ERP System Selection for Mobile Health Innovations Limited
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This report assesses the business requirements and drivers of Mobile Health Innovations Limited and recommends the most suitable ERP system for the company. The report analyzes different ERP systems and their advantages and disadvantages if adopted by MHI.
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MOBILE HEALTH INNOVATIONS LIMITED1 Mobile Health Innovations Name Course Professor Institutional Affiliation City/State Date
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MOBILE HEALTH INNOVATIONS LIMITED2 Table of Contents Executive summary.........................................................................................................................2 Introduction......................................................................................................................................3 Scope................................................................................................................................................3 MHI Business Drivers.....................................................................................................................4 MHI Business Requirements...........................................................................................................5 Audience..........................................................................................................................................7 Background......................................................................................................................................8 Analysis and evaluations.................................................................................................................9 Software Selection process............................................................................................................10 Steps in selecting Software............................................................................................................10 Overall Summary...........................................................................................................................13 References......................................................................................................................................14
MOBILE HEALTH INNOVATIONS LIMITED3 Executive summary This paper presents a report that is to be submitted to the managers and stakeholders of MHI limited in an attempt to streamline its services so as to gain more competitive advantages. With the company facing numerous challenges as it aims to expand its operations across different continents. With each of the company’s manufacturing plants operating independently it is not easy to ensure efficiency and operations are up to standards. This means that all the plants have their own set of financial books and operate independently. This shows that the organization as a whole lacks a sense of general identity and synchronization. This report therefore assesses the company’s requirements, business drivers and the different ERP systems and comes up with a recommendation of the most preferable system to implement. The report analyzes the situation on the ground for MHI and assesses this against the functionalities of the most preferred ERP systems and comes up with the advantages and disadvantages of the Systems if they were adopted by MHI. The report concludes by stating that the most prefer system is the SAP due to its flexibility, features and usability. The only problem that was identified was the high cost of the system. This is however drowned by the numerous benefits that it will have on the organization.
MOBILE HEALTH INNOVATIONS LIMITED4 Introduction The purpose of this report is to give s brief but detailed report that will assist in coming up with a decision in regards to the purchase of an ERP system. The report begins by defining the ERP systems, stating their benefits in the context of job environment and Assessment of the different ERP systems present that can help Mobile Health Innovations. If adopted some of these changes are aimed at streamlining the business for MHI limited as it seeks to gain a better competitive advantage through the implementation of these systems. The paper generally assesses the different areas of change that once integrated in these systems will help the business stay at bay with the emerging trends while at the same time have a competitive advantage in the world market. Based on these analyses of the business drivers and the business requirements. After that is done the paper assesses the different software’s that can be used to perform the specified actions based on the drivers and the requirements (Winkelmann 2010.). Scope Enterprise Resource Planning system is a process by which a company uses to integrate the different parts of the whole business so as to enable proper functioning that is often brought about by synchronization. For these integrations most companies use the ERP management Information systems which synchronize the different business functionalities such as marketing, sales, finance, purchasing human resources and general management.
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MOBILE HEALTH INNOVATIONS LIMITED5 There are different ERP systems that are being used by different companies worldwide. They include SAP Business Suite 4 SAP HANA ((a.k.a SAP S/4HANA) SAP ECC6 Sage X3 Oracle Cloud Accelerator All these different systems are used by different companies based on their different needs. This is where the specific business drivers and requirements come in. MHI Business Drivers Business drivers are the essential factors that contribute to its ultimate success. These drivers are usually business specific and they vary between one business line to another. For MHI the key business drivers include 1.Governance- the management of the company ought to ensure that there are systems in place that ensure that the organization is easily manageable. 2.Continuity- the organization thrives in the prospects of being able to have a constant flow of tracking devices. This means that improved service delivery and the ability of the company to meet the requirements of service agreements. 3.Cost- these include the expenses that are incurred by the organization in an attempt to have continuity in its systems.
MOBILE HEALTH INNOVATIONS LIMITED6 4.Profitability-this is the main aim of most businesses because they always seek to maximize their profits as they reduce the expenses. This means that adequate measures should be put in place so as to ensure that the many maintains its profitability (Morris, 2011). 5.System Synchronization- this is the ability of the different departments and offices to work in unison so as to ensure success of MHI limited. MHI Business Requirements The business requirements are the important activities that are undertaken by the business so as to meet the set out objectives. The business requirements for MHI include. 1.Stakeholders- to ensure that the stakeholders are contented with all the activities that the business is undertaking.(Forslund 2010) 2.Communication- with operations in different countries in different continents it is essential that MHI creates and maintains good communication policies that will help satisfy both the customers and business needs (Forslund 2010). 3.Customers- ensuring that the customers of the business remain close for future works. 4.Finance-With different departments and different money flow systems, MHI needs to implement a system that ensures the levels of expenditures are way less as compared to the profits. 5.Supplier-MHI needs to create a system for monitoring Suppliers this is because the company needs to assess its relations with its suppliers at all times. ERP functionalitiestypeBusiness processesType of data or information GovernanceDriverAdministrative monitoring of All the workers Data on employee, customers, supplier, profits, losses and the public relations
MOBILE HEALTH INNOVATIONS LIMITED7 ContinuityDriverEnsuring constant work flow Customers and employee data/ Data on operations in the different work areas. CostDriverCalculations of the expenses Different company expenditures ProfitabilityDriverCalculations of the profits All the information resulting in money inflow in the company synchronizationDriverLinking the different stations and work groups Information on the different work groups and stations. StakeholdersRequirementMaking key decisionsAssessment and analysis of the different aspects of the business CommunicationRequirementAllowing both the horizontal and the vertical lines of communication to be functional. The type of data to give customers, employees, managers and stakeholders. Customer relationsRequirementEnsuring efficient communication channel between customer and organization. Accessibility of the company, How often they reply customers messages/ Suppliers contactRequirementEnsuring efficient communication channel between suppliers and organization. No of suppliers Type of product they supply Times/dates when they supply. FinanceRequirementCreation andWhat causes money
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MOBILE HEALTH INNOVATIONS LIMITED8 maintenance of money flow in the organization. inflow What causes money outflow. Audience The contents of this report is set to be used by the stakeholders and the management of MHI limited in their plans to expand to wider markets while creating and maintaining a well-functioning ,synchronized and operational system ( Karsak andÖzogul, 2010). This report seeks to provide a road map and suggestions to the company on favorable ERP system providers by identifying the challenges faced and suggesting the more favorable ERP system provider. Background The term 'ERP use' has ended up being synonymous with 'awful dream' recently. Conspicuous differences have highlights and associations are as often as possible undermined by the high cost and in addition the negative effect executions can have on their business. Dealers, for instance, SAP are working constantly on shaking this reputation and have made unfathomable strolls in meeting their targets. "In 1996, a customer could plan to pay six to 10 times the allow cost in counceling services. These days the outside advising cost has dropped to routinely one to in excess of two times the item costs, dependent upon how much process re- constructing the customer does" (Cebeci, 2009). Fortunately for associations considering an ERP execution there have been adequate done in the past that there are opportunities to pick up from the triumphs and frustrations of others. One of the key factors of a compelling utilization is "don't try to make the thing fit unequivocally the way you may ideally need to work or of course expect that people will thoroughly change their methods to meet the package. The essential takes various years and costs stacks, the second meets tremendous security" (Cebeci, 2009). For most associations there ought to be a generally engaging strategy where individuals comprehend that the item won't handle each definitive issue and few out of each odd system in the association can be re-worked to fit the item. Regardless, skillful wander pioneers with prior ERP utilization experience will uncover to you that there are a couple of entrapments to decline in the midst of ERP wanders. The primary isn't to pick an ERP package in perspective of a demo. Pick your package shrewdly, influence request, to get references, and complete your work (Staehr 2010). An ERP package is a
MOBILE HEALTH INNOVATIONS LIMITED9 costly hypothesis and you should ensure you are picking the package that best fits the necessities of your affiliation. The second is get organization duty. Not securing top organization buy in realizes a customized wander frustration. Organization obligation is as often as possible high toward the beginning of a wander yet begins to liquefy away as the endeavor wears on. It is critical to keep organization fascinated, included, and arranged conclusively behind the errand. The third is to avoid overpowering customization. It is both straightforward and luring to re-try ERP packs to fit your right needs. Shockingly finished the best customization will visit one by stretching the wander timetable and by driving up upkeep costs later on. The last ensnarement to keep up a key separation from in ERP use isn't to defame the essentialness of planning. It isn't striking that customers get a couple of days of planning on the new structure and after that don't see the system again for a significant long time. Customers require all around and on-going getting ready and should attempt and be incorporated with system testing if at all possible (Cebeci, 2009). Analysis and evaluations Mobile Health Innovations Ltd has grown over the last few years. The growth has seen it expand its business to different countries worldwide. The development of the company has led to the opening of offices in the ever-developing china. This is in addition to the company’s efforts to stretch its wings into the Indian market. It is worth noting that each of the company’s manufacturing plants is operating independently. This means that all the plants have their own set of financial books and operate independently. This shows that the organization as a whole lacks a sense of general identity and synchronization. An example is the Melbourne office having its own ERP system over the years while on the other hand Liverpool and Sydney’s office operations which have been working on a different platform, that is the legacy systems. It is due to this reason that the company has been seen to lack flexibility and scalability in its quest to grow into new markets in the years to come (Hakim and Hakim, 2010).
MOBILE HEALTH INNOVATIONS LIMITED10 Software Selection process Steps in selecting Software 1.Identify the drivers and the requirements of the business 2.Identify a list of emerging potential software’s. 3.Assessing the services offered by particular software and comparing with the requirements. 4.Choosing the most appropriate software 5.Assessing the chosen software- this is done after some specified period. This is carried out so as to ensure that the system has improved the organization. This can be identified in auditing reports. With different organizations engaging in software selection for different reasons, the selection process in most cases is virtually the same. Some of the reasons that organizations such as MHI seek ERP systems are: 1.To transform the business- this is whereby the managers of the business seek to raise profits for the business so as to have a competitive advantage. 2.Enhancing business processes- this is whereby businesses aim to harmonize their processes so as to standardize their operations across different departments and branches of the company (Fakoya and van der Poll, 2013). 3.Technological upgrade- the fact that there are emerging trends in technology almost every day motivates businesses to upgrade their systems. This is because most industries are integrating the different emerging technologies in their business processes (Magal and Word, 2011). This has been noted to create a significant impact in terms of a business having competitive advantage.
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MOBILE HEALTH INNOVATIONS LIMITED11 It is therefore important to note that the selection of an ERP package to be used in a business such as MHI is important. Using any ERP system that does not fit the requirements of the organization can greatly weigh down the company. The following are to be considered when selecting an ERP Package for MHI 1.Needs of the company-based on the needs of the company there are different ERP systems that can be used. However to be more specific the ERP package that is to be used in MHI ought to be able to assess the financial needs of the company. This means providing data that is useful to the stakeholders and the manager (Elragal and Kommos, 2012). 2.The second requirement for MHI is the ability to standardize and synchronize its operations. Therefore the most preferred package would be the one with the best ability to standardize and synchronize a company that is in operation in multiple countries in different continents. 3.Usability- this means that the ERP system should have the following properties Easy to use- this means that any user should be able to access it and work with it provided they have the basic skills required Navigation- the maneuvering of workers in the system should be easy with no delays. Access to information-the ERP system should be able to show all the relevant information that is needed and that is relevant for the business. softwareAdvantagesDisadvantagesOpinion on it SAP1.Flexibility. 2. The application is easily customized to be in line with the business needs The fact that Particular functionalities which are considered as main capabilities of SAP are not
MOBILE HEALTH INNOVATIONS LIMITED12 3. Highly integrated with other modules. 4. Industry specific modules with a deep insight. 5. Continuous support. accessible in other ERP applications, this makes most customers settles on it in an undeniable Oracle Cloud Accelerator 1.They are pre- configured systems 1.Increases scalability and performance These systems are not self-petitioned by the customers of the system. In addition to that these systems have capacity limits. As much as the oracle systems are good the fact that they have capacity limits puts off many customers In line with the above analysis of the two major ERP providers, SAP would be the better of the two given the numerous advantages that it carries. Overall Summary The paper has assessed the different functionalities of the company against the different competencies of the ERP system providers. From this the report concludes that through Digital Disruption (Digital disruption is the obstacle that hinders an individual from achieving their required goals. In this case MHI has not synchronized its systems well (Forslund, 2010). This
MOBILE HEALTH INNOVATIONS LIMITED13 means that the lack of continuity and clear processes hinders the organization from achieving its goals in becoming a multinational company which generates high amounts of profits yearly.) The report then analyzes the situation on the ground for MHI and assesses this against the functionalities of the most preferred ERP systems and comes up with the advantages and disadvantages of the Systems if they were adopted by MHI. The report concludes by stating that the most prefer system is the SAP due to its flexibility, features and usability. The only problem that was identified was the high cost of the system (Cebeci, 2009). This is however drowned by the numerous benefits that it will have on the organization.
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MOBILE HEALTH INNOVATIONS LIMITED14 List Of References Cebeci, U., 2009. Fuzzy AHP-based decision support system for selecting ERP systems in textile industry by using balanced scorecard.Expert Systems with Applications,36(5), pp.8900-8909.
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MOBILE HEALTH INNOVATIONS LIMITED16 Morris, J.J., 2011. The impact of enterprise resource planning (ERP) systems on the effectiveness of internal controls over financial reporting.Journal of Information Systems,25(1), pp.129-157. Pabedinskaitė, A., 2010. FACTORS OF SUCCESSFUL IMPLEMENTATION OF ERP SYSTEMS.Economics & Management. Powell, D., Riezebos, J. and Strandhagen, J.O., 2013. Lean production and ERP systems in small- and medium-sized enterprises: ERP support for pull production.International Journal of Production Research,51(2), pp.395-409. Rabaa'i, A.A., 2009, July. The impact of organisational culture on ERP systems implementation: Lessons from jordan. InProceedings of the Pacific Asia Conference on Information Systems 2009. Singh, A. and Wesson, J., 2009, October. Evaluation criteria for assessing the usability of ERP systems.InProceedings of the 2009 annual research conference of the South African Institute of Computer Scientists and Information Technologists(pp. 87-95). ACM. Staehr, L., 2010. Understanding the role of managerial agency in achieving business benefits from ERP systems.Information systems journal,20(3), pp.213-238. Subramoniam, S., Tounsi, M. and Krishnankutty, K.V., 2009. The role of BPR in the implementation of ERP systems.Business Process Management Journal,15(5), pp.653-668. Winkelmann, A2010. Teaching ERP systems: A multi-perspective view on the ERP system market.Journal of Information Systems Education,21(2), p.233. Yang, C. and Su, Y.F., 2009. The relationship between benefits of ERP systems implementation and its impacts on firm performance of SCM.Journal of Enterprise Information Management,22(6), pp.722-752.