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vi Contents

Implications for Management 28
Summary 29 • Exercises 31 • Review Questions 31
Discussion Questions 32
! CASE 1.2 Real-World Case: Rolls Royce’s ERP Implementation 32

Chapter 2 SYSTEMS INTEGRATION 35
! CASE 2.1 Opening Case:Air Cargo’s e-Enterprise System 36
Preview 37
Functional Silos 38
Horizontal Silos 38
Vertical Silos 39
Business Process and Silos 40
Evolution of Is in Organizations 42
IS Architectures 44
IS Functionalization 44
Systems Integration 46
Logical Vs. Physical SI 46
Steps in Integrating Systems 47
Benefits of System Integration 48
Limitations of System Integration 48
ERP and Systems Integration 49
ERP’s Role in Logical Integration 49
ERP’s Role in Physical Integration 50
Implications for Management 51
Summary 52 • Exercises 53 • Review Questions 53
Discussion Questions 54
! CASE 2.2 Real-World Case: Systems Integration at UPS Corp 54
Chapter 3 ENTERPRISE SYSTEMS ARCHITECTURE 57
! CASE 3.1 Opening Case: Nestlé’s ERP Implementation 58
Preview 59
Why Study Enterprise System Architecture? 59
ERP Modules 60
Production Module 62
Purchasing Module 62
Inventory Management Module 62
Sales and Marketing Module 63
Finance Module 63
Human Resource Module 63