CH 03

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Chapter 3: Technologies
Enabling Organizational
Memory
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Introduction
 Technologies responsible for organizational memory, knowledge repository

& structured information
 ERP Systems & Implementations
 Data Warehousing
 Operating Models
 Enterprise Architecture
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Organizational Memory, Data
Model & Data Type
 Organizational Memory
 Storage of information in such a form that it can be later accessed and used for BI
 Relates to corporate memory, knowledge repository and institutional memory
 Data Model
 Describes how data is represented and accessed (i.e. provides definition and format
of data)
 Data Types
 Structured Data
 Unstructured Data
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Organizational Memory Capability
 Enterprise Resource Planning (ERP)

 Refers to transactional systems that capture organizational memory related to all
business processes that the organization engages in
 Example: Order to cash captures all the transactions in an organization
 Transactional Systems: capture all the relevant information for one

accounting period (i.e. month/quarter/year/etc.)
 Data Warehouse: provides the source of data and information for business
intelligence (BI) analysis
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Enterprise Resource Planning
Systems (ERP)
 ERP Systems are software packages composed of several modules such as

human resources, sales, finance, and production, providing a cross-
organization integration of data through embedded business processes.
 Manufacturing resource planning or material requirements planning

systems (MRP)
 Control the aspects of:

 Manufacturing
 Procurement of materials
 Delivery and inventory control
 ERP systems- implemented to bring enterprise infrastructure to Y2K

compliance
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Enterprise Resource Planning
Systems (ERP)-Benefits
 Integrate business processes across the enterprise
 Single database for the whole enterprise
 Access to real time transactional data
 Elimination of costly stand alone legacy systems
 Elimination of complexities
 Provide the infrastructure for organization to improve management of order

fulfillment processes
 Integration of different departments working in the organization

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(ERP)- Vendors
 The top four vendors to date include:

 SAP (www.sap.com)
 Oracle (www.oracle.com)
 Sage (www.sagenorthamerica.com)
 Microsoft Dynamics (www.microsoft.com/dynamics)
 There are also open source versions of ERP systems, including OpenERP,
GNU Enterprise, WebERP, etc.
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ERP-Implementation Problems
 Large monetary investments
 Organizational change
 Technical challenges
 Operational problems
 Integrating ERP into existing legacy systems
 Code customization may increase complexity

+
ERP-Implementation Success
 Top management commitment
 Strong project management
 Team member skills
 Team member motivation and dedication
 Effective communication
 Effective change management

+
ERP-Conflicts
 ERP do not drive innovation
 Tie between ERP & BI is that a standardized integrated enterprise

infrastructure creates better opportunities for the organization to be more
agile and adopt innovation
 ERP focuses on commoditization
 Standardized infrastructure can focus on using BI to respond with agility to

environmental signals
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Enterprise Systems-Middleware
 Enterprise Application Integration (EAI)

 EAI can parse, duplicate or transform data from an application to present in an
acceptable format
 EAI deals with data integration with legacy systems
 There is no need to redefine business practices
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Data Warehouse
 IBM researchers Devlin & Murphy first described the concept of data
warehouses (DW)
 Copy of transaction data structured for querying and reporting
 It is a prerequisite to BI since it helps the organization to obtain value from its

data sources by preparing and storing the enterprise data into a repository
designed to support decision making.
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Data Warehouse- Characteristics
 Subject Oriented
 Integrated using
 Operational databases
 Data archives
 Legacy databases
 External data
 Nonvolatile
 Time-Variant
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DW-Vendors
 Oracle
 NCR Teradata
 Open Source Versions like MySQL

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Data Warehouse-Four levels
 DW is an architecture that describes the atomic level in the enterprise’s data

model, which consists of four levels:
 Operational Level
 Data Warehouse Level
 Data Mart or Departmental Level
 Individual Data Level
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Data Warehouse-Four Levels
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Data Modeling Techniques
 Entity-Relational (ER) Modeling

 Corporate Information Factory (CIF)
 Dimensional Modeling
 Package Approach
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Dimensional Modeling Process
Flow Diagram
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Technical & Sourcing Challenges
 Abundant technical options
 Changes in technologies and vendors
 Integration requirements
 Knowledge transfer challenges

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Characteristics of a Mature Data
Warehouse
 Data
 Architecture
 Stability of the production environment
 Warehouse staff
 Users
 Impact on users’ skills and jobs
 Applications
 Cost & Benefits
 Organizational impact
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University Experts-Searchable
Answer Generating Environment
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Designing the Enterprise
Architecture
 Firms define their underlying enterprise architecture by making two
important choices about their business operations units:
 Standardization
 Integration
 Refers to the organizing logic for business processes and IT infrastructure

reflecting the integration and standardization requirements of the company’s
operating model
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Operating Models-Based on
Standardization and Integration
 The Diversification Model (low standardization, low integration )
 The Coordination Model (low standardization, high integration)
 The Replication Model (high standardization, low integration)
 The Unification Model (high standardization, high integration)

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Four Operating Models
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Enterprise Architecture
 The IT unit typically defines four levels of architecture below the enterprise
architecture:
 The Business Process Architecture
 The Data or Information Architecture
 The Application Architecture
 The Technology Architecture
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Elements of the Enterprise
Architecture
 Core business processes
 Sharing of data driving core processes
 Key linking and automation technologies
 Key customers
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Delta’s Operating Model
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Knowledge Repositories
 Also known as knowledge sharing systems
 Include technologies that support:

 Document management systems
 Digital content management systems
 Enterprise content management systems
 Web content management systems
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Characteristics of Efficient
Knowledge Repositories
 Knowledge owners:
 Knowledge sharing
 Conditions of sharing
 Rewarded for knowledge sharing
 Knowledge seekers:
 Explore possibilities for searching and ranking
 Applicability of explicit knowledge
 Knowledge sharing and learning
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Classification of Knowledge
Repositories
 Incident Report Databases
 Alert Systems
 Best Practice Databases
 Lessons Learned Systems (LLS)
 Expertise Locator Systems

+
Differentiation of Knowledge
Repositories
 The differences among the knowledge repositories is based on:

 Content origin
 Application
 Result
 Orientation
+
Types of Knowledge Repositories

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 Technologies responsible for organizational memory, knowledge repository

 ERP Systems & Implementations

 Enterprise Resource Planning (ERP)

 Transactional Systems: capture all the relevant information for one

 ERP Systems are software packages composed of several modules such as

 Manufacturing resource planning or material requirements planning

 Control the aspects of:

 ERP systems- implemented to bring enterprise infrastructure to Y2K

 Single database for the whole enterprise

 Access to real time transactional data

 Elimination of costly stand alone legacy systems

 Provide the infrastructure for organization to improve management of order

 Integration of different departments working in the organization

 The top four vendors to date include:

 Large monetary investments

 Integrating ERP into existing legacy systems

 Code customization may increase complexity

 Top management commitment

 Strong project management

 Team member skills

 Team member motivation and dedication

 Effective change management

 ERP do not drive innovation

 Tie between ERP & BI is that a standardized integrated enterprise

 ERP focuses on commoditization

 Standardized infrastructure can focus on using BI to respond with agility to

 Enterprise Application Integration (EAI)

 Copy of transaction data structured for querying and reporting

 It is a prerequisite to BI since it helps the organization to obtain value from its

 Open Source Versions like MySQL

 DW is an architecture that describes the atomic level in the enterprise’s data

 Entity-Relational (ER) Modeling

 Abundant technical options

 Changes in technologies and vendors

 Knowledge transfer challenges

 Stability of the production environment

 Impact on users’ skills and jobs

 Cost & Benefits

 Refers to the organizing logic for business processes and IT infrastructure

 The Coordination Model (low standardization, high integration)

 The Replication Model (high standardization, low integration)

 The Unification Model (high standardization, high integration)

 Sharing of data driving core processes

 Key linking and automation technologies

 Also known as knowledge sharing systems

 Include technologies that support:

 Best Practice Databases

 Lessons Learned Systems (LLS)

 Expertise Locator Systems

 The differences among the knowledge repositories is based on:

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