Module-3

• Business Process Re-engineering, Value Stream Model, MIS and BPR.

DSS, GDSS, Knowledge Management Systems, DSS in E-enterprises,
Enterprise Management System, ERP, SCM, CRM, EMS and MIS.
Business Process Re-engineering

• Definition by Michael Hammer:

• Restructuring and transforming a business process by a fundamental
rethinking and radical redesign to achieve dramatic improvements
in performance measures such as cost, quality, speed, service etc.
• Main focus is on customers
• View of business based on process and not on tasks or functions.
• It requires organization’s restructuring and redesigning based on the
process
• Fundamental Rethinking:
• Calls for questioning everything that is being followed, practiced and
found acceptable for years.
• It rejects old legacies and proven practices.
• It requires a vision, an innovation and an imagination.
• Radical Redesign:
• It calls for trimming and chopping of these designs so that
– the cost is reduced
– Service improved
– Cost gets higher value
– Higher speed
• It calls for a change in the technology tools and techniques.
• On the completion of Re-engineering ,the organization will
have
– fewer people
– less space
– a product or service of excellence
– highest customer satisfaction
• It will generate new rules of the business
• The new rules will force one to think in terms of ‘process’
and not on tasks or functions.
• Business Re-engineering requires a change in the
mindset/approach in some points. The different aspects are:
[Link] aspect
• A change of focus from physical aspect to time aspect of the
business.
• Ex: instead of orders, order processing cycle time is considered.
– Procuring the right material on right quality is important, but how
soon the material is procured is vital.
– The business should be thought in terms of time and process cycle
time.
– Whatever is done, it has to be done in the shortest possible time.
– The units of measuring time will gradually shift from week to day,
day to hour, hour to minute and minute to nanosecond.
2) customer satisfaction
• Business performance measure in terms of customer satisfaction.
– Measured on how quickly his problems are solved and his service
expectations are fulfilled.
3) cost
• Mind set should change from direct cost to cost of business
performance and in turn value.
– Direct cost :cost of material and labor
– Cost of business execution-cost of order processing, procurement, storage,
delivery, distribution, communication, administration etc.
2) customer satisfaction
• Business performance measure in terms of customer satisfaction.
– Measured on how quickly his problems are solved and his service
expectations are fulfilled.
3) cost
• Mind set should change from direct cost to cost of business
performance and in turn value.
– Direct cost :cost of material and labor
– Cost of business execution-cost of order processing, procurement, storage,
delivery, distribution, communication, administration etc.
After BPR, the focus should shift from management of the
company to the management of corporate relations between the
management, the suppliers, and the customers.
Addition of knowledge resource.
The business in the coming decades will largely depends on the
knowledge the people have.
• Conclusion:
• Re-engineering calls for a change in the traditional performance
measures like cost, quality, productivity etc.
• The new measures are:
– value
– Satisfaction
– Effectiveness
– Performance
– Knowledge Resource
– Service Fulfillment
– Process Overheads
Business Performance measure
• A good implementation of IT means business processes are re-
engineered.
• BPR is conducted in the org ,but its larger beneficiary are the
customers
Value stream Model

• Value stream re-engineering

– A method for improvement
– Focus is on customer
• Value Stream can be defined as the processes of creating, producing,
and delivering a good or service to the market.
• Value Stream’s aims the improvement of business processes.
• A value stream may be internal to a company, or it may include
external suppliers in addition to internal processes.
• It includes the materials and processes which contribute to what the
customer purchases.
• For each value stream there would be a continuous improvement (CI)
team to review the value stream performance measurements and
make improvements on time.
• After the identification of value stream a visual map will be
created.
• This is called value stream mapping(VSM)
• It is the technique of drawing a "map" showing how
materials or information flow from supplier to customer.
• It is used to analyze and design the flow of materials and
information required to bring a product or service to a consumer
• It is used in process-improvement projects to:
map the current process,
 decide where to make improvements,
and map the desired process.
• This map gives the areas for improvement.

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• A VSM diagram is a high-level diagram
– it does not examine the details within a
processing step.
• VSM does not address "how to improve the
product" or "how to add more value to the
product". (That is the role of "Value Chain
Analysis").
• VSM addresses how the current product is
manufactured, and asks whether a step adds
value to that product.
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• The major steps in VSM are:
– Identify the process to be mapped.
– Draw the current process.
– Assess the current value stream.
– Create the future value stream.
– Eliminate or reduce bottlenecks, non-value-adding
steps, waste, and storage.
– Plan how to implement the changes.
– Implement.
– Review (and repeat the process if warranted).

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• Conclusion: Value Stream Mapping is a
valuable tool in analyzing existing processes.
It identifies:
– Bottlenecks and delays
– Steps which add no customer-oriented value to
the product

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 MIS and BPR
• Design of MIS will be preceded by a BPR.

– Building the MIS is a long-term project.

– So a relook at the org for the replacement of
mission and goals is a necessary.

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• The MIS is concentrated more on the
performance parameters
• But it is different in the case of BPR.
– It is process centered.
– the performance efficiency is measured in relation to
the value generated by the processes-evaluating
customer satisfaction, expectations and perception

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• The triggers could be business rules and
stored procedures, enabling the process to
become automotive in its execution.
• The MIS in the reengineered org:
– Is a performance monitoring tool to start with
– and then a control for the performance.

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The role of MIS in re-engineered org
• The traditional role of MIS as a decision
supporter will continue however.
• The role of MIS will be raised to a level where
the following activities can be viewed for the
mngt action.
– Control of process cycle time
– Work group efficiency
– Customer satisfaction index
– Process efficiency and effectiveness
– The strength of org in terms of knowledge, learning
and strategic effectiveness.
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DSS-Decision Support Systems
• Business and industry is divided into
2 sectors.
– Manufacturing/production and
– Service
• DSS helps in both sectors to improve
effectiveness of MIS

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• DSS are the applications of Herbert Simon’s
model of decision making.
– Intelligence
– Design
– Choice
• DSS refers to a class of systems which support in
the process of decision making and does not
always give a decision itself.
• The decision makers need a variety of
information, when same or similar types of
decisions are to be made.
• DSS helps in making a decision and also in its
performance evaluation.

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• It can be used to validate the decision by
performing sensitivity analysis on various
parameters of the problem.

• 2 types of decisions.
– Programmable
– Non programmable

• DSS can be built around the rule in case of

programmable decision making situations.
• The rules are not fixed or pre determined and
requires every time to go through Simon’s model
cycle.
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• The DSS are developed by the users and
systems analysts jointly

• They uses the principles of economics ,science,

and engineering, and also the tools and
techniques of management.

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• The most common use of DSS is
– to test the decision alternatives and
– to test the sensitivity of the result to change in
the system and assumptions.

• The data and information for the DSS are

used from the internal sources such as the
database and the conventional files, and
from the external sources.
 TYPES OF DSS
• Status enquiry systems
• Data analysis systems
• Information analysis systems.
• Accounting systems
• Model based systems

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 Status enquiry systems
• Decisions in operational management and
some middle management are based on one
or two aspects of a decision making situation.
• No elaborate computations, analysis , choice
etc. for decision making.
• If the status is known, the decision is
automatic.
• clerks, assistants are the main users.

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 Data analysis systems
• These decision systems are based on comparative
analysis, and use of a formula or an algorithm.
• These processes are not structure, and can vary.
• The use of simple data processing tools and
business rules are required to develop this
system.
• examples: The cash flow analysis, the inventory
analysis, and the personal inventory systems

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 Information analysis systems.
• In this system ,the data is analyzed and
information reports are generated.
• The reports can have exceptions
• The decision makers use these reports for
assessment of the situation for decision
making
• Examples:The sales analysis, the accounts
receivable systems, the market research
analysis
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 Accounting systems
• These systems are not necessarily for decision
making.
• But they keep track of the major aspects of
the business or a function.
• These systems account items such as cash,
inventory, personnel, and so on and relate it
to the norms developed by the management.

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 Model based systems
• These systems are simulation models or
optimization models for decision making.
• These decisions are onetime and infrequent
• They provide general guidelines for operation
or management.
• Ex: the product mix decision, the material
mix, the job scheduling rules, facilities
planning systems.

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 DSS Models
• DSS can be based on 3 different approaches.
Behavioral models
Management Science Models
OR Models
• These models are used to design DSS.

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 DSS Models

DSS

Behavioural Management
models Science
OR Models
Models

[Link] of tools/models
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• Behavioral models
• Useful in understanding the behavior among
business variables.
• Based on these behavioral relationships,
decision makers can make decisions.
• Can be used to set the points for alert, alarm
and action for the decision maker.
• Widely used in :
– process control, manufacturing,
– agricultural sciences, medicines,
– psychology and marketing.
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• Management Science Models
• These models are developed on the principles
of business management, accounting and
econometrics.
• Example for the use of management science
in :
– material mngt.
• Budgetary systems, cost accounting systems,
MRP(material req planning)systems.
– Production mngt
• Production planning and control, scheduling systems
– Personnel mngt
• Manpower planning and forecasting
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• [Link] research (OR) Models

• These are mathematical models.

• Represent a real life problem situation in terms of the

variables, constants, and parameters, expressed in algebraic
equations.
• Perform resource usage optimization

• This model generally try to find a solution which maximizes

or minimizes certain aspects of business, under the
conditions of constraints. Nirmala College, Muvattupuzha
• DSS components
– Database
– Models
– DSS tools
• Query processing
• OLAP
• Spreadsheet
• Statistical analysis tools.

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 GDSS(Group Decision Support
System)
• The DSS are designed for a single manager.
• If the decision making situation involves a
number of persons, the DSS which helps the
decision making process is called GDSS.
• GDSS has same components as in DSS with
some additional components for group work.

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• 4 configurations of group members:
1. All group members in one room operating on
network with common display screen to share the
display for all members. GDSS process is
transparent.
2. Gp members sit at their respective locations and
use their desktop and LAN to interact with other
[Link] process is not transparent.
3. Gp members are in different cities and they come
togeher thru teleconferencing or video conferencing
with prior planning for GDSS operations.

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4. Group members are at remote locations may be in
different countries and they come together thru
long distance telecommunications network.
 GDSS support software is available on server for
members to use.
 The common activities are:
 Sending and receiving information in all forms, types
across the network.
 Display of notes, graphics, drawings, pictures.
 Sharing ideas, choices, and indicating preferences.
 Participate in decision making process with inputs, help
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etc.
• GDSS support tools
– Collaborative work management tools
– Groupware software
– DSS tools
• These tools help in calendering ,scheduling,
project mngt, workflow and workgroup
activities, knowledge mngt.
• GDSS activities may not happen in real time in
continuous manner.
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 DSS in E-enterprise
• Main applications in:
– Supply Chain Management
– Customer Relationship Management
– Executive Decision Support
• The objective of DSS in SCM is to reduce the cost of
supply chain operations.
• Supply Chain Management decisions
• Structural
– Deciding number of warehouses,service centres ,their
locations etc.
– Use of mechanized and automated material handling
systems in warehouse ,use of CAM
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• Operational
• stock allocation to work orders
• Clubbing of orders to save transportation cost

• Customer Relationship Management(CRM)

• Meeting customer centric decision requirements like
– Pricing
– Product differentiation
– Deciding payment options
– Credit facilities

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• Executive Decision Support
• Also known as EIS(executive info support systems)
• For strategic mngt of business.
• To solve problem immediately and existing DSS is not
applicable to this pblm.

• Refer Fig:14.12, 14.13, 14.14.

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KNOWLEDGE MANAGEMENT SYSTEMS
• Knowledge is a set of information
– It provides capability to understand different
situations
– Enables to anticipate implications
(happenings/events) and judge their effects
– Suggests ways to handle the situations

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 KNOWLEDGE MANAGEMNET SYSTEMS

• Knowledge gets developed in the organization,

and it resides in people, information files,
databases.
• KM deals with:
– Knowledge generation
– Knowledge codification
– Refinement
– transmission
• KMS are used to give knowledge as the input
in the management process.
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• KMS deals with definition, acquisition,
construction, storage, delivery and application
of knowledge.
• KMS handles 2 types of knowledge:
– Explicit and Tacit

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 KMS architecture

KMS

Identification of Knowledge Knowledge

knowledge generation delivery

Definition and Processing for

Access control
categorization acquisition

Surveying and Manipulation Application

locating And modeling methods

Build knowledge Creation of Storage and

structure KDB security

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• Identification of knowledge
– Knowledge needs to be defined and identified for further
processing
– In terms of scope and category
• Survey-for locating the source of knowledge in the
org
• structuring- for understanding and application.
• knowledge generation -acquisition of knowledge.
• Knowledge manipulation - for understanding and
presentation
• Integrate knowledge sets -to build knowledge db for
access and distribution.

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• Knowledge delivery
– Knowledge needs to be protected and secured
– It needs to be accessed simultaneously by multiple
users
– So access control systems, authorization,
authentication of knowledge

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• Tools for knowledge management
– Database management tools
– Data warehouse, data mining tools
– Process modeling and mngt tools
– Work flow mngt tools
– Search engine tools
– Document mngt tools
– Web based tools.

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Approaches to develop KMS
• Conventional
– Moving from data to knowledge
• Refined
– Moving from results backward to knowledge

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• barriers in the KM system implementation.
– KMS becomes successful in the org when
developers and users recognize the barriers in the
system implementation.
• The barriers are at 4 different locations
– People in the organization
– Management of the org
– Organization structure
– Knowledge itself

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Enterprise Management system (EMS)
• EMS is an integrated solution of tools,
technologies and systems to support all
business needs of the organization.
• The systems in the EMS are:
– ERP , EDI(Electronic Data Interchange)
– CAD/CAM/CAE- for production management.
– AMS-attendance management systems
– DMS-Document Management systems
– CMS-Communication management systems
– SMS- Security management systems
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• When these systems are implemented in an
integrated manner, give rise to the EMS.
• ERP:
– Major decision making and execution takes place
thru ERP.- top mngt
– It handles the operational systems to run the
business- operational mngt
– provides the required inputs to planning and
control systems handled by the middle
management.
– It is supported by various other systems like EDI
• For e-data exchange-email…
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 – Mainly designed for e-commerce functions
– A gateway to interact with vendor, customer, other
associated institutions of the org.
• CAD/CAM/CAE
– Handle design, manufacturing, and engineering
functions.
– Provide the drawings and designs info to ERP
– Equipped with database management facilities
and act as a back up support to ERP.

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• AMS
– Keeps employee related info for personnel
planning, availability and scheduling.
– Provides static and current dynamic info about an
employee( presence, kind of job)

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• DMS
– To keep important documents in the database for
• viewing
• sending messages
• Provides documentation support
– Provides text edit facility for document
manipulation
– In ERP it is used for cross checking the key info
• CMS
– Tracking the important resource for action
– These resources are located, altered and advised
to act from the location where they are.
– ERP uses CMS as a tool for all its communication
needs of recording an event.
• SMS
– Handles security, entry access requirement of the
business operations.
– Provides support to ERP by giving all types of
security to info and systems.

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 Design and
Engineering

CAD/ Attendance
CAM/CAE data
Electronic capture
Commerce EDI AMS

ERP
DMS
SMS
Security Document
CMS management

Communication

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Fig: Components of EMS
• These six systems together act as the support
systems to the ERP.
• They transfer data to ERP
• These systems operate on their native systems
and are interfaced to the ERP thru the
gateway by using specific software.

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 Enterprise Resource Planning
System (ERP)
• An Enterprise-wide info system
• Deals with planning and use of resources used
in the business.
– Resources: Man, money, machine, materials,
manufacturing capacity
• Focus on resource management to maximize
return on investment.

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• ERP implementation achieves the following:
– Seamless integration among different functional
areas
– Design engineering support to make the best of
resource.
– Customer or vendor order tracking till its fulfillment
– Receivable and credit management linked order
execution
– Managing inter-dependencies of complex processes.
– Accounting and measuring the progress and
performance with respect to resources planned and
consumed.
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• It has a client server architecture.
• ERP is always designed as a standard package.
• A typical ERP package solution has the
following modules:
– Sales, marketing, distribution
– Manufacturing
– Stores management
– Finance
– Personnel
– Maintenance
– Purchase, inventory
– Planning and control Nirmala College, Muvattupuzha
• These modules are designed for data capture,
data transaction, validation, analysis,
accounting, updates and reporting.
• All the ERP solutions provide Report Writer for
the user to create reports.
– Trial balance, attendance report, income tax
return, stores ledger.

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• Other features
– Security authorization-
• control at all levels of data access
– Referencing responsibility
• Tracking the chain of events for monitoring, progress
checking and control.
– Implementation of business rules.
• For creation of controlled environment.

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• ERP is a process driven system
• Uses stored procedures, triggers, and alerts.
• Resource Planning, scheduling and optimization
• Creates knowledge databases using DW and DM
applications.
• Can run in different network environments.

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• A detailed modular structure of typical ERP is
made of
– Marketing/promotions/advertising
– Sales order management (Pricing, Credit, Delivery, Billing)
– Procurement and inventory management
– Warehousing and Logistics.
– Production management
– Shop floor management
– Finance
– Accounts
– Fixed Assets management
– Facilities management & maintenance
– HR and Personnel Management, Payroll
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• Benefits of ERP
• Categorized into 3 classes:
– Operational benefits
• Reduced processing cycle
• Access to multidimensional info
• Empowerment of employees to become a
decision maker
• Increase in resource productivity

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– Business Benefits
• Higher profits and improved ROI due to cost savings
• Improved working capital management due to
reduced inventory and receivables.
• Higher utilization of resources reducing the cost of
production per unit
• Higher customer satisfaction due to prompt deliveries.
• Management Benefits
– Change management is easy
– Strategic info about sales, production, resource usage
showed thru pattern, and trends.
– Secured information access to authorized users.
– Cost of business reduced, business performance
improved due to other technologies integration with
ERP processes.

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• BPR is conducted before the ERP solution is
considered for evaluation and
implementation.
• ERP product implementation should be seen
as Change Management process and should
not be treated as software product
implementation.

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• ERP implementation
– ERP implementation follows waterfall approach
– Since it is a long term activity , a preliminary planning is
done to start the implementation.
• RDD- Requirement Definition and Description
– Study by vendor and project in charge of the org.
– Users requirement specifications-RDD
– Since ERP is a standard package, it requires some changes
to suit the reqs of the business .
– So the standard features of the ERP package(standard
RDD) is examined and a new document is prepared
– This is called the Deviation RDD(DRDD)
– Then the changes will be implemented as in the DRDD
– The implementation steps are the following:
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• ERP implementation process model -the 9 step
approach
Product Mapping
to RDD (2)

Requirement Gap Analysis for User Training

Analysis RDD(1) Deploy
Review (3) Hand Holding Fully
Critical Process And Project
Testing Go And
Functional Live Process
Implementation (5) User As Review
ERP product Feedback and (9)
Planned
Configuration (4) Review(7) (8)
Technical
Implementation (6)

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• The model is built on 3 reviews:
1. Product vs. RDD results into gap analysis
– Shows what ERP package offers and what RDD states
– Confirms the usefulness of ERP product

2. ERP configuration Review

– To confirm that the configured is useful to the users.

3. Final review
– After six months usage, to confirm that the RDD is fully
implemented and the solution meets all requirements

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• Implementation process is user driven and
involves management of the organization.
• The major hassles in the implementation:
– Resistance of users
– Limited awareness of users
– Difficulty in change over from old to new system
– Lack of clarity in business req.,customer focus.

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Supply Chain Management (SCM)

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• SCM is an enterprise software to manage and
integrate a network of customers, suppliers,
business partners, distributors, into
organizations internal supply network to
provide product/service to end customers.

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• Participants in SCM
– Manufacturers,
– suppliers,
– transporters,
– distributors,
– warehouses,
– retailers and
– customers.

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 • A supply chain is a dynamic network of its
participants and runs with a constant flow of its 3
inputs,
o Information
o goods
o funds
• All these 3 inputs flow between participants of
the chain.
• Higher the speed of this flow, higher the
response of the SC.
• SCM involves the management of these flows
to maximize the value
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• It manages the movement of raw materials
and components into the organization.
• It acts as a bridge between external network
of suppliers, customers and business partners.
• The purpose of SCM is to fulfill customer
expectations.
• It improves trust and collaboration among
supply chain partners, thus improving
inventory turnover.

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• The SCM system impact is at 3 levels

1. Strategic
• Strategic network performance optimization
• Strategic partnership with SCM partners to collaborate
• Product design and process design coordination
• IT infrastructure, to support SC operations
• Aligning overall organizational strategy with supply
strategy.

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2. Tactical
• Sourcing contracts and other purchasing decisions
• Production decisions: planning and scheduling
• Inventory decisions :quantity, location, quality of
inventory.
• Transportation strategy: frequency, routes, and
contracting.
• Focus on customer demand
• Benchmarking of all operations

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3. Operational
• Daily production and distribution planning
• Production scheduling
• Demand forecasting, planning and scheduling
• Sharing these decision info with SC partners for
collaboration.
• Inbound operations: deliveries from suppliers and impact on
inventory.
• Production operations: receiving material on shop floor and
impact on delivery.
• Outbound operations: planning dispatches and
transportation to meet promised delivery date.
• Reacting daily on SC performance measure.

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• Major SC functions are
– Marketing
– Manufacturing
– Procurement
– Inventory
– Warehousing‘
– Distribution
– Customer service
• The process begins with customer order and
ends with delivery of goods or services.

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Process view of supply chain

• Stage: Cycle
Retailer 1 Customer order cycle
Customer
2 Retail stock replacement cycle
Distributor

Transporter 3 Transportation cycle

Warehouse 4 Goods handling

Manufacturer 5
Manufacturing and delivery
supplier 6
procurement

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• SCM means the management of these cycles
effectively and efficiently maximizing the value
of chain.
• SCM effectiveness depends on the design of
the SC.
– Less number of stages between customer and
service/goods provider.
– Physical operations should be automated-for error
free, fast working
– Each stage mustNirmala
be College,
supported
Muvattupuzha
by IT systems.
 – Top level decisions(loc of factory, W.H,
distributors,no of distributors) are with the
objective of minimizing the cost of SC operations
and maximising the value of SC.
– Ease of integration in ERP at enterprise level is a
necessity.
• A SC design based on E-business model raises
the total profit of SC. It offers following cost
reducing opportunities:

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• Reduction in products handling cycle at each
stage.
• Reduced inventory levels across the chain due
to integrated DC inventory policies.
• Reduction in the cost of SC operations due to
reduction in transportation, handling, loading
and unloading of goods.
• Excellent coordination and communication
between stages due to information sharing
avoiding delays and waiting for information.
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Information management in SCM
• Info is a key driver of SCM
• The participants in SC need info about goods
movement ,order placed, order delivered
payables, receivables, etc.
• SC partners have their own IS designed to
meet their MIS goals.
• The primary purpose of SC is to satisfy
customer requirements and maximize the
value of SC.
Nirmala College, Muvattupuzha
 Customer Relationship Management
(CRM)
• CRM is a comprehensive set of processes and
technologies for managing the relationships
with potential and current customers across
the business functions.
• The goal of CRM is to optimize customer
satisfaction and revenue through relationships
built between customers and all those who
deal with customers.

Nirmala College, Muvattupuzha

• CRM is a combination of policies , processes
and strategies implemented by an org to
uniform its customer interactions and provide
a means to track customer info.
• CRM software is used to support customer
interfacing processes.
• CRM system captures customer queries,
orders and contact info and then share with
internal departments for action.

Nirmala College, Muvattupuzha

• CRM is configured around 3 areas.
– Front office operations
• Direct interaction with customers
– Back office operations
• Solving problems and queries of customers
– Business relationships
• Interaction with partners for getting info to solve
customer problems.

Nirmala College, Muvattupuzha

2 approaches to CRM
1. Customer intelligence driven/data driven
2. Process driven

Customer intelligence driven/data driven

• CRM strategies are based on past data and info and
customer intelligence

• customer intelligence is built using information

from
– contact mngt, ordering and follow up till
delivery, call centre mngt, online help, KBES,
email, e-commerce.

Nirmala College, Muvattupuzha

Process driven
• Here customer service process cycle is
managed online and in real time.
• Customer service process cycle has following
phases:
– Initiation of service
– Transaction of service
– Pre-service
– Service
– Post service

Nirmala College, Muvattupuzha

 EMS and MIS
• Traditional business has changed to E-business
and customer is the initiator of the business
process.
• Traditional MIS is not useful for strategic and
critical decision making in new business
scenario.
– It is limited to periodical reporting on
predetermined formats to middle management.

Nirmala College, Muvattupuzha

• The new business env required a set of
additional reports where CSF and critical
business operations are a focus area.
• So the solution is modern MIS built on EMS
– An integrated system of ERP,SCM, CRM etc.
– Its operation is seamless disregarding the hardware
or software platform.
– It takes care of data integrity and consistency
across the organization.
– It is supported by a variety of tools so that it can be
helpful in strategic management.
– It provides executive info for the strategic
management of Nirmala
business.
College, Muvattupuzha
 – It provides transparency to the users by giving
access to the sensitive info to locate, define and
resolve the problems.
– ERP features
• Workgroup management
• Data replication tools
• Work flow automation tools
• EDI, e-mail, data ware house, EIS, barcoding, paging
systems.
• Modern MIS is built as a super structure on
ERP,SCM CRM systems.
• These systems are the source of information
for managing business operations in real time.
Nirmala College, Muvattupuzha
• This structure includes following systems:
Data warehousing and data mining
Executive information systems.
OLAP and query processing
Decision support system.
KMS
• Most of the operational decisions are
automated.
• The decisions at middle management level are
delegated to functional systems.

Nirmala College, Muvattupuzha

• Main focus of MIS in E-business env is to
support strategic management decisions at
top management level.
• ERP system supports management in decision
making of capacity allocation, scheduling of
jobs and so on.
• Modern MIS focuses on resource planning and
control. It points out shortfalls, and under-
utilization of capacity.
• In SCM, MIS focus is on value of supply chain.
• In CRM, MIS focuses on decisions related to
improving customer relations.
Nirmala College, Muvattupuzha
• EMS benefits can be summarized in three
classes namely
– Operational
• because of reduced processing cycle:-benefits in cost,
delivery of goods ,increases resources, resource
productivity.
– Business
• Improvement in profits , and higher level of ROI.
– management
• In the area of strategic info management and its
application for strategic analysis and decision making.

Nirmala College, Muvattupuzha

• EMS solutions are powerful because :
– Business rules are embedded in the process
– automation of decision analysis and
– decision making and generation of Knowledge DB.
• MIS in e-business environment using EMS is
really user driven for user specific information
requirement.
– The user can be customers, suppliers, business
partners and employees of the org.
• Usage of high security systems –because of
wide access scope due to internet and web
technologies.
Nirmala College, Muvattupuzha