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Chapter61Chapter6FunctionalInformationSystems,TransactionProcessing,andIntegration

Chapter61Chapter6FunctionalChapter62ChapterObjectivesRelatefunctionalareasandbusinessprocessestothevaluechainmodel.Identifyfunctionalmanagementinformationsystems.DescribethetransactionprocessingsystemanddemonstratehowitissupportedbyIT.DescribethesupportprovidedbyITandtheWebtoproduction/operationsmanagement,includinglogistics.DescribethesupportprovidedbyITandtheWebtomarketingandsales.DescribethesupportprovidedbyITandtheWebtoaccountingandfinance.DescribethesupportprovidedbyITandtheWebtohumanresourcesmanagement.Describethebenefitsandissuesofintegratingfunctionalinformationsystems.Chapter62ChapterObjectivesReChapter63FunctionalAreas

–ValueChainPerspectiveThevaluechainmodel,viewsactivitiesinorganizationsaseitherprimary(reflectingtheflowofgoodsandservices)orsecondary(supportingtheprimaryactivities).Theorganizationalstructureoffirmsisintendedtosupportbothofthesetypesofactivities.Chapter63FunctionalAreas–VChapter64FunctionalAreasinaBusinessChapter64FunctionalAreasinChapter65FunctionalInformationSystemsComposedofsmallersystems:

Afunctionalinformationsystemconsistsofseveralsmallerinformationsystemsthatsupportspecificactivitiesperformedinthefunctionalarea.Integratedorindependent:

ThespecificISapplicationsinanyfunctionalareacanbeintegratedtoformacoherentdepartmentalfunctionalsystem,theycanbeintegratedacrossdepartmentallinestomatchabusinessprocessorbecompletelyindependent.Interfacing:

Functionalinformationsystemsmayinterfaceinternallywitheachothertoformtheorganization-wideinformationsystemorexternallysystemsoutsidetheorganization.

Supportiveofdifferentlevels:

Informationsystemsapplicationssupportthethreelevelsofanorganization’sactivities:operational,managerial,andstrategic

Functionalinformationsystemssupporttheorganization,processesandbusinessmodel.EnterpriseWideEnvironment

–Allbusinessunits.Chapter65FunctionalInformatiChapter66FunctionalInformationSystemsBusinesstransactions,eventsandprocesses.Supportofthebusinessandcustomers.Backofficeadministrativetasksandops.DataminingopsthatsupportmanagementDataAnalysisandstatisticalforecasting.OperationLevelofthecompanyisnormallyhighlystructuredandpredefined.Dynamicandwhat-iffeatures.RunTheCompanyIntegratedClericaldocuments,schedules,mail,manuals,etc.Chapter66FunctionalInformatiChapter67TransactionProcessingInformationSystemsThetransactionprocessingsystemMonitorsCollectsStoresProcessesDisseminatesinformationforallroutinecorebusinesstransactions.

Ineveryorganizationtherearebusinesstransactionsthatprovideitsmission-criticalactivities.Eachtransactionmaygenerateadditionaltransactions.Sincethecomputationsinvolvedinmosttransactionsaresimpleandthetransactionprocessesarewelldefinedtheycanbeeasilycomputerized.TheprimarygoalofTPSistoprovidealltheinformationneededtokeepthebusinessrunningproperlyandefficiently.

Chapter67TransactionProcessiChapter68TransactionProcessingInformationSystemsTheprimarygoalofTPSistoprovidealltheinformationneededtokeepthebusinessrunningproperlyandefficiently.

Chapter68TransactionProcessiChapter69TPS–FlowofInformationTheprocessedinformationcanbeeitherareportoranentryinthedatabase.Inadditiontoascheduledreports,userscanquerytheTPSforadhocinformation.Thesystemwillprovidetheappropriateresponsebyaccessingthetransactiondatabase.ServiceRequestReceivingInventoryTheflowofinformationinatypicalTPStransaction,suchasacustomerpurchaseorreceivinginventory.Chapter69TPS–FlowofInformChapter610TPS–OnlineTransactionProcessingSystemsWithOLTPandWebtechnologiessuchasanextranet,supplierscanlookatthefirm’sinventorylevelorproductionscheduleinrealtime.Thesuppliersthemselves,inpartnershipwiththeircustomers,canthenassumeresponsibilityforinventorymanagementandordering.InteractiveInternetTPSexpandsOLTPtoprovideenhancedrealtimetransactionprocessingovertheInternetorintranets.Multi-storechainscanaccessacentralizedcomputersystemnolongerrequiringin-storeprocessors.Chapter610TPS–OnlineTransaChapter611TPS–TypicalTransactionProcessing(Order)OrdertakenOrderfulfillmentE-PaymentE-InvoiceChapter611TPS–TypicalTransChapter612TPS–ManagingProduction/Operations&Logistics

AfewoftheITsupportedPOMareasare:In-houselogisticsandmaterialsmanagementPlanningproduction/operationsComputer-integratedmanufacturing(CIM)Productlifecyclemanagement(PLMAutomatingdesignworkandmanufacturingTheproductionandoperationsmanagement(POM)functioninanorganizationisresponsiblefortheprocessesthattransforminputsintousefuloutputs.Incomparisontotheotherfunctionalareas,POMisverydiversifiedasarethesupportingTPS.Italsodiffersconsiderablyamongorganizations.Chapter612TPS–ManagingProdChapter613TPS–ManagingProduction/Operations&Logistics

Chapter613TPS–ManagingProdChapter614TPS–In-HouseLogistics&MaterialsManagement

Inventorymanagementdetermineshowmuchinventorytokeep.Overstockingcanbeexpensive;soareunderstockconditions.Manufacturingquality-controlsystemscanbestand-alonesystemsorpartofanenterprise-widetotalqualitymanagement(TQM)effort.Theyprovideinformationaboutthequalityofincomingmaterialaswellasthequalityofwork-in-processandfinishedgoods.Logisticsmanagementdealswithordering,purchasing,inboundlogistics(receiving),andoutboundlogistics(shipping)activities.Theselogisticalactivitiescrossseveralprimaryandsecondaryactivitiesonthevaluechain.ManagingProduction/Operations&LogisticsChapter614TPS–In-HouseLogiChapter615TPS–PlanningProduction/Operations

MaterialRequirementsPlanning(MRP)

is

softwarethatfacilitatestheplanforpurchasingorproducingparts,subassemblies,ormaterialsinthecaseofinterdependentitems.ItintegratesMasterProductionSchedules,BOM’sandInventorylevels.ManufacturingResourcePlanning(MRPII)

addsfunctionalitiestoaregularMRPsystembydeterminingthecostsofpartsandtheassociatedcashflow.Italsoestimatescostsoflabor,tools,equipmentrepair,andenergywhilegeneratingarequirementsreport.Just-in-TimeSystems

isanapproachthatattemptstominimizewasteofallkinds(ofspace,labor,materials,energy,andsoon)andtocontinuouslyimproveprocessesandsystems.TheJITconceptisusedinmasscustomizationandbuild-to-orderenvironments.ProjectManagement.Aprojectisusuallyaone-timeeffortcomposedofmanyinterrelatedactivities,costingasubstantialamountofmoney,andlastingforweeksoryears.Softwaretoolssuchas:programevaluationandreviewtechnique

(PERT)andthecriticalpathmethod(CPM)areusedtomanagemilestones,resources,costs,etc.WorkManagementSystems(WMS)automaticallymanagetheprioritizationanddistributionofwork.Thesesystemsdealwithresourceallocationandreallocation.POMplanningisamajorcomponentofoperationalsystems.ManagingProduction/Operations&LogisticsChapter615TPS–PlanningProdChapter616TPS–Computer-IntegratedManufacturing

Typicalintegratedtechnologiesare:FMS-Flexible-manufacturingsystemsJIT–Just-in-TimeMRP–MaterialsRequirementsPlanningCAD–ComputerAidedDesignCAE–ComputerAidedEngineeringGT-GrouptechnologyCIMisaconceptthatpromotestheintegrationofvariouscomputerizedfactorysystems.Ithasthreebasicgoals:(1)thesimplificationofallmanufacturingtechnologiesandtechniques,(2)automationofasmanyofthemanufacturingprocessesaspossible,and(3)integrationandcoordinationofallaspectsofdesign,manufacturing,andrelatedfunctionsviacomputerhardwareandsoftware.ManagingProduction/Operations&LogisticsChapter616TPS–Computer-InteChapter617TPS–Computer-IntegratedManufacturing

ManagingProduction/Operations&LogisticsChapter617TPS–Computer-InteChapter618TPS–ProductLifecycleManagement

PLM

isabusinessstrategythatenablesmanufacturerstocontrolandshareproduct-relateddataaspartofaproductsdesignanddevelopmentefforts.Web-basedsupplychainsandothertechnologiesareemployedtoautomatethiscollaborativeeffort.ManagingProduction/Operations&LogisticsThiselectronic-basedcollaborationcanreduceproductcosttravelexpensesreducecostsassociatedwithproduct-changemanagementreducethetimeittakestogetaproducttomarketChapter618TPS–ProductLifecChapter619TPS–ProductLifecycleManagement

ManagingProduction/Operations&LogisticsChapter619TPS–ProductLifecChapter620TPS–MarketingandSalesSystems

ChannelsystemsaretheTPSinvolvedintheprocessofgettingaproductorservicetocustomersanddealingwiththeirneeds.Thesesystemslinkandtransformmarketing,sales,procurement,logistics,anddeliveryactivitieswithothercorporatefunctionalareas.Someofthechannel-systemactivitiesare:customerrelationsdistributionchannelsandin-storeinnovationsmarketingmanagementtelemarketingChapter620TPS–MarketingandChapter621TPS–MarketingandSalesSystems

Chapter621TPS–MarketingandChapter622TPS–CustomerRelations

Itisessentialforcompaniestoknowwhotheircustomersareandtotreatthemproperly.Innovativeproductsandservices,successfulpromotions,customization,andcustomerserviceareanecessityformostorganization.CustomerProfilesandPreferenceAnalysis.

Sophisticatedinformationsystemsarebeingdevelopedtocollectdataonexistingandpotentialcustomers,theirdemographics(age,gender,incomelevel),andpreferences.ProspectiveCustomerListsandMarketingDatabases.

Allfirmsneedtoknowandtrackwhotheirexistingandpotentialcustomersare.Theseprospective-customerlistscanbeanalyzedandsortedbyclassificationfordirectmailing,e-mailing,ortelemarketing.MassCustomization.

Today’scustomersprefercustomizedproducts.Throughmasscustomization,thepracticeofmaintainingWIPinventory,manufacturerscanofferdifferentproductconfigurationsatreasonableprices.Personalization.

Specialproductoffersaremade,basedonwherethecustomerspenttheirtimeandonwhattheymayhavepurchased.AdvertisingandPromotions.

Specialpromotions,couponsarepresentedtothecustomerviamails,email,wirelessandpervasivecomputingapplications.MarketingandSalesSystemsChapter622TPS–CustomerRelaChapter623TPS–DistributionChannels&In-StoreInnovations

Organizationscandistributetheirproductsandservicesthroughavarietyofdeliverychannels.Acompanymayuseitsownoutlets,mfg.Representativesordistributorstonameafew.IT-SupportedDistributionChannelsInternetLocationBasedMappingSelf-serviceconveniencestoresImprovingShoppingandCheckoutatRetailStoresHand-heldwirelessdevicesthatscanthebarcodeUPCSmartcardorcreditcardInformationkioskenablecustomerstoviewcatalogsinstoresSelf-checkoutmachinesCheck-writersattachedtocashregistersComputerizationofvariousactivitiesinretailstoresVideo-basedsystemscountandtrackshoppersinaphysicalstoreMarketingandSalesSystemsChapter623TPS–DistributionChapter624TPS–MarketingManagement

Manymarketingmanagementdecisionapplicationsaresupportedbycomputerizedinformationsystems.PricingofProductsorServices.Salesvolumesarelargelydeterminedbythepricesofproductsorservicesasisprofit.

SalespersonProductivity.

Salespeopledifferfromeachotherinsellingskill.Sales-forceautomationincreasessalespersonproductivitybyprovidingthemwithmobiledevices,accesstoinformation,etc.ProfitabilityAnalysis

profitcontributionofcertainproductsandservicescanbederivedfromcost-accountingsystemsSalesAnalysisAndTrends.MarketingTPScollectsalesfiguresthatcanbesearchedfortrendsandrelationships.NewProducts,Services,andMarketPlanning.Newproductsandservicescanbeanexpensiverisk.“Willitsell?”Requirescarefulanalysis,planning,forecastingandMarketresearch.Web-BasedSystemssupportmarketingandsalesthroughdatacaptureMarketingandSalesSystemsChapter624TPS–MarketingManChapter625TPS–

AccountingandFinanceSystems

Accountingandfinancefunctionalareasmanagetheinflowsandoutflowoforganizationalassets.Thisinvolvesallfunctionsofanorganizationincludingpayroll,billing,cashmanagement,etc.FinancialPlanningandBudgetingFinancialandEconomicForecastingPlanningforIncomingFundsBudgetingCapitalBudgetingManagingFinancialTransactionsFinancialandEconomicForecastingPlanningforIncomingFundsBudgetingCapitalBudgetingChapter625TPS–AccountinganChapter626TPS–AccountingandFinanceSystems

ContinuedE-CommerceApplicationsofFinancialTransactionsGlobalstockexchangesandmultiplecurrenciesE-BondsFactoringonlineElectronicre-presentmentofchecksElectronicbillpresentmentandpaymentsVirtualCloseExpenseManagementAutomationInvestmentManagementFinancialAnalysisAccesstoFinancialandEconomicReportsControlandAuditingBudgetaryControlandAuditingFinancialRatioAnalysisProfitabilityAnalysisandCostControlProductPricingChapter626TPS–AccountinganChapter627TPS–AccountingandFinanceSystems

ContinuedChapter627TPS–AccountinganChapter628TPS–HumanResourcesSystems

Web-basedsystemshaveincreasedthepopularityofhumanresourcesinformationsystemswhichprovideapplicationsmainlyrelatedtoacquiring,hiring,rewarding,developing,training,protectingandretaininghumanresources.Recruitmentisfindingemployees,testingthem,anddecidingwhichonestohire.TheWebhasenhancedtherecruitmentprocess.PositionInventoryHRMPortalsandSalarySurveysEmployeeSelectionHumanResourcesMaintenanceandDevelopmentPerformanceEvaluationTrainingandHumanResourcesDevelopmentChapter628TPS–HumanResourcChapter629TPS–HumanResourcesSystemscontinued

HumanResourcesPlanningandManagementPersonnelPlanningLabor–ManagementNegotiationsPayrollandEmployees’RecordsBenefitsAdministrationEmployeeRelationshipManagementResponsiblefortheworkforceChapter629TPS–HumanResourcChapter630HumanResourcesChapter630HumanResourcesChapter631TPS–

EnterpriseWideInformationSystemsERPSCMIntegrationofCross-FunctionalInformationSystemstearsdownbarriersbetweenandamongdepartments&corporateheadquartersandreducesduplicationofeffort.

Chapter631TPS–EnterpriseWiChapter632MANAGERIALISSUESIntegrationoffunctionalinformationsystems.Integrationofexistingstand-alonefunctionalinformationsystemsisamajorproblemformanyorganizations.Althoughclient/serverarchitectureismoreamenabletointegrationthanlegacysystems,therearestillproblemsofintegratingdifferenttypesofdataandproceduresusedbyfunctionalareas.Also,thereisanissueofwillingnesstoshareinformation,whichmaychallengeexistingpracticesandcultures.Priorityoftransactionprocessing.Transactionprocessingmaynotbeanexoticapplication,butitdealswiththecoreprocessesoforganizations.Itmustreceivetoppriorityinresourceallocation,balancedagainstinnovativeapplicationsneededtosustaincompetitiveadvantageandprofitability,becausetheTPScollectstheinformationneededformostotherapplications.Thecustomerisking/queen.InimplementingITapplications,managementmustremembertheimportanceofthecustomer/end-user,whetherexternalorinternal.Someinnovativeapplicationsintendedtoincreasecustomers’satisfactionaredifficulttojustifyinatraditionalcost-benefitanalysis.Empoweringcustomerstoenterintoacorporatedatabasecanmakecustomershappysincetheycanconductself-serviceactivitiessuchasconfigurationandtrackingandgetquickanswerstotheirqueries.Self-servicescansavemoneyforacompanyaswell,butitmayraisesecurityandprivacyconcerns.Corporatecultureisimportanthere,too.Everyoneintheorganizationmustbeconcernedaboutcustomers.ManagementshouldconsiderinstallingaformalCRMprogramforthispurpose.Chapter632MANAGERIALISSUESInChapter633MANAGERIALISSUESContinuedFindinginnovativeapplications.ToolssuchasLotusNotes,corporateportals,andWeb-basedbusinessintelligenceenabletheconstructionofmanyapplicationsthatcanincreaseproductivityandquality.FindingopportunitiesforsuchapplicationscanbestbeaccomplishedcooperativelybyendusersandtheISdepartment.UsingtheWeb.Web-basedsystemsshouldbeconsideredinallfunctionalareas.Theyareeffective,costrelativelylittle,andareuserfriendly.Inadditiontonewapplications,companiesshouldconsiderconversionofexistingapplicationstoWeb-basedones.Systemintegration.Althoughfunctionalsystemsarenecessary,theymaynotbesufficientiftheyworkindependently.Itisdifficulttointegratefunctionalinformationsystems,butthereareseveralapproachestodoingso.Inthefuture,Webservicescouldsolvemanyintegrationproblems,includingconnectingtoalegacysystem.Ethicalissues.Manyethicalissuesareassociatedwiththevarioustopicsofthischapter.Professionalorganizations,eitherrelatingtothefunctionalareas(e.g.,marketingassociations)orintopicalareassuchasCRM,havetheirowncodesofethics.Thesecodesshouldbetakenintoaccountindevelopingfunctionalsystems.Likewise,organizationsmustconsiderprivacypolicies.Severalorganizationsprovidecomparisonsofprivacypoliciesandotherethical-relatedtopics.Chapter633MANAGERIALISSUESCChapter634Chapter6FunctionalInformationSystems,TransactionProcessing,andIntegration

Chapter61Chapter6FunctionalChapter635ChapterObjectivesRelatefunctionalareasandbusinessprocessestothevaluechainmodel.Identifyfunctionalmanagementinformationsystems.DescribethetransactionprocessingsystemanddemonstratehowitissupportedbyIT.DescribethesupportprovidedbyITandtheWebtoproduction/operationsmanagement,includinglogistics.DescribethesupportprovidedbyITandtheWebtomarketingandsales.DescribethesupportprovidedbyITandtheWebtoaccountingandfinance.DescribethesupportprovidedbyITandtheWebtohumanresourcesmanagement.Describethebenefitsandissuesofintegratingfunctionalinformationsystems.Chapter62ChapterObjectivesReChapter636FunctionalAreas

–ValueChainPerspectiveThevaluechainmodel,viewsactivitiesinorganizationsaseitherprimary(reflectingtheflowofgoodsandservices)orsecondary(supportingtheprimaryactivities).Theorganizationalstructureoffirmsisintendedtosupportbothofthesetypesofactivities.Chapter63FunctionalAreas–VChapter637FunctionalAreasinaBusinessChapter64FunctionalAreasinChapter638FunctionalInformationSystemsComposedofsmallersystems:

Afunctionalinformationsystemconsistsofseveralsmallerinformationsystemsthatsupportspecificactivitiesperformedinthefunctionalarea.Integratedorindependent:

ThespecificISapplicationsinanyfunctionalareacanbeintegratedtoformacoherentdepartmentalfunctionalsystem,theycanbeintegratedacrossdepartmentallinestomatchabusinessprocessorbecompletelyindependent.Interfacing:

Functionalinformationsystemsmayinterfaceinternallywitheachothertoformtheorganization-wideinformationsystemorexternallysystemsoutsidetheorganization.

Supportiveofdifferentlevels:

Informationsystemsapplicationssupportthethreelevelsofanorganization’sactivities:operational,managerial,andstrategic

Functionalinformationsystemssupporttheorganization,processesandbusinessmodel.EnterpriseWideEnvironment

–Allbusinessunits.Chapter65FunctionalInformatiChapter639FunctionalInformationSystemsBusinesstransactions,eventsandprocesses.Supportofthebusinessandcustomers.Backofficeadministrativetasksandops.DataminingopsthatsupportmanagementDataAnalysisandstatisticalforecasting.OperationLevelofthecompanyisnormallyhighlystructuredandpredefined.Dynamicandwhat-iffeatures.RunTheCompanyIntegratedClericaldocuments,schedules,mail,manuals,etc.Chapter66FunctionalInformatiChapter640TransactionProcessingInformationSystemsThetransactionprocessingsystemMonitorsCollectsStoresProcessesDisseminatesinformationforallroutinecorebusinesstransactions.

Ineveryorganizationtherearebusinesstransactionsthatprovideitsmission-criticalactivities.Eachtransactionmaygenerateadditionaltransactions.Sincethecomputationsinvolvedinmosttransactionsaresimpleandthetransactionprocessesarewelldefinedtheycanbeeasilycomputerized.TheprimarygoalofTPSistoprovidealltheinformationneededtokeepthebusinessrunningproperlyandefficiently.

Chapter67TransactionProcessiChapter641TransactionProcessingInformationSystemsTheprimarygoalofTPSistoprovidealltheinformationneededtokeepthebusinessrunningproperlyandefficiently.

Chapter68TransactionProcessiChapter642TPS–FlowofInformationTheprocessedinformationcanbeeitherareportoranentryinthedatabase.Inadditiontoascheduledreports,userscanquerytheTPSforadhocinformation.Thesystemwillprovidetheappropriateresponsebyaccessingthetransactiondatabase.ServiceRequestReceivingInventoryTheflowofinformationinatypicalTPStransaction,suchasacustomerpurchaseorreceivinginventory.Chapter69TPS–FlowofInformChapter643TPS–OnlineTransactionProcessingSystemsWithOLTPandWebtechnologiessuchasanextranet,supplierscanlookatthefirm’sinventorylevelorproductionscheduleinrealtime.Thesuppliersthemselves,inpartnershipwiththeircustomers,canthenassumeresponsibilityforinventorymanagementandordering.InteractiveInternetTPSexpandsOLTPtoprovideenhancedrealtimetransactionprocessingovertheInternetorintranets.Multi-storechainscanaccessacentralizedcomputersystemnolongerrequiringin-storeprocessors.Chapter610TPS–OnlineTransaChapter644TPS–TypicalTransactionProcessing(Order)OrdertakenOrderfulfillmentE-PaymentE-InvoiceChapter611TPS–TypicalTransChapter645TPS–ManagingProduction/Operations&Logistics

AfewoftheITsupportedPOMareasare:In-houselogisticsandmaterialsmanagementPlanningproduction/operationsComputer-integratedmanufacturing(CIM)Productlifecyclemanagement(PLMAutomatingdesignworkandmanufacturingTheproductionandoperationsmanagement(POM)functioninanorganizationisresponsiblefortheprocessesthattransforminputsintousefuloutputs.Incomparisontotheotherfunctionalareas,POMisverydiversifiedasarethesupportingTPS.Italsodiffersconsiderablyamongorganizations.Chapter612TPS–ManagingProdChapter646TPS–ManagingProduction/Operations&Logistics

Chapter613TPS–ManagingProdChapter647TPS–In-HouseLogistics&MaterialsManagement

Inventorymanagementdetermineshowmuchinventorytokeep.Overstockingcanbeexpensive;soareunderstockconditions.Manufacturingquality-controlsystemscanbestand-alonesystemsorpartofanenterprise-widetotalqualitymanagement(TQM)effort.Theyprovideinformationaboutthequalityofincomingmaterialaswellasthequalityofwork-in-processandfinishedgoods.Logisticsmanagementdealswithordering,purchasing,inboundlogistics(receiving),andoutboundlogistics(shipping)activities.Theselogisticalactivitiescrossseveralprimaryandsecondaryactivitiesonthevaluechain.ManagingProduction/Operations&LogisticsChapter614TPS–In-HouseLogiChapter648TPS–PlanningProduction/Operations

MaterialRequirementsPlanning(MRP)

is

softwarethatfacilitatestheplanforpurchasingorproducingparts,subassemblies,ormaterialsinthecaseofinterdependentitems.ItintegratesMasterProductionSchedules,BOM’sandInventorylevels.ManufacturingResourcePlanning(MRPII)

addsfunctionalitiestoaregularMRPsystembydeterminingthecostsofpartsandtheassociatedcashflow.Italsoestimatescostsoflabor,tools,equipmentrepair,andenergywhilegeneratingarequirementsreport.Just-in-TimeSystems

isanapproachthatattemptstominimizewasteofallkinds(ofspace,labor,materials,energy,andsoon)andtocontinuouslyimproveprocessesandsystems.TheJITconceptisusedinmasscustomizationandbuild-to-orderenvironments.ProjectManagement.Aprojectisusuallyaone-timeeffortcomposedofmanyinterrelatedactivities,costingasubstantialamountofmoney,andlastingforweeksoryears.Softwaretoolssuchas:programevaluationandreviewtechnique

(PERT)andthecriticalpathmethod(CPM)areusedtomanagemilestones,resources,costs,etc.WorkManagementSystems(WMS)automaticallymanagetheprioritizationanddistributionofwork.Thesesystemsdealwithresourceallocationandreallocation.POMplanningisamajorcomponentofoperationalsystems.ManagingProduction/Operations&LogisticsChapter615TPS–PlanningProdChapter649TPS–Computer-IntegratedManufacturing

Typicalintegratedtechnologiesare:FMS-Flexible-manufacturingsystemsJIT–Just-in-TimeMRP–MaterialsRequirementsPlanningCAD–ComputerAidedDesignCAE–ComputerAidedEngineeringGT-GrouptechnologyCIMisaconceptthatpromotestheintegrationofvariouscomputerizedfactorysystems.Ithasthreebasicgoals:(1)thesimplificationofallmanufacturingtechnologiesandtechniques,(2)automationofasmanyofthemanufacturingprocessesaspossible,and(3)integrationandcoordinationofallaspectsofdesign,manufacturing,andrelatedfunctionsviacomputerhardwareandsoftware.ManagingProduction/Operations&Log

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