Professional Documents
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ITEC 1010
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Transactions
Transactions
Basic business operations such as customer orders,
purchase orders, receipts, time cards, invoices, and payroll checks in an organization
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Batch Schematic
Input (batched)
Output
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On-line Schematic
Terminal Terminal Terminal
Output
Terminal
Terminal Terminal
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Integration of TPSs
Applications software
xn=
Schematic
People
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Objectives of TPS
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Process data generated by and about transactions Maintain a high degree of accuracy Ensure data and information integrity and accuracy Produce timely documents and reports Increase labour efficiency Help provide increased and enhanced service Help build and maintain customer loyalty Achieve competitive advantage
Schematic
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Processing
Internally generated transactions: shipped orders purchase orders employee time cards Externally generated transactions: customer orders vendor invoices customer payments ITEC 1010 Database update: customer orders inventory purchase orders customers suppliers
Database
cheques to vendors receiving notices paycheques Operational reports: finished product inventory status raw materials; packing materials; spare parts; inventory status
Data correction
Data manipulation
Data storage Document production
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minimal manual effort Data are entered directly into the computer
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Point-of-sale transaction Scanner Quantity, processing Date, system time UPC UPC Price
Item database
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Disaster recovery
The implementation of the business resumption plan.
Schematic
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Invoice
Products Inventory status
Customer Customer order in person or via mail, phone, EDI, internet Order entry/ sales configuration Orders Planned shipments
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Schematic
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D6 Inventory
Product numbers, inventory levels
D1 Products/prices
Products, price information 2. Verify product Orders numbers & stock on hand
Orders
3. Authorize credit
D3 New orders
4. Notify customer
D4 Back orders
Customer
Customer notification
Rejected orders
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filled and from which location they will be shipped E.g., (from Figure 8.9)
DESCRIPTION FASENTING TOOL STAPLE INCH STAPLE 1 INCH SHIPPING CHARGE 3 15 15 ORDERED EACH CASE CASE SHIPPED 3 15 12 BO
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received from the shipment execution TPS E.g., see Figure 8.11
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Customer interaction
A system that monitors and tracks each customer
interaction with the company
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Customer
Sale
Other contacts
Sales Marketing
Quality control
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Scheduling
A system that determines the best time to deliver
goods and services
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Purchasing System
Schematic
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Raw materials Packing materials Spare parts Inventory control Inventory control status report
Purchase order
Material
Supplier
Invoice
Cheque
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Purchasing System
Inventory control
Maintains stock of items such as raw materials, packing
materials, spare parts, and supplies
A system that helps purchasing department complete A system that creates a record of expected and actual receipts Reconciles purchase orders with what is actually received A system that increases an organizations control over
purchasing, improves cash flow increases profitability, and provides more effective management of current liabilities
Receiving
Accounts payable
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P.O. Example
(Click to view)
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Accounting System
Accounting systems Consist of
Budget Accounts receivable Accounts payable Payroll Asset management General ledger
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Financial Systems
Schematic
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Customer
Payroll
Labour costs
Asset depreciation
Budget
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Consumer problems Wait for images to download Security of credit information Figuring out the ordering process Currently a small part of all commerce
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Schematic
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Traditional delivery
3. Purchasing
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Log on to internet
Place order
Pick items
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Business
$8.0 billion
$66 billion
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Advantages
Eliminate costly, inflexible legacy systems Provide improved work processes Provide access to data for operational decision making Upgrading technology infrastrucutre
Disadvantages
Time consuming, difficult, expensive to implement Make radical changes in how a company operates Lack of vendor responsiveness in light of high demand
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ERP Examples
Software Vendor Avalon Software qad.inc Oracle SAP America Baan PeopleSoft J.D. Edwards
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Name of Product Avalon CIM MRG/PRO Oracle Manufacturing SAP R/3 Triton PeopleSoft World
Application servers
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BAPI (public interface) Results consistent with current version of SAP software SAP software Request for data or processing consistent with current version of SAP software
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End of Chapter 8
Chapter 9
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