CHAPTER 19 : OUTSOURCING IN THE 21st CENTURY

Two basic options are available to organisations wishing to develop and maintain their information systems :- 

1. Insourcing ---> is a common approach using the develop and maintain the organization's information technology systems
2. Outsourcing ---> is an arrangement by which one organization that chooses not to perform them in-house

3 forms of outsourcing options a project must consider are :- 

• onshore outsourcing = engaging another company within the same country for services
• nearshore outsourcing = contracting an outsourcing arrangement with a company in a nearby country. Often this country will share a border with the native country.
• offshore outsourcing = using organizations from developing countries to write code and develop systems. The country is geographically far away.

Factors affecting the growth of the outsourcing market :-

• core compentencies
• financial savings
• rapid growth
• industry changes
• the internet
• globalization

CHAPTER 15 : CREATING COLLABORATIVE PARTNERSHIPS

Teams , Partnerships, and Alliances

• organizations create and use teams, partnerships, and alliances to                                    - undertake new initiatives                                                                                                         -  - address both minor and major problem                                                                                  -capitalize on significant opportunities

• organizations create teams, partnerships and alliances both internally with employees and externally with other organizations.
• facilitating the sharing and flow of information.
• core competency is an organization's key strength, a business function that it does better than any of its competitors.
•  
• core competency strategy is organization chooses to focus specifically on its core competency and forms partnerships with other organizations to handle nonstrategic business processes.
• information partnerships occurs when two or more organizations cooperate by integrating their IT systems, thereby providing customers with the best of what each can offer.

Collaboration Systems

• an IT-based set of tools that supports the work of teams by facilitating the sharing and flow of information.
• categories:
• unstructured collaboration (information collaboration)
• structured collaboration (process collaboration)

Explicit and Tacit Knowledge

• explicit consists of anything that can be documented, archived, and codified, often with the help of IT.
• tacit is knowledge contained in people's head.

Content Management

• - provides tools to manage the creation, storage, editing, and publication of information in a collaborative environment

Working Wikis

• -wikis is web-based tools to make it easy for users to add, remove and change online.

Workflow Management Systems

• -workflow defines all the steps or business rules, from beginning to end, required for a business process.
• -workflow management system is facilitates the automation and management of business processes and controls the movement of work through the business process

Groupware Systems 

• -groupware is software that supports team interaction and dynamics including calendaring, scheduling and videoconferencing.

CHAPTER 14: EBUSINESS

• Business Model ----> Plans that details how a company creates, delivers and generates revenues
• Ebusiness Model -----> plans that detalis how a company create, delivers and generate revenues on the internet 

1. Business to business (B2B) = applies to businesses buying from n selling to each other over the internet.                                                                                                                                                   E.g : software sales, licensing, virtual assistant business
2. Business to consumer (B2C) = applies to any business that sells its products or services to consumers over the internet.                                                                                                                                       E.g : online business that operate by Zalora .com
   
3. Consumer to business (C2B) = applies to any consumer who sells product or service to a business on the internet.                                                                                                                                               E.g : customer set a price of something and then the seller decide to supply them
4. Consumer to consumer (C2C) = applies to sites primarily offering goods and services to assist consumers interacting with each other over the internet.                                                                              E.g : auction where buyers and seller solicit consecutive bids from each other and prices are determined dynamically.                                                                                                                                                                                    

• Business tools -----> - email - instant messaging - podcasting - web conferencing - video conferencing
• Challenges of ebusiness -----> -identifying limited market segments                                                                                                     -managing consumer liast                                                                                                                   -ensuring consumer protection                                                                                                           -adhering to taxation rules

CHAPTER 12 : INTEGRATING THE ORGANIZATION FROM END TO END - ENTERPRISE RESOURCE PLANNING

ERP - Enterprise resource planning

• ERP system is a databased, when a user enters or updates information in one modul, it is immediately and automatically updated throughout the entire sytem.
• ERP bringing the organization together

Integrating SCM, CRM, ERP

• all are the backbone of e-business
• intergration of these is the key to success for many companies
• integration allows the unlocking of information to make it available to any user, anywhere, anytime

Integration tools

many companies purchase modules from an ERP vendor, an SCM vendor, and a CRM vendor and must integrate the different modules together.

• Middleware - several different types of software which sit in the middle of and provide connectivity between two or more software applications.
• Enterprise application integration (EAI) middleware - packages together commonly used functionally which reduced the time necessary to develop solutions that integrate applications from multiple vendors.
• Data points where SCM, CRM and ERP integrate

Enterprise Resource Planning (ERP)

ERP systems must integrate various organization processes and be:

•  flexible
• modular and open
• comprehensive
• beyond the company

SAP boasts 20,000 installations and 10 million users worldwide.

ERP solutions are growing because:

• ERP is a logical solution to the mess of incompatible applications that had sprung up in most businesses.
• ERP addresses the need for global information sharing and reporting.
• ERP is used to avoid the pain and expense of fixinf legacy systems.

CHAPTER 11 : BUILDING A CUSTOMER-CENTRIC ORGANIZATION - (CRM) CUSTOMER RELATIONSHIP MANAGEMENT

(CRM)

CRM enables an organization to 

1. provide better customer service
2. make call centers more efficient
3. cross sell products more effectively
4. helps sales staff close deals faster
5. simplify marketing and sales processes
6. discover new customers
7. increase customer revenue

(RFM) regency, frequency and monetary value

an organization can find its most valuable customers by using a formula that industry insiders call RFM

1. Regency: how recently a customer purchased items 
2. Frequency: how frequently a customer purchased items 
3. Monetary value: how much a customer speeds on each purchased

The evaluation of CRM

1. CRM reporting technologies help organizations identify their customers across other applications
2. CRM analysis technologies help organizations segment their customers into categories such as best and worst customers
3. CRM predicting technologies help organizations predict customer behavior, such as customers at risk of leaving.

CHAPTER 9: ENABLING THE ORGANIZATIONAL - DECISON MAKING

Decision Making

Reasons for growth of Decision Making information :

• people need to analyze large amount of information
• people must make decisions quickly.
• people must apply sophisticated analysis techniques, such as modeling and foracasting to make good decisions.
• people must protect the corporate asset of organizational information.
• Model : a simplified representation or abstraction of reality. And IT systems in an enterprise.

Transaction Processing Systems  

• Moving up through the organizational pyramid users move from requiring transactional information to analytical information

transaction processing systems is the basic business systems that serves th

operational level (analysis) in an organization.

Decision Support Systems : 

 models information to support managers and business professionals during the decison making process.

3 quantitative models used by DSS: 

• sensitivity analysis : the study of the impact that changes in one or more parts of the  model have on other parts of the model
• what is nalysis : checks the impact of a change in an assumption on the proposed solution
• goal- seeking analysis : finds the inputs necessary to achieve a goal such as a desired level of outputs.

 Executive Information Systems : 

• is a specialized DSS that support senior level executives within the organization.
• Digital Dashboard : integrates information from multiple components and present it in a unified display.

Artificial Intelligence : 

• Intelligence systems is various commercial applications of artificial intelligence.
• Artificial intelligence (AI) is simulates human intelligence such as the ability to reason and learn.
• 4 categories of AI : expert system, neural network, genetic algorithm and intelligent agent.

Data Mining : 

• Data mining software includes many forms of AI such as neural networks and expert systems.

CHAPTER 8: ACCESSING ORGANIZATIONAL INFORMATION - DATA WAREHOUSE

Data Warehouse Fundamentals :

•   Data warehouse - a logical collection of information -gathered from many different operational databases -that supports business analysis activities and decision-making tasks.
• primary purpose of a data warehouse is to aggregate information throughout an organization into a single repository decision-making purposes.
• Extraction, transformation, and loading (ETL) - a process that extracts information from internal and external databases, transform the information using a common set of interprise definitions, and loads the information into a data warehouse.
• Data mart - contains a subset of data warehouse information.

Multidimensional Analysis and Data Mining : 

• cube - common term for the representation of multidimensional information.

• data mining - the process of analyzing data to extract information not offered by the raw data alone.
•  data-mining tool - uses a variety of techniques to find patterns and relationships in large volumes of information and infers rules that predict future behavior and guide decision making.

Information Cleansing or Scrubbing : 

• is a process that weeds out and fixes or discards inconsistent, incorrect, or incomplete information.

Business Intelligence : 

• information that people use to support their decision-making efforts.
• principle BI enablers includes - technology, people and culture. 

CHAPTER 7: STORING ORGANIZATIONAL INFORMATION - DATABASE

Database --->  maintains information about various types of objects (inventory), events (transactions), people (employees), and places (warehouse).

Database models --->

• Hierarchical database model - information is organized into a tree-like structure (using parent/child relationship) in such a way that it cannot have too many relationship.
• Network database model - a flexible way of representing objects and their relationships.
•     Relational database model - stores information in the form of logically related two-dimensional tables.

Entities and Attributes --->

• entities is a person, place, thing, transaction, or event about which information is stored. - the rows, in each table contain the entities.
• attributes (fields, columns) is characteristics or properties of an entity class. - the columns in each table contain the attributes. 

Keys and Relationship --->

• Primary key - a field (or group of fields) that uniquely identifies a given entity in a table.
•   Foreign key - a primary key of one table that appears an attribute in another table and acts to provide a logical relationship among the two tables.

Relational Database Advantages --->

• Increased flexibility - a well-designed database should handle changes quickly and easily and provide users with different view.
• Increased scalability performance - scalability refers to how well a system can adapt to increase demands. And performance is to measures how quickly a system performs a certain process or transaction.
•  Reduced information redundancy - redundancy is the duplication of information or storing the same information in multiple places.
•  Increased information integrity (quality) - information integrity is to measures the quality of information. And the integrity constraint is the rules that help ensure the quality of information. > relational integrity constraint and business-critical integrity constraint.
•  Increased information security - password provides authentication of the user,access level determines who has access to the different types of information, andaccess control determines types of user access, such as read-only access. 

Database Management Systems --->

• software through which users and application programs interact with a database.

Database-Driven Websites ---> 

• an interactive website kept constantly updated and relevant to the needs of its customers through the use of a database.

Integrating Information among Multiple Databases --->

• Integration is allows separate systems to communicate directly with each other. there has two ways is -forwards integration is takes information entered into a given system and sends it automatically to all downstream systems and processes. then, backward integration is takes information entered into a given system and sends it automatically to all upstream systems and processes.