Different Types Of Information Systems And ERP System As A Key Role In Managing And Controlling Organisation

This report discusses the different types of information systems and the role of ERP system in managing and controlling an organization. It provides insights into the benefits of ERP system in real-life business and offers recommendations for implementing ERP system. The report is based on Land Rover, a British firm that utilizes information technology to deliver enhanced services and make informed decisions.

Different Types Of Information Systems
And ERP System As A Key Role In
Managing And Controlling
Organisation

Table of Contents
Introduction, Aims and Objectives:.................................................................................................1
Categories of information system:........................................................................................1
ERP Systems..........................................................................................................................3
Benefits of ERP system in real-life business:.......................................................................4
Conclusion & Recommendations....................................................................................................5
References........................................................................................................................................6

Table of Contents
Introduction, Aims and Objectives:.................................................................................................1
Categories of information system:..........................................................................................1
ERP Systems..........................................................................................................................3
Benefits of ERP system in real-life business:.........................................................................4
Conclusion & Recommendations....................................................................................................5
References........................................................................................................................................6

Introduction, Aims and Objectives:
The aggregation of software along with hardware and telecommunication network which
people builds for collecting, creation as well as distribution of data is referred to as information
system (Chofreh and et. al, 2020). This illustrates flow of system in the system which are utilised
by system. Enterprise resource planning refers to incorporated management of business
processes that are mediated by technology and software. This denotes ability to render set of
enterprise application and processes as well as data models which cover end to end processes
such as finance, supply chain, manufacturing, etc. They are responsible to support as well as
automate operational and administrative business processes around different industries which
involves asset management, line of business and customer facing. The major purpose behind this
it to transform raw data into useful information through which effective decisions can be made
(Conboy and et. al, 2020).
This report is based on Land Rover which is a British firm which offers luxury as well as
premium sport utility vehicles to their customers. It was introduced in 1948 and delivers their
services worldwide. From 2013, this firm is owned by Jaguar Land Rover which is a
multinational car manufacturer. This firm utilises information technology to deliver amplified
services and develop decisions accordingly.
Aim behind this report is identification of distinct types of information systems along with
ERP systems for controlling and managing firm. Objectives of this are to identify information
system that will enable Land Rover to have enhanced results. The other objective is to analyse
the characteristics of enterprise resource planning.
This report provides an in-depth insight into types of information system, enterprise resource
planning along with benefits that are provided by this. Apart from this, certain recommendations
will be given to firm through which their profitability can be amplified.
Categories of information system:
The process that is liable for processing data as well as information is defined as information
system. It implies assortment of human resources and technical aspects which renders storage
capacity, computing power, transmission and interaction for data needed by firm (Fernie and
Sparks, 2018). Information system is being utilised by Land Rover to formulate their decisions
and carry out their operations. There are various types of information system and this section will
1

be illustrating them. Transaction processing system is liable for carrying out daily business
activities. Transaction implies activities or events which creates an impact on ways in which firm
render their services. In context of Land Rover an instance can be taken into consideration like in
manufacturing certain transactions take place such as entry of orders, receipt of goods, their
shipping, etc. For carrying out these activities firm can opt for TPS and it will be used at
management levels (Grenci and Hull, 2020). Along with this, records can also manage through
which it will become easy to develop decisions through which services can be improvised.
Office Automation system denotes aggregation of communication technology, individuals
and computers for conducting official activities. They are responsible for implementing office
transactions as well as support operations at all the levels. The basic applications which can be
utilised by Land Rover while opting for OAS are word processing (prepare reports, memos or
any printable material), email (sending documents or messages via making use of
communication channels and computer) and voice mails (assists recording and storage of
telephone messages in memory of system). This will smoothen and provide an ease while
working. Knowledge Work Systems implies a specialised system that is responsible for
promoting creation of knowledge for ensuring that technical as well as knowledge skills are
appropriately merged within business. It will enable research and development department of
Land Rover to have propagate new information and knowledge by furnishing them with
adequate analytical, graphics, document and communication management tools (Hübner,
Wollenburg and Holzapfel, 2016). For this they can opt for making use of financial workstations,
virtual reality systems and computer-aided design systems.
Management information system is developed for support plans, controlling them and
formulating decision making. This is being utilised by middle managers for extracting
information from transaction data, compile them and furnish adequate information of products
which is in the form of responses, displays or reports. It is liable for conforming decision-making
requirements of supervisors and managers. Here, simple routines are being used which includes
comparisons and summaries through which management of Land Rover can make decisions to
attain a solution. Through this, they can track all activities as per activities conducted by them; it
can be done on hourly or daily basis (Kadam and Onkar, 2015). Decision Support System
implies an interactive system which serves firm at management levels. It is liable for processing
information to support decision making process through which intelligent solutions can be
2

identified. It will enable Land Rover to acknowledge altering trends within the market and
ascertain their targets. They possess more analytical capabilities are in comparison to other
systems.
Executive Support system is a computer dependent IS which aids within formulation of
decisions at top levels. They are non-routine decisions which impact entire organisation and
instant judgement is required (Six Major Types of Information Systems, 2020). It comprises of
enhanced computing capabilities, effective display options and telecommunication. Here, Land
Rover can make use of advanced graphic software for having a display of critical designs of their
vehicles.
There are distinct information systems that can be used by Land Rover as each will provide
relevant data through which operations can be conducted in an effectual manner. ESS will be
adequate for Land Rover as it will enable them to have adequate designs in which they can take
all the minute aspects associated with their projects.
ERP Systems
The software solution that is liable for tackling requirements of organisation by taking into
consideration process view for accomplishment of goals while incorporating their functions is
referred to as enterprise resource planning (Laudon and Laudon, 2016). The rationale behind this
is to maintain easy flow of information in the confines of firm as well as manage connections
with their external stakeholders. This will enable Land Rover to merge all the functions and
departments into identical computer system which serves distinct requirements of these. The
major driving forces behind ERP for business firms like Land Rover, is that it will enable them
to provide customer satisfaction as this leads within businesses development in context of new
products, services and areas. The other driving factor is that it assists firms to face competition
for execution of ERP that will ensure effective processes which will lead them into top gear. It
illustrates that enterprise resource planning is a crucial aspect for management of operations of
business. This is single software that will handle different problems associated with quality
issues, finance management, material shortage, inventory problems and customer services.
Enterprise resource planning provides adequate forecasting through which inventory levels
can be maintained which will assist firm to be profitable. Along with this aggregation of distinct
departments will make sure effective interaction, efficiency and productivity. By opting for ERP
software, it will eliminate conflicts associated with coordination with alterations that are made
3

within the systems (More, 2020). Furthermore, top-down view will assist Land Rover to have
information related with different aspects through which quick effective decisions can be
formulated. Basically, it will aid within identification as well as planning enterprise-wide
resources for making shipping as well as accounting customer orders.
There are different types ERP systems which can be utilised by organisation as per their
requirements and business operations. On-Premise ERP software is executed onsite as well as
maintained within physical office space in a firm that is hosted by firms own servers and
computers (Shin and Eksioglu, 2015). It will furnish complete control, ownership and support to
entire system they are executed. Cloud based ERP software implies a web based solution
which is denoted by SaaS (Software as a Service) in which firm will access as well as store data
within any device who have internet connection generally via purchasing a subscription. The
benefits that are provided by this includes, updates, flexible customisation, training, and
continuous support which is being furnished by software provider. Hybrid ERP software
denotes combination of execution on-premise and cloud based ERP system solutions. The
integration of both depends on provider. This provides users with flexibility for migrating among
delivery models. Land Rover can opt for cloud based ERP software as it will eliminate certain
aspects like need for infrastructure, equipments, their management and maintenance.
Benefits of ERP system in real-life business:
The integration and automation of primary operations of firm in which focus is laid on
their efficiency is referred to as enterprise resource planning. It provides huge benefits with
respect to operations that are conducted by organisation. It will lead them to have amplified
performance by rendering them with efficiency, intelligence, analytics and visibility in context to
each department of firm (Volkoff, 2020). The benefits provided ERP can be utilised by Land
Rover are: By making use of enterprise resource planning cost will be minimised which can be
used within other crucial activities like research and development as it one of the most critical
and crucial aspect for an organisation. The administrative and operational cost will be minimised
through automated processes. Along with this, business processes can be streamlined which
denotes that data can be accessed from a central position that will furnish enhanced visibility
with respect to operations carried out Land Rover. This will allow decision makers to monitor
production and operations at real time (Chofreh and et. al, 2020).
4

Through the usage of enterprise resource planning, it will eliminate an information silo that
takes place when disparate systems are being used by organisation which denotes amplified
financial consolidation. The vigorous information system will furnish Land Rover to have
enhanced real time visibility through which they can formulate adequate decisions with respect
to supply chain and other operations carried out by them. It will enable to have minimised
planning cycle. Along with this, firm can carry out real time data analysis through which they
will be able to make quick changes in their operations by taking into consideration requirements
or alterations which will take place within the market (Conboy and et. al, 2020). Furthermore, it
will aid Land Rover to provide their customers with adequate satisfaction levels enhance
relationship with them and amplify experience.
Conclusion & Recommendations
From above it can be concluded that information system implies accumulation of various
equipments which are involved within distribution of data. Basically, it involves computer
system or set of components which are responsible to accumulate, generation, storage, and
process and transmits data. This allows firm to formulate decisions by taking into consideration
diverse aspects related with production or manufacturing, inventory, supply chain, designing or
sales which may be experienced by firm on particular day. These all entities will be taken into
account and then decisions will be formulated so that all the requirements are being
accomplished. Different information systems are there which can be used organisation according
to their needs so that they can accomplish all the probable demands of their probable customers.
ERP denotes system of firm through which day to day activities can be conducted adequately for
managing their core operations. This will lead them to ensure that within stipulated time frame
they are able to furnish their services.
It is recommended that Executive support system will provide Land Rover with precise
outcomes with respect to development of decisions by integrating all the aspects that are
conducted within firm. Along with this, Land Rover can opt for cloud ERP system as it will
enable them to have on demand services, flexibility as well as they can scale up or down their
requirements depending on operations they have to conduct. Here, firm will not be required buy
their own resources or expensive equipments and maintenance staff who will be responsible for
major activaties. In this, vendor will provide them services as per what they have paid for. Here,
firm have to pay for services and accordingly service provider will render them with adequate
5

options. Through this, firm can conduct their operations effectively and Land rover can have
enhanced productivity which will create a direct affirmative impact on their profits.
6

References
Books and Journals
Chofreh, A.G. and et. al, 2020. Development of guidelines for the implementation of sustainable
enterprise resource planning systems. Journal of Cleaner Production, 244, p.118655.
Conboy, K. And et. al, 2020. Using business analytics to enhance dynamic capabilities in
operations research: A case analysis and research agenda. European Journal of
Operational Research, 281(3), pp.656-672.
Fernie, J. and Sparks, L. eds., 2018. Logistics and retail management: emerging issues and new
challenges in the retail supply chain. Kogan page publishers.
Grenci, R.T. and Hull, B.Z., 2020. New dog, old tricks: ERP and the systems development life
cycle. Journal of Information Systems Education, 15(3), p.7.
Hübner, A., Wollenburg, J. and Holzapfel, A., 2016. Retail logistics in the transition from multi-
channel to omni-channel. International Journal of Physical Distribution & Logistics
Management. 46(6/7). pp.562-583.
Kadam, K. S. and Onkar, V. C., 2015. A review paper on student information supervision
system. International Journal of Research In Science & Engineering. 1. pp.66-72.
Laudon, K. C. and Laudon, J. P., 2016. Management information system. Pearson Education
India.
More, E., 2020. opportunity. Work.
Shin, S. and Eksioglu, B., 2015. An empirical study of RFID productivity in the US retail supply
chain. International Journal of Production Economics. 163. pp.89-96.
Volkoff, O., 2020. Configuring an ERP system: introducing best practices or hampering
flexibility?. Journal of Information Systems Education, 14(3), p.14.
Online
Six Major Types of Information Systems. 2020. [Online]. Available through:
<https://www.managementstudyhq.com/six-major-types-of-information-systems.html>.
7