System Integration and ERP Concepts
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Questions and Answers

Who defined system integration?

Lehtonen

What is systems integration?

Users permit to communicate or connect effortlessly.

What are silos in a business context?

Segregated functioning units that are cut off.

What does ERP stand for?

<p>Enterprise Resource Planning</p> Signup and view all the answers

What are horizontal silos defined by according to Henry Fayol?

<p>Planning, organizing, coordinating, commanding, and controlling.</p> Signup and view all the answers

What is the role of ERP in logical integration?

<p>ERP solutions force companies to manage order input and transmission to stakeholders.</p> Signup and view all the answers

Which of the following is NOT one of the three levels of management?

<p>Tactical</p> Signup and view all the answers

E-business focuses on linking a business.

<p>True</p> Signup and view all the answers

What are the components of an ERP system?

<p>Hardware, software process, information, process, and people.</p> Signup and view all the answers

What is the first tier of a tiered architecture ERP system?

<p>Presentation Logic Tier</p> Signup and view all the answers

The _____ architecture influences the budget, operation, and use of an ERP system.

<p>system's</p> Signup and view all the answers

Which is the world's most popular ERP software?

<p>SAP</p> Signup and view all the answers

Match the following ERP vendors with their brief description:

<p>SAP = World's most popular ERP software Oracle/Peoplesoft = Second largest ERP provider Microsoft Dynamics = Complete business management system Infor = World's third largest corporate software vendor Lawson = Enterprise performance management</p> Signup and view all the answers

What does cohesion refer to in information-oriented integration?

<p>The act or state of sticking together or logical agreement.</p> Signup and view all the answers

The step that involves identifying data is the _____ step in the information integration process.

<p>first</p> Signup and view all the answers

Study Notes

System Integration

  • The act of linking multiple sub-systems into a larger system
  • Combines all of an organization's physical and virtual components
  • Enables effortless communication and connection between users

Enterprise Resource Planning (ERP) Systems

  • Type of information technology that connects multiple systems into a single platform
  • Allows businesses to integrate various operations and streamline processes

Silos

  • Segregated functioning units that operate independently
  • Refers to organizational structures where departments are isolated and lack communication

Horizontal Silos

  • Organizational structure based on functional areas like planning, organizing, coordinating, commanding, and controlling
  • Developed by Henry Fayol in the early 1900s and expanded upon by Luther Gulick in the 1930s

Vertical Silos

  • Hierarchical structure where responsibilities are divided by levels, from strategic planning to operational control
  • Discovered by Robert Anthony of Harvard University in the late 1960s

Information Systems

  • Assist company processes
  • Serve the organization's changing information demands
  • Three management levels: strategic, middle, and operational

Implications of System Integration for Management

  • Implementing rules on ethical information usage

ERP's Role in Logical Integration

  • ERP solutions force companies to integrate their information systems
  • Includes order input, routing via departments, and transmission of output to stakeholders

ERP's Role in Physical Integration

  • An enterprise might need to upgrade or install middleware to physically connect systems
  • Key components: Data integration, client integration, and application integration

History of ERP Systems

  • 1960s: Inventory Management & Control using mainframe legacy systems and third generation software
  • 1970s: Materials Requirements Planning (MRP) using mainframe legacy systems and third generation software
  • 1980s: Material Requirements Planning (MRP-II) using mainframe legacy systems and fourth generation database software
  • 1990s: Enterprise Resource Planning (ERP) emergence
  • 2000s: Extended ERP or ERP-II using client-server systems and web platforms

E-Business vs. ERP

  • E-Business: Focuses on linking a business, considered Disruptive Technology
  • ERP: Focuses on integrating the internal, considered Adaptive Technology

ERP Systems Components

  • Hardware, Software, Process, Information, and People

ERP Architecture

  • Influences the budget, operation, and use of an ERP system
  • Aids the deployment team in developing the system

Logical Architecture

  • Focuses on supporting the system's functions

Physical Architecture

  • Focuses on the system's efficiency

Tiered Architecture Example of an ERP System

  1. Presentation Logic Tier: User interface and presentation of data
  2. Business Logic Tier: Business rules and processes
  3. Data Tier: Storage and management of data

Software and Vendor Selection

  • Company must assess its existing and future enterprise needs

Operation and Post-Implementation

  • One of the most significant milestones in a project's success is when it goes live ("go-live")

ERP Vendors

  • SAP: World's most popular ERP software, products suitable for a wide range of industries
  • Oracle/Peoplesoft: Second largest ERP provider, offers solutions categorized by industry
  • Microsoft Dynamics: Formerly known as Microsoft Business Solutions or Great Plains, complete business management system
  • Infor: World's third-largest corporate software vendor, provides integrated supply chain solutions
  • Lawson: Enterprise performance management

Information-Oriented Integration Concepts

  • Coupling: Connects applications in a reliant manner
  • Cohesion: Applications and databases are distinct and logically independent
  • Information Producers and Consumers: Entities that create and consume information, known as source and target systems

Systems That Create and Consume Data

  • Database, Application, User Interface, and Embedded Devices

Steps to Approach Information Integration

  1. Identify the data
  2. Catalog the data
  3. Build the Enterprise Data Model
  4. Implement the Data Integration Process
  5. Monitor and Evaluate the Integration

Phases of Data Integration

  • Source System Analysis: Understand the source systems
  • Data Extraction and Transformation: Extract data from source systems and transform it into a usable format
  • Data Loading and Storage: Load the transformed data into a target system or data warehouse
  • Data Validation and Quality Assurance: Ensure data accuracy and consistency

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Description

Test your knowledge on system integration, ERP systems, and organizational silos with this quiz. Explore how these concepts allow organizations to improve communication and streamline operations. Dive into the historical perspectives of horizontal and vertical silos as well.

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