Page 51 - DCAP302_ENTERPRISE_RESOURCE_PLANNING

Unit 2: ERP and Related Technology

caught the interest of Select Comfort because of its power and ease of use. Select Comfort notes
plans to deploy Siebel Business Analytics to 2,500 users company-wide by 2008.
The software will deliver alerts and dashboard capabilities to show how the company’s 400
stores are performing in real time.
Select comfort had concerns about using enterprise-wide software from two vendors,
Oracle and Siebel. When companies adopt new software, the software, the software must
be able to integrate with existing systems. Select Comfort resigned itself to the fact that it
would have to work with Siebel on integration issues.
Shortly after Select Comfort purchased the Siebel software, Oracle announced that it was
purchasing Siebel. The partnership means that the Siebel BI software will eventually be
integrated with oracle’s database and ERP software. David Dobrin, an analyst at B2B
Analysts, Inc., in Cambridge, Massachusetts, said Select Comfort will likely have to wait
for a strong link between the products. Integration “will take years and years, and probably
Oracle will have to do a major revision to data systems,” he said.

Questions
1. What benefits does Select Comfort’s ERP system provide that individual software
solutions from a variety of vendors could not?
2. What risk did Select Comfort assume when it chose software from a different
vendor?

2.15 summary

l z To enable a company achieve its objectives, it is essential that the management has a clear
understanding of the kind of information that needs to be collected, stored, and analyzed.
This information should be consistent with the requirement of the organizational level at
which it is targeted.

l z Information systems that process data generated from the occurrence of business
transactions are called transaction processing systems.

l z Information systems in many large organizations are combinations of various functional
information systems like marketing information systems, manufacturing information
systems, human resource information systems, accounting information systems, and
financial information systems.
l z An MIS can be defined as an integrated, user – machine system that provides information to
support the managerial, operational, and decision – making functions in an organization.

l z The characteristics of an MIS are that it is management – oriented, management – directed,
an integrated system, enables maintenance of a common database, and is flexible.

l z The functions of an MIS are data collection, data storage, and information presentation.
l z DSSs are used to help in managerial decision-making.
l z A DSS is flexible, based on simple models, and uses a database.
l z An EIS aims at providing timely information to the top management. For the successful
implementation of the EIS, a consensus between a senior management person and a project
leader is essential.
l z OLAP helps in multidimensional analysis and provides timely information. A well
designed OLAP can help in efficient data management.

LoveLy professionaL university 45