Management Information System

1. What is Planning? Components of Organizational Planning. Ans: Planning: Planning Bridge the gap from where we are, to where want to go. Planning means setting an organizational goals and deciding how best to achieve them. ---Griffin Components of Organizational Planning:

Strategic Planning Deals with the development of an organizations mission, goals, strategic and policies Begins with strategic visioning questions Tactical Planning The setting of objecting and the development of procedures, rules, schedules and budgets Operational Planning Done on a short-term basis to implement and control day-to-day operations

2. Strategic Positioning Matrix. Ans: A strategic positioning matrix can help a company identify where to concentrate its use of Internet technologies to gain a competitive advantage with E-business and E-commerce. The quadrants of the matrix represent: Cost and Efficiency Improvements: This quadrant represents a low amount of internal company, customer, and competitor connectivity and use of IT via the Internet and other networks. Strategy: Focus on improving efficiency and lowering costs by using the Internet and the World Wide Web as a fast, low-cost way to communicate and interact with customers, suppliers, and business partners. Example: The use of E-mail, chat systems, discussion groups, and a company Web site. Performance Improvement in Business Effectiveness: A company has a high degree of internal connectivity and pressures to substantially improve its business processes, but external connectivity by customers and competitors is still low. Strategy: Make major improvements in business effectiveness. Example: Widespread internal use of Internet-based technologies like Intranets can substantially improve information sharing and collaboration within the business and with its trading partners. Global Market Penetration: A company that enters this quadrant of the matrix must capitalize on a high degree of customer and competitor connectivity and use of IT. Strategy: Develop E-business & E-commerce applications optimize interaction with customers & build market share. Example: E-commerce websites with value-added information services & extensive online customer support.
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Management Information System

Product and Service Transformation: A company and its customers, suppliers, and competitors are extensively networked. Internet-based technologies, including E-commerce websites, E-business Intranets and extranets must now be implemented throughout the companys operations and business relationships. Strategy: Develop and deploy new Internet-based products and services that strategically reposition it in the marketplace. Example: Use the Internet for electronic commerce transaction processing with customers at company Web sites, and E-commerce auctions and exchanges for suppliers. 3. What is Implementation? Short discuss Implementation Information Technology. Ans: Implementation: A process of carrying out the plans for change in e-business strategies and applications that were developed during the planning process. Implementation Information Technology: Implementing new e-business strategies requires managing the effects of major changes in key organizational dimensions such as business processes, organizational structures, managerial roles, employee work assignments, and stakeholder relationships that arise from the deployment of new e-business systems. Many businesses have undergone multiple major reorganization since the early 1980s Business process reengineering Installation and upgrade of an ERP system Upgrading legacy systems to be Y2K compliant Creating shared services centers Just-in-time manufacturing Sales force automation Contract manufacturing Sales force automation Contract manufacturing The introduction of euro currency E-Business is the latest organizational change 4. What is Change Management? Key Dimension of Change Management. Ans: Change Management: Managing the process of implementing major changes in information technology, business processes, organizational structure, and job assignments to reduce the risks and costs of change, and optimize its benefits. Key Dimension of Change Management:

5. What is System Thinking? Show the System Thinking Example.

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Management Information System

Ans: System Thinking: System thinking as follows: Seeing the forest and trees in any situation Seeing interrelationships among systems rather then liner cause-and-effect chains Seeing process of change among system rather than discrete snapshots of change Find the input, processing, output, feedback and control components System Thinking Example:

6. System Development Lifecycle (SDLC). Ans:

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Management Information System

7. Prototyping Life cycle. Ans: Identify an End Users Business Requirements Investigation/Analysis: End user identifies their business needs & assesses the feasibility of several alternative information system solutions.

Develop Business System Prototypes Prototyping Cycle Revise the Prototypes to Better Meet End User Requirements Maintenance Cycle Use & Maintain the Accepted Business System

Analysis/Design: End user & IS specialists use application development tools to interactively design & test prototypes of information system components that meet end user business needs.

Design/Implementation: The business system prototypes are tested, evaluated and modified repeatedly until end user fined them acceptable.

Implementation/Maintenance: The accepted business system can be modified easily since most system documentation is stored on disk.

8. What is a Project? Point of view Phases of Project Management. Ans: Project: Every project has A set of activities with a clear beginning and end Goals Objectives Tasks Limitations or constraints A series of steps or phases Managing a project effectively requires Process Tools Techniques Phases of Project Management: There are five phases in most projects as follows: (i) Initiating/Defining: State the problem(s) and/or goal(s) Identify the objectives Secure resources Explore the costs/benefits in the feasibility study (ii) Planning:
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Management Information System

Identify and sequence activities Identify the critical path Estimate the time and resources needed for project completion Write a detailed project plan (iii) Executing: Commit resources to specific tasks Add additional resources and/or personnel if necessary Initiate work on the project (iv) Controlling: Establish reporting obligations Create reporting tools Compare actual progress with baseline Initiate control interventions, if necessary (v) Closing: Install all deliverables Finalize all obligations and commitments Meet with stakeholders Release project resources Document the project Issue a final report 9. Short discuss Major System Conversion Strategies. Ans: Major System Conversion Strategies as follows: (i) Direct conversion: The simplest conversion strategy The most disruptive to the organization Sometimes referred to as the slam dunk or cold-turkey strategy May be the only viable solution in cases of emergency implementation or if the old and new system cannot coexist Has the highest risk of failure Involves turning off the old system and turning on the new one (ii) Parallel Conversion: Old and new systems are run simultaneously until everyone is satisfied Conversion to new system can be single cutover or phased cutover Has the lowest risk, but the highest cost Best choice where an automated system is replacing a manual one (iii) Pilot Conversion: Scenarios best suited to a pilot conversion --Multiple business locations --Geographically diverse locations Advantages of single location conversion --Can select a location that best represents the conditions across the organization --Less risky in terms of loss of time or delays in processing --Can be evaluated and changed before further installations (iv) Phased Conversion: A phased or gradual conversion --Takes advantage of both the direct and parallel approaches --Minimizes the risks involved --Allows the new system to be brought online as logically ordered functional components
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Management Information System

Disadvantages --Takes the most time --Created the most disruption to the organization over time (v) Post-Implementation Activities: The single most costly activity --Correcting errors or faults in the system --Improving system performance --Adapting the system to changes in the operating or business environment --Requires more programmers than does application development --May exist for years (vi) Systems Maintenance: There are four basic categories of system maintenance --Corrective: fix bugs and logical errors --Adaptive: add new functionality --Perfective: improve performance --Preventive: reduce chances of failure (vii) Post-Implementation Review: Ensures that the newly implemented system meets the established business objectives --Errors must be corrected by the maintenance process --Includes a periodic review/audit of the system as well as continuous monitoring 10. What is Information Security? Business Benefits of good Information Security. Ans: 11. Describe the objective of Electronic Business System. Ans: Electronic Business System: Section I: Enterprise Business Systems; Section II: Functional Business Systems So, describe Enterprise Business System As follows: Enterprise Application Integration: EAI software connects cross-functional systems; Serves as middleware to provide Data conversion Communication between systems Access to system interfaces Transaction Processing Systems: Cross-functional information systems that process data resulting from the occurrence of business transactions. Transactions include sales, purchases, deposits, withdrawals, refunds, and payments Online transaction processing (OLTP) is a real-time system that captures transactions immediately Enterprise Collaboration Systems (ECS): EC systems are cross-functional information systems that enhance team and workgroup Communication- sharing information with each other Coordination- coordinating our individual work efforts and use of resources with each other Collaboration-working together cooperatively on joint projects and assignments
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Management Information System

12. Describe the Essential E-Commerce Architecture. Ans:

13. What do you mean by Enterprise Collaboration Systems? Describe the tools of Enterprise Collaboration Systems (ECS). Ans: Enterprise Collaboration System: Support communication, coordination, and collaboration among networked teams/workgroups. ECS Tools as follows:

14. Describe Workflow management with example. Ans:

15. Explain Financial Management System.

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Management Information System

Ans: Supports business managers and professionals making decisions concerning Financing of a business Allocation and control of financial resources within a business

16. Write about Electronic commerce and explain its categories. Ans: E-commerce: E-commerce consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks. Categories of E-commerce: (i) Business-to-Business (B2B): B2B e-commerce is defined as ecommerce between companies. Example: Intel selling processor to Dell. (ii) Business-to-Consumer (B2C): B2C e-commerce between companies and consumers. Example: Dell selling me a laptop. (iii) Consumer-to-Consumer (C2C): C2C is e-commerce between private individuals or consumers. Example: Rahim buying an iPod from Karim on eBay. (iv) Business-to-Government (B2G): B2G is defined as commerce between companies & the public sector. Example: Business pay taxes, sell goods & services to Govt. agencies. (v) M-commerce: M-commerce is the buying, selling of goods and services through wireless technology. Example: Mobile Ticketing, Mobile Banking. 17. What is CRM? Discuss the benefits of CRM. Narrate the three (3) phases of CRM. Ans: CRM: CRM uses IT to create a cross functional enterprise system that integrates and automates customer-serving processes. Benefits of CRM: Identify and target the best customers Real-time customization and personalization of products and services Track when and how a customer contacts the company Provide a consistent customer experience Provide superior service and support across all customer contact points Three (3) phases of CRM: 1. Acquire: By doing a superior job of contact management, sales prospecting, selling, direct marketing, & fulfillment. 2. Enhance: By supporting superior service from a responsive networked team of sales and service specialists. 3. Retain: Help identify and reward your most loyal, profitable customers.

Acquire

Enhance
Three (3) phases of CRM

Retain

18. Define ERP? Discuss the Benefits and Challenges of ERP and causes of ERP failures.
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Management Information System

Ans: ERP: Enterprise resource planning (ERP) is a cross-functional enterprise system that serves as a framework to integrate and automate many of the business processes that must be accomplished within the manufacturing, logistics, distribution, accounting, finance, and human resources functions of a business. Benefits and Challenges of ERP: Quality and efficiency: ERP creates a framework for integrating and improving a companys internal business processes that result in significant improvements in the quality and efficiency of customer service, production, and distribution. Decreased costs many companies report significant reductions in transaction processing costs and hardware, software, and IT support staff compared to the non-integrated legacy systems that were replaced by their new ERP systems. Decision support ERP provides vital cross-functional information on business performance quickly to managers to significantly improve their ability to make better decisions in a timely manner across the entire business enterprise. Enterprise agility ERP can be used in breaking down many former departmental and functional walls, which results in more flexible organizational structures, managerial responsibility, and work roles. The result is a more agile and adaptive organization and workforce that can more easily capitalize on new business opportunities. Causes of ERP Failure: Under-estimating the complexity of planning, development, training Failure to involve affected employees in planning and development Trying to do too much, too fast Insufficient training Insufficient data conversion and testing Over-reliance on ERP vendor or consultants 19. Artificial Intelligence (AI) Ans: Artificial intelligence (AI) is a science and technology based on disciplines such as computer science, biology, psychology, linguistics, mathematics, and engineering. The goal of AI is to develop computers that can think, as well as see, hear, walk, talk, and feel. A major thrust of AI is the development of computer functions normally associated with human intelligence, such as reasoning, learning, and problem solving. 20. Decision Support in Business Ans: To succeed in business today, companies need information systems that can support the diverse information and decision-making needs of their managers and business professionals. This is accomplished by several types of management information, decision support, and other information systems. The Internet, intranets, and other Web-enabled information technologies have significantly strengthened the role that information systems play in supporting the decision-making activities of every manager and knowledge worker in business.

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