Module 1: Analyzing Business Processes“Housekeeping”IM341 Course OverviewSlide 4Slide 5Module 1 (Business Process Analysis) ObjectivesSlide 7Slide 8Slide 9Slide 10Slide 11Slide 12Slide 13Slide 14Slide 15Slide 16Slide 17Slide 18Slide 19Slide 20Slide 211IM341 Spring 2014Module 1:Analyzing Business Processes REQUIRED READING FOR THIS MODULE:IM341sp14_ProcessAnalysis.pdfThe content presented in the required reading is not summarized in its entirety in these slides.Other assessment material sources:Slides, slide links and class discussion2“Housekeeping”•Documents for this class are stored in the Office 2013 and Office 2010 for Windows format, which is compatible with Mac Office. READING IS KEY TO SUCCESS IN THIS CLASS.•Carefully read the syllabus BEFORE the next class period (grading, attendance, makeups). Make sure you have the most recent syllabus version. We will adhere to the policies communicated in the syllabus whether you take the time to read them or not.•During class, we will assume that you have read and studied required readings BEFORE the first day of each module.•Class lectures and discussions may not cover all assigned materials. Content from all assigned materials (required readings, slides, links included in slides, class discussion and your notes from class discussions) may be included on exams, whether they are explicitly discussed in class or not.•Class slides are created to facilitate class discussion and/or to introduce additional content not covered in required readings. Slides do not fairly summarize required reading content and do not reflect the level of detail that will be assessed on exams. •Attendance will affect your grade in this course. Make sure you review the attendance policy described in your syllabus. (For example, physically sitting in class but not engaging -surfing the web or texting during class time- does not count as class attendance.)•We do not curve or offer opportunities for so called “extra credit”. •We do not conduct separate, so called “review sessions” in IM341 for a great reason. We treat EVERY class period as an important exam review session.•Use Office hours, email and class time for questions.•If you are repeating this course, make sure you intensify your approach to studying this time and be sure to use materials from this semester. Class materials can change from semester to semester, even if they have the same title.•Policy for Accounting Majors – Due to interest in how accounting majors perform in the class, the IM341 final grade is now used in the computation of the Accounting GPA.3IM341Course OverviewBizRights PlatformIS Security and Controls (Mod 5)Governance, Risk and Compliance (Mod 5)Enterprise Information Systems & Transaction Processing (Mod 2)( Based on processes introduced in Module 1, provides the foundation for Module 3, and is revisited in Modules 4, 5)Transaction Processing ExamplesOrder to Cash (Module 2)Transaction Processing ExamplesPurchase to Payment (Module 2)Legend: Mod = ModuleBusiness Process Analysis (Mod 1)Systems/Process Documentation (Mod 3)Data Analysis and Modeling (Mod 4)4IT SideBusiness SideHow Do We Break Down the Wall that often Divides IT and Business???5To design a good information system, you must first focus on understanding the business. That is why we study business analysis first (in module 1) and information / transaction processing second (in module 2).6Module 1 (Business Process Analysis) Objectives•Review/discuss types of businesses and typical business functional areas•Define business processes and value chain•Discuss typical business processes•Introduce a method for analyzing businesses, independent of information technology elements•Applied Learning: Use mini-cases(scenarios) to practice analyzing business process•IMPORTANT DISCLOSURE – Most module 1 learning is case based and a majority of learning takes place during class discussions. It is assumed that you will read and study the required readings, but most students cannot learn module 1 content without participating in class discussions.7Class Discussion: 1- Based on the required readings,List some categories and varying objectives of organizations.2- In this class, we will not focus on traditional business functional areas or perspectives. What are some benefits of eliminating a functional perspective when analyzing businesses?8Broadly, Porter defined the value chain as the set of discrete but interlinked (primary and support) activities through which a product or service is created and delivered to customers. Value chain analysis aids in evaluating the value each particular activity adds to the organization’s products or services. These activities have points of connection with the activities of suppliers, channels, and customers and links between these activities provide opportunity for competitive advantage (via exceptional efficiency or some form of product differentiation).9Porter’s Value Chain analysis recognizes that organizations are elements of a value system (some call it a supply chain).To analyze a business, you need some way to handle the complexity by organizing your analysis into manageable units.Class Discussion: Based on the required readings, •What is a business process and what distinguishes it from a business event?•How do business events differ from activities defined as information processing? How are they related?11Class Discussion: Based on the required readings, What are three basic, interdependent business processes common to all organizations?For each, give examples of typical process events.12Business Process Groupings•acquiring and paying for resources (e.g. financing, human skills, materials and supplies, and plant and equipment), •converting resources acquired into goods and services for customers, •delivering goods and services to customers and collecting payment,•managing the supply chain, •managing the customer relationship, •managing the product lifecycle management, •managing human resources, •managing financial resources.13Understanding Business Processes•What happened and why? Identify the strategically relevant events, understand how each event is executed and why it is executed •Who/what agents perform the roles in executing each event and what roles are performed? Identify the parties that participate in a significant way in executing each event and/or are accountable for the event