EBIZ-2100 Assignment 3
What Information Systems Are Used in E-Biz?

 

At the Operations Level:

  • Transactions Processing Systems (TPS) compile and store vast quantities of data from internal sources (such as inventory levels) as well as from external sources (such as customer orders). The resulting database is the companyís central information resource. The business activities that a TPS handles include those related to:
    • Orders
    • Billing
    • Payroll
    • Suppliers
    • Inventory
    • Shipping
    • Pricing
    • Production
     
  • Office Automation Systems are the nuts and bolts of a companyís day-to-day communications, using the basic tools of todayís office:
    • E-mail
    • Word Processing
    • Fax Machines
    • Voice Mail
    • Pagers
    • Cell Phones

On the Strategic Level:

  • Information Reporting Systems are the most basic of the management support systems, where data collected on the TPS are compiled into statistical reports for managers to use in making decisions. Reports may be: 
    • Regularly scheduled or intermittently requested (Demand Reports)
    • Operation-wide or selectively based (Exception Reports)
    • General summaries or statistical comparisons
     
  • Decision Support Systems (DSS) also help managers make decisions, but they are more sophisticated than information reporting systems. By using computer models based on real situations (such as demographics), they allow managers to consider various business scenarios and prepare the best strategies for the most likely possibilities. MS Knowledge is a good example of a DSS. One type of ebiz, referred to as e-merchandising employs DSS technology for ìdata-miningî, a technique wherein information from a companyís database is matched with customer profiles to identify potential new buyers for its products (cross-selling). Typically, a DSS will include:
    • Knowledge bases
    • Frequently Asked Questions (FAQs)
    • Solutions to common problems
     
  • Executive Information Systems are like having a personalized DSS for each decision-maker within an organization. Statistical information from multiple sources is integrated into a report custom-designed for the particular information needs of an executive (i.e. decision-maker). The reports can be used for improving key business concerns such as:

  •  
    • Accountability within functions
    • Productivity
    • Sales and marketing
    • Performance compared to that of the competition
    • Performance compared to previous performance
    • Available supply and projected demand
     
  • Expert Systems are similar to knowledge bases. By applying artificial intelligence to information stored in the database, an expert system creates a sort of ìvirtual expertî to reason and solve problems. An example of an expert system in The Future Of Business, by Larry J. Gitman and Carl McDaniel, comes from Bostonís Brigham and Womenís Hospital. There, the data concerning a patientís known allergies and potential adverse drug interactions is compared to medicine as the doctor is prescribing it. If a problem is identified by the expert system, the doctor is paged immediately so he can make the appropriate adjustments.
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