ENTERPRISE SYSTEM1 Table of Contents Introduction................................................................................................................................2 Enterprise System...................................................................................................................2 Benefits of ERP......................................................................................................................2 Challenges of Implementing ERP..........................................................................................3 Vendor Selection....................................................................................................................4 Conclusion..................................................................................................................................5 References..................................................................................................................................6
ENTERPRISE SYSTEM2 Introduction The intent of this report is to recommend an enterprise system for SugarSquared Inc. which is a manufacturing firm in Riyadh and distributes its products all over KSA. This report is comprised of the discussion related to the enterprise system that best suits the company and highlighting its benefits for the company. Enterprise System Enterprise systems are said to be large-scale packages of enterprise software that provide support to the flow of information, reporting and data analytics, and business processes in organizations. Where enterprise systems are normally said to be the packaged enterprise application software systems they can be modified and can be developed as per the demand of the client for supporting particular needs of the organization. There are three types of enterprise systems that are enterprise planning systems, customer relationship management, and enterprise resource planning systems (Giachetti, 2016). The enterprise system that is suitable for SugarSquared company considering the expanding revenue and silos, is Enterprise Resource Planning. It is determined as the capability to offer an integrated suite of different applications of business. The tools of ERP share a common data model and procedure that covers deep and wide operational procedures like found in HR, manufacturing, supply chain, service, finance, and distribution. ERP application automates and provides support to a number of operational and administrative business procedures in multiple industries, comprising administrative, asset management, and customer-facing, aspects of an enterprise (Bradford, 2015). Benefits of ERP ERP is called to be an asset for a number of organizations since they allow a business to run smoothly and protect its information. Although ERP is a large investment for the business, it focusses on unifying the cost of IT and enhance efficiency. As SugarSquared
ENTERPRISE SYSTEM3 spend so many resources on managing multiple systems that require infrastructure, licenses, support team, and staff, but through ERP it can focus on these costs in a single system. Besides this, ERP offers complete access toall the essential procedures in the business by making easily accessible data from every department to the management. Along with this, installing an ERP suite in the department of the SugarSquared business will offer a unified system of reporting for all the procedures. With a single source, the system can generate important reports and analytics at any given time. This system enables the ability to evaluate and compare the functions in every department, deprived of any annoyance of multiple emails and spreadsheets (Monk & Wagner, 2012). The most important reports that are financial statements like cash flow and income statements are built-in and custom reports can be generated deprived of an IT intervention. In addition to this, the biggest advantage that is offered by ERP is its modular makeup. Many of the vendors of ERP provide a number of applications that could be executed together as per the needs of the business (Leon, 2013). Challenges of Implementing ERP Apart from having a number of benefits of implementing an enterprise resource planning system in the business, there is a number of challenges that SugarSquared can experience and some of them are discussed below: In the competitive market, choosing the best product is important in order to increase productivity. There is the availability of around 500 ERP applications in the system and selecting the best for the business is a challenge. In order to successfully implement the ERP system in the business, it is very important for the top management to take an important part in the success of the system. If the management ignored this then they can cause delayed operations (Abramowicz & Tolksdorf, 2010).
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ENTERPRISE SYSTEM4 In addition to this, in order to install an ERP system in the SugarSquared, the capabilities and skills of the employees are very important because the incapability of the employees can degrade the procedure of productivity. Special motivation and training of the employees are essential before the system implementation as it provides some of the familiarity of the system (Parthasarathy, 2010). Considering the above challenges that can be experienced by the SugarSquared business, here are some of the ways by which these challenges can be addressed by the company. In consideration of the right vendor selection, the company can get into detailed market research in order to identify the best vendor who can understand its needs and provide a better solution in the form of ERP. Still, there is a risk in selecting the vendor, but it is required to operate a business. Besides this, the challenge of involvement of top management can be addressed by their regular involvement and decision in the selection of the system. Furthermore, considering the challenge of training of the employees. SugarSquared may not experience such a challenge because it already has employees who are working on a different system for the business who can be trained for working on ERP such that better results can be gathered in terms of increased productivity and successful execution of the online retail site. Vendor Selection There is a number of vendors available in Saudi Arabia and Riyadh that offer better services for the business in terms of the enterprise system. Some of the vendors that can offer services to SugarSquared business are SolutionDots, Solutel, SaudiERP, Compusoft, and Sahabyah (SolutionDots, 2015). As per the analysis, it has been identified that the best ERP provider that can offer better services to the SugarSquared business is SolutionDots. SolutionDots offer a cloud-based ERP system for the business in Saudi for the last 5 years and have gained increased popularity. The company holds a 100% satisfaction rate of the customer which has enabled a unique identity in the market. Along with its best ERP
ENTERPRISE SYSTEM5 systems, it offers 24 hours of technical support. The SolutionDot ERP is called to be the broad-ranging cloud-based solution that is offered by the company which is majorly created for small and medium-sized businesses and is provided in the SaaS model (SolutionDots, 2020). Furthermore, the business factors that will be considered to select and implement the ERP system in the business are budget, management commitment, employees’ skills, and capabilities, the need for business, size of the business, customization, employee engagement, etc. (Trexin, 2014). All these specified factors need to be addressed and considered in order to implement the ERP system in the SugarSquared business. If these factors are ignored by the business then it may lead to failure of the system and the results expected out of its implementation. Conclusion In conclusion, it can be said that the selection of the appropriate Enterprise system is important in order to get planned results in the business. Considering the case of the SugarSquared business, it can be said that the Enterprise Resource Planning system is best suited because it will integrate all the functions and procedures of the business to provide quick and better information for decision making. ERP system offers a number of benefits for the business such as cost management of the business, increased productivity, quick financial reports. However, this system has some challenges that can be addressed by the business effectively. The selection of SolutionDot as the vendor will be considered as a right decision because it has gained 100% rating in customer satisfaction by offering better solutions to its client, which reveals that even SugarSquared can get a better solution from this vendor for increasing its productivity, easily expanding business, and managing its online retail site.
ENTERPRISE SYSTEM6 References Abramowicz, W., & Tolksdorf, R. (2010).Business Information Systems: 13th International Conference, BIS 2010, Berlin, Germany, May 3-5, 2010, Proceedings1sted. Germany: Springer Science & Business Media. Bradford, M. (2015).Modern ERP: Select, Implement, and Use Today's Advanced Business Systems1sted. U.S: Lulu.com. Giachetti, E.R. (2016).Design of Enterprise Systems: Theory, Architecture, and Methods3rd ed. U.S: CRC Press. Leon. (2013).Enterprise Resource Planning3rded. U.S: Tata McGraw-Hill Education. Monk, E., & Wagner, B. (2012).Concepts in Enterprise Resource Planning4thed. U.S: Cengage Learning. Parthasarathy, S. (2010).Enterprise Information Systems and Implementing IT Infrastructures: Challenges and Issues: Challenges and Issues1sted. U.S: IGI Global. SolutionDots. (2015).Top 10 Cloud Based ERP Solutions Providers in Saudi Arabia. Retrieved fromhttps://solutiondots.com/blog/top-10-cloud-based-erp-solutions- providers-in-saudi-arabia/ SolutionDots. (2020).Who are we? Retrieved fromhttps://solutiondots.com/about-us/ Trexin. (2014).Key Success Factors for an ERP Implementation. Retrieved from https://www.trexin.com/key-success-factors-for-an-erp-implementation/