MODULE 1 SUMMARY

 ERP is the abbreviation of Enterprise Resource Planning and means, the techniques and
concepts for integrated management of businesses as a whole from the viewpoint of the
effective use of management resources to improve the efficiency of enterprise
management.
 ERP provides the backbone for an enterprise-wide information system.
 At the core of this enterprise software is a central database which draws data from and
feeds data into modular applications that operate on a common computing platform, thus
standardizing business processes and data definitions into a unified environment.
 With an ERP system, data needs to be entered only once. The system provides
consistency and visibility or transparency across the entire enterprise.
 A primary benefit of ERP is easier access to reliable, integrated information. A related
benefit is the elimination of redundant data and the rationalization of processes, which
result in substantial cost savings.
Keywords
Customer Relationship Management (CRM): An approach to building and sustaining long-
term business with customers.
Enterprise Resource Planning: Enterprise applications used to manage information about
organizational resources such as raw materials, products, staff and customers as part of delivery
of a product or service.
Information System: A collection of hardware, software, data, and people designed to collect,
process, and distribute data throughout an organization.
Self-Assessment
Choose the appropriate answers:
1. The general transformation cycle for information is:
(a) Knowledge to data to information.
(b) Information to data to knowledge.
(c) Data to information to knowledge.
(d) Data to knowledge to information.
2. SCARPE stands for:
(a) Supply Chain Advanced Resource Planning and Execution
(b) Source Chain Advanced Resource Planning and Execution
(c) Supply Chain Advanced Resource Program and Execution
(d) None
3. MRP stands for:
 (a) Material Requirement Planning
(b) Management Requirement Planning
(c) Material Resource Planning
(d) None
4. CRM stands for:
(a) Customer Retention Management
(b) Customer Relationship Management
(c) Computer Relationship Management
(d) None
Fill in the blanks:
5. ERP is used to solve a number of problems that have plagued large organizations in the past.
6. ERP (Enterprise Resource Planning) is the evolution of Manufacturing Requirements Planning
(MRP) II
7. Inventory Management and Control is the combination of information technology and
business processes of maintaining the appropriate level of stock in a warehouse.
8. ERP is a commercial software package promising the seamless integration of all the
information flowing through company
State whether the following statements are true or false:
9. ERP offers perfect solutions to business organizations in India. TRUE
10. ERP helps to make the decision at the right time and by the right person as entire
organization shows the same information and views. TRUE
MODULE 2 SUMMARY
 To enable a company, achieve its objectives, it is essential that the management has a
clear understanding of the kind of information that needs to be collected, stored, and
analyzed. This information should be consistent with the requirement of the
organizational level at which it is targeted.
 Information systems that process data generated from the occurrence of business
transactions are called transaction processing systems.
 Information systems in many large organizations are combinations of various functional
information systems like marketing information systems, manufacturing information
systems, human resource information systems, accounting information systems, and
financial information systems.
 An MIS can be defined as an integrated, user – machine system that provides information
to support the managerial, operational, and decision – making functions in an
organization.
  The characteristics of an MIS are that it is management – oriented, management –
directed, an integrated system, enables maintenance of a common database, and is
flexible.
 The functions of an MIS are data collection, data storage, and information presentation.
 DSSs are used to help in managerial decision-making.
 A DSS is flexible, based on simple models, and uses a database.
 An EIS aims at providing timely information to the top management. For the successful
implementation of the EIS, a consensus between a senior management person and a
project leader is essential.
 OLAP helps in multidimensional analysis and provides timely information. A well
designed OLAP can help in efficient data management.
Keywords
Business Process Management: BPM is a business process approach to improving business
activity and creating automated applications that is supported by a group of new process
modelers, application generators, application interface engines, and performance monitoring
software.
Business Process Re-engineering: The analysis and design of workflows and processes within
and between organizations. Business activities should be viewed as more than a collection of
individual or even functional tasks; they should be broken down into processes that can be
designed for maximum effectiveness, in both manufacturing and service environments.
Re-engineering: Re-engineering is the fundamental rethinking and radical redesign of business
processes to achieve dramatic improvements in critical, contemporary measures of performance,
such as cost, quality, service, and speed.
Transaction-Processing System: A system that records and collects data related to exchanges
between two parties. This data forms the foundation for all other information system capabilities.
MIS support typically consists of databases, communication networks, and security controls.
Self-Assessment
Choose the appropriate answers:
1. TPS stands for:
(a) Transnational Processing Systems
(b) Transaction Processing System
(c) Total Process System
(d) None of the above
2. An information system always:
(a) Requires hardware even if only a pencil.
(b) Transforms information. to the unit
 (c) Is computer-based.
(d) None of these
3. .................... is the main copy of database and is the main operational database for the TPS.
(a) Report file
(b) Master file
(c) Program file
(d) Work file
4. MIS work with inputs of
(a) High Volume Data
(b) Low Volume Data
(c) Summary reports
(d) Senior Managers
5. Work file is
(a) Temporary file created during a transaction
(b) File on which work is done
(c) Main file where all records are maintained
(d) All of the above
6. TPS is designed for top senior management
(a) True
(b) False
7. Important characteristics of TPS.
(a) Rapid Response
(b) Reliability
(c) Controlled Processing
(d) All of the above
8. Hardware, Software and People are components of a TPS.
(a) True
(b) False
9. Which of the following statements do you agree with?
(a) ICT should be the starting point for a knowledge management strategy
(b) Organizations should spend heavily in ICT to achieve knowledge management strategy
success
(c) The most important factor in a knowledge management strategy is ICT
 (d) ICT should enable knowledge management strategy rather than drive it
(e) ICT is not relevant to knowledge management strategy
10. EIS means
(a) Executive Information System
(b) Excellent Info systems
(c) Excessive Information System
(d) None of the above
MODULE 3 SUMMARY
 Business process is a set of logically related tasks performed to achieve a defined
business outcome.
 Business process re-engineering (BPR) is a management approach aiming at
improvements by means of elevating efficiency and effectiveness of the processes that
exist within and across organizations.
 The key to BPR is for organizations to look at their business processes from a “clean
slate” perspective and determine how they can best construct these processes to improve
how they conduct business.
 Business process re-engineering is also known as BPR, Business Process Redesign,
Business Transformation, or Business Process Change Management.
Keywords
BPR Lifecycle: The BPR Life Cycle represents a closed-loop learning system for the
organization to promote continuous improvement and organizational learning.
Business Process Re-engineering (BPR): It is a management approach aiming at improvements
by means of elevating efficiency and effectiveness of the processes that exist within and across
organizations.
Business Process or Business Method: It is a collection of related, structured activities or tasks
that produce a specific service or product (serve a particular goal) for a particular customer or
customers.
PITBM: Process Improvement through Benefits Management
Process: It is a structured, measured set of activities designed to produce a specified output for a
particular customer or market.
Resource: A resource is an input toa business process, and, unlike information, is typically
consumed during the processing.
Self-Assessment
Fill in the blanks:
1. BPR is a radical change in the organization.
2. The main proponents of re-engineering were Michael Hammer and James A. Champy
3. A goal is the business justification for performing the activity.
4. BPR is generally conceived as consisting of four elements.
5. Full form of BPM is Business Process Management
6. Often the most serious problem in re-engineering business processes is resistance to change.
State whether the following statements are true or false:
7. A business process has some well-defined goal. TRUE
8. The BPR Life Cycle represents a closed-loop learning system for the organization to promote
continuous improvement and organizational learning. TRUE
9. The human activity system within the organization is the least critical factor for re-
engineering. FALSE
10. Pushing a re-engineering project can be a risky career move. TRUE
MODULE 4 SUMMARY
 You note that the future organizations would be facing a shortage and a redundancy of
information.
 To solve the problems of “information-glut” arising from the evermore affordable
information and communication technologies that provide for evermore high-capacity,
fast, long-distance transmission, organizations would need to introduce methods for
“selective dispersion of information” to their various parts.
 Work tasks would be grouped in organizational units created around a common program
for information processing.
 Improvements in telecommunications will make it easier to control (which will be
primarily a matter of information exchange) organizational units dispersed over different
parts of the world. Advances in telecommunications (such as videophone), coupled with
diminishing costs, would result in increased distance-communication.
Keywords
Database: A collection of related data that can be retrieved easily and processed by computers; a
collection of data tables.
Information: Data that has been processed, organized, and integrated to provide insight. The
distinction between data and information is that information carries meaning and is used to make
decisions.
Management information system (MIS): An MIS consists of five related components:
hardware, software, people, procedures, and databases. The goal of management information
systems is to enable managers to make better decisions by providing quality information.
Self-Assessment
1. An organization is a group of people working together with a common goal, which has
resources at its disposal to achieve that goal.
2. With MIS approach all internal / external information and functions working in isolated form
and have their own information systems of data collection and analysis.
3. The information integration provide to meet the goal of common objective ERP helps the top
management at various levels of enterprise.
4. A good business model represents the actual mirror image of the business.
5. The data model reflect the day – to – day transaction of the entire organization and can give a
snapshot of the organization at any given time.
6. Manufacturers are measured by their ability to responding quickly to the customer’s changing
needs and services
State whether the following statements are true or false:
7. ERP is nothing but total business solution. TRUE
8. ERP packages specify the best configuration for the business. TRUE
9. ERP helps the top management at various levels of enterprise. TRUE
10. ERP vendor doesn’t provide the freedom to change manufacturing and planning methods.
FALSE