LEARNING OBJECTIVES
DESCRIBE FEATURES OF ENTERPRISE
COMPUTING & INDUSTRIAL NETWORKS
EXPLAIN BUSINESS & TECHNOLOGY
DRIVERS
IDENTIFY ELEMENTS & DECISIONS IN
BUILDING INFORMATION
TECHNOLOGY
INFRASTRUCTURE
*
18.2
LEARNING OBJECTIVES
COMPARE VISION OF ENTERPRISE
SYSTEMS AND INDUSTRIAL NETWORKS
WITH MANAGEMENT REALITY
PLAN DEVELOPMENT OF ENTERPRISE
SYSTEMS AND INDUSTRIAL NETWORKS
*
18.3
MANAGEMENT CHALLENGES
MANAGING INFORMATION TECHNOLOGY
(IT) INFRASTRUCTURE & ARCHITECTURE:
ENTERPRISE COMPUTING
MANAGING THE NEW IT INFRASTRUCTURE
ENTERPRISE SYSTEMS
INDUSTRIAL NETWORKS & EXTENDED
ENTERPRISE SYSTEMS
*
18.4
SAP
German:
SYSTEME, ANWENDUNGEN,
PRODUKTE IN DER
DATENVERARBEITUNG
English:
SYSTEMS, APPLICATIONS, PRODUCTS IN DATA
PROCESSING
Pronounced S A P. Like you say: I B M
18.5
ENTERPRISE RESOURCE
PLANNING (ERP):
Collection of software programs
which ties enterprises (finance,
manufacturing, sales, HR, ...) into a
cohesive database.
This software also provides tools to
analyze data to plan production,
forecast sales, analyze quality,
*
18.6
INBOUND LOGISTICS
MANUFACTURING
FINANCE
MARKETING & SALES
SUPPORT
*
18.7
TRADITIONAL VIEW OF
SYSTEMS
APPLICATION SPECIFIC: Separate
systems support discrete business
processes, discrete segments of
business value chain
FIRM BOUNDARIES: Vendors &
customers rarely considered,
impermeable, tightly controlled
*
18.8
ENTERPRISE BUSINESS
SYSTEMS
VENDORS
INBOUND MANUFACTURING
LOGISTICS
MARKETING
FINANCE
AND
SUPPORT
SALES
CUSTOMERS
ENTERPRISE BUSINESS
SYSTEMS
ENTERPRISE COMPUTING: Firmwide
integration of key business process
information, processes shared with multiple
firms
INFORMATION TECHNOLOGY (IT)
IT INVESTMENT PORTFOLIO
IT & PUBLIC INFRASTRUCTURES
BUSINESS LOGIC
*
18.10
BUSINESS DRIVERS
MARKETS: Globalization, information
intensity reduce margins
INDUSTRY: Mergers, acquisitions,
consolidations increase economies of
scale, competition
FIRMS & ORGANIZATIONS: Process
redesign highlight need for enterprise-wide
IT
*
18.14
BUSINESS DRIVERS
PRODUCTS & SERVICES: Growth of info
capabilities shortens product life cycle
MANAGEMENT PROCESS THINKING: Shift
to view firm as integrated processes,
industry-based views of cooperation,
alliance
MANAGEMENT STRATEGY: Belief that IT
investment leads to valuable knowledge
*
18.15
TECHNOLOGY DRIVERS
18.16
18.17
18.18
18.19
PROCESSORS
SOFTWARE ENVIRONMENT
SHARED APPLICATIONS
TELECOMMUNICATIONS
*
18.20
GOVERNANCE: CONNECTING
INFRASTRUCTURE TO STRATEGY
TRADITIONAL INFRASTRUCTURE, ARCHITECTURE
GREW HAPHAZARDLY
REQUIRES 4 LEVELS OF INVOLVEMENT
STRATEGIC: CEO, CIO, top managers
OPERATIONAL: Set functional specs, establish
budget
BUSINESS, REGIONAL UNITS: Plan to allocate
funds
FUNCTIONS: Detail plans & implement
*
18.21
*
18.22
ENTERPRISE SYSTEMS
THE VISION
THE REALITY
*
18.25
ENTERPRISE SYSTEMS:
THE VISION
STRUCTURE & ORGANIZATION: One
organization
MANAGEMENT: Firm-wide Knowledge-based
management processes
TECHNOLOGY: Totally unified information
system
BUSINESS: Customer- driven business
processes
*
18.26
ENTERPRISE SYSTEMS:
THE REALITY
DAUNTING IMPLEMENTATION
UNREALISTIC COST / BENEFIT ANALYSIS
NOT ACHIEVING ROBUSTNESS
TRAPPED IN DIGITAL CONCRETE: Older systems
hard, expensive to change
DIFFICULT TO ATTAIN
INTEROPERABILITY
DIFFICULT TO REALIZE
STRATEGIC VALUE
*
18.27
THE VISION
THE REALITY
*
18.28
INDUSTRIAL NETWORKS
COMPETING
FIRMS
FIRM 1
FIRM 2
FIRM 3
INDUSTRY
VALUE
CHAIN
INDUSTRIAL NETWORKS
COMPETING
VENDORS
18.30
VENDOR
1
VENDOR
2
VENDOR
3
18.35