Tutorial 3 Part I: Discussion Questions
1. Explain, with examples, the difference between TPS and DSS.
2. Define the terms “operations management” and “supply chain management”. Explain their roles in business, and describe their relationship with IS/IT.
3. Compare customer relationship management, supplier relationship management, partner relationship management, and employee relationship management.
4. What are some of the different ways in which companies collaborate using technology?
Alvin Linus :
ReplyDelete1. TPSs are used to help companies with their day-to-day operations whereas DSSs are used to help companies with making strategic decisions. For example, In AEON Malaysia, the system installed in every cashiers' computer is a transaction processing system because it helps the cashier to do company's daily operation such as scanning in the products' barcodes and printing receipt. On the other hand, database system in AEON would be an example of Decision support system because it help AEON executives decide on what products to add/remove for their company.
2. Operations Management refers to activities involved in managing the resources which are helpful towards the production and delivery of products and services. Supply Chain Management refers to streamlining of a business' supply-side activities to maximize customer value and to gain a competitive advantage in the marketplace. The role of OM in business is to help the company by making sure that business operations are efficient in terms of using as few resources as possible but effective in meeting the customers needs whereas the role of SCM in business is to establish a supply chain that are as efficient and economical as possible. The relationship of the two is that both system focus on the efficiency and effectiveness of the companies' product and services by managing both the supply chain and transformation of goods from raw into a finished one.
3. As the name suggests, customer relationship management will help companies to deal with their customer relationship, supplier relationship management helps in keeping a good relationship with the company's supplier. Both partner relationship management and employee relationship management deals with company's business partner and staffs respectively.
4. Company can collaborate by using technology is by making it a platform of communication in which someone can share his/her idea while allowing others to comment about it regardless of their positions. Moreover, technology allow a geographical-dispersed workers to communicate with each other as they do in the same room. Some examples of these technologies are social networking websites, video conferencing apps, etc.
Kit Hoe:
ReplyDeleteTPS is business system which serves an organization or a company on a operational level. This kind of system are expected to collect, modify & retrieve all transactional data that the system has captured. Examples of TPS is an online banking system such as Maybank2u, CIMBClick and Online@HSBC. Functions that are shown to be transactional based systems are GIRO procedures or bill payments to name a few. These systems can be used by both individuals & companies to access & process their banking details.
2. Operations Management can be described as a design & management of products, processes, services & the supply chain. It is a series of procedures that a raw material would go through to become an end product that are created for the market. From there onwards, procedures such as the distribution of the product which include transportation & logistics are a part of Supply Chain Management (SCM). SCM deals with the flow of products such as the management of goods, storage & safekeeping & transportation of goods till it reaches its intended destination, commonly, the store shelves. An example of OM is the Just-in-Time (JIT) system which requires all stages of the production to be ready & available in order to meet the required time with minimal cost or overproduction. An example of SCM would be the system used by Coca-Cola Company which uses a part of SAP ERP to better smoothen out their production & manufacturing.
3. Customer Relatonship Management (CRM) is a system used by a company to increase customer loyalty and to improve the retention rate. Supplier Relationship Management (SRM) is developed in order to improve supplier loyalty and the retention rate as well but this is focusing on the supplier side and the system assist to automate some procedures to achieve a certain step in a timely manner. Partner Relationship Management (PRM) is designed to provide tools to develop strategies and methodologies for a vendor to better manage dealings with its partners. Employee Relationship Management (ERM) would a system that a company can use to improve and strengthen its relationship with its employees. Company portals that an employee can login to acquire updates about the company is an example of a ERM system.
4. The world is changing to be a very technological based environment. It has become a norm and a necessity for companies to use technology to drive and push forth their operations. Companies that do not or are lacking in technology will bound to loose out in the competition among other companies. The undeniable fact that technology assist companies to work at a much more faster rate due to improve communication where information can be send & receive almost anywhere & anytime. Automation with the use of Business Intelligent (BI) systems and robots allows companies to work far beyond a human's capabilities pushes the bar even higher for how efficient & fast a company can achieve its goals to be at the top of the competition.
ReplyDelete1) Transaction processing systems (TPS) is an information business system for processing transactions involving the collection, modifications and retrieval of all transaction data. Characteristic of a TPS includes performance, reliability and consistency. (http://www.techopedia.com/definition/707/transaction-process-system-tps)
Transaction processing systems are designed to track and process individual operations in operational level of a business. They are used to collect and store data. Many organization use advance equipment to carry out transaction processing (e.g. Credit Card/EFTPOS Handheld Machine).
Transaction processing system can process data in real-time or in batches.
A decision support system uses data stored by a transaction processing system to generate useful information (factual output) that can be used by business executives or high level management in an organization to assist them in making a business decision. Example of information may include periodic sales data in a specific location, inventory and orders.
2. Define the terms “operations management” and “supply chain management”. Explain their roles in business, and describe their relationship with IS/IT.
ReplyDeleteOperation management (OM) refers to the set of activities (system and processes) perform to transform inputs into outputs (goods and services) creating value in the process. Businesses may use OM to manage their day-to-day operations, forecast future sales, track and analyse movement of raw material, to keen a view on their inventory stock and coordinate logistical functions on their business. Managers can use OM to assist their decision making process in terms on make a business function more efficiently and to lower cost of productions. Managers will be able to generate reports to assist them to make these decisions. For E.G. a Manager will be able to identify how much input is required to be able to product a certain amount of output at a specified time.
Supply Chain Management (SCM) is the management of the flow of goods from the stages of the good being in the form of a raw material into a finished good ready to be consumed by a customer. SCM consist of Upstream supply change, Internal supply chin and downstream supply chain and the way information is used within these stages must be done efficiently and effectively to maximise profitability. Many departments can use this information to understand how information is passed through within stages to better understand their business functions overall and identify linkage between each stage.
1. TPS vs DSS
ReplyDeleteTPS - A computerized system that performs and records daily routine transactions necessary to the conduct of the business. It is the information systems that process data resulting from the occurrence of business transactions. For example, payroll system
DSS - an interactive information system that provides information, models, and data manipulation tools to help make decisions in semi-structured and unstructured situations. An example would be Online analytical processing (OLAP), it is the use of data analysis tools to explore large databases of transaction data
2. Operations Management vs Supply Chain Management
ReplyDeleteSCM - manages the flow of goods, and information and services, in order to deliver maximum value to the consumer, while minimizing the costs of the flow.
SCM>>>>http://postimg.org/image/nx5q59xhp/<<<<
OM - for supplying the product or service of the organization and managing the conversion or transformation process that converts inputs into outputs. OM transforms inputs to outputs. Inputs are resources such as People, Material, and Money, Outputs are goods and services. Shown in the diagram below, OM’s Transformation role is to add value and provide an efficient transformation.
OM>>>> http://postimg.org/image/a99hqys2b/<<<<
3. CRM, SRM, PRM, ERM
ReplyDeletea. Customer Relationship Management (CRM) - a comprehensive strategy and process of acquiring, retaining, and partnering with selective customers to create superior value for the company and the customer. It involves the integration of marketing, sales, customer service, and the supply-chain functions of the organization to achieve greater efficiencies and effectiveness in delivering customer value (Biong, 1996).
Reference:
Biong, H., Parvatiyar, A., & Wathne, K. (1996) “Are Customer Satisfaction Measures Appropriate to Measure Relationship Satisfaction?” In A. Parvatiyar & J. N. Sheth (Eds.),Contemporary Knowledge of Relationship Marketing (pp. 258-275). Atlanta, GA: Emory University Center for Relationship Marketing.
b. Supplier Relationship Management (SRM) -Focuses on keeping suppliers satisfied by evaluating and categorizing suppliers for different projects, which optimizes supplier selection
c. Partner Relationship Management (PRM) -Focuses on keeping vendors satisfied by managing alliance partner and reseller relationship that provide customers with optimal sales channel
d. Employee Relationship management (ERM) -Provides employees with a subset of CRM application available through a Web browser
4. Different ways in which companies collaborate using technology
ReplyDeleteAn interesting example will be Radio Frequency Identification (RFID).
How useful it is?
The cost benefit analysis of implementing tags on all products to have real time asset management, warehouse management and supply chain visibility is immensely valuable. Each product can now be accurately tracked from its raw materials, straight through to the manufacturing process and finally to the individual end user. For example once a product is consumed a message could be sent back to the retailer to delivery more and also to the manufacturer to produce more, thus allowing for better stock control and reducing waste.
IBM RFID Commercial - The Future Market (http://www.youtube.com/watch?v=eob532iEpqk)
NutriSmart have developed edible RFID tags which really demonstrates how far the true supply chain can really be measured. Incorporating printable RFID tags into food produce has huge benefits for the health and medical industries. This could ensure people are taking the right medicine and those with health problems are consuming the right foods. This type of technology could identify whether the food is safe to eat, whether it has the right nutritional value and may then go on to track it through the body's digestive system and communicate any problems to your mobile phone.
NutriSmart embeds RFID tags directly within food (http://www.youtube.com/watch?v=N3_EjOecfOA)