Chapter 7 Enterprise Systems. What Are Common Departmental Applications? Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall7-2

Chapter 7

Enterprise Systems

What Are Common Departmental Applications?

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 7-2

When Are Information Silos a Problem?


What Problems Do Information Silos Cause?

Some of Departments Involved in Patient Discharge


Problems of Silos Created in Isolation


An Enterprise System for Patient Discharge


How Do CRM and ERP Support Enterprise Systems?

Help organizations fundamentally rethink how they do work to dramatically improve customer service, cut operational costs, and become world-class competitors

Complex, in-house developed applications became too costly to build and maintain


How Do CRM and ERP Support Enterprise Systems? (cont’d)

Inherent processes

• Pre-designed procedures for using software products

• Saves organizations from expensive and time-consuming business process reengineering

• Based on industry best practices


A suite of applications, a database, and a set of inherent processes for managing all interactions with a customer, from lead generation to customer service

Customer Relationship Management (CRM)

Customer-centric ability


Four Phases of Customer Life Cycle


Major Components of a CRM Application


Vendors

Source – crmswitch.com

7-12

Suite of applications, database, and set of inherent processes for consolidating business operations into single, consistent, computing platform

Enterprise Resource Planning (ERP)


Pre-ERP Information System: Bicycle Manufacturer

CE12-14Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Does not include accounting Five non-integrated databases

ERP Information System


All activity processed by ERP application programs and consolidated data stored in centralized ERP

database

How Are ERP Systems Implemented?


Major tasks in implementation of an ERP application

ERP Market Share - Gartner



Collaborative

Management

Requirements Gaps

Transition

Problems

Employee Resistanc

e

What Are the Challenges When Implementing New Enterprise Systems?

•Challenges

•Difficulty

•Expense

•Risk


• No single manager in charge• Committees and steering groups

Collaborative

Management

• Licensed products are never perfect fit

• Features and functions of complex products makes identifying gaps difficult

• Deciding what to do with gaps. Adapt to application or change application?

Requirements Gaps

Challenges


• Careful planning and substantial training critical

Transition

problems • Change requires effort and creates fear

• Senior level management must communicate need for change to organization, and must re-iterate

• Train key users ahead of time to create positive buzz about new system

• Video demonstrations of employees successfully using new system

• Encourage change with extra inducements

Employee

resistance

Challenges (cont’d)


• Using the example of your organization, describe three workgroup information systems that are likely to duplicate data.

• Explain how the three workgroup information systems create information silos. Describe the kinds of problems that those silos are likely to cause using Figure 7-6 in slide #5 as a guide.

• Describe an enterprise information system that will eliminate the silos. Illustrate the new process like the one in Figure 7-8 in slide #6.

• Discuss the challenges you might face in implementing the new enterprise information system.

ASSIGNMENT #4

7-22Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

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Chapter 7 Enterprise Systems. What Are Common Departmental Applications? Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall7-2