1. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1 I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien C h a p t e r 8 Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. Electronic Business and Commerce

2. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 2 Chapter Objectives Identify several cross-functional integrated E-Business applications for the internetworked enterprise. Give examples of how Internet and other information technologies support business processes within the business functions of accounting, finance, human resource management, marketing, and production/ operations management.

3. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 3 Chapter Objectives Give examples of several ways that companies can implement business-to- consumer and business-to-business electronic commerce on the Internet. Identify and give examples of several ways that electronic commerce applications provide significant business value to a company and its customers. Discuss several electronic payment challenges and solutions for electronic payment security on the Internet.

4. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 4 The E-Business Application Architecture

5. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 5 Cross-Functional Integrated Systems Front Office Applications CRM Application Customer Service Field Service Sales Order Product Config Back Office Applications ERP Application Distribution Manufacturing Scheduling Finance Enterprise Application Integration Enterprise Application Cluster Enterprise Application Cluster Customers Suppliers Business Partners

6. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 6 Functional Business Information Systems Production Operations Production Operations Marketing Human Resource Management Human Resource Management Finance Accounting Functional Business Systems

7. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 7 Marketing Information Systems Marketing Information Systems Marketing Information Systems Interactive Marketing Sales Force Automation Sales Force Automation Customer Relationship Management Customer Relationship Management Sales Management Sales Management Market Research and Forecasting Market Research and Forecasting Advertising and Promotions Advertising and Promotions Product Management Product Management

8. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 8 Customer Relationship Management Sales Cross-Sell Up-Sell Store Front and Field Service Marketing and Fulfillment Customer Service and Support Retention and Loyalty Programs Customer Contact Management

9. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 9 Targeted Marketing Online Behavior Community Context Demographic/ Psychographic Content

10. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1010 Manufacturing Information Systems Engineering Systems CAD CAE Computer- Aided Process Planning Manufacturing Execution Systems Shop Floor Scheduling Machine Control Process Control Robotic Control Computer Integrated Manufacturing Manufacturing Resource Planning Production Forecasting Production Scheduling Quality Control Remote Worker Supplier Extranet Intranet

11. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1 Human Resource Management Manpower Planning Labor Force Tracking Labor Cost Analysis Turnover Analysis Recruitment Workforce Planning Skill assessment Performance evaluation Payroll control Benefits Administration Compensation effectiveness Benefits Analysis Contract costing Salary forecast Succession planning Performance appraisal plans Training effectiveness Career matching Staffing Training & Development Compensation Administration Strategic Systems Tactical Systems Operational Systems

12. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1212 Accounting Information Systems

13. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1313 Financial Information Systems Financial Information Systems Financial Information Systems Financial Planning Financial Planning Cash Management Investment Management Investment Management Capital Budgeting

14. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1414 The E-Commerce Transaction Cycle Attract Look and Feel Performance and Service Inform Relevant Information Customize Customer Configuration Transact Buying & Selling Models Personalize Buying behavior Incentives Pay Electronic Payment Systems Security Interact Customer Service Socialization Deliver Order Fulfillment Key Processes and Resources Key Processes and Resources

15. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1515 Supply Chain Management ScheduleMakeDeliver Transportation Planning Demand Planning Demand Planning Order Commitment Order Commitment Advance Scheduling Advance Scheduling Manufacturing Planning Manufacturing Planning Distribution Planning Distribution Planning Internetworked Supply Chain Management Supply Chain Life Cycle SCM Functional Processes SCM Integrated Solution Commit

16. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1616 Electronic Commerce Technologies

17. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1717 Transaction Processing Systems Database Maintenance Transaction Processing Transaction Processing Data Entry Document and Report Generation Inquiry Processing 12 3 4 5

18. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1818 Electronic Payment and Security Systems

19. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 1919 Chapter Summary The E-Business Application Architecture reflects the key E-Business applications and their interrelationships. Cross-functional enterprise applications cross the boundaries of traditional business functions. These systems focus on supporting integrated clusters of business processes. Traditional functional business systems support specific business functions including marketing, accounting, finance, production/operations, and human resource management.

20. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 2020 Chapter Summary (cont) Computer-based manufacturing systems help a company simplify, automate, and integrate many of the activities needed to quickly produce high-quality products to meet changing customer demands. Supply Chain Management relies on information technology and management practices to optimize information and product flows among the processes and business partners within the supply chain.

21. Irwin/McGraw-Hill Copyright © 2001, The McGraw-Hill Companies, Inc. All rights reserved. I n t r o d u c t i o n t o I n f o r m a t i o n S y s t e m s Tenth Edition James A. O’Brien 2121 Chapter Summary (cont) A transaction processing system is an information system that processes data resulting from the occurrence of business transactions. There are several different types of electronic payment systems used to support E-Commerce transactions. Because the Internet is not a secure network special security measures must be undertaken to protect sensitive customer information.