Order Processing Systems

FOR SKODA AUTO A.S.

Content
1. Types of Organisations information systems 2. The position of Order Proccesing within the information system 3. What is Order Processing system 4. Examples of OPSs 5. Benefits and disadvantages 6. Security issues, tracking systems 7. Skoda Auto OPS and recommendations of improvements

Types of information systems within a company

Figure 2-1; Copyright © 2004 by Prentice Hall

Types of information systems within a company

Figure 2-1; Copyright © 2004 by Prentice Hall

Order Process ing System s

What is Order Proccesing System
An Order Processing system (OPS) is a type of information system that collects, stores, modifies and retrieves the data transactions of an enterprise with functions of order the products online. OPS is a part of Transaction Processing Systems

Order Processing includes
• Order approval (B2B) • Expiraton of orders handling • Payment validation, authorization and capture • Automatic E-mail notification • Output to statistics

Examples: Online B2C shop

MP3 player online B2C shop; on www.mp3store.cz

Examples: B2B Extranet Domains purchase

Domena.cz; on www.domena.cz

Examples: Online B2C shop

MP3 player online B2C shop; on www.mp3store.cz

Examples: Booking system of services

Tennis club Hlubočepy, Prague; on www.tenishlubocepy.cz

Benefits of Online processing
• Automatic integration with external inventory systems • Integration with accounting systems/Enterprise Resource Planning (ERP) systems • Extend approval process to include new business rules or multiple levels of approval. • Everything can be handled live without waiting

Disadvantages of Online processing
• High security concerns; the security has to be handled with critical importance • Technological requirements servers, software (SW) • The exactness of the liv performance has to be ensured (live orders is difficult to get back) • Stuff need to be trained to use SW

Usual process of order

Aftter the order different payment options comes. The billing is procceed afterwards. © IBM Corporation and others 2000, 2004

The Merchant can
• Manage the business guidelines associated with inventory and order processing • Receive inventory for items either via an expected inventory record or an adhoc receipt • Make adjustments to inventory • Manage customer returns • Manage customer complaints by using connected Customer Relationship Management (CRM) system • Use expected inventory records to provide customer more accurate estimates of when backordered items will be available

The Customer can
• Check availability of inventory before submitting an order • Check expected shipping date for out of stock items before submitting an order • Submit an order and reserve available inventory or create a backorder for out of stock items • After submitting an order, customer will be given estimated ship dates for all items, whether available now or on

Usual process of order (1/2)

© IBM Corporation and others 2000,

Usual process of order (2/2)

© IBM Corporation and others 2000,

The Customer can
• Check prices, delivery dates and detailed product information • Check availability of inventory before submitting an order • Find out expected shipping date for out of stock items before submitting an order • Submit an order and reserve available inventory or create a backorder for out of stock items • Choose payment methods

Security issue
• Security of authentication, authorization, and access control has to be ensured • Access must be restricted to only those employees who require their use. Restricted access to the system ensures that employees who lack the skills and ability to control it cannot influence the transaction process. • Hardware security: firewalls, servers guarded by security service • Software and transactional security: secured protocols, limited access,

Data tracking and using
• Data gathered by using OPS can be used to:
– Sales statistics and prognosis – Marketing campaigns evaluations – CRM purposes; increasing customer loyalty – Customer primary research – Improving procurement system and logistics

Skoda Auto: current OPS (1/2)
• Skoda Auto use specialized ecommerce systém VYZKOUSENO.cz for order gathering and processing generated by end users. • The system is developed on Microsoft Commerce Server 200 technology with implementation on individualized SpinxPersonal Web software.

Skoda Auto: current OPS (2/2)
• The system enables:
– To access the system from one point with one login – Fast integration with other information systems of Skoda Auto run on Microsoft Commerce Server technology – Easy modifications and upgrades

Skoda Auto: recommendations
1) To intergrate the e-commerce system with CRM 2) To export and automatically evaluate order statistics 3) Enable to place imports from the system to Skoda Auto official dealers > increase the sales by using the same one system on more places

The presentation conducted on October 9, 2008
Nr. of slides: 24 Word count: 551

The References and Bibliography attached as a MS Word document
Vit Horky, horky@inspiro-solutions.cz | +420 731 162 905

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