Test Bank For Integrated Business Processes With ERP Systems 1st Edition by Simha R. Magal | Complete A+ Guide

,Chapter1: IntroductiontoBusiness x ,




Process
x,




LearningObjectives
Aftercompletingthischapteryouwill beableto: x, x,




1. Definethefunctionalorganizationalstructure,andexplainwhythisstructurecreatesproblems for
x, x, x, x, x, x,




modernbusinesses
x, x,




2. Describekeybusinessprocessesinanorganization
x, x, x,




3. Identifythemainintegrationpointsbetweenandamong processes x, x,




4. Understandthecross-functionalnatureofprocessesandtheirrelationshiptoorganizational
x, x,




areas
x,




5. Adoptandapplyanintegratedperspectiveto businessprocesses x, x,




6. DescribeGBI’sorganizationalstructure
7. ExplainhowtheSAPsystempromotesanintegratedapproachtobusinessprocesses
x, x, x, x, x,




ChapterOutlineandTeachingSuggestions
1. TheFunctionalOrganizationalStructure
a. TheSiloEffect x,




b. EnterpriseSystems

Discusshowcompaniesareorganized,and explain thatthe functionalstructure isthemost common
x, x, x, x, x, x, x, x, x, x, x, x,




organizational structure. Youcanuse auniversity or company orabusiness school department that
x, x, x, x, x, x, x, x, x, x,




you arefamiliarwithas an example. Point outthatprocesses are cross- functional.Askthequestion:
x, x, x, x, x, x, x, x, x, x, x,




Whyisthefunctionalstructuresocommon?Figure1-1willassistyou in explaining the cross-
x, x, x, x, x, x, x, x, x, x, x, x, x,




functional natureofbusiness processes. x, x, x,




Explainthesiloeffectanditsnegativeimplicationsformodernbusinessorganizations. Youcan
x, x, x, x, x, x, x, x, x, x ,




giveanexamplesuchascreating asalesorderin salesandmarketing with no integration or
x, x, x, x, x, x, x, x, x, x, x,




communicationwith inventorymanagementorproduction.
x, x, x, x, x,




Pointoutthatthenatureofthefunctionalorganizationalstructureandthecross-functional
x, x, x, x, x, x,




natureofprocesses directlyconflictwitheachother.
x, x, x, x, x,




Explainthebenefitsofanenterprisesystem(ES)(i.e.,supportsend-to-endprocesses,
x, x, x, x, x, x, x,




productivity,competitiveedge,monitoringandchangingofbusinessprocesses,etc.).
x,




2. BusinessProcesses

, a. Procurement-Buy
b. Production-Make
c. Fulfillment-Sell x,




d. MaterialPlanning- Plan x,




e. InventoryandWarehouseManagement-Store
f. LifecycleDataManagement-Design
g. AssetManagementandCustomer Service-Service x ,




h. HumanCapitalManagement- People x, x,




i. ProjectManagement-Projects
j. FinancialAccounting- TrackforTrackforExternalReporting x, x, x,




k. ManagementAccounting-Track forInternalReporting x, j x, x,




Defineand explain abusiness process. Point outthatorganizationsuse manyprocesses to achieve
x, x, x, x, x, x, x, x, x,




theirobjectivesandtheyemployspecific termstoidentifytheprocesses.Processescan be
x, x, x, x, x, x,




directlyrelatedorcloselyrelatedtocreatinganddeliveringgoodsandservices.UseFigure1-2to
x, x, x, x, x, x, x, x, x, x, x, x,




illustrateaprocessthat is executed in response to aneed(trigger). Theprocess is carriedout
x, x, x, x, x, x, x, x, x, x, x, x ,




through a sequence of stepsandresults in an output.Youcanuseanexample suchasordering
x, x, x, x, x, x, x, x, x, x, x, x, x,




supplies.
x,




Processescanbesupportedbyotherprocessesandcanhavenumeroussub-processes.Pointout that x, x, x, x, x,




communication andcoordinationoftasksarevery important. Figure 1-3 canassist you in explaining
x, x, x, x, x, x, x, x, x, x,




thispoint. Askstudentstoindentifysomeotherprocessesthattheyarefamiliarwith.
x, x , x, x, x, x, x, x, x, x, x,




Describeandgiveexamplesofthebusinessprocesses(A- K).Figures1-4through1-10willassist you.
x, x, x, x, x, x, x, x, x, x,




3. GlobalBicycle,Incorporated(GBI)

Explain that Global Bicycle, Incorporated(GBI) isa fictional company thatisused to illustrate the
x, x, x, x, x, x, x, x, x, x, x,




importantconcepts,processes,andtechniquesdiscussedinthetextbook.Figure1-11willassist you
x, x, x, x, x, x, x, x, x, x, x, x, x,




in explainingGBI'sorganizational structure.
x, x, x, x,




Callupthe SAP University Alliance Community (UAC)websitehttp://uac.sap.com,and
x, x, x, x, x, x, x, x, x,




demonstratethefunctionalityandservicesavailableforstudents. Alsoinstructstudentstoread
x, x, x, x, x , x,




theGBIBackroundDocumentontheUACtounderstandGBI’shistory,productsandoperations.
x, x, x, x, x, x, x, x, x, x, x, x,




4. HowToUseThisBookx, x, x, x,




a. ChapterStructure
b. SAPSoftwareandCertification x,




c. WileyPLUS

, Explainthefourkeysectionsinmostoftheprocesschapters. x, x, x, x , Provideabriefbackgroundonthe x, x, x, x,




originsof SAPand the problems it initially solved.
x, x, x, x, x, x, x,




ExplainthatmostSAPconsultantsarenotprogrammersandhavemasteredthematerial presented x, x, x,




inthisbook.
x, x, x,




ExplainthethreelevelsofSAPCertificationandthevalueaddedofbecomingaSAP-certified x, x, x, x, x,




consultant.
x,




PointoutthattheimportanceoftheWileyPLUSonlinesupplementsandthevalueaddedto passing
x, x, x, x, x, x, x, x,




theSAPCertificationexam.Reinforcethepointthatusingthistextbookandtheancillary materials
x, x, x, x, x, x, x, x, x, x, x, x, x, x,




can substitute for takinga formal TERP10 course.
x, x, x, x, x, x, x, x,




Reviewquestions
1. Question:
Describethefunctionalorganizationalstructure. Whydoyouthinkthisstructureissocommon? x , x , x,




.
Answer:
Thefunctionalorganizationstructureisdividedintofunctions,ordepartments,eachofwhichis x, x, x, x,




responsibleforasetofcloselyrelatedactivities.Thistypeoforganizationalstructureiswidelyused
x, x, x, x, x, x, x, x, x, x, x, x, x,




becauseitspreadstheresponsibilityacrossanorganizationinsteadoflocatingitinoneparticular
x, x, x, x, x, x, x, x, x, x, x, x, x, x, x,




personorgroup.Inaddition, itenablespeopletospecializeintermsofskillsandknowledge.
x, x, x, x, x, x, x, x, x, x, x, x, x,




2. Question:
Whatisthesiloeffect? Whydoesitexist? Howcananorganizationreduceoreliminatethesilo
x, x , x, x, x, x , x, x, x,




effect?
x,




.
Answer:
Thesiloeffectreferstoanorganizationalstructureinwhichworkerscompletetheirtasksin their
x, x, x, x, x, x, x, x, x, x, x, x, x, x, x ,




functional“silos”withoutregardtotheconsequencesfortheotherfunctionsintheprocess. This
x, x, x, x, x, x, x, x, x, x, x, x, x ,




situationexistsbecauseeachdepartmentwithinafunctionalorganizationworksindependently
x, x, x, x, x, x, x, x, x, x, x,




andfocusesonitsobjectives. Thistendencycanbereducedbythinkingsideways orviewingthe
x, x, x , x, x, x, x, x, x, x,




businessacrossfunctionalboundariesandfocusingontheend-to-endnatureoftheprocessandits
x, x, x, x, x, x, x, x, x, x, x,




intendedoutcomes.
x, x,




3. Question:
Whatisabusinessprocesses? Whyisaprocessviewoforganizationsessentialtobecominga
x, x, x , x, x, x, x, x,




successfulmanager?
x,




.
Answer:
A business processis asetoftasksoractivities thatproduce desiredoutcomes. Every process is
x, x, x, x, x, x, x, x , x, x,




triggeredbysomeevent,suchasreceivingacustomerorderorrecognizingtheneedto purchase
x, x, x, x, x, x, x, x, x, x, x, x, x, x ,




something. Aprocessviewcanliberatemanagersfromthesiloeffect. Managersmust
x, x , x, x, x, x, x, x, x , x,