Chapter 7

Enterprise Business Systems

Enterprise

1. An undertaking, especially one of some scope, complication, and risk.

2. A business organization. 3. Industrious, systematic activity, especially

when directed toward profit: Private enterprise is basic to capitalism.

4. Willingness to undertake new ventures;

Perspective

Enterprise Systems are ones that have a large scope involve or integrate all parts of an organization.

Remember that we’ve already studiedEnterprise Collaboration Systems For an ECS, like Outlook, both the grunts and the

President use it... Its not specific to the functional areas. Its not specific to the operations level, tactical level, or

strategic level

Perspective

In the software world, Enterprise is a buzz word, which usually implies that the system is very expensive, but can do a lot

In the e-commerce era, an Enterprise is often more than one company and the boundaries are unclear...virtual companies, etc. Sometimes Enterprise implies that more than

one company is involved.

Supply Chain – Value Chain

Enterprise Systems come from a need to streamline the value chain in a company.

Functional areas, from Manufacturing to Marketing, need to be connected.

1. Multiple functional business systems are being replaced by one Enterprise Systems

2. Or, Enterprise System are built on top of several functional systems.

Enterprise System

Enterprise System

Accounting System Manufacturing System

Inventory Control

Enterprise System

Enterprise System

EAI: Enterprise Application Integration

How does a business interconnect its information systems.

Connects Front Office Systems with Back Office Systems

Example: When an order is complete, have the order application tell the accounting system to send a bill and alert shipping to send out the product.

EAI: Enterprise Application Integration

EAI provides middleware (Middle Software) that performs Data conversion between different

systems coordinates Communication and Message

passing between systems The idea is to use the existing systems, but to

have a super-system for connecting related systems.

Summary

There are six types of information systems 6 categories: ECS, TSP, PCS, MIS, DSS, EIS

There are 5 functional areas of business Some system are designed for a specific

functional area: Accounting An ECS can touch all the functional

business areas A TPS might touch 3-4 areas

Summary

ECS and TPS are cross-functional. Some large functional systems, picture a

huge accounting system, can fit into more than 1 category, i.e., both an MIS and TPS.

Enterprise Systems by their nature are both cross-functional and fit into several categories.