Business Information Systems

Information System in business:

Business managers are moving from a tradition where they could avoid. Delegate or ignore decision make about IT to one where they cannot create a marketing product , international , organizational , or financial plan that does not involve such decisions.

Business information systems :

have a variety of types of information systems ( transaction processing management information decision support , etc,) that support the business functions of accounting , finance , marketing , operations management and human resource management.

Cross Functional Information Systems

P 10.2 page 406 MIS

Business Information Systems.

P 10.3 page 407 MIS The new product development process in a manufacturing company. This business process must be supported by cross-functional information systems the cross boundaries of several.

Company Information Resources Inc

Component Sale & Marketing

Purpose Promotion analysis, product management and demand analysis, scanner data analysis. Finished goods inventory, picking / shipping, invoicing, sales orders, pricing & promotion

IndustriMatemetic International

Order management

Oracle

Financials

Fixed assets, project Corporation accounting, purchasing ,accounts receivable, accounts payable, general ledger

Marketing Information Systems.

The business function of marketing is concerned with the planning ,promotion , and sale of existing products in existing markets, and the development of a new products and new markets to better serve present and potential customers.

Marketing Information System

Interactive Marketing

Sales Force Automation

Advertising & Promotion

Sales Management

Market resource & Forecasting

Customer Service and Support

Product Management h

Marketing Information System provide Information Technologies to support major components of the marketing function.

Marketing Information systems : provide

information technologies that support major components of the marketing functions . Example Internet/Intranet Web site and services make an interactive marketing process.

Interactive marketing :
Type of marketing using Internet , Intranets and Extranets to establish two way interaction between a business and its customers or potential customers. The goal of Interactive marketing is to enable a company to profitably use these networks to attract and keep customer who will become partners with the business in creating , purchasing and improving products and services

P 10.6 page 409 MIS

Sales Force Automation systems

Sales Force Automation systems use mobile computing and internet technologies to automate many information processing activities for sales support and management. Other marketing information systems assist marketing managers in product planning , pricing and other product management decision , advertising and sales promotion strategies and market research and sale promotion strategies and forecasting.

Many companies provide notebook PCs , Web browsers and sales contact management software to help their sales reps use the resources at internet and intranet Web sites support the selling process.

The benefits of Web based sales force automation. Shorten the sales cycle through prequalification of prospects. Increase revenue through targeted marketing. Automate the management and qualification of Web leads. Capture all customer information directly into a sales database. Enhance order management with access to data on pricing , promotion,availability, production schedules, export regulations ,carriers etc.

Sales and product Management

Sales managers must plan , monitor and support the salespeople in their organizations. So in most firm , computer based systems produce sales analysis reports ( Next picture) That analysis sales by product, product line, customer , type of customer , salespeople , and sales territory. Such reports help marketing managers monitor the sales performance of products and salespeople and help them develop sales support programs to improve sales results.

P 10.9

Example of a sales analysis display.

Product managers need information to plan

and control the performance of specific products, product lines, and brands. Computers can help provide price , revenue, cost , and growth information for existing products and new product development. Providing information and analysis for pricing decision is a major function of this system. Information is a also needed on the manufacturing and distribution resource proposed product will require. Computer based models may be to evaluate the performances of current products and the prospects for success of proposed products.

Advertising and Promotion : Marketing

managers try to maximize sales at the lowest possible costs for advertising and promotion. Marketing information system use market resource information and promotion model to help (1) allocate financial resource (2) select media and promotional method (3) control and evaluate results of various advertising and promotion campaigns.

Targeted marketing :
Targeted marketing :has become important tool in developing advertising and promotion strategies for a companys electronic commerce Web sites.

P 10.10 412 mis

The five major computers of targeted marketing for electronic commerce on the World Wide Web.

The five major components of targeted Marketing

Community : Companies can customize their Web advertising messages and promotion methods to appeal to people in specific communities . These can be communities of interest , such as virtual communities of online sporting enthusiasts or art and crafts hobbyists, or geographic communities formed by the Web sites of a city or local newspaper.

 Content : Advertising such as electronic

billboards or banners can be placed on various Web site pages, in addition to a company s home page . These message reach the targeted audience. And ad for a movie on opening page of the internet search engine is a typical example. Context: Advertising appears only in Web pages that are relevant to the content of a product or services. So advertising is targeted only at people who are already looking for information about a subject matter (Vacation travel for example) that is related to a companys products ( Car rental services, for example)

Demographic/Psychographic: Marketing
efforts can be aimed only at specific type of class of people: unmarried, twenty-something , middle income , male collage graduates, for example.

Online behavior : Advertising and promotion

efforts can be tailored to each visit to a site by individual. This strategy is based on Web cookie files recorded on the visitors disk drive from previous visits.

P 10.11

A display of a Web based marketing survey service.

Manufacturing Information Systems. Manufacturing Information Systems

support the production/operations function that includes all activities concerned with the planning and control of the processes producing goods or services. Thus concerned with the management of operational processes and systems of all business firms.

Computer integrated Manufacturing (CIM) A Variety of manufacturing information systems are used to support computer integrated manufacturing (CIM) . CIM is an overall concept that stresses that the objectives of computer based systems in manufacturing must be to : Simplify production processes , product designs and factory organization as a vital foundation to automation and integration.

 Automate production processes and the business functions that support them with computers machines and robots. Integrate all production and support processes using computers telecommunications networks and other information technologies.

P 10.12 page 414 MIS

Manufacturing information systems support computer integrated manufacturing.

The overall goal of CIM and such Manufacturing information systems is to create flexible , agile , manufacturing processes that efficiently produce products of the highest quality. Thus CIM supports the concepts of flexible manufacturing systems, agile manufacturing and total quality management. Implementing such manufacturing concepts enable a company to quickly respond to and fulfill customer requirements with high quality products and services.

Manufacturing information systems help companies simplify , automate , and integrate many of the activities needs to produce products of all kinds. For example computers are used to help engineers design better products using both computer aided engineering and computer aided design, and better production process with computer aided process planning. They are also used to help plan the types of material needs in the production process,which is called material requirement planning (MRP)and to integrate MRP with production scheduling and shop floor operations which is known as Manufacturing resource planning.

Computer aided manufacturing (CAM) systems are those that automate the production process. For example This could be accomplished by monitoring and controlling the production process in a factory through manufacturing executive systems, or by directly controlling a physical process , a machine tools

Manufacturing execution systems (MES)

are performance monitoring information systems for factory for operations. They monitor , track, and control the five essential components involved in a production process: material , equipment, personnel , instructions and specifications and production facilities. MES includes shop floor scheduling and control, machine control, robots control, and process control systems.

P 10.14 page 416 MIS

Manufacturing execution systems monitor and control the accomplishment of manufacturing processes at each level of a flexible manufacturing system.

P 10.16 page 418 Mis

This computer controlled robotic arm and hand helps to assemble computer circuit boards at Bell Laboratories.

Human resource information systems. (HRM)

function involves the recruitment, placement , evaluation ,compensation , and development of the employees of an organization . The goal of HRM is the effective and efficient use of the human resources of a company. Thus human resource information systems are designed to support (1) planning to meet the personnel needs of the business, (2) development of employee to their full potential , and (3) control of all personnel policies and programs.

Originally businesses used CBIS to (1) produce paychecks and payroll reports (2) maintain personnel records and (3) analyze the use of personnel in business operations. Many firms have gone beyond these tradition personnel management functions and HRIS that also support (1) recruitment , selection , haring (2) job placement (3) performance appraisals (4) employee benefits analysis (5) training and development (6) health ,safety, and security.

P 10.18 page 420 MIS

Human resource information systems support the strategic ,tactical, and operational use of human resources of an organization.

Accounting Information Systems.

Accounting Information Systems are the oldest and most widely use information system in business. They record and report business transactions and other economic events. Order Processing Inventory control Accounts Receivable Accounts Payable Payroll * General Ledger.

Accounting Information Systems.

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Important accounting information systems for transaction processing and financial reporting.

Online Accounting Systems

Accounting Information Systems are being affected by Internet and client/Server technologies. Using the internet ,intranets, extranets and other networks changes how accounting information systems monitor and track business activity. The online, interactive nature of such networks calls for new forms of transaction documents, procedures,and controls. This particularly applies to systems like order processing, inventory control, accounts receivable and accounts payable.

Finance Information Systems

Computer based financial information systems support financial managers in decision concerning (1) the financing of a business and (2) the allocation and control of financial resources within a business. Major financial information system categories include cash and investment management , capital budgeting ,financial forecasting, and financial planning.

Finance Information Systems

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Next Type of Information systems