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5VTWEVWTGF Q7-1 What Are the Basic Types of Processes? 287
Support operational and structured Support strategic and less structured
managerial decisions and activities managerial decision and activities
Standardized Less specific, fluid
Usually formally defined and documented Usually informal
Exceptions rare and not (well) tolerated Exceptions frequent and expected
Process structure changes slowly and Adaptive processes that change structure
with organizational agony rapidly and readily
Figure 7-2 'ZCORNG Customer returns, order entry, 'ZCORNG Collaboration; social networking;
Structured Versus Dynamic purchasing, payroll, etc. ill-defined, ambiguous situations
Processes
payable, are simpler and easier to manage than those that support a network of independent
organizations, such as a supply chain. Consider processes at each of these three organizational
scopes.
Workgroup Processes
A workgroup process exists to enable workgroups to fulfill the charter, purpose, and goals of a
particular group or department. A physicians’ partnership is a workgroup that follows processes
to manage patient records, issue and update prescriptions, provide standardized postsurgery care,
and so forth.
Figure 7-3 lists common workgroup processes. Notice that each of these processes is largely
contained within a given department. These processes may receive inputs from other depart-
ments, and they may produce outputs used by other departments, but all, or at least the bulk of,
the processes’ activities lay within a single department.
A workgroup information system exists to support one or more processes within the
workgroup. For example, an Operations department could implement an IS to support all
three of the operations processes shown in Figure 7-3. Or an Accounting department might
implement two or three different IS to support the accounting processes shown. Sometimes,
workgroup information systems are called functional information systems. Thus, an opera-
tions management system is a functional information system, as are a general ledger system and
a cost accounting system. The program component of a functional information system is called a
functional application.
General characteristics of workgroup information systems are summarized in the top row
of Figure 7-4. Typical workgroup information systems support 10 to 100 users. Because the
procedures for using them must be understood by all members of the group, those procedures
are often formalized in documentation. Users generally receive formal training in the use of those
procedures as well.
When problems occur, they almost always can be solved within the group. If accounts pay-
able duplicates the record for a particular supplier, the accounts payable group can make the fix.
If the Web storefront has the wrong number of items in the inventory database, that count can be
fixed within the storefront group.
(Notice, by the way, that the consequences of a problem are not isolated to the group. Because
the workgroup information system exists to provide a service to the rest of the organization, its
problems have consequences throughout the organization. The fix to the problem can usually be
obtained within the group, however.)
Two or more departments within an organization can duplicate data, and such duplication
can be very problematic to the organization, as we discuss in Q7-3. Finally, because workgroup