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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
23. Business Process Design [2] DE + IA (INFO 243) - 9 April 2008 Bob Glushko
1 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Plan for Today's Lecture Selecting, Applying, and Adapting Patterns Improving Designs with the "Design Structure Matrix"
2 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The Process of Pattern Selection Choosing a pattern is an iterative process Whenever there is "business" going on almost by definition that means there are buyers and sellers, or producers and consumers. So we can apply that pattern to almost every situation to gain insights. Who has the power, the buyer or seller? Who can set standards or terms/conditions in the relationships? (who can choose the pattern?) Who is the authoritative source of the information involved? What kinds of products or goods are being "sold"
3 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Applying Patterns to Achieve Insight Sometimes we can get new insights about a business problem or inefficiency by trying to apply a pattern to a context substantially different from its usual one We aren't likely to find a pattern that can serve as a To-Be model, because we might have to make analogical or even metaphorical assignments of activities and roles This is a brainstorming or "thinking outside the box" technique
4 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Different Ways to Frame the Application of Patterns SELECT A PATTERN – "here are some observations about the university - classes and majors are oversubscribed, some classes are underenrolled... how could you eliminate or reduce these problems?" INSTANTIATE A PATTERN – "how is the university like a supply chain and marketplace?" EVALUATE AN INSTANTIATED PATTERN – "can the university be viewed as a marketplace operator that indirectly distributes degrees manufactured by a school or department?"
5 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The "Dell-iversity" We can take a metaphorical view of the university as a marketplace where students go to buy degrees that have been put together by a manufacturer. This gives the university a relatively minor role in what the products are, just as the supermarket puts things on its shelves for you to buy but isn't directly involved in making them. The analogy is only approximate because universities do much more than simply teach students, and customers don't buy the degree as much as the knowledge that it presumably represents. Nevertheless, there are some useful parallels.
6 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Supply Chains and Tiers in the University Let's model the requirements for a degree as the "bill of materials" that specify the parts - at the granularity of courses - that are assembled into the finished knowledge product This model makes the "degree" an intangible product. The University is a distributor of degrees, offering products from different manufacturers, the schools or departments. The parts that make up the degree are courses, and they are made by professors and others like TAs who directly deliver the knowledge. The lower tiers are the parts of the courses, and the pattern instantiation works best if you ask - what are the knowledge parts of a course and get things like textbooks and papers.
7 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Supply Chains and Tiers in the University
8 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Role of the TA
9 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Indirect Distribution by the Department
10 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
University as Marketplace Operator
11 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"Build to Order" Berkeley Berkeley currently offers a relatively fixed set of degree "products." If the manufacturers adopted a "build to order" strategy like Dell's how might the product offerings change? BTO manufacturers like Dell might potentially have multiple suppliers for the same or similar components like disk drives, memory chips, and so on. A Berkeley analogy is that students can study Plato in courses taught by (at least) the Classics, Greek, Linguistics, Philosophy, and Political Science departments. How does Dell manage this problem? Could Berkeley handle it the same way?
12 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Adapting to Patterns If a pattern almost fits, you can change the pattern slightly so it fits your specific requirements or you can change your requirements so that the pattern fits exactly How do you decide?
13 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The Cost of Adaptation "Differentiation that does not drive customer preference is a liability" What are the costs for employees if a pattern is adapted? What are the costs for customers if a pattern is adapted? how do these costs change over the life cycle of the product/service/process?
14 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Adapting a Pattern A pattern might be specified in terms of roles or elements that can be instantiated in different ways When does an adaptation become a pattern in its own right? We might adapt a recipe by applying a different set of flavor principles to an old one We would be inventing a new recipe if we were to come up with a new combination of spices to create a new flavor principle
15 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The "Design Structure Matrix" - Analyzing Information Dependencies Experimentation and innovation in product development is facilitated by information exchange between designers of different subsystems or components But if this "concurrent engineering" or "iterative design" isn't carefully managed, it can be inefficient and cause excessive rework and delays The "Design Structure Matrix" is a notation for analyzing and optimizing these iterative information flows We can add DSM to our Document Engineering "method toolkit" to help in modeling business processes
16 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Notation Processes/activities/tasks are the rows and columns of a square matrix The dependency or information flow relationships between any two processes i and j is indicated by the presence or absence of a mark in cells (i,j) and (j,i)
17 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Example
18 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Example - Planned and Unplanned Iterations
19 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Techniques for Improving Process Models [1] The overall goal is to reorder the rows or redefine the tasks to eliminate the Xs that were in the upper half matrix or at least to move them closer to the diagonal (this minimizes the number of tasks that are coupled in a cluster) Start by identifying the first and last tasks (these have no inputs and no outputs, respectively) Identify tasks that use information from the first task and determine if they are parallel, sequential, or coupled to each other Reorder the rows to create the smallest set of coupled tasks (the box in which planned iteration takes place)
20 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Techniques for Improving Process Models [2] Likewise, identify tasks that contribute information to the last task and determine if they are parallel, sequential, or coupled to each other IN ADDITION OR INSTEAD OF REARRANGING THE TASK ORDER, YOU CAN REARRANGE THE PEOPLE WHO DO THEM OR YOU CAN USE MODELING TOOLS THAT CAN PREDICT/SIMULATE DESIGN IMPACTS
21 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Example - Optimized
22 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Using DSM in the Document Engineering Methodology
23 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- Case Study Intel... a founder of RosettaNet... has aggressively adopted it throughout its supply chain: in 2005 > 200 companies, 24 different PIPs, 50 unique transaction types $40M savings in 2004: "much attributed to automating previously manual processes... but largest ROI has come from new business models that were unattainable w/o automation" Case study example is "Outsource eSolutions/3PL"
24 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- End-to-end View and RNIF
25 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- Public and Private Processes RosettaNet RNIF used to implement the public part of the business processes Each participant remains free to implement private processes any way it chooses
26 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- Gateways
27 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Gateways vs Connectors vs Hubs A GATEWAY embodies the principle of "be liberal in what you accept" the receiving application accepts whatever message the sender wants to produce and does any necessary transformation A CONNECTOR functions on the sender's side when it is his responsibility to transform the message (the envelope and its contents) into the model needed by the receiver A HUB can function as a third-party service to carry out transformations. Often a hub uses an "interoperability" format to minimize the number of transformations required
28 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel"-- Rapid Adoption
29 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"Combining RFID and BI"
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
RFID + BI Concept of interlinked data storages of RFID data enabled by the market power of the "Wal-Mart" of Europe "The business impact of supply chain transparency can well surpass that of harvest direct operational gains" Embedded sensor information in RFID tags enables analysis of quality problems
31 of 41
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Downstream (1) and Upstream (2) Scenarios
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4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The Downstream (Distribution) Scenario As-Is: Deliveries determined by retailer "pull" To-Be: Vendor-Managed Inventory -- "push" from distribution center Reduced inventory and storage space at GDC Redistribute goods among the retailers to maximize availability Analyze product returns; use RFID and sensor technologies to identify and localize root causes for quality issues
33 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The Upstream (Consolidation) Scenario As-Is: Consolidation determined by forecast-driven retailer orders Shipping is FIFO No information exchange about "goods flow"
To-Be: Demand-driven goods flow "Intelligent" consolidation and loading of containers Reduced inventory and storage space at GDC "Cross docking" - incoming goods go directly to retailers
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Personalization PERSONALIZATION approaches exploit information and computation to provide content and quality of service appropriate for specific customers Information about customer needs and preferences Computing resources to enable effective capture, management, analysis, and initiative based on customer information
What can be personalized?
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Architectures for Personalization
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Personalization Process
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
What Information is Needed to Personalize? "Who the customers are and how they behave" "Demographic and psychographic information" "Comprehensive information... converted into actionable knowledge"
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Where Does the Information Required for Personalization Come From? From the consumer: Surveys and forms Transactional records Behavioral records, navigation history
From data brokers, using keys obtained from the consumer From other consumers who are similar to the target consumer
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Building a Customer Profile with Data Mining
40 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Reading for April 12 Chapter 12 of Document Engineering - "Analyzing Document Components"
41 of 41
4/9/2008 8:26 AM
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
23. Business Process Design [2] DE + IA (INFO 243) - 9 April 2008 Bob Glushko
1 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Plan for Today's Lecture Selecting, Applying, and Adapting Patterns Improving Designs with the "Design Structure Matrix"
2 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The Process of Pattern Selection Choosing a pattern is an iterative process Whenever there is "business" going on almost by definition that means there are buyers and sellers, or producers and consumers. So we can apply that pattern to almost every situation to gain insights. Who has the power, the buyer or seller? Who can set standards or terms/conditions in the relationships? (who can choose the pattern?) Who is the authoritative source of the information involved? What kinds of products or goods are being "sold"
3 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Applying Patterns to Achieve Insight Sometimes we can get new insights about a business problem or inefficiency by trying to apply a pattern to a context substantially different from its usual one We aren't likely to find a pattern that can serve as a To-Be model, because we might have to make analogical or even metaphorical assignments of activities and roles This is a brainstorming or "thinking outside the box" technique
4 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Different Ways to Frame the Application of Patterns SELECT A PATTERN – "here are some observations about the university - classes and majors are oversubscribed, some classes are underenrolled... how could you eliminate or reduce these problems?" INSTANTIATE A PATTERN – "how is the university like a supply chain and marketplace?" EVALUATE AN INSTANTIATED PATTERN – "can the university be viewed as a marketplace operator that indirectly distributes degrees manufactured by a school or department?"
5 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The "Dell-iversity" We can take a metaphorical view of the university as a marketplace where students go to buy degrees that have been put together by a manufacturer. This gives the university a relatively minor role in what the products are, just as the supermarket puts things on its shelves for you to buy but isn't directly involved in making them. The analogy is only approximate because universities do much more than simply teach students, and customers don't buy the degree as much as the knowledge that it presumably represents. Nevertheless, there are some useful parallels.
6 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Supply Chains and Tiers in the University Let's model the requirements for a degree as the "bill of materials" that specify the parts - at the granularity of courses - that are assembled into the finished knowledge product This model makes the "degree" an intangible product. The University is a distributor of degrees, offering products from different manufacturers, the schools or departments. The parts that make up the degree are courses, and they are made by professors and others like TAs who directly deliver the knowledge. The lower tiers are the parts of the courses, and the pattern instantiation works best if you ask - what are the knowledge parts of a course and get things like textbooks and papers.
7 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Supply Chains and Tiers in the University
8 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Role of the TA
9 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Indirect Distribution by the Department
10 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
University as Marketplace Operator
11 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"Build to Order" Berkeley Berkeley currently offers a relatively fixed set of degree "products." If the manufacturers adopted a "build to order" strategy like Dell's how might the product offerings change? BTO manufacturers like Dell might potentially have multiple suppliers for the same or similar components like disk drives, memory chips, and so on. A Berkeley analogy is that students can study Plato in courses taught by (at least) the Classics, Greek, Linguistics, Philosophy, and Political Science departments. How does Dell manage this problem? Could Berkeley handle it the same way?
12 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Adapting to Patterns If a pattern almost fits, you can change the pattern slightly so it fits your specific requirements or you can change your requirements so that the pattern fits exactly How do you decide?
13 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The Cost of Adaptation "Differentiation that does not drive customer preference is a liability" What are the costs for employees if a pattern is adapted? What are the costs for customers if a pattern is adapted? how do these costs change over the life cycle of the product/service/process?
14 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Adapting a Pattern A pattern might be specified in terms of roles or elements that can be instantiated in different ways When does an adaptation become a pattern in its own right? We might adapt a recipe by applying a different set of flavor principles to an old one We would be inventing a new recipe if we were to come up with a new combination of spices to create a new flavor principle
15 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
The "Design Structure Matrix" - Analyzing Information Dependencies Experimentation and innovation in product development is facilitated by information exchange between designers of different subsystems or components But if this "concurrent engineering" or "iterative design" isn't carefully managed, it can be inefficient and cause excessive rework and delays The "Design Structure Matrix" is a notation for analyzing and optimizing these iterative information flows We can add DSM to our Document Engineering "method toolkit" to help in modeling business processes
16 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Notation Processes/activities/tasks are the rows and columns of a square matrix The dependency or information flow relationships between any two processes i and j is indicated by the presence or absence of a mark in cells (i,j) and (j,i)
17 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Example
18 of 41
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23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Example - Planned and Unplanned Iterations
19 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Techniques for Improving Process Models [1] The overall goal is to reorder the rows or redefine the tasks to eliminate the Xs that were in the upper half matrix or at least to move them closer to the diagonal (this minimizes the number of tasks that are coupled in a cluster) Start by identifying the first and last tasks (these have no inputs and no outputs, respectively) Identify tasks that use information from the first task and determine if they are parallel, sequential, or coupled to each other Reorder the rows to create the smallest set of coupled tasks (the box in which planned iteration takes place)
20 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Techniques for Improving Process Models [2] Likewise, identify tasks that contribute information to the last task and determine if they are parallel, sequential, or coupled to each other IN ADDITION OR INSTEAD OF REARRANGING THE TASK ORDER, YOU CAN REARRANGE THE PEOPLE WHO DO THEM OR YOU CAN USE MODELING TOOLS THAT CAN PREDICT/SIMULATE DESIGN IMPACTS
21 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
DSM Example - Optimized
22 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Using DSM in the Document Engineering Methodology
23 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- Case Study Intel... a founder of RosettaNet... has aggressively adopted it throughout its supply chain: in 2005 > 200 companies, 24 different PIPs, 50 unique transaction types $40M savings in 2004: "much attributed to automating previously manual processes... but largest ROI has come from new business models that were unattainable w/o automation" Case study example is "Outsource eSolutions/3PL"
24 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- End-to-end View and RNIF
25 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- Public and Private Processes RosettaNet RNIF used to implement the public part of the business processes Each participant remains free to implement private processes any way it chooses
26 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
"RosettaNet for Intel" -- Gateways
27 of 41
4/9/2008 8:26 AM
23. Business Process Design [2] (41)
file:///C:/Documents%20and%20Settings/glushko/My%20Documents/Lectures/243-S2008/24...
Gateways vs Connectors vs Hubs A GATEWAY embodies the principle of "be liberal in what you accept" the receiving application accepts whatever message the sender wants to produce and does any necessary transformation A CONNECTOR functions on the sender's side when it is his responsibility to transform the message (the envelope and its contents) into the model needed by the receiver A HUB can function as a third-party service to carry out transformations. Often a hub uses an "interoperability" format to minimize the number of transformations required
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"RosettaNet for Intel"-- Rapid Adoption
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"Combining RFID and BI"
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RFID + BI Concept of interlinked data storages of RFID data enabled by the market power of the "Wal-Mart" of Europe "The business impact of supply chain transparency can well surpass that of harvest direct operational gains" Embedded sensor information in RFID tags enables analysis of quality problems
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Downstream (1) and Upstream (2) Scenarios
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The Downstream (Distribution) Scenario As-Is: Deliveries determined by retailer "pull" To-Be: Vendor-Managed Inventory -- "push" from distribution center Reduced inventory and storage space at GDC Redistribute goods among the retailers to maximize availability Analyze product returns; use RFID and sensor technologies to identify and localize root causes for quality issues
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The Upstream (Consolidation) Scenario As-Is: Consolidation determined by forecast-driven retailer orders Shipping is FIFO No information exchange about "goods flow"
To-Be: Demand-driven goods flow "Intelligent" consolidation and loading of containers Reduced inventory and storage space at GDC "Cross docking" - incoming goods go directly to retailers
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Personalization PERSONALIZATION approaches exploit information and computation to provide content and quality of service appropriate for specific customers Information about customer needs and preferences Computing resources to enable effective capture, management, analysis, and initiative based on customer information
What can be personalized?
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Architectures for Personalization
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Personalization Process
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What Information is Needed to Personalize? "Who the customers are and how they behave" "Demographic and psychographic information" "Comprehensive information... converted into actionable knowledge"
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Where Does the Information Required for Personalization Come From? From the consumer: Surveys and forms Transactional records Behavioral records, navigation history
From data brokers, using keys obtained from the consumer From other consumers who are similar to the target consumer
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Building a Customer Profile with Data Mining
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Reading for April 12 Chapter 12 of Document Engineering - "Analyzing Document Components"
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