IS komplet

allowing businesses to better comprehend their current needs and to
establish future goals.
head2right The long-term objectives of BWA are those of reducing transaction
costs and managing performance. BWA generally necessitates the
participation of:
head2right Employees whose everyday role includes the processing, handling and
sharing of documents
head2right Experts with a vision of how the work should be done
head2right IT staff with an understanding about how the vision could be translated
into a realistic solution
head2right A 'facilitator' whose role it is to manage the project and keep to specified
limits in time and expenditure
The communication decision support
system role
2. All successful companies have one (or two) business functions
that they do better than the competition.
head2right These are called core competencies. If a company's core
competency gives it a long term advantage in the marketplace, it
is referred to as a sustainable competitive advantage.
head2right For a core competency to become a sustainable competitive
advantage it must be difficult to mimic, unique, sustainable,
superior to the competition, and applicable to multiple situations.
head2right Other examples of company characteristics that could constitute a
sustainable competitive advantage include:
checkbld superior product quality,
checkbld extensive distribution contracts,
checkbld accumulated brand equity and positive company reputation,
checkbld low cost production techniques,
checkbld patents and copyrights,
checkbld government protected monopoly …
The communication decision support
system role
3. Information systems often support and occasionally
constitute these competitive advantages.
head2right The rapid change has made access to timely and current
information critical in a competitive environment.
head2right Information systems, like business environmental
scanning systems, support almost all sustainable
competitive advantages.
head2right Occasionally, the information system itself is the
competitive advantage. One example is Wal-Mart. They
used an extranet to integrate their whole supply chain.
The performance monitoring role
head2right MIS are not just statistics and data analysis.
They have to be used as an MBO (Management
by objectives) tool. They help:
checkbld to establish relevant and measurable objectives
checkbld to monitor results and performances (reach ratios)
checkbld to send alerts, in some cases daily, to managers at each
level of the organization, on all deviations between
results and pre-established objectives and budgets.
Potential benefits of MIS investments
head2right Such an investment can support a core competency. Great
companies invariably have one or two core competencies,
something they can do better than anyone else.
head2right It can build supply chain networks. Firms that are a part of an
integrated supply chain system have established relationships of
trust with suppliers. This means
checkbld faster delivery times,
checkbld problem-free delivery
checkbld and an assured supply.
checkbld It can also mean price discounts and other preferential treatment.
checkbld The inability of new entrants to get onto a supply chain/inventory
management system can be a major barrier to entry.
head2right It can enhance distribution channel management. As with
supplier networks, investment in distribution channel
management systems can ensure quicker delivery times, problem
free delivery, and preferential treatments. When the distribution
channel management system is exclusive, it can mean some
control over access to retailers, and, once more, a barrier to entry.
Potential benefits of MIS investments
head2right Such an IT investment can help build brand equity. To build a
brand, firms often invest huge sums in advertising. A huge brand
name is a formidable barrier to enter and sustaining it can be
facilitated by investment in marketing information systems and
customer relationship management system.
head2right Information systems can mean better production processes (1).
Such systems have become essential in managing large
production runs. Automated systems are the most cost efficient
way to organize large scale production. These can produce
economies of scale in promotion, purchasing, and production;
economies of scope in distribution and promotion; reduced
overhead allocation per unit; and shorter break-even times more
easily. This absolute cost advantage can mean greater profits and
revenue.
head2right IT investment can boost production processes (2). Information
systems allow a company flexibility in its output level. Michael
Porter claims that economies of scale are a barrier to entry, aside
from the absolute cost advantages they provide. This is because,
a company producing at a point on the long-run average cost
curve where economies of scale exist has the potential to obtain
cost savings in the future, and this potential is a barrier to entry.
Potential benefits of MIS investments
head2right Implementing IT experience can leverage learning curve advantages.
As a company gains experience using IT systems, it becomes
familiar with a set of best practices that are more or less known to
other firms in the industry.
checkbld Firms outside the industry are generally not familiar with the industry
specific aspects of using these systems.
checkbld New entrants will be at a disadvantage unless they can redefine the
industries best practices and leap-frog existing firms.
head2right IT investment can impact mass customization production
processes.
checkbld IT controlled production technology can facilitate collaborative,
adaptive, transparent, or cosmetic customization.
checkbld This flexibility can increase margins and increase customer satisfaction.
head2right Leverage IT investment in computer aided design (1). CAD systems
facilitate the speedy development and introduction of new products.
checkbld This can create proprietary product differences. Product differentiation
can be a barrier to entry.
checkbld Proprietary product differences can be used to create incompatibilities
between competing products (as every computer user knows). These
incompatibilities increase consumers’ switching costs.
Potential benefits of MIS investments
head2right It means expanded E-commerce.
checkbld Company web sites can be personalized to each customers interests,
expectations, and commercial needs.
checkbld They can also be used to create a sense of community.
checkbld Both of these tend to increase customer loyalty. Customer loyalty is
an important barrier to entry.
head2right Information systems leverage stability. Technologically
sophisticated firms with multiple electronic points of contact with
customers, suppliers, and others enjoy greater stability. This
monumental appearance of stability can be a barrier to entry,
especially in financial services.
head2right The simple fact that IT investment takes a significant amount of
money makes it a barrier to entry. Anything that increases capital
requirements is -- guess what? -- a barrier to entry.
The Gorry and Scott-Morton
Framework for Management
Information Systems
Note: This framework was first discussed in 1971. The
term Management Information Systems refers to the broad
category we now refer to simply as Information Systems.
The Gorry and Scott-Morton
Framework for MIS
head2right At the time, (1971), the framework provided a much
needed perspective on the role of MIS in organizations.
head2right It is more a framework on managerial activities and a way
of looking at decisions in an organizations. The
framework helps us understand the role of MIS in
organizations.
head2right Focuses on the nature and characteristics of managerial
decisions made at different levels in an organization.
head2right Also Focuses on the characteristics of information that
pertains to the decisions made at these levels.
Structural Outline
head2right Combines the works of Robert Anthony and
Herbert Simon
head2right Robert Anthony’s taxonomy for Managerial
Activity (1965).
head2right Herbert Simon’s Categorization of Decision
Types (1960).
head2right The works of Anthony and Simon are important
foundations of Organizational Theory today.
Robert Anthony’s Taxonomy for
Managerial Activity
head2rightYou can divide the entire management
hierarchy along the following levels:
checkbldOperations Control
checkbldManagement Control
checkbldStrategic Planning
Anthony’s Management Hierarchy
Organizational Members
Operational Control
Management Control
Strategic
Planning
Operational Control
head2rightconcerned with carrying out the tasks
necessary and that need to be performed
head2rightlower level of the organizational
hierarchy
head2rightperformed by supervisors of small work
units concerned with planning and control
of short-term (a week to six months)
budgets and schedules.
Management Control/Tactical
Management
head2rightconcerned with the utilization and
management of resources to achieve
organizational objectives.
head2rightconcerned with effective and efficient
performance.
head2rightPerformed by middle managers (e.g.
department heads, plant managers).
head2rightset out for one to three years.
Strategic Planning Level
head2right focuses on decisions on the objectives for the
organization as a whole and also on the way to
achieving them
head2right typically involves a small number of high level
people
head2right Carried out by top organizational executives and
organization boards responsible for setting and
monitoring long-term directions for the
organization three or more years into the future
Information Requirements
head2rightGorry and Scott Morton were concerned
with the information requirements at the
these three levels
head2rightThey noted that the requirements for
information at these levels were very
different.
head2rightThe next slide shows these differing
requirements
Information Requirements by
Management Level
Simon’s Categorization of
Decisions
head2rightconcerned with the manner in which
humans solve problems in an organization
head2rightdifferentiated between programmed and
nonprogrammed decisions
Simon’s Programmed Decisions
head2rightthey are repetitive and routine
head2rightfollow a preset definite procedure each
time they occur
head2rightprogrammable is a better concept
head2rightGorry and Scott Morton call it structured
Simon’s Nonprogrammed Decisions
head2rightthey are novel, unstructured
head2rightno cut-and-dried method for handling the
problem exists
head2rightcalls for intelligent, adaptive, problem-
oriented action
head2rightnonprogrammable is a better concept
head2rightGorry and Scott Morton call it
unstructured
Structured vs. Unstructured
head2rightThey are not bipolar concepts
head2rightdecisions range in a continuum from
structured to unstructured ..…
head2rightIn between you might have decisions
called semi-structured.
Combined = A Framework
head2rightGorry and Scott Morton combined the
two concepts of Simon’s Decision
Making categories with Anthony’s
management levels in an organization and
provide the following Framework for
Decision-Making
head2right(See next slide)
A Framework for Decision Making
Framework Comments
head2right The original framework has been augmented with the right-most
column and bottom row showing some typical support systems
available. These are meant be be illustrative and not inclusive.
head2right The framework shows the need for information systems to
support all cells.
head2right The figure as well as the characteristics of systems shows that the
information requirements vary considerably from among
management levels in an organization.
head2right The information requirements are also diverse.
head2right The framework looks at decision-making. However, we should
not infer that information systems today are restricted only to
support for decision-making.
Implications: Total MIS is a myth
head2right Gorry and Scott Morton showed that the prevalent concept
(at that time, 1971) of a “totally-integrated-management-
information-system” was a myth.
head2right Since we can not have a single “total MIS”, we need the
concept of what David and Olsen called a federation of
integrated information systems.
head2right Today technology provides appropriate tools which gives
the appearance of information being totally integrated.
head2right This is the basic reasoning for the separation of today’s
data warehouses from systems to support current
operations.
Information Systems for Operational
Control
head2rightOperational Control: process of ensuring
operational activities are carried out
effectively and efficiently.
head2rightProcessing support:
checkbldTransaction processing
checkbldReport processing
checkbldInquiry processing
Information Systems for
Management Control
head2right Management Control: Information that is required by managers
of departments, profit centers, etc. to measure performance,
decide on control actions, formulate new decision rules to be
applied by the operational personnel and allocate resources.
head2right Processing support:
checkbld Planning and budget models to assist managers in finding problems
and preparing plans and budgets.
checkbld Variance reporting programs; Exception Reports
checkbld Problem analysis models
checkbld Decision models to analyze a problem situation and provide
solutions
checkbld Inquiry models to assist in responding to queries.
Information Systems for Strategic
Planning
head2right Systems that are designed to help managers perform the
strategic planning function
head2right This function has the responsibility of developing
strategies to achieve objectives and goals
head2right Such systems might have to provide information on:
checkbld economic outlook
checkbld political environment
checkbld competitive environment
checkbld impact analysis of alternative strategies, etc.
Transaction Processing Systems
head2right A transaction is an elementary activity conducted during
business operations (e.g. merchandise sale).
head2right Earliest Information Systems in organizations.
head2right Support the monitoring, collection, storage, processing,
and dissemination of the organization’s basic business
transactions.
head2right Provides backbone for many other applications involving
other support systems.
head2right On-line systems called OLTP vs. batch
head2right Routine, repetitive tasks.
Business Transactions in a Factory
head2right Payroll: employee time cards, employee pay and
deductions, payroll checks.
head2right Purchasing: purchase orders, deliveries, payments
(accounts payable)
head2right Sales: sales records, invoices and billing, accounts
receivable, sales returns, shipping
head2right Manufacturing: production reports, quality-control
reports
head2right Finance and Accounting: financial statements, tax
records, expense accounts
head2right Inventory management: materials usage, inventory levels
Transaction Processing Systems - 3
head2right In addition to processing the routine critical
organizational activities, transaction processing
systems also provide the source data for many
other type of information systems used at the
tactical and strategic levels in the organization.
head2right Recall that tactical and strategic levels use
aggregated data, over multiple time periods.
TPS are often the source of this information.
TPS often populate data warehouses which
provide on-line analytical processing (OLAP).
TPS Data Entry Screen
Management Information Systems
head2right Systems that convert TPS data into information for
monitoring performance and managing an organization.
head2right The MIS provides periodic information to functional
(operational) and mid-level (tactical) managers on routine
matters such as operational efficiency, effectiveness, and
productivity.
head2right Example: An HRIS can provide the HR manager with
percentages of people who are on vacation or call in sick.
It can compare actual to forecasted values, or to an
industry average.
head2right MIS are used for planning, monitoring, and control.
Sample MIS Management Report
Ing. Tomáš Rain Ph.D.
Outline
head2right Two ways of selection procedure IS
head2right Life cycle of software product
head2right Versions and modifications IS
head2right Process of selection procedure
head2right Demand document
head2right Usual offer structure
head2right Evaluating criteria
head2right Product quality
head2right Applying total quality management to information systems
head2right System development life cycle
Two main ways
head2rightDeveloping with own resources
checkbldUneconomical
checkbldTime-consuming
checkbldUnrealizable
head2rightBuying new IS in selection procedure
Taxonomy of approaches
Objectives of selection procedure
head2right Having IS/IT software and services shells
combination witch are best corresponding with
actual enterprise situation and requirements.
head2right Attain optimal proportion price / performance
head2right Eliciting respectable supplier(s) IS/IT
components - company with
checkbld reputation,
checkbld goodwill,
checkbld economically and personally stable)
Life cycle of software product
head2right Initiation:
checkbld heavy investment to
development and marketing,
first customers installations
checkbld Buying risk: unsafe fixing on
market, unsafe support, initial
mistakes
checkbld Purchasing: If this software
means strategic competitive
advantage
head2right Growth
checkbld additional product development:
new functions, new technological
platforms
checkbld operational characteristics are
getting better
• users environment
• response time
• …
checkbld support services are getting better
checkbld number of installations grows up
checkbld buying risk: uncontrolled growth
(bad services and support, bad
employees
checkbld if user minimizes risks, buying IS
is safe and perspective
Initiation Growth Maturity Recession
Product
stadium
Product
profit
Life cycle of software product
head2right Maturity
checkbld producer focuses on software
maintenance
checkbld new versions contain minor
improvements and few
fundamental innovation
checkbld number of installations is
getting stagnate
checkbld Buying in maturity is not risk
checkbld Buying in maturity doesn't establish
strategic competitive advantage
head2right If producer in stadium of maturity
doesn't invest to developing new
versions with new fundamental
functionality, coming stadium of
recession.
head2right Recession
checkbld Competitor's products (SW) have
better functionality repertory
checkbld Competitor's products (SW) use
more modern information
technologies
checkbld number of installations declines
checkbld Buying risk: Stopping development,
additional investment to another IS
solution
Initiation Growth Maturity Recession
Product
stadium
Product
profit
Versions and
modifications IS
head2right During selection procedure is
necessary to analyze present
development and simultaneously to
consider announced plan of
development.
head2right Very important is analyze for buying
type application software (TASW):
checkbld TASW is being used for many years
checkbld TASW create long-term investment
checkbld TAWS implementation coming-out of
changing enterprise business processes
(process reconstitution)
checkbld TASW influence many users habits.
Changing of habits is uncomfortable.
Technical
level
(a)
(b)
Versions and
modifications IS
head2right Separately TASW developing versions being
mark with two figures: V.M
checkbld V=Version
checkbld M=Version modification
head2right V producers change after radical changes in
functionality or technical feasibility of IS.
head2right Regular V changing is also important component
of marketing strategy.
head2right M producers change after minor modification
(revision, mistakes corrections, …)
head2right Buying V.0 is more risk as buying V.1
checkbld competitors force to fast selling new versions
checkbld SW producers have insufficiency time for testing
and debugging of new version
checkbld Consultants, hot-line operators and sales people
have insufficiency time for studying new version
Technical
level
(a)
(b)
Versions and
modifications IS
Two SW producers strategies
head2right (b) Combination of fundamental
innovation of technical level and
simultaneously innovation of
functions range
checkbld attractive strategy for competitive
advantage
checkbld there are many risks for users
head2right (a) „Right angles“ strategy: Each
version contains either fundamental
innovation of technical level or
innovation of functions range
Technical
level
(a)
(b)
Three concurrently developing versions
head2right Actual end-user version
checkbld development was canceled
checkbld Software houses prepare only new modifications
checkbld this versions is attractive for sales peoples because this version
produces profit
head2right Actually developing version
checkbld new functions / new environment
checkbld innovation of current function
checkbld this version is important for developers and for marketing
head2right Planned version
checkbl