Carson Manor
1. Distinguish between a business function and a business process.
From the definition, business process is a collection of activities that takes one or more kinds of input and creates an output that is of value to the customer. For the satisfaction of customer, from the input to output, there are some functional areas of operation involved into the whole business process, such as marketing and sales, accounting and finance, supply chain management. Therefore, business function is activities specific to the functional area of operation. From my point of view, functional areas of operation is underneath of business process' s umbrella, is part of business process. Therefore, business function is also a part of business process which takes responsibility for the operation of functional areas.
2. Describe how a business process cuts across functional lines in an organization.
As I mentioned above, functional area is a intermediate process from input to output. Each functional area is separated, maybe completely isolated from others, however, they are interdependent, require and share data from each other. For example, like my experience of leasing a car recently, M/S services me for purchasing a model of car, they introduce the information about the car and related policy about leasing in their dealer, and then a order is generated. A/F checks our credit record and arranges finance, then we can get the mortgage. SCM receives the order to ship a car to the car dealer. When we pick up the car, M/S and A/F let us sign some documents and payment. After getting the car, M/S will service us for technical support, follow-up.
Input Functional area process output
Request for Purchasing M/S Sales order Order is generated
Finance help for leasing A/F Checking credit record and arranging finance Customer finances through banking
Fulfillment of order SCM Shipping to the cat dealer Car dealer receive car
Picking up car M/S &A/F Signing a document
From the definition, business process is a collection of activities that takes one or more kinds of input and creates an output that is of value to the customer. For the satisfaction of customer, from the input to output, there are some functional areas of operation involved into the whole business process, such as marketing and sales, accounting and finance, supply chain management. Therefore, business function is activities specific to the functional area of operation. From my point of view, functional areas of operation is underneath of business process' s umbrella, is part of business process. Therefore, business function is also a part of business process which takes responsibility for the operation of functional areas.
2. Describe how a business process cuts across functional lines in an organization.
As I mentioned above, functional area is a intermediate process from input to output. Each functional area is separated, maybe completely isolated from others, however, they are interdependent, require and share data from each other. For example, like my experience of leasing a car recently, M/S services me for purchasing a model of car, they introduce the information about the car and related policy about leasing in their dealer, and then a order is generated. A/F checks our credit record and arranges finance, then we can get the mortgage. SCM receives the order to ship a car to the car dealer. When we pick up the car, M/S and A/F let us sign some documents and payment. After getting the car, M/S will service us for technical support, follow-up.
Input Functional area process output
Request for Purchasing M/S Sales order Order is generated
Finance help for leasing A/F Checking credit record and arranging finance Customer finances through banking
Fulfillment of order SCM Shipping to the cat dealer Car dealer receive car
Picking up car M/S &A/F Signing a document