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Chapter 2

COMM 190 Chapter Notes - Chapter 2: Purchase Order, Tim Hortons, Total Quality Management


Department
Commerce
Course Code
COMM 190
Professor
Mosey Nicholas J
Chapter
2

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Chapter 2: Business Process, Management, and Decision Making
How Did this Stuff Get Here?
Think about ordering a coffee and muffin from Tim Horton’s
There is a huge amount of thing that must happen and processes that must occur just to
get those two simple items coming from a network of individuals
o There is a process for ordering, shipping, receiving, storing, paying, etc.
o Orgs make use of these processes to deliver goods and services to customers
What is a Business Process?
It is a series of tasks or steps designed to produce a product or service aka bus. System
Examples: inventory management processes, manufacturing processes, sales processes…
o An inventory management system collects information and keeps track of what
customers have ordered and the quantity on hand also advises mgmt. when
stock has hit a reorder point and needs to be replenished
What are the Components of a Business Process?
Activities can consist of purely manual activities, be automated/computer controlled, or
be a combination of the two
o Transform resources and information into a different resource or information
Resources are items of value can be labour, inventory, materials
Facilities are structures used within the business process resources can be stored here
o Includes factories, equipment, trucks, filing cabinets, databases, etc.
Information is knowledge defined from data where data is recorded facts or figures
o It is also data that is presented in a meaningful context
Business Process Modelling Notations are a standard set of terms and graphical notations
for documenting business processes
What is Information?
Information defined as above
Characteristics of Good Data
Accurate
Always based on complete and accurate information and has been processed as expected
If the IS is not accurate it becomes a waste of time and money
Always cross-check information that you are using to make sure it is accurate
Timely
Information must be produced in time for its intended use or it will be useless to have
You must also know that the frequency of updates on information affects cost
o Do you really need real-time information or can you wait a day?
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