Chapter (2): E-Business: : How Businesses Use Information Systems

Systems that span the enterprise

Enterprise applications
• that span functional areas, focus on executing business processes across the
Systems
firm, and include all levels of management.
‫ ه مجموعة من النظم الت تخدم العمليات اإلدارية الت تتم داخل ر‬: ‫الشكة‬
‫الشكة وتخدم جميع‬ ‫تطبيقات ر‬
‫ي‬ ‫ي‬ ‫ي‬
. ‫مستويات اإلدارة‬
-There are four major enterprise application.
1. Enterprise systems ‫الشكة‬‫نظم ر‬
2. Supply chain management systems ‫نظم إدارة سلسلة العرض‬
3. Customer relationship management systems ‫نظم إدارة العالقة مع العميل‬
4. Knowledge management systems ‫نظم إدارة المعرفة‬
Enterprise Application Architecture

Enterprise applications automate

•
- Process that span multiple business functions and organizational levels and may
extend outside the organization

1
 1-Enterprise systems (Enterprise Resources planning) ERP
- Integrate data from key business processes into single system.
- Centralize all the information in the organization.
Advantages:
- Speed communication of information throughout firm.
- Enable greater flexibility in responding to customer requests, greater accuracy in order
fulfillment.
- Enable managers of large firms to assemble overall view of operations.(Bird view)
- Alcoa used ERP to eliminate redundancies(duplication) and inefficiencies in its disparate
systems.
-ERP concerns about the best practices (Benchmarking) Role Model
‫الشكة وكل النشاطات‬‫نظام تخطيط موارد النظام هو النظام الوحيد الل بيجمع كل العمليات اإلدارية الل بتقوم بيها ر‬
‫ي‬ ‫ي‬ -
)‫(العمود الفقري للمنظمة‬.‫لنظام واحد فقط‬
.‫بي المستويات اإلدارية داخل مستويات المنظمة‬ ‫رسعة تدفق وانتقال المعلومات ن‬ -
.‫زيادة المرونة ن يف التعامل مع متطلبات العمالء ووجود دقة ن يف اكتمال الطلبيات‬ -
‫ن‬ ‫ن‬
‫الل تتم يف كل الفروع‬ ‫ر‬
‫الل عندهم رسكات كبية وفروع كتية يف السيطرة عل كل العمليات اإلدارية ي‬ ‫تمكي المديرين ي‬
‫ن‬ -
‫ن‬ ‫ن‬
‫شغل‬
‫ي‬ ‫نفس بأحسن منافس موجود يف السوق يف مجال‬ ‫ي‬ ‫هدف النظام ده القيام بفضل الممارسات الممكنة (قارن‬- -
)‫نفس لحد لما أوصله ( جامعة اسكندرية تحاول توصل ألحسن جامعة مثال‬ ‫ي‬ ‫وأحاول أطور من‬
Disadvantages:
1- Very costly(as software and hardware.)
2- Need to change employee mentality (change management)
3-Difficult to implement
4-time consuming
: ‫عيبوبه‬
‫ن‬
‫ن‬
‫العاملي تغي‬ ‫نظرا للتغيات الجذرية ال هيعملها النظام يف طريقة عمل المنظمة فنطلب من‬-2 ‫مكلف جدا‬-1 -
)‫طريقة شغلهم فممكن يقاموا (مش هيتقبلوا التغيي بسهولة‬

Note:
• It contains (SCMs, CRMs, & KMSs) but in one system.

2
 2-Supply chain management systems (SCMs)
- Manage relationships with suppliers, purchasing firms, distributors, and logistics
companies.
- Manage shared information about orders, production, inventory levels, and so on.
Goal is to move correct amount of product from source to point of consumption as quickly
as possible and at lowest cost.

- SCMs apply JIT system

‫والشكات األخرى سواء كانوا (موردين أو ررسكات لوجستية أو‬
‫الشكة ر‬ ‫بي ر‬ ‫ نظام إدارة سلسلة التوريد بيدير العالقة ن‬-
‫ن‬
)‫موزعي‬
‫ن‬
. ‫الشكة والموردين والمصنع لتنفيذ الطلبيات يف جداولها المحددة‬ ‫بي ر‬‫ وجود معلومات مشيكة ن‬-
.‫ هدف النظام توصيل كمية المنتجات المطلوبة بأرسع طريقة ممكنة وبأقل تكلفة‬-
‫ن‬
‫ ي‬SCM ‫ يساعد‬-
.‫ض العميل‬ ‫ن‬ ‫ن‬ ‫ن‬
‫فبالتال بنقلل المخزون وبي ي‬
‫ي‬ ‫بحض المنتج أول لما العميل بيطلبه‬ ‫يعت‬
‫ وده ي‬JIT ‫عل تطبيق‬
- Type of inter organizational system: V.imp
Automating flow of information across organizational boundaries
‫بي المنظمات المختلفة الل وبيخرج بره حدود ر‬
‫الشكة‬ ‫هو نظام رييبط ن‬
‫ي‬
3 types of SCM
1-SCM(Source) )‫بي الموردين‬
‫المنبع ( انتقال المواد ن‬
2- SCM((Internal) ) ‫نهائ‬
‫حت يتم التصنيع ولوصول لمنتج ي‬
‫ر‬
‫(انتقال المواد الخام جوه الشكة من ورشة للتانية ي‬
3-SCM(Destination)‫حت يصل لنقطة المستهلك‬ ‫النهائ للموزع ي‬
‫ي‬ ‫انتقال المنتج‬
‫ نقط ببعض‬3 ‫هو ال بيبط ال‬SCM ‫ال‬

3-Customer Relationship Management Systems (CRMs)

- Help manage relationship with customers.
- Coordinate business processes that deal with customers to optimize revenue and
customer satisfaction, and increase sales.
- Combine sales, marketing, and service record data from multiple communication channels
to provide unified view of customer, eliminate duplicate efforts.
- e.g., Saab CRM applications to achieve 360 degree view of customers resulted in greater
follow-up rate on sales leads and increased customer satisfaction.
‫مبيعائ ده‬
‫ي‬ ‫األساس ازاي أوصل العميل مرحلة رضا وازود‬
‫ي‬ ‫ نظم إدارة العالقة مع العميل هو نظام هدفه‬-
.‫ لكل عميل‬profile ‫ وهنا احنا حنعمل‬application
Touchpoint ‫ والزم أوصل لكل عميل عن طريق جميع قنوات األتصال‬-
‫ن‬
‫ اتجاهات (المبيعات والتسويق والخدمات) علشان‬3 ‫عارفي أن النظام بيكز عل‬ ‫ علشان يحصل ده الزم نكون‬-
.‫نقدر نفهم العميل بشكل متكامل‬

3
 CRM has 3 Modules ( Sub systems)
1- CRM for service (ex: offers discounts, free offers)
‫ن‬
‫المميين بالنسبلنا‬ ‫الذهت بتاعك علشان أنت من العمال‬ ‫تعال خد كارت األتمان‬ ‫البنك مثال يتصل بيك ويقولك‬
‫ري‬ ‫ي‬
‫ن‬
‫للعاملي بخدمة العمالء أدوات التحليل و إمكانية الوصول الفوري لقواعد بيانات العمالء و كمان تطبيقاته زي‬ ‫بيوفر النظام‬
‫ن‬
‫العاملي لحل مشكلة العميل أو من خالل‬ ‫عل‬
‫ مثال تحويل مكالمات العمالء اتومتك ي‬Sales force Automation (SFA)
‫المواقع‬
2- CRM for marketing (Data mining, & online analytical process OLAP) to analysis
customer data.

3- CRM for sales:

A. Up selling:- a sales technique whereby a seller induces the customer to purchase more
expensive items, upgrade or other add-ons in an attempt to make a more profitable
sale. While it usually involves marketing more profitable services or products.

B. Cross selling:- a sales technique whereby a seller induces the customer to purchase two
items instead of one item.

.‫ج يشيي منتج محدد أنا أقنعه أنه يشيي منتج أغل‬ ‫ معناه أن العميل ر ي‬Up-selling
‫الل هو عايزه واخليه يشيي منتج‬
‫ج يشيي منتج محدد أنا أقنعه أنه يشيي المنتج ي‬‫ معناه أن العميل ر ي‬Cross-selling
.‫كمان‬
4-Knowledge Management Systems (KMS)
- Knowledge management systems:
.‫الخية‬ ‫نظام إدارة المعرفة – المعرفة ه ميكس ن‬
‫ ر‬+ ‫بي المعلومات‬ ‫ي‬
- Help capture, storage, distribute, and apply knowledge so that it can be leveraged for
strategic benefit.
‫ه برامج أو نظم مصممة لخلق و إلتقاط و مشاركة المعرفة من أجل نجاح المنظمة‬
‫إداره المعرفة ي‬
-Intranet can be easily adopted to KMS
• Include systems for:
-Managing processes for capturing and applying knowledge and expertise.
‫والخيات‬
‫ر‬ ‫بيدير العمليات ال ليها عالقة بتجميع المعرفة‬
-Collect relevant knowledge and make it available wherever needed in the enterprise to
improve business processes and management decisions
‫بيجمع المعرفة وبيخليهامتاحة ألي حد نف ر‬
Business process‫الشكة عايز يطور ال‬ ‫ي‬
‫بيبط ر‬
-Link firm to external sources of knowledge ‫الشكة بمصادر المعرفة الخارجية‬
-Distributing knowledge ‫عمليه توزي ع المعرفة‬

4
 • Intangible knowledge assets
- Knowledge about producing and delivering products
- Source of value and advantage for firms

• There are two types of knowledge

Explicit Knowledge Tacit (Implicit) knowledge
) ‫معرفة واضحة(ملموسة‬ ‫معرفة ضمنية غي واضحة‬
-Knowledge that is (Documented) and -Knowledge embedded in the human mind
digitized in books, documents and Reports. through experience.
Easy to be identified, shared and -personal wisdom and experience, context-
employed. specific.
‫ ه أسهل للتعرف عليها و توثيقها و يمكن ر‬-Very difficult to extract and codify.
‫نشها‬ ‫ي‬
. ‫ بسهولة‬-Expert system:
-Designed to extract tacit Knowledge
‫الت ال يتم توثيقها بسهولة يتم نقلها‬
‫ه المعرفة ي‬
‫ي‬
‫الخية‬
‫من خالل السلوكيات و ر‬

Intranets and Extranets

-Technology platforms that increase integration and expedite the flow of information

1- Intranets ‫شبكة داخلية (داخل حدود ر‬

)‫الشكة‬
- Internal company websites that are accessible only by employees.
- Internal networks based on internet standards
1- Tacit knowledge (In tangible) )‫معرفة ضمنية غي واضحة (غير ملموسة‬
- Typically utilize a portal
‫الخية‬
‫الت ال يتم توثيقها بسهولة يتم نقلها من خالل السلوكيات و ر‬
‫ه المعرفة ي‬
‫ي‬
2-2-Explicit knowledge (tangible)
Extranets ‫واضحة حدود ر‬ ‫معرفة‬
)‫الشكة‬ ‫ر شبكة خارجية (تمتد خارج‬
‫ه أسهل للتعرف عليها و توثيقها و يمكن نشها بسهولة‬ ‫ي‬
- Intranets extended for authorized use outside the company for partners, customers.
- Company websites are accessible usually only to vendors and suppliers.
- Facilitate collaboration
What's the difference and internet to drive major business processes
‫إدارة األعمال اإللكيونية‬
E- Business -Use of digital technology and internet to drive major business processes
.‫استخدام التكنولوجيا الرقمية واإلنينت للقيام باألعمال اإلدارية‬
E- Commerce ‫التجارة اإللكيونية‬
-Subset of e-business
Buying and selling goods and services through internet

5
E- Government ‫الحكومية اإللكيونية‬

-Use internet technology to deliver information and services to citizens, employees,

and business

‫والموظفي ر‬
‫ن‬ ‫ن‬ ‫ن‬
‫للشكات اإلدارية …زي مثال‬ ‫المواطني‬ ‫استخدام تكنولوجيا المعلومات يف توصيل معلومة وخدمات‬
.‫عل األنينت‬ ‫تكتب رغبات الكلية ي‬.... ‫عل األنينت‬
‫عل موقع الوزارة ي‬ ‫أنك تدفع فواتي الغاز و المياه والكهربا ي‬
_________________________________________________________________
What is the collaboration
Growing importance of collaboration ‫أهمية التعاون‬
1. Changing nature of work
2. Growth of professional work
3. Changing organization of the firm
4. Changing scope of the firm
5. Emphasis on innovation
6. Changing culture of work
Business Benefits of Collaboration and Teamwork
- Large business firms: "command and control" organizations in which upper
management created the strategy and middle management carried out their orders.
‫ن‬ ‫ن‬
‫للموظفي‬ ‫زمان كان الشغل عباره أوامر و تحكم المديرين أل يف المستويات العليا يدوا أوامر‬
- Today, businesses rely on collaborative culture.
- Teams of employees responsible for creating and building.
‫كله بيشتغل مع بعض‬Teams ‫بق عباره عن‬
‫دلوقت الشغل ي‬
‫ي‬
System for collaboration and teamwork

6
 Requirements for Collaboration
-Successful collaboration
requires an appropriate organizational structure and culture, along with
appropriate collaboration technology.
:‫ررسح الرسمة‬
‫ن‬
:‫مهمي‬ ‫ن‬ ‫ن‬ ‫ر‬
‫نقتطي‬ ‫يبق يف‬
‫علشان الشكة تقدر تحقق التعاون بالشكل المطلوب الزم ي‬
‫ن‬ ‫ن‬ ‫الزم ر‬-1
‫(الموظفي يشيكوا مع المديرين يف اتخاذ القرارات) و‬ ‫عل المركزية‬
‫تبق منفتحة والزم نعتمد ي‬
‫الشكة ي‬‫ن‬
‫الزم يكون يف تعاون ألبعد الحدود علشان نضمن نجاح المنظمة‬
‫بي أفراد المنظمة سواء كانوا موجودين جوه‬ ‫الزم نستخدم تكنولوجيا حديثة علشان علشان يحصل تواصل ن‬-2
.‫الشكة أو ن يف أماكن بعيده عن بعض‬‫ر‬
Tools and Technologies for Collaboration and Teamwork
‫األدوات أل هنسخدمها علشان يبق نف تواصل (تعاون) ن‬
‫بي أفراد المنظمة‬ ‫ي ي‬
- E-mail and instant messaging (IM)
- Social networking (face book, tweeter)

- Wikis: Are type of website that makes it easy for users to contribute and edit text
content and graphics without any knowledge of webpage development or programming
techniques.
‫والرس ومات دون أي‬ ‫ن‬
‫تخدمي المس اهمة وتعديل محتوى الن‬ ‫هو نوع من مواقع الويب يس هل عل المس‬
.‫اليمجة‬
‫معرفة بتطوير صفحات الويب أو تقنيات ر‬
- Virtual worlds
- Internet-based collaboration
- Virtual meeting system (telepresence) )‫أنظمة االجتماعات االفياضية (التواجد عن بعد‬
- Google Apps/Google sites.

Microsoft share Point:

is the most widely adopted collaboration system for small-medium size firms
that use Microsoft server and networking products.
‫للموظفي إنش اء مواقع لمش اركة المس تندات والمعلومات مع الزمالء ر‬
‫والش كاء والعمالء لبدء تخزين‬ ‫ن‬ ‫يمكن‬
.‫ملفاتك عل موقع الفريق‬
‫ن‬ ‫ويوفر ن‬
‫ميات وإمكانيات إضافية مثل إدارة محتويات المسسسات والمعلومات المهنية والبح يف المسسسات‬
.‫والموقع الشخصية وملف األخبار‬
Lotus Notes …. Collaborative software system with capabilities for sharing calendars,
collective, writing and editing.

7
 Evaluating and selecting collaboration software tools:
‫أل هنعتمد عليها الزم نقيمها بالشكل الصحيح‬Tool ‫الزم قبل ما نختار ال‬
1. What kinds of solutions are available?
‫ايه منهم ممكن يكون متاح و نستخدمه‬
2. Analyze available products' cost and benefits. ‫التكلفة و المنفعة‬
3. Evaluate security risks. ‫هل ممكن حد يتجسس عليه بسهولة‬
4. Consult users for implementation and training issues.
‫ن‬
‫محتاجي تدريب‬ ‫ن‬
‫المستخدمي عندهم القدرة انهم يستخدموا األدوات دي وال‬ ‫هل كل‬
5. Evaluate product vendors.
Synchronous Synchronous
(Same place " Co-Located" Same Time) (same place "Co-Located" different
time)
Face-to-face interactions Continuous task
Decision rooms, single display groupware, Teams rooms, project management
shared table, wall displays.
Synchronous Synchronous
(Different place Remote "same time) (different place remote" different time)
Remote interactions Communication + coordination
Video conferencing, instant messaging, virtual Email, blogs, group calendars.
world.
 The Time/Space
 Collaboration Tool
 Matrix
 Collaboration technologies can be classified in terms of whether they support
interactions at the same or different time or place, and whether these interactions
are remote or collected.
‫ن‬
‫إذا كانت تدعم التفاعالت يف الوقت أو المكان أو الزمان نفسه وما إذا‬ ‫يمكن تصنيف تقنيات التعاون من حي‬
.‫كانت هذه التفاعالت بعيدة أم مجمعة‬

-Face to face interaction:

.‫األفراد موجودين ن يف نفس المكان و بيتواصلوا ن يف نفس الوقت‬
Continues task

.‫األفراد موجودين ن يف نفس المكان وبس مش بيتواصلوا ن يف نفس الوقت‬

Remote interactions
‫ن‬ ‫ن‬
‫األفراد مش موجودين يف نفس المكان ولكنهم بيتواصلوا يف نفس الوقت‬
Communication + Coordination
.‫األفراد مش موجودين ن يف نفس المكان وبمش بيتواصلوا ن يف نفس الوقت‬

8
 The information system's function in business
The information systems department
 Programmers ‫ميمج‬‫ر‬
Who write the software instructions.
 Systems analysts ‫محلل النظام‬
Principle liaisons to rest of firm ‫الميمج ومحلل النظام‬
‫بي ر‬ ‫منسق الروابط جوه ر‬
‫الشكة ن‬

The information systems managers

 Leaders of teams of programmers and analysts, project managers, physical facility
managers, telecommunications managers, database specialists, managers of computer
operations, and data entry staff.

1- Senior managers: CIO, CSO, CKO, CPO

CIO :chief information officer
CSO :Chief security officer
CKO : Chief knowledge officer
CPO: chief privacy officer

2-End users ( are representativeness of departments outside of the information

systems group for whom application are developed)
3-External specialists (Technical aspect- legal affairs)
_____________________________________________________________________________________

End of CH.2

9
 Questions on Sheets (4 &5)
• First: True and False Questions:
No. Question
1 Information supplied by an enterprise system is structured around cross-functional
business.

2 Supply chain management systems are more externally oriented than enterprise systems

3 Knowledge management systems are used to gather and distribute the firm's essential
operational data, such as sales reports.
4 Cell phones are one of the tools firms use to support teamwork and collaboration.
5 A firm depends heavily on its environment to supply capital, labor, customers, new
technology, services and products, stable markets and legal systems, and general
educational resources.
6 Enterprise applications span the entire firm, integrating information from multiple
functions and business processes to enhance the performance of the organization as a
whole.
7 Supply chain management systems are one type of inter-organizational system because
they automate the flow of information across organizational boundaries.
8 Programmers are representatives of departments outside of the information systems
group for whom applications are developed.
9 System analysis are highly trained technical specialists who write the software
instructions for computers.

10 Email technology allows a videoconference participant to give the appearance of being

present at a location other than his or her true physical location.

11 Enterprise systems do not utilize order transaction data.

12 Expert system is used to capture explicit knowledge.
13 Successful collaboration requires an appropriate organizational structure and culture,
along with appropriate collaboration technology.

14 Decision rooms and single display groupware are an example of a remote interactions
collaboration tool.
15 Email, bulletin board, and blogs are collaboration tools in the face to face interactions.
16 Term rooms and large public displays are examples of remote interactions collaboration
tools.

17 Video conferencing and IM are examples of continuous task collaboration tools.

18 www.egypt.gov.eg is an example of an e-business.

10
No. Question
These systems are designed to support organization side process coordination and integration
a) Decision-support systems
1 b) Management information systems
c) CRM
d) Enterprise applications.
A(n) …………. collects data from various key business processes and stores the data in a
single comprehensive data repository, usable by other parts of the business.
2 a) Transaction processing system
b) Enterprise processing system
c) Automatic reporting system
d) Management information systems.
What is the most important benefit of an enterprise application?
a) Enabling speed of communication
3 b) Enabling business functions and departments to share information.
c) Enabling a company to work collaboratively with customers and suppliers.
d) Enabling cost-effective, e-business processes.
………….. systems integrate and share information from suppliers, manufactures, distributors,
and logistics companies.
4 a) Collaborative distribution
b) Supply-chain management
c) Reverse logistics
d) Enterprise planning
………….. systems provide information to coordinate all of the business processes that deal
with customers in sales, marketing, and service to optimize revenue, customer satisfaction,
5 and customer retention.
a) CRM
b) MIS
c) ESS
d) CPS
Which type of information system would an intranet be most easily adapted to?
a) CRM
6 b) MIS
c) TPS
d) KMS
Which of the following types of system could be used to enable different firms to work
collaboratively on a product?
7 a) Intranet.
b) Extranet
c) KMS
d) CRM
You manage the information systems department at a small startup internet advertiser. You
need to set up an inexpensive system that allows customers to see real-time statistics such as
8 views and click-through about their current banner ads. Which type of system will most
efficiently provide a solution?
a) CRM.
b) Enterprise system.
c) Extranet
d) Intranet

11
 Buying or selling goods over the internet is called:
a) E-commerce
9 b) E-business
c) An intranet
d) An extranet
The use of digital technology and the internet to execute the major business processes in the
enterprise is called:
10 A. E-commerce
B. E-business
C. Enterprise applications
D. MIS
In a business environment, the focus of collaboration is to:
a) Accomplish the task at hand.
b) Provide a sense of community.
11 c) Foster better communication.
d) Prevent miscommunication.
Which of the following statements is NOT true about collaboration in a business setting?
A. Collaboration may be a short-lived activity, lasting just a few minutes.
B. Collaboration is a many-to-many activity as opposed to a one-to-one or one-to-many
12
activity.
C. Meaningful collaboration requires a supportive business firm culture and the right,
decentralized structure.
D. the evidence of the business benefits of collaboration are largely anecdotal.
Which of the following tools is NOT one of the most important 15 types of collaboration
software tools?
13 a) Screen sharing
b) Video streaming
c) Video conferencing
d) E-mail and instant messaging.

Answers
1 2 3 4 5 6 7 8 9
True True False True True True True False False
10 11 12 13 14 15 16 17 18
False False False true False False False False False

1 2 3 4 5 6 7 8 9
D B B B A D B C A
10 11 12 13
B A B B

12