Proactive System

Like conventional systems, proactive systems center on major processes. What proactive systems add is a focus on decision-maker needs in those processes. Decision makers fulfill roles in the process based on customer needs. Thus, where decisions are required, such as the case of our large widget order, the proactive system uses preset rules to process information. This processing then routes information to decision makers, following those rules. 

So far, this is not too different from what exists in many companies that use workflow systems. What converts the environment to proactive is the rules server that processes the inputs to the decision maker. The rules server contains preset rules that shape the direction of information 

For example, the rules could notify the planner buyer by sending a message about the large widget order. They would assume that the decision maker would know what to do. The workstation would signal the planner buyer about the order. This automated contact makes it proactive.  

The rule designers could be more aggressive. The rules could interpret the sales order, identifying the need for more material. The rules could then print purchase orders and direct them electronically to suppliers. Then the rules could notify the sales forecasting group to review their planning assumptions. Finally, flnance might order the system to recast income statements and balance sheets to reflect the order, notify the bank of a need for more credit, and print supplier checks. 

Starting on the path to the proactive system offers many opportunities for short-term improvement. There may be ways to integrate, permanently or temporarily, the widget fulfillment process without automation. For example, in the case above, we combined the functions of inventory management and purchasing into the role of the planner buyer. 

So far, this is not too different from what exists today in many companies that use workflow systems. What converts the environment to proactive is the rules server that processes the inputs to our decision maker. The rules server contains preset rules that shape the direction of information flow. The rules match the needs of the individual decision maker and reflect the authority vested in that individual. They are a product of management practice on empowerment, continuous improvement, and oiganization philosophy. Values, philosophy of delegation, and decision analysis, not technology, dictate 

The proactive system model. (Reprinted with permission of CRC Press, LLC.) 

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The QC monitoring processes described above, if supported, were limited in their ability to support improvements and could only lead to action that was reactive in nature. Process integration is weak or nonexistent. Neither process maturity and development nor proactive system management is achievable. In the past, QMS enhancement was viewed as an expense and not seen as a relational contributor to the value chain. Aware management now realizes, through regulatory action, penalty and fines, delayed product approvals, recalls, and the like that establishment of a comprehensive QMS is essential to survive in the current regulatory environment and remain competitive in the business environment. 

The Environment Agency employs both proactive and reactive systems in managing health and safety risk, which is co-ordinated through a national health and safety advisor. Its proactive systems include ... 

Keith Kennedy of CGR Management Consultants describes the next level as proactive systems. These systems offer ways to produce competitive advantage using technology to speed the decision-making process. Later we describe how proactive systems can improve the cost effectiveness of supply chain operations. 

Once the first two elements are in place, the coordination element offers the best leverage for better supply chains from information systems. This will eome through the implementation of proactive systems, which will be by no means trivial. 

In supply chain management (SCM), linkages play the roles of eon-ductor and sheet music. The SCOR model from the Supply-Chain Couneil is an example of one method for coordinating the supply chain. Another example, in the Toyota Production System, is the kanban system that signals the need for more parts. Proactive systems deseribed in Chapter 30 that use business rules to automate decision making are another example. The decision to use any particular technique at a point in time is an important supply chain design feature. 

Proactive systems An approach to designing information systems to focus on the needs of decision makers. The approach can rely on computer-based tools to disseminate the needed information. Noncomputer-based approaches can also be used. 

Workflow A class of software application that includes automation of the flow of information according to process rules. Similar to, but not as encompassing as, a proactive systems approach in which the recjuirements of decision makers are part of the redesign of the supply chain. 

Lewin, Marsha, Kennedy, Keith, and Ayers, Jim, Transformation through proactive systems a case study. Information Strategy The Executive s Journal, (12/3) Spring 1996, pp. 29-35. 

A range of active and proactive systems used in protective clothing to control the temperature and humidity of the clothing microclimate, such as an active cooling system using ice, water and Peltier plate are discussed. 

The more information sharing, coordination, and linkage there is, the more integrated — and presumably better — the supply chain. We ll return to this topic in our discussion of proactive systems in Chapter 28. 

Application of proactive systems has three dimensions deployment, completeness, and timeliness. Deployment means that those entrusted with decision making xmderstand their roles in the process and how to act on that information. Completeness means that the information needed to make the decision is accessible. Timeliness means the information is available promptly enough to meet customer requirements. "Zero latency" is a term we used earlier that describes the ideal with respect to timeliness. This means the delay between the occurrence of the event and its corrammication to the decision maker is instantaneous. 

These initiatives either provide or improve a fundamental capability. Examples are ERP implementation (Chapter 22), implementation of proactive systems (Chapter 28), or improvements in information systems management practice. The rest provide supporting technology for other efforts, which is the appropriate emphasis for supply chain improvement. The decision support category focuses on the enabling technology to improve decision making tools. 

Proactive - proactive systems monitor the design, development, Installation and implementation of management arrangements for workplace precautions and risk control (management systems). 

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