ERP System Implementation and Benefits

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The assignment provides an overview of the report's conclusion that ERP systems can improve business operations, cut costs, and provide competitive advantages. It also recommends that companies focus on important requirements while implementing ERP systems and have strong internal project management to ensure a successful implementation.

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Managing Information
and
Technology

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Table of Contents
INTRODUCTION...........................................................................................................................3
Aims of managing information system..................................................................................3
Objectives of managing information system.........................................................................3
Categories of information system...........................................................................................3
Enterprise Resource Planning System....................................................................................5
Benefits of enterprise resource planning system in real life business....................................6
Conclusion and Recommendation..........................................................................................7
Conclusion.......................................................................................................................................7
Recommendations............................................................................................................................8
REFERENCES ...............................................................................................................................9
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INTRODUCTION
In today's context information technology's a framework where all the resources are
related to information technology which are usually managed by an organisation priorities and
needs. It is widely used in business that help in referring various kinds of computer related work
in making out operational activities of business much easier and faster. Management
information system and technology consist of people or business processes to record, store and
process in order to have appropriate decision. It usually refers to computer based system that
provide an user to organise, evaluate and efficiently manage departs within an organisation
(Webster, 2014). In nutshell, management information system is collection of hardware,
procedures so that all work can be process out together in order to store and produce information
that is useful to an organisation. Moreover, it help in taking effective decision by facilitation
communication within and outside organisation. It also help an organisation to record all
business transaction of an organisation that provide a reference point for the transaction. This
report is based on different types of information system and ERP system in managing and
controlling organisation at wider information streams. Moreover, evaluating benefits of ERP
system in real life business along with appropriate conclusion and recommendation.
Aims of managing information system
The main aim of managing information system is to help executive of an organisation in
order implement proper organisation structure in a dynamic nature. This help an organisation in
capturing, processing, storing and retrieval of data in an better way in competitive marketplace.
Objectives of managing information system
The objective of managing information system is to provide information for decision
making process on basis of planning, initiating, organising and controlling operations of
subsystem. It also provides s synergistic organisation process that help decision maker to select
the best course of action.
Categories of information system
An information system is an integrated and coordinate of network of components which
basically combines together to convert data into information. Eventually, there are different types
of information system which are discussed below:
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Transaction processing system: A transaction processing system refers to an event or
activity that affects an organisation day to day performance of business operation (Dahlstrom,
and Bichsel,, 2014). Moreover, this process of transaction depends on different type of
organisation size and structure in which they are operating their business function and activity. It
includes such as placing orders, billing customers, hiring employees as well as recoding
transaction that are used within an organisation.
Office Automation system: An office automation is the framework or collection of
communication technology such as computer and person to perform official task. Basically, it
executes office transnational work that supports out official activities at every organisation level.
It help an organisation in conferencing, creating reports and message in controlling performance
of an organisation. Some of the application used in this process are electronic filling, email, word
processing and voice mail etc.
Knowledge work system: A knowledge work system is specialised system that build in
promoting creation of knowledge to make sure that knowledge and technical skills are properly
integrated or not into business (Laudon, and Laudon,, 2015). Eventually, it helps in creating and
propagating new information and knowledge by providing graphics, analytical, communications
as well as document management tools. Herein, some of the examples of knowledge work
system are computer aid design , virtual reality system and financial work system.
Management information system (MIS): Management information system are especially
developed to support planning, controlling and decision making function of the middle level
manger. It extracts transaction data from underlying transaction process system, complies them
and produce information products in form of report on daily basis of time. Moreover, it provide
information that help in decision making process. It is one of the most simple process that
summarises and create comparison which enables manager to take decision in an specified
manner. Additionally, it provides manger of a particular organisation to produce report on
monthly, quarterly or on yearly basis. It also provide manger to access online the current
performance as well as past records of an organisation in an appropriate manner.
Decision support system: A decision support system is one of the interactive computer
based information system that serves at management level of an organisation. It is process of
information system that supports in decision making process of manager. It is mostly designed

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for every mangers of an organisation in order to execute a specific managerial task or a problem
in an specific manner.
Thus, the above mention are some of the information system that have its own benefits and
characteristics in operating their function in business (Avgerou and Walsham, eds., 2017). In
context to organisation each and every information system play's an equivalent role in decision
making process. Moreover, with the adoption of different information system an organisation can
carry out their day to day activity in an effective manner.
Enterprise Resource Planning System
Enterprise resource planning system is a process that is acquire by many companies to
manage and integrated important part of business. Their are many ERP application that exist to
help companies to implement resource planning by integrating all process that are necessary to
run business. Additionally, it is an application that allows different departments to communicate
and share information in an easiest manner. It collects information activity with state of different
division, making information available to others in order to increase productivity. Apart from
this this system help in increasing efficiency, promotes collaboration, increases data security,
helps to comply with industry regulation, making appropriate forecast, increasing operational
flexibility as well help in reducing operational cost.
An ERP system is a key objective that help in integrating software and process all
functional division of an organisation that usually merge it for effortless access and structured
workflow (Andrade. and Doolin, 2016). Moreover, ERP system helps in performing different
types of activities which are determined below:
Manufacturing: ERP system in manufacturing help in capacity planning, workflow
management, quality controls, bills of material as well as manufacturing process etc.
Financial ERP: In context to financial departments it help in managing accounts payable,
receivables , general ledge, cash management and billing out activities in an appropriate manner
so that each records can be maintained.
Human resource: In human resource management ERP helps in maintaining records of
recruitment, benefits of compensation, training and payroll, maintaining time of attendance,
labour rules and regulation with appropriate people management.
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Supply chain management: ERP system helps in managing inventory records, scheduling
supplier chain, sales order administration, procurement of planning as well as help in
maintaining transportation and distribution in an effective manner.
Projects: In case of project ERP system helps in maintaining its costing, billing,
maintaining activity management with effective knowledge of time and expenses.
Customer relationship management: ERP system helps in maintaining efficient data
records of sales and marketing, services, commission, customer contact as well as helps to
maintain after sales records (Hills, 2018). Thus, in this manner a organisation can knows it sales
of its product and services in an effective manner.
Moreover, prior to ERP system in different elements each and every department within an
enterprise has its own isolated software application that usually do-not interface with each other.
Sometimes isolated frameworks could not synchronize inter department process and it hamper
organisation productivity, speed and performance which usually lead to issues such as
incompatible exchange standards. Hence, for developing a comprehensive ERP system an
organisation leads to increase performance, increase work flow, exchange formats and speed
enhancement etc. moreover, ERP system help an organisation to gather information and record
data in an effective manner so that an organisation can maintain their past and current records
appropriately. For example: ERP system helps H&M in manacling their data and records in an
appropriate manner so that they can maintain their records in an appropriate manner. As it
enterprise resource planning plays an equivalent role in maintaining and keeping records in
ansss appropriate manner so that effective decision can be taken in an effective manner.
Benefits of enterprise resource planning system in real life business
In toady's context a small or medium sized business wants to obtain maximum
productivity by eliminating waste of resources with best profit margins. An enterprise resource
planning is a software system that enables efficient control and management of manufacturing
process from the initial concept and design through out the planning stage till actual
manufacturing process (Wagner, Vollmar, and Wagner, 2014). In context to organisation, ERP
software is a system which integrates manufacturing process to ensure smooth running flow of
information and operations moreover, this system offers several benefits to both small and
medium sized business are determined below:
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Enhanced visibility: In business context, ERP software ensure that each process is visible
in to different department involved in business. Which usually includes all stakeholders,
employees and staff members information that ensure that each process is traceable.
Automated framework: ERP system help in automated workflow from one department to
another department ensuring that transition between department are smooth and fast. In this
manner task are completed in an effective manner in an appropriate time. Moreover, with this
system a variety of product can be automated by taking and processing customer's order, taking
inventory and financial condition etc.
Single reporting system: ERP system ensure in single reporting system that is used into
data analysis so that a business can pertain statistical status of manufacturing process which
involves real time reporting across each and every department. Thus, reporting system creates
transparency and connection between different managers and department.
Reliable data: In contrast to manual record keeping a automated spread sheet system that
operates independently of each department. Where as an ERP system ensure that data from
every department is combined into comprehensive management tools which can be used and
ascertained with performance of processing during each step of manufacturing process.
Low operations cost: ERP system helps in eliminating delays and communication
problems and analysis of real time data. This software helps in reducing running cost effective
with maximising optimization (Andrade. and Doolin, 2016). It also have the ability to obtain
accurate data in manufacturing process in order to bring efficiency and problem solving skills as
well as becoming standard practice in enterprise.
Thus, from the above mention point it has been analysed that ERP helps in smooth running
process of procurement, customer's demand and inventory process as well as other functions in
an effective manner. It eventually, enables improved planning of staff requirements, raw
materials and profit forecasting.
Conclusion and Recommendation
Conclusion
With the help of above mentioned report, it has been concluded that ERP system not only
helps an organisation in cutting the cost but it also improvisers the overall operations of

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buildings and certain activities which are linked to do operations of a business organisation.
Alongside this, it can also be said that customer demand and inventory process can also easily be
synchronised among this sort of IT systems that may help in securing the data from many
hackers and so on. With the help of an ERP system, an organisation can easily gain many
competitive advantages and there will be no need of high manpower because this type of system
basically a mastermind which aid in building for running business operation in an optimised
manner. Comprehensive management has also been considered as one of a crucial tool which an
ERP system gives to a business organisation which is using this sort of system. This report
basically helps in in collecting all the data from different departments which can be analysed
afterwards whenever it is needed In future.
Recommendations
Considering the above information, it is recommended that company would require to
work on the document as per the requirements and existing pain points but focus primarily on the
important requirements while implementing ERP System. Along with this, in order to make the
ERP implementation successful it will be needed to have a robust solution design done upfront.
Away with this, Strong Internal Project Management is also recommended to business
organisations that are looking forward to implement the ERP system. It has been analysed that
there are many people who mostly focuses upon and spends a lot of time evaluating a variety of
ERP solutions and picking up the right solution.
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REFERENCES
Books and journals
Avgerou, C. and Walsham, G. eds., 2017. Information technology in context: Studies from the
perspective of developing countries: Studies from the perspective of developing
countries. Routledge.
Andrade, A .D. and Doolin, B., 2016. Information and communication technology and the social
inclusion of refugees. Mis Quarterly. 40(2). pp.405-416.
Dahlstrom, E. and Bichsel, J., 2014. ECAR Study of Undergraduate Students and Information
Technology, 2014. Educause.
Hills, J., 2018. Information technology and industrial policy. Routledge.
Laudon, K. C. and Laudon, J. P., 2015. Management Information Systems: Managing the Digital
Firm Plus MyMISLab with Pearson eText--Access Card Package. Prentice Hall Press.
Webster, J., 2014. Shaping women's work: Gender, employment and information technology.
Routledge
Wagner, D., Vollmar, G. and Wagner, H. T., 2014. The impact of information technology on
knowledge creation: An affordance approach to social media. Journal of Enterprise
Information Management. 27(1), pp.31-44.
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