Slide 6.

1

Chapter 6
Operations Information and
Management Information Systems

Bocij, Greasley and Hickie, Business Information Systems PowerPoints on the Web, 5th edition © Pearson Education Limited 2015

Slide 6.2

Enterprise and functional BIS
• Business information systems can be categorised
into operations and management systems which
can be implemented as either enterprise or
functional business systems.

Bocij, Greasley and Hickie, Business Information Systems PowerPoints on the Web, 5th edition © Pearson Education Limited 2015

3 Business information systems BIS can be divided into 2 broad categories: • Operations information systems (OIS) – Systems that support an organisation’s business activities. Bocij. Business Information Systems PowerPoints on the Web. Greasley and Hickie.Slide 6. They are used for the tasks involved in the daily running of a business. 5th edition © Pearson Education Limited 2015 . • Management information systems (MIS) – Systems that support (managerial) decision making and provide feedback on organisational activities.

• Office automation systems (OAS): OAS are used to manage the administrative functions in an office environment and are often critical to service-based industries. 5th edition © Pearson Education Limited 2015 . Greasley and Hickie. • Process control systems: These are important in manufacturing industries for controlling the manufacture of goods.Slide 6.4 Types of operations information systems • Transaction processing systems (TPS): These are used to manage the exchange of information and funds between a company and third parties such as customers. Business Information Systems PowerPoints on the Web. suppliers and distributors. Bocij.

Business Information Systems PowerPoints on the Web.5 Transaction processing system (TPS) Examples: When you check at Tesco’s. every time one of your purchases is swiped over the barcode reader. Greasley and Hickie. That is a transaction.Slide 6. 5th edition © Pearson Education Limited 2015 . Paying bills through call centre Bocij. A withdrawal of money from an auto-teller machine (ATM).

1 Key elements of a transaction processing system Bocij.Slide 6. 5th edition © Pearson Education Limited 2015 .6 Key elements of a transaction processing system Figure 6. Business Information Systems PowerPoints on the Web. Greasley and Hickie.

Business Information Systems PowerPoints on the Web. Real Time Systems: Process information immediately Examples: Examples: Bocij. It is useful for the companies that need to process the large amount data using limited resources. 5th edition © Pearson Education Limited 2015 .Slide 6.7 Types of Transaction processing system (TPS) Batch Systems: Collect information on transaction in batches before its is processed at times of lower transaction. Greasley and Hickie.

Business Information Systems PowerPoints on the Web.8 Types of Transaction processing system (TPS) Figure 6.2 Network architecture for a retail transaction processing system Bocij. Greasley and Hickie. 5th edition © Pearson Education Limited 2015 .Slide 6.

Slide 6. Workflows help manage business processes by ensuring that tasks are prioritised to be performed: As soon as possible By the right people In the right order Bocij. •Groupware – Assists teams of people working together through facilities such as email and teleconferencing within or between companies. retrieved and manipulated across a computer network. 5th edition © Pearson Education Limited 2015 . Greasley and Hickie. Business Information Systems PowerPoints on the Web.9 Office automation systems (OAS) Systems intended to increase the productivity of office workers. • Workflow management systems (WFMS) . •Document imaging process (DIP) – Converts documents into digital format using a scanner which can then be stored.Used to automate business processes by providing a structured framework to support the process.

Collaboration is the act of joint cooperation in solving a business problem or undertaking a task. This includes distributing tasks to team members.Slide 6. Groupware for conferencing is sometimes known as “computermediated communication” (CMC) software. reviewing their performance.10 Groupware Groupware assists teams of people in working together because it provides the “three Cs”: Communication is the core groupware feature which allows information to be shared or sent to other using electronic mail. 5th edition © Pearson Education Limited 2015 . Bocij. Greasley and Hickie. Business Information Systems PowerPoints on the Web. Coordination is the act of making sure that a team is working effectively and its goals.

Slide 6.11 Figure 6. Greasley and Hickie. Business Information Systems PowerPoints on the Web. 5th edition © Pearson Education Limited 2015 .3 Universal inbox of Novell Groupwise groupware product Bocij.

5th edition © Pearson Education Limited 2015 .Slide 6. Bocij. Greasley and Hickie. including the cost of handling large amounts of paperwork and the time wasted searching for paper documents. retrieval and manipulation of the document on computer.12 Document imaging process (DIP) DIP systems attempt to alleviate the problems caused by paper-based systems. Business Information Systems PowerPoints on the Web. DIP systems convert documents (and images) into a digital format which allows storage.

5 Components of a document image processing system Bocij. Greasley and Hickie.Slide 6. 5th edition © Pearson Education Limited 2015 . Business Information Systems PowerPoints on the Web.13 Figure 6.

6 Document management software for reconciling supplier invoice with purchase order data Source: Chaffey (2004).Slide 6.14 Figure 6. Bocij. 5th edition © Pearson Education Limited 2015 . Business Information Systems PowerPoints on the Web. Greasley and Hickie.

in whole or part during which documents.” • • • • • Workflows help manage business processes by ensuring that tasks are prioritised to be performed: as soon as possible by the right people in the right order. such as a customer’s personal details.Slide 6.15 Workflow Management Systems (WFMS) Workflow management (WFM) is defined by the Workflow Management Coalition as “the automation of a business process. according to a set of procedural rules. – allow collaboration between people sharing tasks. information or tasks are passed from one participant to another for action. – provide an overview for supervisors of the status of each task and the team’s performance. 5th edition © Pearson Education Limited 2015 . Business Information Systems PowerPoints on the Web. Bocij. Workflow software provides functions to – assign tasks to people. – remind people about their tasks which are part of a workflow queue. Greasley and Hickie. – retrieve information needed to complete the task.

Greasley and Hickie. Business Information Systems PowerPoints on the Web.7 Example of a workflow application from Staffware Source: Staffware. Bocij. 5th edition © Pearson Education Limited 2015 .Slide 6.16 Figure 6.

17 Process control systems • These systems support and control manufacturing processes. – Materials requirements planning (MRP) aims to ensure the right amount of stock is held for the production schedule. Bocij.Slide 6. 5th edition © Pearson Education Limited 2015 . Business Information Systems PowerPoints on the Web. Greasley and Hickie.

Greasley and Hickie. Bocij. • Information reporting systems (IRS).18 Types of management information systems • Decision support systems (DSS).Slide 6. • Executive information systems (EIS). These provide information and models in a form to facilitate tactical and strategic decision making. 5th edition © Pearson Education Limited 2015 . compare and highlight trends to help govern the strategic direction of a company. These provide senior managers with a system to analyse. These provide pre-specified reports for day-to-day decision making. Business Information Systems PowerPoints on the Web.

Business Information Systems PowerPoints on the Web.Slide 6.19 Figure 6. 5th edition © Pearson Education Limited 2015 . Greasley and Hickie.12 Classification of decisions by decision type and their relation to different types of system Bocij.

– Neural networks – Learn problem solving skills by exposure to a wide range of problems.Slide 6.20 Decision support systems (DSS) • Provide information in a form to facilitate tactical and strategic decision making. – Example: Barclays Bank’s fraud predicting system. Bocij. 5th edition © Pearson Education Limited 2015 . • Types of DSS include: – Expert systems – Represent the knowledge and decision-making skills of specialists. Example: Medical expert system MYCIN identifies the treatment for blood disorder. Business Information Systems PowerPoints on the Web. Greasley and Hickie.

Business Information Systems PowerPoints on the Web. They can be generated automatically by the information system when a performance measure moves outside a predefined range. 5th edition © Pearson Education Limited 2015 . • Exception reports: These are reports produced only when required.Slide 6. Examples include a monthly financial statement and a weekly sales analysis.21 Information Reporting Systems (IRS) • Periodic reports: These are predefined reports that are required by decision makers at regular intervals. Examples include sales falling below a certain level and customers exceeding their credit limits. Greasley and Hickie. Bocij. Exception reports can also be generated manually when a decision maker does not want to wait until the next scheduled periodic report or the information is only occasionally required.

5th edition © Pearson Education Limited 2015 . Business Information Systems PowerPoints on the Web.Slide 6.comshare.com . – See www. Greasley and Hickie.com. – Provide summary information on key performance indicators. www.cognos. Bocij. integrate data from a wide variety of sources including competitor data and market information.22 Executive information systems (EIS) • Provide senior managers with information to assist in making tactical and strategic decisions.