1. Chapter 7
Enterprise Systems

2. This Could Happen to You: “Maybe so, but Nobody Told Me”
Fox Lake Country Club has a problem
Defective business processes could result in unhappy customer
Fox Lake’s business processes needs fixing
Mike Stone’s (facilities manager) renovation plans interfere with scheduled weddings
No body informed wedding planner, Anne Foster
Scenario Video
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3. Study Questions Q1. How do information systems vary by scope?
Q2. When are information silos a problem?
Q3. How do enterprise information systems eliminate silos?
Q4. How do CRM, ERP, and EAI support enterprise systems?
Q5. What are the challenges when implementing new enterprise systems?
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4. Q1: How Do Information Systems Vary by Scope?
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5. Q2: When Are Information Silos a Problem?
Data isolated in separated information systems
Created over time as personal and workgroup support applications implemented
Silos duplicate data and become serious problems as organizations grow
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6. Fox Lake Country Club Departmental Goals and Silos
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7. Departmental Information Systems: Islands of Automation
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8. What Are Common Departmental Applications?
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9. Problems of Silos Created in Isolation
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10. Q3: How Do Enterprise Information Systems Eliminate Silos?
Central database
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11. An Enterprise System for Patient Discharge
All data in Central database
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12. Business Process Reengineering (BPR)
“Analysis and design of workflows and processes within an organization” (wikipedia.org)
Enterprise systems not feasible until network, data communication, and database technologies reached sufficient level of capability and maturity in late 1980s and early 1990s.
Identify Processes
Review, Update, Analyze As-Is
Design To-Be
Test and Implement To-Be
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13. Q4: How Do CRM, ERP, and EAI 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
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14. Q4: How Do CRM, ERP, and EAI 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
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15. ERP Vendors
PeopleSoft—licensed payroll and limited capability HRM systems
Siebel—licensed sales lead tracking and management system
SAP—licensed enterprise resource management
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16. Customer Relationship Management (CRM)
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-centric ability
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17. Major Components of a CRM Application
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18. Enterprise Resource Planning (ERP)
Suite of applications, database, and set of inherent processes for consolidating business operations into single, consistent, computing platform
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19. Q5: What Are the Challenges When Implementing New Enterprise Systems?
Collaborative Management
Requirements Gaps
Transition Problems
Employee Resistance
Challenges
Difficulty
Expense
Risk
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20. Challenges of ERP Implementation
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
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21. Active Review Q1. How do information systems vary by scope?
Q2. When are information silos a problem?
Q3. How do enterprise information systems eliminate silos?
Q4. How do CRM, ERP, and EAI support enterprise systems?
Q5. What are the challenges when implementing new enterprise systems?
How does the knowledge in this chapter help Fox Lake and you?
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