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IT and Business Models

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IT and Business Models Chapter 10 Value chain and organizational systems: activities and organization Enterprise ressource planning ERP systems is part of VCO systems ... – PowerPoint PPT presentation

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Title: IT and Business Models


1
IT and Business Models
  • Chapter 10
  • Value chain and organizational systems
    activities and organization

2
Enterprise ressource planning
  • ERP systems is part of VCO systems Value Chain
    and Organization systems

3
ERP systems characteristics
  • Long term systems vendor specific
  • Requiring business process re-enginering
  • High complexity

4
Information systems strategy
  • Efficiency
  • Cost-benefit
  • Competitive advantage
  • Effectiveness
  • Redefine the boundaries of particular industries
  • Develop new products or services
  • Change the relationships between suppliers and
    customers
  • Establish barriers to deter new entrants to
    marketplaces

5
Information systems strategy
  • Application areas accounting, logistics and
    human resource management.
  • Logistics
  • Production
  • Distribution
  • Sales
  • Materials management

6
Information systems strategy
  • Application areas accounting, logistics and
    human resource management.
  • Accounting
  • Financial
  • Controlling
  • Investment management

7
Information systems strategy
  • Application areas accounting, logistics and
    human resource management.
  • Human resources
  • Development
  • Administration
  • Payroll
  • Workforce planning
  • Time management
  • Figure 10.2 Components of ERP systems.

8
Departments and ERP systems
  • Marketing
  • Customer service
  • Production
  • Procurement
  • Inventory
  • Accounting
  • Human resources
  • Sales

9
Paper based systems
  • Sales personel ? Writes order
  • Sales manager ? Checks order
  • Manufactoring ? Manufactures order
  • Shipment ? Deliver order
  • Accounting ? Invoice / Payment
  • ? Documents

10
ERP systems
  • The information flow of order processing
  • Figur 10.5

11
ERP systems the chatch
  • Falling implementation ? bankrupcy

12
ERP systems the business effect - 1
  • Business process improvement
  • Integration among business units
  • Real-time access to data and information
  • Standardization of company processes
  • Increased flexibility
  • Increased customer satisfaction
  • Optimization of the supply chain
  • Reduction of rework
  • Business growth

13
ERP systems the business effect - 2
  • Improvement of order-to-cash time
  • Competitive positioning ability
  • Implementation af shared services
  • Improved time to market cycles
  • Improved product quality

14
ERP systems
  • Re-think your business model
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