chapter 7 functional systems. functional business areas
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Chapter 7
Functional Systems
Functional Business Areas
Which functional area interests you the most?
1 2 3 4 5
50%
0%
50%
0%0%
1. Marketing
2. Finance
3. Human Resources
4. Accounting
5. Production/Operations/Manufacturing
Marketing Systems
Interactive Marketing Sales Force Automation Customer Relationship Management Market Research and Forecasting Advertising and Promotion Product Management Sales Management
Marketing System Example
Oracle Siebel http://www.oracle.com/webapps/dialogue/dlgpage.jsp
What is Spyware?
1 2 3 4 5
0% 0% 0%0%
100%
1. Shares my personal info with a data center
2. Takes control of my computer
3. Delivers pop-up adds
4. Tracks my Internet usage
5. All of the above
Has anyone ever head of Claria?
10
25%
25% 25%
25%1
2
3
4
1. Yes, its for allergies
2. Yes, its a cartoon
3. Yes, they are leaders in online behavioral marketing
4. No
Does Marketing have anything to do with Spyware?
101 2
50%50%
1. Yes
2. No
Targeted Marketing
appeal to people in specific Communities Content of messages is aimed at targeted
audiences Context: If you buying plane tickets
online, you might be more interested in ad for suitcases.
Demographic/Psychographic Online Behavior.
Marketing System and Spyware Proliferation
There is a connection between all of the following:
Targeted Marketing, Marketing Information Systems, Spyware, Spam, and Junk Mail
Information about your online behavior allows companies to
1. Target you specifically2. Learn about connections, context,
demographics, psychographics, and online behavior
Does anyone really care about manufacturing systems?
10
50% 50%1
2
1. Yes
2. No
Manufacturing Systems
This is where we see the use of process control systems.
From petroleum processing to toy manufacturing
CAM: Computer Aided Manufacturing CIM: Computer Integrated Manufacturing
Computer Integrated Manufacturing (CIM)
Simplify production processes. Re-engineer vs. gradual improvement.
Automation – robotics, artificial intelligence Integrate production process with other
systems: Order processing, inventory control, finance systems.
Human Resource Systems
HRM: Human Resource Management Employee Self-Service Systems
Let employees manage their Benefit Packages (Health Insurance) Retirement Plans (Investments)
Online HRM systems... Integration with Monster.com, CareerBuilder.com,
etc. Helps companies recruit more effectively
HR Systems
Accounting and Finance Systems
What is really the difference between accounting and finance?
Investment Management
101 2
50%50%
1. Accounting
2. Finance
Cash flow forecasting
101 2
50%50%
1. Accounting
2. Finance
Payroll
101 2 3 4
25% 25%25%25%1. Accounting
2. Finance
3. HR
4. Accounting mostly but some HR
Order processing
101 2
50%50%
1. Accounting
2. Finance
Accounting Systems
Financial Management Systems
Functional Business Systems
A complete accounting system may have some of the characteristics of an MIS, TPS, and DSS.
A complete marketing system may combine an MIS, ECS, TPS, and DSS
Marketing Information Systems
Interactive Marketing
Sales Force Automation
Customer Relationship Management
Sales Management
Product Management
Market Research and Forecasting
Advertising and Promotion
TPS
MIS
ECS
DSS
Types of Information System vs.Functional Business Areas
PCS TPS ECS MIS DSS EIS
Accounting
Finance
HR
Marketing
Production
Summary
Typically, Business is broken into 5 Functional Areas and Information Systems can be designed for just one of the areas.
But this is not always the case… Example: A Robust TPS may be used in Accounting,
Marketing, and Finance. Also, a complete functional system may not fit
into one of the six categories Example: An Accounting Systems is both a TPS and
an MIS.
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