ITM Final Pt2 BI chapt 10
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ITM Final Pt2 BI chapt 10
Define: Business Intellegence (BI)
applications and technologies used ot gather, provide access to, and analyze data and information to support decision-making efforts
What are the 3 parallels between the changellenges in business and the challenges of war?
1. collecting information
2. discerning patterns and meaning in the information
3. repsonding to the resultant information.
What are the three types of BI?
Define: Strategic BI
helps with planing results in marketing campaign
Define: Operational BI
helps with immediate actions, results in sales revenue
Define: Tactical BI
helps with daily analysis, results in refined campaign
Define: data mining
process of analyzing data to extract information
Define: data-mining tools
use a variety of techniques to find patterns and relationships in large volumes of information
What are the 4 types of Data-mining tools?
3. Affinity grouping
What is the business focus of Operational BI?
Manage daily operations, integrate BI with opperational systems
What is the business focus of Tactical BI?
Conduct short term analysis to achieve strategic goals
What is the business focus of Strategic BI?
To achieve long-term organizational goals
Define: Enterprise Resource Planning (ERP)
integrates all departments and functions throughout an organization inot a single IT system so decisions can be made by viewing all info on business operations.
T/F- ERP is Internal, back office operations?
T/F- ERP serves as the glue or the center where all the disparate functions come together such as finaince, accounting, marketing etc.
ERP is the backbone of...
of the internal funtions, create value through customer service and reduce costs among the functional areas.
What are the 2 components of ERP?
1. Core ERP Component
2. Extended ERP Component
Define: Core ERP component and what are the 3 common modules of it?
Traditional components included in most ERP systems that primarily focus on internal operations.
1. Accounting and finance
2. Production and Materials
Define: Extended ERP component
outside use of the core information, how it is used.
What are the 4 parts of the extended ERP component?
What are the 2 parts of eBusiness?
What are the Benefits of ERP (4)
1. Quality and Efficency
2. Decreased Costs
3. Decision Supports
4. Enterprise Agility
Quality and Efficiency in ERP creates...
a framework for integrating and improving the company's internal business processes
Decision supports in ERP is...
cross-functional information on business performance quickly to managers to significantly improve their ability to make better decisions
What is Enterprise Agility in ERP?
it breaks down functional walls of processes, systems and resources
T/F- You cannot cut any enterprise costs, they are all interdependent
What % of Enterprise Costs goes to Reengineering, the redefining of processes in order to ensure the most efficient and effective process?
43% (the most)
What % of Enterprise costs is allocated to Data conversions, Training & Change management, and software?
What % does Hardware take up of Enterprise costs?
What is Butterball?
An SAP company that is implementing an ERP system
What does collaboration mean?
Working together, united labor work for common goods
What are the examples we went over of how 2+ companies collaborate together?
1. Wal-Mart --supplier-- RFID tags
2. Know the demand requirements so that the supplier konws what we need
T/F- Collaborations are the same as outsourcing
From the Easton-Bell Sports inc. Video, what are the 5 Key ERP benefits noted?
1. Robust solution to address SOX
2. Automating common business processes
3. Improving visibility and throughput
4. Considering functions with common service model
5. Acheive benefit in less than 2 years
What are the 3 Attributes that successful ERP projects share?
1. Overall fit
2. Proper business analysis
3. Solid Implementation plans
What 3 things involve a "good fit" in successful ERP software?
1. Off the rack
2. Off the rack and tailored to fit
3. Custom made to needs
What does "Proper business analysis" mean in successful ERP software?
successful companites spend up to 10% of the project budget on a business analysis
Why does a successful ERP software need a solid implementation plan?
to monitor the quality, objectives and timelines
SAP boasts how many installations and users worldwide?
20,000 installations, 10 million users
How many ERPs have been installed, and how many are using large market share?
70,000, and 35 million
What are the 3 reasons that ERP solutions are working?
1. It is logical solution to the mess of incmpatible applications that had sprung up in most businesses
2. It addresses the need for global info sharing and reporting
3. it is used to avoid the pain and expense of fixing legacy systems.
What are the 7 risks of ERP?
1. Software costs
2. Consulting fees
3. Process rework
5. Integration and testing
7. Data warehouse integration and data conversion
The 4 causes of ERP failures are:
1. Managers and IT ppl underestimate the complexity of the planning, development and training needed.
2. Lack of involvement of affected employees in the planning and development
3. Too much too fast in the conversion process
4. Lack of data conversion and testing
Who is the Primary User and Primary Business Benefit of CRM?
Sales, Marketing, and Customer service-- Sales forecasts and strategies and marketing campaigns
Who is the Primary User and Primary Business Benefit of SCM?
Customers, Partners, suppliers-- Market demand, resources and capacity constraints, real-time scheduling.
Who is the Primary User and Primary Business Benefit of ERP?
Accounting, finance, Logistics, Production-- Forecasting, planning, purchasing, material management Warehousing, Inventory, Distribution.
Which enterprise application is primarily used by Accounting, finance, logistics and production people?
What enterprise application is primarily used by Customers, resellers, partners, suppliers and distributors?
Define: Collaboration System
IT based set of tools that supports the work of teams by facilitating the sharing and flow of information
Organizations form alliances and partnership with other organizations based on their ________________.
Define: Core Competency
an organization's key strength, a business function that does it better than any of it's competitors
Define: Core Competency strategy
organization chooses to focus specifically on its core competency and forms partnerships with other organizations to handle nonstrategic business processes.
3 Reasons Organizations create and use teams, partnerships and alliances:
1. Undertake new initiatives
2. Address both minor and major problems
3. Capitalize on significant opportunities
T/F- Organizations create teams, partnerships and alliances with just internal employees.
False- they also create externally with other organizations
The ________ has drastically increased the ease and availability for IT-enabled organizations alliances and partnerships
Define: Information Partnership
occurs when 2+ orgs cooperate by integrating their IT systems, thereby providing customers wiht the best of what each can offer.
web based tool that makes it easy for users to add, remove, and change online content
Define: Business Wikis
collaborative web pages that allow users to edit documents, share ideas, or monitor the status of a project
What is the goal of an alliance?
to create a fast, efficient and low-cost network of business relationships:
Minimize Joint costs