Enterprise Systems PDF

Enterprise Systems © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain 1 product or service or otherwise on a password-protected...

Enterprise Systems © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain 1 product or service or otherwise on a password-protected website for classroom use.  Transaction Processing Systems Transaction processing systems (TPSs): Capture and process detailed data necessary to update the organization’s records about fundamental business operations Include order entry, inventory control, payroll, accounts payable, accounts receivable, general ledger, etc. A TPS provides valuable input to: Management information systems Decision support systems Knowledge management systems © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 2 or otherwise on a password-protected website for classroom use. Transaction Processing Systems © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 3 or otherwise on a password-protected website for classroom use.  Traditional Transaction Processing Methods and Objectives Batch processing system Business transactions are accumulated over a period of time and prepared for processing as a single unit or batch Essential characteristic: the delay between an event and the processing of the related transaction to update the organization’s records Online transaction processing (OLTP) Data processing in which each transaction is processed immediately At any time, the data in an online system reflects the current status Many organizations find that OLTP enables them to provide faster, more efficient service © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 4 or otherwise on a password-protected website for classroom use. Traditional Transaction Processing Methods and Objectives © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 5 or otherwise on a password-protected website for classroom use.  Traditional Transaction Processing Methods and Objectives A TPS includes: Order processing systems - Processing flow begins with receipt of customer order, then finished product inventory is checked to see if sufficient inventory is on hand to fill the order - Product pick list is printed at the warehouse and inventory is adjusted - Customer invoice is created and copy included in the customer shipment Accounting systems - Must track the flow of data related to all the cash follows that affect the organization Purchasing systems - Systems that support the purchasing business function - Inventory control, purchase order processing, receiving, and accounts payable © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 6 or otherwise on a password-protected website for classroom use. Traditional Transaction Processing Methods and Objectives © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 7 or otherwise on a password-protected website for classroom use. Traditional Transaction Processing Methods and Objectives © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 8 or otherwise on a password-protected website for classroom use.  Transaction Processing Systems for Entrepreneurs and Small and Medium-Sized Enterprises Many software packages: Provide integrated transaction processing system solutions for small and medium-size enterprises (SMEs) Are easy to install and operate with a low total cost of ownership Have an initial cost of a few hundred to a few thousand dollars © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 9 or otherwise on a password-protected website for classroom use.  Transaction Processing Activities The transaction processing cycle Data collection Data editing Data correction Data manipulation Data storage Document production © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 10 or otherwise on a password-protected website for classroom use.  Data Collection Capturing and gathering all data necessary to complete the processing of transactions Data collection can be: Manual Automated via special input devices Source data automation Involves capturing data at its source and recording it accurately in a timely fashion with minimal manual effort and in an electronic or digital form so that it can be directly entered into the computer Example: a scanner reading a UPC code Cloud-based POS systems provide a range of capabilities Including advanced integration with digital loyalty programs, various accounting tools, and the ability to generate gift cards and coupons © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 11 or otherwise on a password-protected website for classroom use. Data Collection © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 12 or otherwise on a password-protected website for classroom use.  Data Editing (Data Validtaion) Data editing Checking data for validity and completeness to detect any problems Examples Quantity and cost data must be numeric Names must be alphabetic Codes associated with an individual transaction are edited against a database containing valid codes © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 13 or otherwise on a password-protected website for classroom use.  Data Correction Systems should provide error messages that alert those responsible for editing the data Error messages should specify the problem so proper corrections can be made Data correction involves reentering data that was not typed or scanned properly © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 14 or otherwise on a password-protected website for classroom use.  Data Processing Performing calculations and other data transformations related to business transactions including: Classifying data Sorting data into categories Performing calculations Summarizing results Storing data in the organization’s database for further processing © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 15 or otherwise on a password-protected website for classroom use.  Data Storage Data Storage Involves updating one or more databases with new transactions After being updated, this data can be further processed and manipulated by other systems © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 16 or otherwise on a password-protected website for classroom use.  Document Production Document Production involves generating output records, documents, and reports Hard-copy paper reports Displays on computer screens (soft copy) Results from one TPS can be input to another system Most TPSs provide other useful management information, such as: Printed or on-screen reports that help managers and employees perform various activities Reports showing current inventory Reports required by local, state, and federal agencies © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 17 or otherwise on a password-protected website for classroom use.  Enterprise Systems An enterprise system is central to individuals and organizations of all sizes Ensures that information can be shared across all business functions and all levels of management to support the running and managing of a business The ultimate goal is to satisfy customers and provide significant benefits by reducing costs and improving service Businesses rely on enterprise systems to perform daily activities in areas such as: Product supply and distribution Sales and marketing Human resources Manufacturing Accounting and taxes © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 18 or otherwise on a password-protected website for classroom use.  Enterprise Resource Planning Enterprise resource planning (ERP) A set of integrated programs that manage a company’s vital business operations for an entire organization Business process A set of coordinated and related activities that takes one or more kinds of input and creates an output of value to the customer of that process © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 19 or otherwise on a password-protected website for classroom use.  Advantages of ERP Improved access to quality data for operational decision making Elimination of costly, inflexible legacy systems Improvement of work processes Opportunity to upgrade and standardize technology infrastructure © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 20 or otherwise on a password-protected website for classroom use. Leading ERP Systems © 2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service 21 or otherwise on a password-protected website for classroom use.