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BUS 237 Final Exam Study Guide Solutions

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BUS 237 Final Exam Study Guide Solutions 2 basic ways to gain competitive advantage through systems: - ANSWER-1. Changing the product 2. Business Process Porter's Value Chain - ANSWER- Functional Systems - ANSWER-Facilitate the work of a single department or business function. May also be cal...

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  • November 3, 2024
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BUS 237 Final Exam Study Guide

Solutions


2 basic ways to gain competitive advantage through systems: - ANSWER✔✔-1. Changing the product


2. Business Process


Porter's Value Chain - ANSWER✔✔-


Functional Systems - ANSWER✔✔-Facilitate the work of a single department or business function. May

also be called functional silos because they work independent of others.


Cross-functional systems - ANSWER✔✔-These systems integrate data and business processes across

different departments and systems


Inter-organizational systems - ANSWER✔✔-Are systems that are used by 2 or more related companies.

ex. e-commerce applications.


Problems with isolated functional systems: - ANSWER✔✔-- Data duplication/inconsistency


- Disjointed processes


- Limited info/lack of integration


- Isolated decision lead to overall inefficient activities


- Increased expense


Ways to improve business without technological change: - ANSWER✔✔-1. Adding resources



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2. Adding specialization


3. Changing/eliminating unproductive activities


Business Process design - ANSWER✔✔-This is the idea that businesses should not just automate or

improve a existing functional systems. Instead it is making changes by integrating functional systems.


Enterprise Application Integration (EAI) - ANSWER✔✔-Is an approach to combining functional systems, it

uses layers of software as a bridge to connect FS. A customized EAI interface is created for each FS, which

allow them to pull whatever information they want from each system.


Enterprise Resource Planning (ERP) - ANSWER✔✔-There is one central database and there is a set of

standard business processes built on top of it.


- ERP uses a prebuilt software, so the company must get rid of its functional systems before it adopts it


- Primary users are manufacturing companies


Challenges of business process design: - ANSWER✔✔-- Process design projects are expensive and

difficult


- May take a long time


- Employees resist change


- Ultimate outcome is uncertain


Challenge of implementing Business Process changes: - ANSWER✔✔-- Process is often very complex and

require many people to agree.


- Hard to convince the organization that the changes are worth the effort.


- Many employees resist this change

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Industry Standard Process - ANSWER✔✔-Processes built into business applications from companies such

as oracle or SAP


Benefits of industry standard process: - ANSWER✔✔-- Integrate activities across departments


- Save costs of tailor-made process design


- enables the company to benefit immediately from tried and tested cross-departmental processes


Problems with industry standard process: - ANSWER✔✔-- May be very different from existing processes


- May require the org. to change. This may disturb employees.


Enterprise Resource Planning (ERP) Cont.. - ANSWER✔✔-- Is a cross functional system


- Supports all primary business processes as well as HR and accounting support processes


- Integrates sales, order, inventory, manufacturing and customer service.


Characteristics of ERP - ANSWER✔✔-- Provides cross-functional, process view of org.


- Has a formal approach based on formal business models


- maintains data in a centralized database


- Offers large benefits, often has challenges, and can be slow to implement


- often VERY expensive


Benefits of ERP: - ANSWER✔✔-- Efficient business process


- Inventory reduction


- Lead-time reduction




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