Chapter 1 Notes.docx

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Information Technology Management
ITM 330
Selcuk Savas

Chapter 1 Notes - Enterprise Resource Planning (ERP) systems are core software programs used by companies to integrate and coordinate information in every area of the business. - A business process is a collection of activities that takes one or more kinds of input and creates an output, such as a report or forecast that is of value to the customer. o For example, what is sold through Marketing and Sales is linked to what is procured and produced by Supply Chain Management. - Most companies have four main functional areas of operation: o Marketing and Sales (M/S), o Supply Chain Management (SCM), o Accounting and Finance (A/F), and o Human Resources (HR) - Thus, you might conclude that what happens in one functional area is not closely related to what happens in others. - An information system (IS) includes the people, procedures, software, and computers that store, organize, analyze, and deliver information. - What is the difference between a business function and a business process from the customer’s point of view? o Because only one functional area is involved in accepting the return of the damaged item, receipt of the return is a business function— specifically, it is part of the customer relationship management function of Marketing and Sales. o Because several functional areas are involved in the repair and return of the mobile phone back to the customer, the handling of the repair is a business process. - Because several functional areas are involved in the repair and return of the mob
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