Unit 2 Study Guide: ERP Systems, Business Processes, and IT

2a: Explain the concept of business processes.

2a.1. A business process is a series of tasks that are repeated in order to produce a measurable output.

A. Why is it important to have a proper process management in place?

B. List and define some of the different types of processes.

C. Why is the practice of process modeling important?

D. What are some of the software tools used in process modeling?


2b: Explain the purpose of an enterprise resource planning (ERP) system in organizations.

2b.1. An ERP helps organizations eliminate duplication of efforts by streamlining business processes though a modular interfaces. For example, as accounting, marketing, warehouse, sales, and other teams each perform their function, an ERP system brings everything together for each department to operate through an IT platform which eliminates redundancy.

A. Understand the disadvantages of having multiple legacy systems versus having a single ERP database that transmits data between different areas.

B. Understand the advantages and disadvantages of an ERP system.

C. ERP systems are customizable for organizations that want specific modules for their industry.

D. An ERP system usually comes with best business practices built in for each industry.


2c: Give examples of how information systems support organizations in managing business processes.

2c.1. Information systems can automate business processes to communication media, which can facilitate new business processes.

A. Understand how information systems follow model inputs-processes-outputs and objective data to automatically follow.

B. Information systems supporting business processes are driven by the use of business process management while innovating through the consideration of organization structures.

C. Understand how information systems support can help organizations address the challenge of complex systems where no traditions in business processes can be ignored.


2d: Explain the concept of business process reengineering and describe the role information technology plays in it.

2d.1. Process reengineering is part of business process management and has been adopted for organizational transformation in multiple industries

A. Many organizations measure business performance through process performance based on business process management principles.

B. Business process reengineering can influence and motivate senior executives rethink business strategies.

C. The first step in process reengineering is process mapping followed by the identification of the process parameters, current performance, and issues and challenges through root cause analysis.

D. Information technology plays a major role in the reengineering process by transforming structure and culture by moving from manual or outdated processes into a centralized technology-driven process.

Prepare for the final exam by reviewing “Chapter 4: Business Process Modeling and Process Management”, “Nathan Garrett’s Introduction to ERP Systems”, “David Bourgeois’ Introduction to ERP Systems”, “Business Process Management in Health Care: Current Challenges and Future Prospects”, and “Adam Bevins’ Business Process Improvement: Creating Value from Asset Information Management”.


Unit 2 Vocabulary

This vocabulary list includes terms that might help you answer some of the review items above and some terms you should be familiar with to be successful in completing the final exam for the course.

  • Business process
  • ERP system
  • Return on Investment
  • Process Modeling
  • Process Management
Last modified: Wednesday, July 17, 2019, 6:01 PM