ES1 Contents Introduction.................................................................................................................................................2 Principal drivers behind businesses adopting Enterprise Systems...............................................................2 Enterprise Systems contribute to organizational performance and how do we measure such contributions4 The organizational change management considerations necessary for successful adoption of an Enterprise System.........................................................................................................................................................6 Reference.....................................................................................................................................................8
ES2 Introduction Enterprise system is software that is applied in business to handle the data of large value and it is used to host the various applications in single software system. It helps in keeping and recording all the applications at one place for connecting them with the same database and helps in getting the updatesand informationin real-time.Real-timeinformationin applicationshelpsan organization in making effective decisions and analyzing data for the growth of business. It is also used in businesses for the effective ROI and in other matters also. It is also called a cross- functional information system that helps in providing coordination and integration in the business process. Enterprise systems are adopted in business for effective growth and managing information. Adoption of Enterprise Systems Enterprise systems are adopted in businesses for achieving integration in business activities and improving the effectiveness of an organization and increasing the efficiency in operations. An Enterprisesystemhelpsthebusinessesbyenterpriseresourceplanningsystem,customer relationship management software, and supply chain management systems. Businesses adapt the software for the customization of data; it provides the flexibility for using the information in real-time and it provides the data integrity. The reason for adopting enterprise system in business is easily assessing the company information and data. It helps the employees to access the data easily whenever it is required. It helps in managing the day to day data and information and it provides the combined information to managers for reviewing the performance. An Enterprise system helps the managers in checking the information about the project status, financial report, inventory level, and performance of employees. It can be accessed by the managers of business anytime and anywhere(Fui-Hoon Nah, 2001). Planning and reporting capabilities Enterprise systems help in generating the various details of reports which includes the graphics, calculations, and statistics which helps the managers to track the performance of activities and problems can be identified easily. An example is in manufacturing industry, manufacturing
ES3 enterprise systems can be implemented for keeping the record of downtime, utilization of machines and rejected products. It helps in giving the indicator to managers when any error or problems occur. An effective enterprise system helps managers in planning and making effective strategies. Human resource enterprise systems help to provide information about workforce and their performance. In order to provide a plan for hiring employees , it provides all the information about staffing levels in an organization(Nathuji and Schwan, 2007). The efficiency of workforce will be high In order to provide instant information, it helps in saving time and making work easy. It helps in automating the repetitive tasks and reduces the work pressure of employees and managers by doingthetaskcompletelybysystemsasitreducethemanualwork.Ahumancapital management enterprise system schedules the duties of employees and assists the managers in recruitment process. With the help of inventory tracking systems the process can be automated and measure the level of inventories. The enterprise system helps in securing and maintaining quality in data. It helps in providing safety and quality of information. After implementation of enterprise systems, the risk of loss is low and corruption and hacking of information are also low(Shehab, et al., 2004).Enterprise systems also provide the benefits in saving cots, scalability, and customization. In order to improve productivity and accessing the data with flexibility, enterprise systems are implemented in the business. There are different types of enterprise systems which include an enterprise resource planning system, customer relationship management software and enterprise planning systems. The enterprise system helps in improving the workflow of the business. for the progress of the business it is necessary for measurement and performance metrics to set the future goals. It helps in streamlining the processes and accessing the software is simplified by user-friendly interfaces. It helps the employees in acquiring the relevant information which is regarding their jobs(Ward, et al., 2005). Enterprise resource planning helps in automating the customer service process for employees. The automation of the customer service process helps the employees in giving the customers consistentservicesandexperiences.Automationhelpsinsavingtimeandrespondingto customers on time and forecasting information for new products.
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ES4 Enterprise systems help in securing the customer's data. Every customer needs their personal data tobesecured.Thecustomerrequiressafetyandsecurityafterprovidingtheirpersonal information to the business. It order to provide the customer’s experience, the information must be secured(Dwivedi, et al., 2009). In organization, every department gets benefit of enterprise systems. the different dimensions of business are operational, managerial, strategic, IT infrastructure and organizational benefits. Operational benefits of Enterprise systems reflect on reducing the cycle time, reducing costs, improving productivity, improving quality and services of customers are also improved. A managerial benefit is a key driver for implementing the enterprise systems as it helps the management in improving decisions making. The allocation and controlling of resources in organization improves and operations are monitored carefully and ES also helps in supporting the strategic decisions of business(Themistocleous, et al., 2005). Strategic benefits to business are globalization, product differentiation, bringing innovation, business growth and providing external linkages. In business, IT infrastructure is the most affected after the implementation of ES as it helps in reducing the error in systems and reducing the costs of IT, the implementation of new applications is done easily and quickly as the ES provides the greater organizational flexibility in the business. Organizational benefits are the executing of effective strategies for the business. it helps in improving employee morale and satisfaction, employees accountability is also high with the implementation of enterprise systems. Enterprise Systems contribution An Enterprise system helps in improving the performance of the organization in an effective way by developing a plan and schedule resources and optimizing performance. Enterprise systems help in serving different business functions like marketing, sales, manufacturing, finance, and production. In order to assemble the data of different functions, enterprise systems help managers of different functions in gathering the information and implement the strategies for the growth and development of business. Enterprise systems help in presenting the performance of organization and help in making wide decisions easily. In order to support the different business activities and integrating the different functions as the enterprise resource planning systems. Enterprise systems help in providing wide coordination and planning the resources and help in
ES5 integrating the processes of business. In order to integrate the different process of business like logistics,production,manufacturing,andhumanresources,enterprisesystemshelpin contributing and improving the performance of organization. In order to support the business process by enterprise systems software includes the financial work of the business like payroll, accounts payable and receivable, management of time, inventory management, pricing of the products and in billing(Dwivedi, et al., 2009). It helps in designing the internal back-office process of business and also in communicating with the other business partners, suppliers, customers, and other stakeholders. It is necessary for the management to identify the process of business which is to be automated and analyze the map for the process to be implemented in enterprise systems. In order to fulfill the requirements of the business and software can be customized for improving the performance of the business. It supports in contributing and refining the efficiency of services to customers. Quality and efficiency production and distribution can be improved by integrating the internal process of the business. the internal process of the business includes production, logistics, sales, and finance. Enterprise systems help in generating a uniform culture in an organization as all the functions use a similar type of process and information for performing the activities. Business can access the information in real-time, enterprise systems helps the management in solving the errors and problems within the time and without any damage to the business(Gunasekaran and Ngai, 2004). Enterprise systems provide financial services to an organization. It helps in increasing efficiency withthehelpofbalancedscorecardsystem.Balancescorecardhelpsinmeasuringthe organizationalperformanceacrossthefourperspectiveswhicharelearningandgrowth, customers, financial and internal business processes. Measuring performance helps in assisting the key performance indicators. An objective of every business is to assess the financial and non- financial costs and benefits of an enterprise system by using the balanced scorecard system of performance management. the objective of enterprise system for financial function is to increase the revenue and reduce the various costs which are included in the business. in order to develop an accurate cost allocation model, enterprise systems are used in the organization(Spathis, 2006).
ES6 In the case of the customers' perspective, it helps in establishing a joint process for reviewing and understanding the requirements of customers. For the satisfaction of customers it is necessary to understand the needs of customers for providing the services according to their needs. Enterprise systems help in conducting a satisfaction survey for the ongoing passenger and customers. it also helps in developing an accurate revenue business model which is based on financial reporting. In internal business process, it helps in developing the policies review process and promoting the integrated enterprise process. It also reduces the paper-based process and automation work will be done(Shang and Seddon, 2002). In supply chain process, Enterprise systems helps in managing the various dependencies like the manufacturing, services and process. It helps in forecasting sale and planning for demand. It helps in recording and managing the purchase orders and their arrival and inspection for completing the procurement process. Organizational change management To adopt an enterprise system it is necessary to consider the organizational change management. For the implementation of enterprise system it is essential to consider the change management as it is an integral part. Changes in organizational management must be based on the objectives of businessandmustconsiderthefactorslikeexperience,language,andregion.Forthe accomplishment of enterprise system implementation, change management in organization must be recorded and considered for the effective growth of the business. Implementation of system affectsthewholeorganizationanditssize(Gable,etal.,2003).Organizationchange management helps in preparing the employees in transforming the changes which must be accepted. It is necessary to make the employees aware of the system and give information about the systems working. Top management is responsible to train the employees about enterprise system. Implementation of enterprise system impacts on the activities of day to day work and with the initiative of organizational change management as it must reflect the learning curve for the employees. It is necessary to familiarize the employees with the changes in systems as it will help the employees effectively and management can organize the well planned and change management program for execution(Gunasekaran and Ngai, 2004). It is necessary for an organization to understand the components of organizational change management. it is essential
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ES7 to accept and consider the culture. The various factors which play a crucial role in determining the employee'sgoals, risksand benefitsare the languages, educationand demographics. Communication is the major factor for enterprise system in management as it is effective for delivering the message on time. It is necessary to do the initial assessment before implementing enterprise systems. the analysis of organization must be done and the areas where the change is required and how the work will be affected after implementing enterprise system as in the beginning problems may arise in the process. In order to use the improvisational change strategy, it is essential to adopt the techniques for managing, identifying and tracking the variations which happen in implementing enterprise systems. Organizational Change management can anticipate change, opportunity-based change and emergent change. Change management strategies must be integrated which must be process- oriented and it consists of three phases; knowledge formulation, strategy implementation and status evaluation(Umble, et al., 2003). Assessment and accountability is the main step in change management as it is important for assessing success and failure. It is necessary for stakeholder analysis as the analysis helps in involving stakeholders in the organizational change. End-user training must be provided as the employees require the skills and knowledge for executing the Enterprise systems(Hunton, et al., 2003). In each process, the training for the employees must be customized for the users which are relevant for them. Training for the employees required the money, time investment and efforts and results are worthy as the employees will learn about the roles and they can reduce the resistance to the change. End-user training will helps in providing knowledge to the employees about the updated software and itsusing techniques.Organizationalchange management includes the structural framework for the change of needs and capabilities in organization. The enterprise system includes the steps for effective organizational change management. The step is to clearly define the change and align it to business goals it is necessary to review the organizational objectives and goals for ensuring the change of business ethically, financially and strategically in right direction. During the implementation of Enterprise systems it is necessary to determine an impact and its effects on business. For the effective application of systems it is necessary to develop a strategy for communication. It is essential to provide effective training to the employees and implanting a support structure in order to assist the employees in practically
ES8 helps them to accept the change and building proficiency in their behavior. Management has to consider the change in process and measure the performance of employees. Conclusion To conclude the report, an enterprise system helps in achieving the organizational goals effectively. Implementation of ES helps in improving the working process and management can take effective decisions for the business functions. Implementation of enterprise system includes the two stages: project stage and post-project. The organization has to face various challenges while implementing the enterprise systems but after the implementation it provides the various benefits and helps in proving the performance of the different business functions. For the adoption of enterprise systems it is necessary for the business to consider the organizational change management for the growth and development of business. company can face cost challenges as implementation of enterprise systems includes a huge investment. Implementation requires additional work for the application of enterprise systems.
ES9 Reference Dwivedi, Y.K., Papazafeiropoulo, A., Ramdani, B., Kawalek, P. and Lorenzo, O., 2009. Predicting SMEs' adoption of enterprise systems.Journal of enterprise information management. Fui-Hoon Nah, F., Lee-Shang Lau, J. and Kuang, J., 2001. Critical factors for successful implementation of enterprise systems.Business process management journal,7(3), pp.285-296. Gable,G.,Sedera,D.andChan,T.,2003.Enterprisesystemssuccess:ameasurement model.ICIS 2003 Proceedings, p.48. Gunasekaran, A. and Ngai, E.W., 2004. Information systems in supply chain integration and management.European journal of operational research,159(2), pp.269-295. Hunton, J.E., Lippincott, B. and Reck, J.L., 2003. Enterprise resource planning systems: comparing firm performance of adopters and nonadopters.International Journal of Accounting information systems,4(3), pp.165-184. Nathuji, R. and Schwan, K., 2007, October. Virtualpower: coordinated power management in virtualized enterprise systems. InACM SIGOPS Operating Systems Review(Vol. 41, No. 6, pp. 265-278). ACM. Shang, S. and Seddon, P.B., 2002. Assessing and managing the benefits of enterprise systems: the business manager's perspective.Information systems journal,12(4), pp.271-299. Shehab, E.M., Sharp, M.W., Supramaniam, L. and Spedding, T.A., 2004. Enterprise resource planning: An integrative review.Business process management journal,10(4), pp.359-386. Spathis,C., 2006.Enterprisesystemsimplementationandaccountingbenefits.Journalof Enterprise Information Management,19(1), pp.67-82. Themistocleous, M., Roseman, M., Loos, P. and Møller, C., 2005. ERP II: a conceptual frameworkfornext‐generationenterprisesystems?.JournalofEnterpriseInformation Management. Umble, E.J., Haft, R.R. and Umble, M.M., 2003. Enterprise resource planning: Implementation proceduresandcriticalsuccessfactors.Europeanjournalofoperationalresearch,146(2), pp.241-257.