CHAPTER 11 Information Systems: The MIS, DSS, and EIS
B2B Development Slow
According to a survey by the Meta Group, companies are investing their Internet dollars more in consumer oriented Net applications than in business-to-business applications. Marketing to customers, customer service, and direct sales are high-priority applications. In contrast, only about a third of large companies are investing in business-to-business applications that involve internal processes, such as accounting, inventory management, interaction with supply chain companies, and the distribution of goods and services. Surprisingly, about two-thirds of what would be considered large companies invest less than $1 million each year in Internet initiatives. That amount is relatively small when compared to the company-wide information technology expenditures. The survey concludes that "Corporate America is not tapping the true potential of the e-business revolution."
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Decision Support Helps Predict Enrollment
The admissions officers at Johns Hopkins University are adapting artificial intelligence techniques, specifically neural network technology, to predict which accepted applicants will ultimately select Johns Hopkins. The system examines trends and patterns in student data, past and present, looking for common personal characteristics among university enrollees. This system has proven to be twice as accurate as traditional decision models. This type of system is extremely important to universities that limit admissions in that small errors can have a dramatic impact on the university. For example, accepting too many students can result in some students not having university guaranteed housing, whereas accepting too few might cause budget problems.