CHAPTER 11 KEY CONCEPTS:
ERP: are multiplemodule software packages that evolved primarily fromtraditional manufacturing resource planning (MRP II) systems.
- objective of ERP is to integrate key processes of the organization
- a single computer system can serve the unique needs of each functional area.
- facilitate the sharing of information and to improve communications across the organization
Closed Database structure:
- similar in concept to the basic flat-file model.
- database management system is used to provide minimal technological advantage over flat-file
- is little more than a private but powerful file system
- high degree of data redundancy
- distinct, separate, and independent databases exist
- order begins a paper-based journey around the company where it is keyed and rekeyed into the
systems of several different departments
- Cause lost orders
- Increase entry errors
- Customers may be to told to contact different departments for information
- Delays entire processes within the companies
- Lack of communication between departments- very fragmented
ERP Core Applications
- functionality falls into two general groups of applications: core applications and business analysis applications.
- Core applications are those applications that operationally support the day-to-day activities of the business. Also called Online Transaction Processing [OTLP}
- Business will fail without them
- Production planning, sales and dstribution etc.
Online analytical processing (OLAP) includes decision support, modeling, information retrieval, ad hoc reporting/analysis, and what-if analysis
A data warehouse
- database constructed for quick searching, retrieval, ad hoc queries, and ease of use.
- Organizations employe each of the above, ERPs, OLAP and Data warehouses for competive
OLAP servers support common analytical operations including consolidation, drilldown, and slicing and dicing.
Consolidation is the aggregation or roll-up of data. For example, sales offices data can be rolled up to districts and districts rolled up to regions. • Drill-down permits disaggregating data to reveal the underlying details that explain certain phenomena. For example, the user can drill down from total sales returns for a period to identify the actual products returned and the reasons for their return. • Slicing and dicing enables the user to examine data from different viewpoints. One slice of data might show sales within each region. Another slice might present sales by product across regions. Slicing and dicing is often performed along a time axis to depict trends and patterns.
ERP systems are composed of thousands of database tables
- key users and information technology (IT) professionals, selects specific database tables and processes by setting switches in the system. - choosing table settings involves decisions to reengineer the company’s processes so that they comply with the best business practices in use.
- ERP software alone cannot drive all the processes of the company. - bolt-on software that third-party vendors provide to make up for the diffcieincies within the ERP - least risky approach is to choose a bolt-on that is endorsed by the ERP vendor
Supply Chain Management
- supply chain is the set of activities associated with moving goods from the raw materials stage to the consumer. - SCM systems are a class of application software that supports this task
- data warehouse is a relational or multidimensional database that may consume hundreds of gigabytes or even terabytes of disk storage - data warehouse is organized for a single department or function, it is often called a data mart
Modeling Data for the Data Warehouse
- Warehouse should always have denormalized tables- Too much info to organize efficienctly
Changed data capture-
- Reduces changed...
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