Historical development The role of business information systems has changed and expanded over the last four decades: 1.In the incipient decade (1950s and.

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1 Historical development The role of business information systems has changed and expanded over the last four decades: 1.In the incipient decade (1950s and '60s), “Elecsystems” could be afforded by only the largest organizations. These systems also known as “Management Support System” (MSS). They were used to record and store bookkeeping data such as journal entries, specialized journals, and ledems” were used to generate a limited range of predefined reports, including income statements (they were called P & L’s back then), balance sheets and sales reports. The first Management Operating System (MOS) such as “PICK”, were also introduced to plan and manage inventory. These solutions are also called “Bill Of Material” (BOM) Processors Basically, transaction processing, record keeping, and other Electronic Data Processing (EDP); are the main interests and capabilities.

2 2.By the 1970s, three important forms and technologies of Business System were introduced : “Decision Support Systems” (DSS), “Material Requirement Planning” (MRP), and “Management Information System” (MIS). These intertactive technologies were important breakthrough in the history of Management. They were considered interactive in the sense that they allowed the user to choose between numerous options and configurations and in dealing with pre-defined management report. The users were allowed to customize outputs, and could configure the programs to their specific needs. But as part of your mainframe leasing agreement, you typically had to pay to have an IBM system developer permanently on site. Note that MRP(first introduced by J. Orlicky of IBM and G. Plossl) was a state-of- the-art inventory and production planning system management that relies on a computer system, at that time. Companies were able to gain control over their material purchases and order only what was needed and when. The first actual ERP system was created in 1972, in Mannheim Germany, by five former IBM employees who founded the company SAP to produce and market standard software for integrated business solutions.

3 3.The main development in the 1980s was the introduction of decentralized computing. Instead of having one large mainframe computer for the entire enterprise, numerous PCs were spread around the organization. But many poor souls fought with the vagaries of DOS protocols, BIOS functions, and DOS batch programming. Computers, instead of creating a paperless society, as was expected, produced mountains of paper, most of it valueless. This information overload was mitigated somewhat in the 1980s with the introduction of “Executive Information Systems” (EIS). They streamlined the process, giving the executive exactly what they wanted, and only what they wanted.

4 The 1980s also saw the first commercial application of artificial intelligence techniques in the form of “Expert Systems” (ES). These programs could give advice within a very limited subject area. “Manufacturing Requirement Planning” (MRP II), were also introduced by O. Wight. This first integrated business system technology combined the strength of MRP with accounting/financial management system. We also witnessed the rise of “Just In Time” (JIT) principles of a very effective and efficient production system from Toyota Motor Company (TMC) of Japan. These technologies were important foundation for ERP and also Supply Chain Management (SCM) as an important related system possible.

5 4.The 1990s saw the introduction of the Strategic information system. (SIS)Strategic information system These systems used information technology to enable the concepts of business strategy developed by scholars like M. Porter, T Peters, J. Reise, C. Markides, and J. Barney in the 1980s. The role of business information systems had now expanded to include strategic support. The latest step was the commercialization of the Internet, and the growth of intranets and extranets at the turn of the century. “Enterprise Resource Planning” (ERP), rose as a new business system solution that includes all resource planning such as product design, information warehousing, material planning, capacity planning, communication system, and so on. is the next logical sophistication level in an evolutionary series of computer business tools that began in the 1950s. ERPs are cross-functional and enterprise wide. ERP II means open ERP architecture of components. EAS - Enterprise Application Suite is a new name for formerly developed ERP systems which include (almost) all segments of business, using ordinary Internet browsers as thin clients.

6 DimensiTransaction Processing System (TPS) Management Information System (MIS) Decision Support System (DSS) Expert System (ES) Executive Information System (EIS) AplikasiPayroll, persediaan (inventory), penyimpanan rekaman (record keeping), informasi produksi & penjualan Kontrol produksi, peramalan penjualan, pemantauan Perencanaan Strategis Jangka Panjang, masalah terintegrasi rumit Diagnosis, perencanaan strategis, perencanaan pengendalian internal, strategi Pengambilan keputusan Manajemen tingkat tinggi, peneraan lingkungan (environmental scanning) Titik PerhatianTransaksi DataInformasiKeputusan, fleksibillitas, (user- friendliness) Inferencing, transfer keahlian Penelusuran, pengendalian, Drill-Down Data BaseUnik untuk tiap aplikasi, update batch Akses interaktif oleh pemrogram DBMS, akses interaktif, pengetahaun faktual Pengetahuan prosedural & faktual, basis pengetahuan (knowledge base) Eksternal (on-line) dan korporasi, akses luas perusahaan (semua Data Base) Kemampuan Pengambilan Keputusan Tidak adaMasalah terstruktur rutin menggunakan alat Sains Manajemen (Management Science)konvensional Masalah Semi testruktur, Model Sains Manajemen terintegrasi, campuran penilaian dan pemodelan Sistem membuat keputusan rumit, tidak terstruktur, penggunaan berbagai aturan (heuristics) Hanya bila digabungkan dengan Decision Support System ManipulasiNumerikal SimbolikNumerik (utamanya), beberapa simbolik Tipe informasiLaporan Rangkuman, operasional Laporan kebutuhan dan terjadual, aliran terstruktur, pelaporan pengecualian (exception reporting) Informasi untuk mendukung keputusan spesifik Saran dan penjelasanAkses status, pelaporan pengecualian, indikator kunci (Key Indicator) Tingkat organisasi tertinggi dilayani Sub-manajerial, manajemen tingkat rendah Manajemen tingkat menengah Analis dan para manajerManajer dan spesialisEksekutif Senior Momentum acuan (motivasi) KesesuaianEfisiensiEfektivitasEfektivitas dan kesesuaian Kepantasan, kesesuain Berbagai atribut tentang sebagian besar Computer Management Support System (Efraim Turban)

7 BOM MRP Closed-Loop MRPMRP II ERP