Benefits of Enterprise Resource Planning (ERP) System in Business Operations

Managing Information and
Technology
1

INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
CONCLUSION/ RECOMMENDATION.......................................................................................5
REFERENCES................................................................................................................................7
2

INTRODUCTION
Enterprise resource planning is termed as an integration and automation of wide range of
process of an entity into a single system. It is business software which is design in order to
record and manage organizational data that lead towards significant increase in overall
performance of entity (What is ERP? . 2020). ERP provide company with efficiency as well as
visibility with the help of which company can gain insight about every function and aspect that
are conducted within organization. This system allows company to overcome business
challenges in a well-defined manner and keep proper track of resources of different departments
in organization. Further ERP system benefits entity to control their administrative as well as
operational cost and reduce unnecessary expenses with the assistance of enterprise resource
planning system. Organization can significantly automate their organizational process and can
make further improvement in final consolidations and can undertake changes in time effective
manner. With the help of ERP system entity can gain competitive advancements in respective
industrial sector and can make significant increase in their overall market share holding. Present
report discuss wide range of information system categories, in this report formative discussion
has been done on ERP system in addition with the benefits of this software in real life business
operation. Further, organization is being provided with formative recommendation that allow
entity to effectively implement ERP system in their workplace structure and gain advantage. It
will not only help entity to make significant improvement in the organizational process but also
allows them to increase efficiency of their service efficiency through which customer satisfaction
can automatically increase. It benefits company to ensure the long-term sustainability in
Marketplace and enjoy organizational offerings.
3

MAIN BODY
Information system is of different types this has been evaluated that entity is mainly
divided into operational, middle and upper level of unit. All departments require information that
differs from each other. In order to fulfill this objective, organization can take use number of
information systems in every departmental level as to duly fulfill corporate goals as well as
objectives. It been evaluated that in operational management level of entity functions related to
daily basis transaction of business is being undertaken. In this, structure decisions are undertaken
along with this in organization tactical management are managed by supervisor, middle level
managers, head of department etc. Within this semi-structured form of decisions get undertaken,
as in this decisions are only made that are based on judgmental. In addition to this, strategic
management in organization falls under senior level in which formative decisions are being duly
undertaken by senior level managers. Main aim of this department is to fulfill organizational
long term planning. In accordance with the decision this has been evaluated that an organization
is having different form of level that are required to be duly manage in order to ensure efficiency
in the business process objectives of all the departments. This can be effectively fulfill with the
formative assistance of information system in this entity can take use of transaction processing
system, decision support system, management information system (MIS). In this by taking use of
transaction processing system operational level in organization can effectively able to record day
to day transactions in well effective manner (Enterprise Resource Planning Systems Transform,
Integrate and Scale Businesses. 2020). This will further allow them to increase efficiency of day
to day transaction of business and record them properly in order to report the same to hire
management on time effective manner. Further this has been evaluated that by taking advantage
of this information system, stock control system, daily sales record, payroll system etc can be
managed and proper track of inventory level can be made in a well defined manner. Along with
this employee salary and process management functions can also be done effectively with the
help of the system. It further ensures entity to accomplish the operational goals in best effective
manner (Jain and Citibank, 2019). In addition to this tactical manager can take advantage of
management information system as to monitor current performance level of company. This
system allows manager to keep proper track, monitor, and control and predict organization future
performance in best effective manner. This management information system aid entity to gain
proper overview of amount of money that has been spent by organization and future requirement
4