BUS ch. 7 review

  1. five functional areas of business
    • marketing and sales
    • supply chain management
    • manufacturing
    • accounting and finance
    • human resources
  2. order-to-cash
    processes associated with selling a product or service
  3. procure to pay process
    process of retrieving goods from external vendors
  4. make to stock process
    goods are produced based on forecasts and are stocked in a warehouse
  5. make-to-order
    manufacturing does not start until order is received.
  6. core activities
    • performed by the functional areas that produce inputs and produce outputs
    • inbound logistics
    • operations and manufacturing
    • outbound logistics
    • marketing and sales
    • customer service
  7. Support activities
    • enable core activities to take place.
    • administrative
    • infrastructure
    • human resources
    • technology development
    • procurement
  8. inbound logistics activities (Core)
    receiving and stocking raw materials
  9. Operations and manufacturing activities (Core)
    • transform inputs to outputs
    • order processing 
    • assembly processing
  10. Outbound Logistics activities (Core)
    distribution and shipping of end products
  11. Marketing and Sales Activities (Core)
    • before the sale
    • pricing
    • marketing
  12. Customer Service Activities (Core)
    After the sale
  13. Support Activities (Support)
    • processes that support the day to day operations. 
    • Accounting
    • finance
    • marketing 
    • finance
    • operations
  14. Infrastructure Activities (Support)
    hardware and software
  15. Human Resources Activities (Support)
    • all business activities associated with employee management.
    • hiring
    • interview scheduling
    • payroll
    • benefits management
  16. Technology Development Management (Support)
    design and development of applications
  17. Procurement Activities (Support)
    purchasing of goods and services that are required as inputs to the primary activities
  18. value system
    information flows from one company's value chain to another.
  19. upstream flow
    business receives information
  20. downstream flow
    information produced by business
  21. Standalone applications
    departments that are not designated to communicate with others.
  22. legacy systems
    systems that have become obsolete
  23. enterprise wide information
    integrated suite of business applications for virtually every business process, allowing companies to integrate information across operations
  24. Internally focused systems
    support core activities within a business
  25. Externally focused system
    focus on communications and coordinate business processes with customers, suppliers, business partners, and others outside of the business
  26. IOS
    • inter organizational system 
    • streamline flow of information from one company's operations to another's
  27. two forms of software programs
    packaged and custom
  28. packaged software
    • off the shelf software
    • third-party vendors for needs of many different users and organizations
    • cheap
  29. custom organizations
    • designed for specific company's needs
    • more expensive
  30. Vanilla Version (of a software)
    features that an enterprise system comes with out of the box
  31. best-practices
    industry-standard business processes
  32. BPM
    • business process management
    • systematic, structured approach in which people critically examine a business process to improve it.
  33. basic steps of Business Process Management
    • develop a vision for organization (objectives, cost reduction)
    • identify processes to be redesigned
    • measure existing processes as a baseline
    • identify ways in which info systems can be used to improve processes
    • design prototypes
  34. two most likely benefits form enterprise systems
    • improvements of information availability
    • increased interaction across the organizations as a result of streamlining business process
  35. ERP Core components
    • support the internal actives of the organizations
    • financial management
    • operations
    • human resources
  36. ERP Extended components
    support the primary external activities of the organization for dealing with suppliers and customers.
Card Set
BUS ch. 7 review