Management Assignment On ERP Systems

Added on - 03 Dec 2019

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KNOWLEDGE MANAGEMENT ANDINFORMATION SYSTEMS
TABLE OF CONTENTSINTRODUCTION...........................................................................................................................31. CLOUD-ERP...............................................................................................................................3a. Three key challenges associated with use of Cloud-ERP........................................................32. Enterprise 2.0 TOOLS.................................................................................................................6b. Three key barriers in Web 2.0 tool..........................................................................................6REFERENCES.............................................................................................................................10APPENDIX...................................................................................................................................11CONCLUSION.............................................................................................................................13RECOMMENDATIONS...............................................................................................................13
INTRODUCTIONIn digital era, most of the enterprises are concentrating towards effective use of newemerging technologies like Cloud-ERP and Cloud-CRM to enhance customer flexibility andconvenience. During last many decades, dramatic advances in computing storage, power plusnetwork technology have allowed people to generate, process or share wide amount ofinformation in unique manner. The present study provides detail about challenges associatedwith the implementation of Cloud-ERP in meeting business goals. Furthermore, report exploredenterprise 2.0 technology and barriers associated with its deployment. By conducting this study,researcher would be able to reduce the impactof the challenges of Cloud-ERP and Web 2.0technology in a significant manner.1. CLOUD-ERPa. Three key challenges associated with use of Cloud-ERPOpportunities provided by Cloud-ERP are attractive such as fundamentally improve thesepractical issues and check and update important data in Cloud ERPs immediately.But beforeunderstand the major challenges associated with the use of Cloud ERP, it is important to knowabout the need of it in the organizations.Earlier enterprises were adopted Enterprise ResourcePlanning (ERP) system to support and integrate all key business processes. ERP resources wereinternally hosted and maintained by user organizations. However, due to several drawbackswhich include time-consuming, up-gradation issues and high initial investment, management ofenterprises were concentrating towards switch from traditional ERP to Cloud base ERP system(Cloud Computing Services, 2015). The main reason behind switching from existing to new isthat cloud computing is an advanced IT outsourcing model and it is helpful for companies interm of reducing cost and better support to existing IT infrastructure. There are several factorsincluding enhanced system speed and performance, reduced ERP cost, system upgrade andenhancement which encourages IT managers of organizations to switch over Cloud-ERP (Knorr,2008).However, implementation of new cloud base system is not an easy task for enterprisesand IT managers because several kinds of issues also associated with the use of this technologyat workplace. However, some potential challenges and barriers associated with the adoption ofthis technique that can be explored as follow.3
Cloud transparency and data privacy:The advance cloud model provides opportunity toenterprises to store large amount of data from internal hardware and servers of user companies tothird party cloud service providers. In addition, main company has a limited control on thesubscribed cloud services which raise transparency and control related issues (Purohit, Jaiswaland Pandey, 2014).Challenges:Despite of that, privacy of these sensitive data that are stored by cloud vendors andeasily movable of data from different servers located in different countries related issues arecreating challenges for enterprises.Measure to reduce the impact of challenges:However, after applying data protection law andfollowing regulations developed by government, enterprises would be able to prevent and controlover transparency and data privacy kinds of issues. In the case of, if the organization compelledto disclose the customer’s data then it is important to make them notify about disclosing ofvarious information. During sharing of information with the business partners, the organizationshave to maintain the transparency and privacy by using Cloud-ERP system. It has maintained thelimited access of the data and protects the rights of the service users.Vendor lock-in:It is a situation where a customer is using a service or product which is not easyswitch over to a competitor’s services or products. The fear of it is often mentioned during themajor implementation of the cloud service adoption(Weng and Hung, 2014).The meaning ofcould service migration is most of the customers are staying with those services providers whoare unable to meet the needs of service users in right manner.In the terms of technology, it hasknown as Peng and Gala (2014) were conducted study to know the perception of IT employeestowards adoption of Cloud-ERP and barriers associated with its implementation. In this regard,interview was conducted of IT employees belong to different designations.The result of interview explored that certain legal restrictions made by current cloudproviders and reshape and change an organization’s culture are the major constraints which areassociated with the deployment of this new IT technology From the study, it is clear that cloudERP applications and services provided by different vendors can vary in terms of cost,complexity and security features. It is main responsibility of IT manager and management toreview potential difficulties associated with it before making decisions towards the selection andimplementation of cloud base services (Peng and Gala, 2014).4
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