Enterprise software is built around thousands of predefined business processes that reflect:

Enterprise software is built around thousands of predefined business processes that reflect:

Management Information Systems: Managing the Digital Firm, 15e (Laudon)

Chapter 9 Achieving Operational Excellence and Customer Intimacy: Enterprise

Applications

1) From your reading of the chapter's opening case, Skullcandy chose enterprise resource

planning software from which of the following ERP vendors?

A) Oracle

B) SAP

C) IBM

D) Microsoft

E) Infor Global Solutions

Answer: B

Difficulty: Easy

AACSB: Analytical thinking

LO: 9-1: How do enterprise systems help businesses achieve operational excellence?

2) Which of the following provides a suite of integrated software modules for finance and

accounting, human resources, manufacturing and production, and sales and marketing that

allows data to be used by multiple functions and business processes?

A) Process management software

B) ERP systems

C) Groupware

D) CRM software

E) Supply chain management systems

Answer: B

Difficulty: Moderate

AACSB: Information technology

LO: 9-1: How do enterprise systems help businesses achieve operational excellence?

3) Enterprise software is built around thousands of predefined business processesthat reflect:

A) government regulations.

B) industry benchmarks.

C) best practices.

D) cutting edge workflow analyses.

E) the firm's culture.

Answer: C

Difficulty: Moderate

AACSB: Information technology

LO: 9-1: How do enterprise systems help businesses achieve operational excellence?

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1. Define an enterprise system and explain how enterprise software works.

    An enterprise system is also called Enterprise Resource Planning (ERP) Systems. It is a suite of integrated software modules and a common central database. It collects data from many divisions of firm for use in nearly all of firm’s internal business activities. Information entered in one process is immediately available for other processes.

    Enterprise software is built around thousands of predefined business processes that feature best practices. Examples such as Finance/Accounting has their own set of predefined processes such as general ledger and accounts payable, so is how Human Resources has personnel administration. To implement the enterprise software, the firm will first select the system or process that they want to use. Then, map their business processes to the predefined business process in the software.

    Examples of leading enterprise software vendors include SAP, Oracle, Infor Global Solutions and Microsoft. Although the initial design of enterprise software is to handle the back-office business processes, it has evolved to become more externally oriented and able to communicate with customers, suppliers and other entities.

2. Describe how enterprise systems provide value for a business.

    Enterprises system provides value for a business by both increasing operational efficiency and by providing firm-wide information to help managers make better decisions. Like Coca Cola, they implemented a SAP enterprise system to standardize and coordinate their business decision-making in 200 countries. Without the standardization, there will be no leverage of coca cola’s buying power and preventing them to minimize their cost of production

    Apart from that, Enterprise system also allows rapid responses to customer requests for information or products. Because the system integrates the process within the company, the system helps identify how much a product should be produced or how many is enough to produce base on the customer information that they have in the system. This in part increases the value for the business.

    Lastly, Enterprise system includes analytical tools to evaluate overall organizational performance. The system allows senior management to easily find out at any moment how a particular organizational unit is performing, determine which products are most or least profitable, and calculate costs for the company as a whole.

3. Define and compare supply chain planning systems and supply chain execution systems.

    Supply chain software is classified either software to help businesses plan their supply chains (supply chain planning) or software to help them execute the supply chain steps (supply chain execution).

    Supply chain planning systems enable the firm to model its existing supply chain, generate demand forecasts for products, and develop optimal sourcing and manufacturing plans. These kinds of systems help companies make better decision. As an example if a customer places a larger order than usual or in such a short notice, this will impact the supply chain as a whole. The software will then make the necessary adjustments to production and distribution plans.

    Supply chain execution systems manage the flow of products through distribution centers and warehouses to ensure that products are delivered to the right location in the most efficient manner as possible. The system tracks the physical status of the goods, the management materials, warehouse and transportation operations. As an example, Haworth Incorporated’s warehouse management system uses this model for it’s supply chain execution system.

4. With an example of a business firm, explain why customer relationships are so important today.

The phrase “The customer is always right” and “customer comes first” is always heard when talking about customer relations. Now these phrases rings true more than ever before. This is because competitive advantage base on innovation of products and services can no longer sustain for a long time. Organizations have realized that customer relations is their only sustaining competitive advantage in the long run. The world has changed from who sells the most product and services to who owns the customers and who as the most loyal customers.

As an example, brand loyalty can be seen in Apple Inc. This can be see by observing that they have a loyal customers who buy their products despite being overpriced. This is an example where the company not only focuses on selling more products but also giving satisfactory services to their customer. Thus, the customers will likely buy their products than substitute it for another.

What business processes are supported by enterprise systems?

Enterprise software consists of a set of interdependent software modules that support basic internal business processes for finance and accounting, human resources, manufacturing and production (including logistics and distribution), and sales and marketing.

What does enterprise software include?

Enterprise software, also known as enterprise application software (EAS), is computer software used to satisfy the needs of an organization rather than individual users. Such organizations include businesses, schools, interest-based user groups, clubs, charities, and governments.

What is the main function for enterprise application software?

Enterprise application software performs business functions such as order processing, procurement, production scheduling, customer information management, energy management, and accounting. It is typically hosted on servers and provides simultaneous services to many users, typically over a computer network.

What are the 4 key enterprise applications?

These include financial management accounting, human resource allocation, manufacturing and distribution operations.