Human Resources
Functions of Human Resources
Recruit, train, and evaluate employees
HR uses sales forecasts developed by
the individual departments to plan
personnel needs
Systems integrated using ERP software
provide the data sharing necessary
between functional areas
Functional Area Information Systems
Potential inputs and outputs for each
functional area described next
Note the kinds of data needed by each area
and how people use the data
Information systems maintain relationships
between all functional areas and processes
Marketing and Sales
Needs information from all other functional
areas
Customers communicate orders to M/S in
person or by telephone, e-mail, fax, the Web,
etc.
M/S has a role in determining product prices
Pricing might be determined based on a
product’s unit cost
Requires information from Accounting and
Finance, and Supply Chain Management data
Marketing and Sales (cont’d.)
M/S needs to interact with Human
Resources to exchange information on hiring
needs, requirements, etc.
Inputs for M/S
Customer data
Order data
Sales trend data
Per-unit cost
Marketing and Sales (cont’d.)
Outputs for M/S
Sales strategies
Product pricing
Employment needs
Production Systems
Objectives
Create production plan
Schedule equipment, human resources
Design products
Material Resource Planning
Processes:
Identify stock needed
Calculate time for stock
Determine safety stock levels
Produce accurate purchase orders
Accounting and Finance
Record
transactions
Summarize data
Accounting and Finance
Inputs
Payments from customers
Accounts data
Sales data
Production and inventory data
Payroll and expense data
Outputs
Payments to suppliers
Financial reports
Customer credit data
Accounting and Finance
1. A/F personnel record the company’s transactions in the books
of account. For example,
they record accounts receivable when sales are made
and cash receipts when customers send in payments;
and
they record account payable when raw materials are
purchased.
2. People in other functional areas provide data to A/F:
M/S provides sales data
P/MM provides production and inventory data, and
HR provides payroll and expense data.
3. M/S personnel require data from A/F to evaluate customer
credit.
Accounting system
Accounting system data is used:
By decision-makers throughout a company to
plan and manage day-to-day activities
By managers to make long-range operating
forecasts
By accountants to generate a company’s
financial reports
Human ResourcesFunctions of Human ResourcesRecruit, train, and evaluate employeesHR uses sales forecasts developed bythe individual departments to planpersonnel needsSystems integrated using ERP softwareprovide the data sharing necessarybetween functional areasFunctional Area Information SystemsPotential inputs and outputs for eachfunctional area described nextNote the kinds of data needed by each areaand how people use the dataInformation systems maintain relationshipsbetween all functional areas and processesMarketing and Sales Needs information from all other functionalareas Customers communicate orders to M/S inperson or by telephone, e-mail, fax, the Web,etc. M/S has a role in determining product prices Pricing might be determined based on aproduct’s unit cost Requires information from Accounting andFinance, and Supply Chain Management dataMarketing and Sales (cont’d.)M/S needs to interact with HumanResources to exchange information on hiringneeds, requirements, etc.Inputs for M/SCustomer dataOrder dataSales trend dataPer-unit costMarketing and Sales (cont’d.)Outputs for M/SSales strategiesProduct pricingEmployment needsProduction Systems Objectives Create production plan Schedule equipment, human resources Design productsMaterial Resource Planning Processes: Identify stock needed Calculate time for stock Determine safety stock levels Produce accurate purchase ordersAccounting and Finance Recordtransactions Summarize dataAccounting and Finance Inputs Payments from customers Accounts data Sales data Production and inventory data Payroll and expense data Outputs Payments to suppliers Financial reports Customer credit dataAccounting and Finance1. A/F personnel record the company’s transactions in the booksof account. For example, they record accounts receivable when sales are madeand cash receipts when customers send in payments;and they record account payable when raw materials arepurchased.2. People in other functional areas provide data to A/F: M/S provides sales data P/MM provides production and inventory data, and HR provides payroll and expense data.3. M/S personnel require data from A/F to evaluate customercredit.Accounting system Accounting system data is used: By decision-makers throughout a company toplan and manage day-to-day activities By managers to make long-range operatingforecasts By accountants to generate a company’sfinancial reports
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