidity
• Obtain collateral
• Interview
• Approve loan
• Lodge cash to account

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What is wrong with current banking processes?

• Risk taking is highly rewarded in investment
  banking?
• Huge bonus payments for winners (1m)
• Over focus on credit targets?
• Poor insurance of bad debt, or re-sold insurance?
• Loss of tracability of original transactions?
• Repackaging credit loses granularity?
• Totally virtual, no physical element?
• Didnt vet customers?

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Process mapping criteria

• Represents a transformation
• Must be clear one A4 sheet
• Should eliminate ambiguity
• Workflow or automation
• Has rules

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Kicking the tyres of a process

• What is unique about this process?
• Is there seasonality?
• What happens to the process under duress?
• What are customers complaining about?
• What are competitors doing?
• Is the business model changing?
• Is the way of doing business evolving?

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What does integration mean?

• All users access the application via a web
  browser
• Information can shared between different parts of
  the business
• Users follow the same training programme
• The data is stored in an array of database tables

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What does integration mean?

• Hardware
• iPhone (PDA phone media player)
• Car engine (self diagnostics, GPS, )
• Printer scanner photocopiers fax
• VLSI inetgration of different circuits onto one
  chip
• Software
• Outlook (Email Calendar Contacts)
• MS .net development suite (front-end tools,
  programming, connectivity wizards)
• Google (browser content management)
• Adobe (document and workflow)
• Data
• Inventory and Sales need access to Product file
• Engineering and planning need access to BOM

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Integration example Bank branch

• What does integration mean in a bank
  perspective?
• Products
• Customer services
• Transaction processing
• Data model

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Integration downsides

• Response times
• Vulnerability single point of failure
• Limitations on expansion
• Dependence on single vendor
• Flexibility to change system
• Access to basic information is complicated

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Who benefits?

• Finance gain greater visibility
• Manufacturing?
• Demand may be too unstable for MRP
• Production planning needs more nuance
• ERP is too literal
• Much planning still done on Spreadsheets
• Sales need of integration

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Family of applications

• Enterprise Resource Planning systems
• Supply Chain Management
• Customer Relationship Management
• Other more specialised applications such as
  planning, warehouse management
• Merging into ERPII / XRP encompassing all
  aspects of the business

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A Complete Family Tree