Impact of AIS & ERP systems in Small-sized Businesses

   

Added on  2019-11-26

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Accounting Information SystemsAssignment: AIS Group Assignment
Impact of AIS & ERP systems in Small-sized Businesses_1
EXECUTIVE SUMMARYToday most businesses have a variety of business functions. The challenge with thesenumerous functions is it can reach a point where it may be difficult to monitor and trackits processes. One of the ways a business can stay on top of their business functionswhile making better-informed decisions is by investing in powerful ERP AIS systemsthat ensure the business stays in control. Enterprise Research Planning (ERP) is abusiness management system designed to integrate and streamline the main activitiesof a business thus making it more efficient in the process[ CITATION DiT15 \l 1033 ]. ERP systems are used to collect, manage and store information from the businessesinternal process. The systems manage inventory, Human Resource, sales plusproviding a real time overview of the business decisions [ CITATION DiT15 \l 1033 ].Consequently, ERP and AIS systems have helped businesses see more clearly and asa result, their popularity has increased since their introduction in the 90s. Most of theseare integrated with Business Intelligence with an aim to optimize business performance[ CITATION Cas09 \l 1033 ]. Small to medium sized companies like bakeries, garages, salons etc. can also greatlybenefit from ERP AIS solutions. This report links the business processes of a mediumsized bakery to the software capabilities that AIS and ERP solutions provide. One of thechallenges for a bakery is baked goods have a short shelf life. An ERP can be used toreduce wastage and thus meet the needs of the bakery.
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TABLE OF CONTENTSEXECUTIVE SUMMARY..................................................................................................................................iTABLE OF CONTENTS...................................................................................................................................iiTABLE OF FIGURES......................................................................................................................................iiiCHAPTER 1 : INTRODUCTION.......................................................................................................................1CHAPTER 2 : BUSINESS PROCESS FOR BAKERY............................................................................................2CHAPTER 3 : BUSINESS REQUIREMENTS FOR BAKERY.................................................................................5CHAPTER 4 : SYSTEM REQUIREMENTS FOR BAKERY....................................................................................8CHAPTER 5 : SOFTWARE SELECTION FOR BAKERY.....................................................................................11CHAPTER 6 : VENDOR SELECTION FOR BAKERY.........................................................................................13CHAPTER 7 : CONCLUSION.........................................................................................................................16REFERENCES..............................................................................................................................................17
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TABLE OF FIGURESFigure 4-1: Food production Integration.........................................................................................9
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CHAPTER 1 : INTRODUCTIONThe purpose of this report is to provide a link on AIS/ERS systems required for a familyowned bakery business.The report is divided into seven chapters as follows. In chapter one which is theintroduction, we discuss the contents of the report.In chapter two, we discuss the business processes and activities of a bakery. Thepurpose of this is to get a better understanding of activities performed by a bakery on aday to day basis. In chapter three, we discuss the indispensable business processes and their expectedoutcomes that will achieve the business objective of the bakery.In chapter four, we discuss the system requirements for the bakery. This will involveidentifying software features the bakery should consider to achieve its objectives inrelation to IT investment.In chapter five, we discuss the types of accounting software taking into account size ofcompany. In chapter six, we compare and contrast the features of two accounting softwarevendors. We also recommend and provide our reasons as to which package would bemost suitable to the bakery business.In chapter seven, which is the final section of the report, we conclude our analysis bydiscussing a brief summary of AIS/ERP systems. 1
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CHAPTER 1 : BUSINESS PROCESS FOR BAKERYOwnership and SizeB Bakery is a family run company within the food and retail industry. Currently, thecompany employs around 70 employees with an annual turnover of $13.5 million in thelast year. They have been in operation for more than 50 years implying they are amature stable company. ProductThe products produced by bakeries are mostly flour based and consists of bread,cakes, and snacks such as pies, sweets, pastries, muffins, donuts etc [ CITATIONRus16 \l 1033 ]. Our company B Bakery supplies baked goods such as bread andconfectionaries to their customer base.B Bakery Target MarketB bakery appears to have a mixed customer base with some prominent customersincluding supermarkets, shops, and various pub chains. Key Bakery Business Process and FunctionsB Bakery being involved in the bakery business should have the following basicprocesses and departments to in place to remain a viable business. These functionsinclude the following [ CITATION Sev15 \l 1033 ]:-Supply chain management and procurementProduction unitInventory and logistics departmentSales and marketing departmentFinance and accounting departmentIT and operations functionHuman resource managementManagement2
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