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Chapter1-Overview of Systems Integration

Systems integration allows different information systems within an organization to communicate and share information seamlessly. This is important for organizational growth but can be challenging as organizations become more complex with specialized departments and roles. Enterprise resource planning systems help integrate these different systems. While specialization increases productivity and efficiency, it can also lead to "silos" where departments operate independently without collaboration. Information systems play a key role in supporting both the horizontal and vertical silos within an organization by providing automated support and information to different business functions and management levels.

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75 views41 pages

Chapter1-Overview of Systems Integration

Systems integration allows different information systems within an organization to communicate and share information seamlessly. This is important for organizational growth but can be challenging as organizations become more complex with specialized departments and roles. Enterprise resource planning systems help integrate these different systems. While specialization increases productivity and efficiency, it can also lead to "silos" where departments operate independently without collaboration. Information systems play a key role in supporting both the horizontal and vertical silos within an organization by providing automated support and information to different business functions and management levels.

Uploaded by

dude
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Chapter1-Overview of

Systems Integration
Your best quote that reflects your
approach… “It’s one small step for
man, one giant leap for mankind.”

- NEIL ARMSTRONG
Systems Integration
◦ Systems integration means that you allow an heterogeneous Information System (IS) to communicate or
integrate and share information (or data) seamlessly with one another.
◦ Systems integration is a key issue for an organization for its growth.
◦ – Management needs to pay close attention to this issue.
◦ Enterprise Resource Planning (ERP) systems are a major kind of information system allowing
organizations to integrate different systems into one organization-wide application with an
integrated database management system.
Functional Silos
◦ Silos are basically compartmentalized operating units isolated from their environment.
◦ Horizontal Silos

◦
– Classification of organizations into departments like Accounting and Human Resources, reflects the breaking of complex

tasks into smaller manageable tasks that could be assigned to a group of people who could then be held
responsible.
◦ Vertical Silos

◦
– Organizations also divided roles in hierarchical layers from strategic planning to management control and operation control.

◦
– CEOs and Presidents plan long-term strategy, midlevel management focuses on tactical issues and on the execution of

organizational policy whereas the lower-level management task is to focus on the day-to-day operations of the
company.
Functional Silos
◦ As organizations get big and complex they tend to break functions into smaller units and assign staff the
responsibility for these activities allowing them to manage complexity as well as specialize in activities that
enhance productivity and efficiency.
Information Systems in
Organizations
◦ Information Systems are a critical component of a successful organization today.
◦ · Information Systems play a major role in primary and secondary activities of an organization’s value
chain.
◦ – The evolution of IS suggests that its role has generally been to support evolving information needs
of the organization.
◦ Information Systems provide a high level of computer automation to support business functions

such as: Accounting, Finance, Marketing, Customer Service, Human Resource Management,
Operations, Manufacturing.
◦ – Supporting horizontal silos of organization
Information Systems in
Organizations
◦ · Information systems provide analytical and decision making support for management, which is generally
categorized into three levels- Strategic, Middle, and Operational.
◦ – Supporting vertical silos of organization
◦ Each business functions and management levels has different information requirements.

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