This document discusses several types of IT applications including transaction processing systems, knowledge management systems, expert systems and artificial intelligence, enterprise resource planning systems, and e-commerce. It notes that expert systems can troubleshoot, have diagnostic capabilities, and offer solutions. It also explains that enterprise resource planning systems are used in global markets, utilize a company's core functions, and can improve primary and secondary functions. Finally, it mentions that e-commerce includes business-to-business and business-to-customer transactions and that IT applications can provide competitive advantages like superior productivity, quality, innovation, and customer responsiveness.
IT applications can be custom designed to meet a company’s needs. IT consultants work closely with the software company and the business to integrate a system into a working, productive database. IT systems are generally the backbone of a company and their functions.
Transaction Processing Systems are databases tailored to a company’s daily functions. For example, a TP system could auto generate an order to replenish stock or update employee files within the HRM departments. Knowledge Management Systems must be tailored to a company’s needs. It then analyzes and filters information it finds useful to managers.
Expert Systems are uniquely designed to an individual company. Just like the help wizards on personal computers, this system can diagnose, troubleshoot and offer solutions to specific problems. Artificial Intelligence systems are extremely advanced. These systems are capable of reasoning and learning. Think of a robot with free thought and a desire to learn.
Enterprise Resource Planning Systems are databases that collect enormousamounts of a company’s information to process. “This is where a company’s IT function can have the most profitability” (Axia College, 2010, Week Seven reading). A system like this can process information, generate projected outcomes and coordinates a company’s functions in great detail. E-Commerce is a system database that uses the internet as a market place. For this system to work, all participating businesses must agree to use the same platform.
IT builds competitive advantage when it brings a company’s every function to full productivity. (Axia College. (2010, Week Seven) IT applications are truly the backbone of a business.