Role of Information System and ERP in Organisations
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This article discusses the role of information systems and ERP in organisations, including the categories of information systems, benefits of ERP systems, and recommendations for implementation. It also provides insights from the perspective of Marks & Spencer, a retail company operating at a global level.
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Contents INTRODUCTION...........................................................................................................................3 Categories of information system...........................................................................................3 ERP system.............................................................................................................................5 Benefits of ERP system..........................................................................................................6 Recommendation....................................................................................................................7 Conclusion..............................................................................................................................7 REFERENCES................................................................................................................................8
INTRODUCTION Information system are the formal, sociotechnical and systematic organisational system which are used for designing, collecting, processing and sharing information in an accurate manner. Information system are composed with four different components that are related with task, structure, technology and people. Moreover, information system is an academic study of system related with specific reference of informantion and used to make complementary networks by impleenting effective hardware and software systems. The main role of information system is to contral the overall performance of business process by using relevant and existing information(Bajdor and Grabara, 2014). ERP system work as a centralized database that is used to perform work with various porcesses by reducing manual involvement in them. Typically ERP system contain dashboards that is utilsed by user to mae real-time data that is collected from all business for measuring productivity and profitability. In the present scenario, ERP system leads company to manage different projects that leads company to process different items that relates with online sales, human resources and decision support system. Further, ERP systrem is also used by all organisation to manage there business organisation with centralized and intergrated system. It is commonly used by companies to work with supply chain that is used to track all moving parts related with distribution and manufacturing. This essay is written from perspective of Marks & Spencer which is operating there business in retail industry.Aimof M&S is to gain top position in retail market at global level. Similarly,objectiveof M&Sis to provide good quality of products to all individuals at national and international level. Another objective of organisation is to open more number of stores with in a period of 90 days. Along with this last objective is to increase in customer base with 30% by offering operational quality of products. Categories of information system Information system aim to support the functions and operations of management that are related with decision making of organisation. An information system consists individuals, information, hardware and software through which individuals interact to get support of business process(Cazabat and et. al., 2017).Transaction process system-TPS are utilised by business to record all day to day transactions that are related with business operations and functions. From the perspective of Marks & Spencer it is used by the organisation to manage all of its busines at the operational level by solving the routine questions and issue that reduces productivity of
company. Example- It is complex for management of M&S to manage inventory at huge level because of its large scale production. Therefore, transaction processing system leads company to manage daily inventory of organisation that reduces waste of raw-materials which work as most positive aspects of information system(Döring and et. al., 2014).Management information system-MIS plays an important role in decision-making of organisation by implementing right and relevant information. In the context of Marks & Spencer MIS is used by company for generating better coordination, visualization and control of information that implements right process for perfroming operations of company. Along with this with right MIS management develops right decisions that leads to enhance the profits and value of business by making accurate decisions in minimum time period. With implement of effective MIS system it is easy to gain long term resutls as it increases overall value of products and services.Decision support system-Information system support all business activities with in effective manner by operating business among operational and planning level. M&S implement decision support system among all levels that helps individuals to make decision within unstrucutred and semi-structured decision problems. Decision support system are also used to make effective system which are fully computerized and generates positive decisions. DSS also perceived to support right decision making process that extended to include right system that support better decision making software which directly increases overall profits of organisation.Executive information system-Majority of the current organisation are performing there work at global level. This determinesthattherearevariouschallengesarefacedbymanagementtocollectright information as each information is different from each other and are collected from different source. EIS is a type of management support system which facilitates and support top authorities to make effective decisions. Along with this it also provides easy access to deal with all informations to make specialized form of decisions support system(Fang and et. al., 2015). From the perspective selected organisation it is understand that EIS is leading business to form better graphical interface to end user. Due to which all problems are identified by implementing latest technology trends. Along with this by understanding all computer and hardaware system related with EIS environment management concern to match with needs of all informantion system. Each of the information system such as DSS, TPS, EIS etc. work with the motive of considering and executing all needs that are fulfilled in appropriate manner. It also refers that data services and
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information gathering is most important aspects that is used to verify information immediately while performing operations. From the point view of Marks & Spencer organisation manage there business at global level so it work as a positive tool that leads to store and input right information in order to make desired and positive results from operations. ERP system Enterprise resource planning (ERP) works as a process that is used by organisation for managing and integrating important parts of an organisation. All ERP systems and software are important aspect for the companies because it helps management to implement right resource planning by dividing all tasks in appropriate manner. Marks & Spencer develop transparent and easy ERP software that integrates all work with a automated process(Klosterman and Schein, 2014). This result it is easy for all departments to operate all of their functions from a single system. Key aspects of ERP software integrates that it gathers all process to work similar at a single place. ERP solutions are developing over the years which are recognised as a typically web-based application because it offers remote system to user and organisation. Most of the current organisations are performing their work at global level so with ERP system it is easy to perform all work as a business process management. It allows all organisation to implement a system of integrated application that manage business and automate all back office functions related with technology. ERPworkson the basis of two different collections systems that is related with business software. TheFirstsystem integrates between modules which enables organisation to interact with the end user. This also refers with right ERP software it is easy to coordinate among different departments. For example- Sales departments received order on CRM module and share it with production module so the products are delivered by organisation in decided time period. The another feature of ERP software work as a central database through which modules record database and transactions that provides access to transfer information easily among all departments. Moreover, in the present scenario it is the single source of truth that ensure user share and transfer information from a single source(Rajani and Garg, 2018). This result it is easy for Marks & Spencer to improve accuracy and facilitating better collaboration among all departments. Most of the ERP system relates with different modules that are leading organisation to perform all work with a positive approach. These modules are used to handle a vast and assorted range of organisational functions which are scalable in nature. Netsuite is an integrated software system
that is built for fast-growing organisation. It offers organisation a platform that fulfil all financial needs. In context of M&S it is beneficial to manage inventory for making right payment to vendors and warehouse persons. Moreover, it is also effective to manage all functions with better coordination among front and back office persons to implement robust results. SYSPRO is the another software that is designed specifically for all those companies that operates its business in manufacturing industry and it is most effective system that is offering services from 40 years. Planning, project management and inventory control are most important functions of the SYSPRO that enhance support system for Marks & Spencer to generate desired results. SAP is one of the latest software that is used by all existing organisation. SAP is one of the most powerful ERP software that comes up with supply chain management, customer relationship management etc. This is also used by management to make and generate clouds so it is easy to store information according to current models and its convenience(Wang, Fan and Wang, 2018). Benefits of ERP system ERP system offering various benefits to the organisation most of them come from information sharing and standardization. Marks & Spencer implement ERP modules to share data easily by connecting all system easily which is a major benefit for organisation. Some benefits which are achieved through ERP system increase in productivity, culture of collaboration etc. Increase in productivity is most effective ERP system that enhance overall efficiency by integrating all business functions. Example- ORCALE and SAP are best ERP system that is increasing overall efficiency by managing all functions such as marketing and human resource from a single portal. Another benefit which is gained by management refers to break down the barrier or fence among all departments. This promotes smooth flow of information within departments and leads them to work together by implementing an atmosphere of collaboration. It boost innovation and work productivity of M&S because all department easily communicate with each other to perform all functions is manage work. Along with this stringent data protection is best aspects that generates enterprise resource planning software to comprise better security system. Most of the modern ERP tools are offering access to complete work with unauthorized access. It is also providing flexibility of data to unauthorized access. This is also used to generate and collect sensitive information that make sense fraudulent activities by protecting it from hackers and unethical organisations. Accurate business forecasting is one of the most advanced methods that generates long term results by making proactive strategy that leads management to gain competitive edge
in market. It also refers that with right ERP tools management concern that business houses are developing and managing all work from a single platform that leads to gain competitive edge in market by increasing the overall productivity of operations. Recommendation ERP is most crucial aspect for all organisations that is leading organisation to perform their work as per market needs and conditions. There are various documents required by an organisation to gather and implement right information that relates with existing working conditions. As the market and industry is increasing its size at globalisation level it is identified that there are various situations relates with business requirements and make a baseline for completing all work in effective manner. M&S manage their work with help of different departments on both platforms. E-commerce and traditional aspects both are essential market areas that is leading company to manage its work as per requirements and opportunities. This result with robust solution design it is easy for management to make successful system that robust all areas for organisation by developing right scenario that relates with better design and documentation of work. With proper business requirements it is also easy for management to make changes in internal departments that helps to formulate a strong internal project management system which increases performance for all departments. Conclusion From the above report it is summarised that information system perform an essential role in the organisation to perform all task in proper manner. There are various types of information system such as MIS and DSS perform an essential role to make right decision which enhances performance by overcoming from risk aspects. Further, ERP system is also an important part for the organisation as it assist organisation to manage all of their from a similar platform. In the last, benefits and recommendation related with enterprise resource planning is also included in this report.
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REFERENCES Books and Journals Bajdor, P. and Grabara, I., 2014. The Role of Information System Flows in Fulfilling Customers' Individual Orders.Journal of Studies in Social Sciences,7(2). Cazabat, G and et. al., 2017. Models and Practice of Retail Location on the Romanian Market.Amfiteatru Economic,19(45), p.493. Döring, A.C and et. al., 2014. Measurement of upper extremity disability using the patient- reportedoutcomesmeasurementinformationsystem.TheJournalofhand surgery,39(6), pp.1160-1165. Fang, S and et. al., 2015. An integrated information system for snowmelt flood early-warning based on internet of things.Information Systems Frontiers,17(2), pp.321-335. Klosterman, B.L. and Schein, S.M., Starsight Telecast Inc, 2014.Information system. U.S. Patent 8,646,005. Rajani, V. and Garg, D., 2018, July. Types for information flow control: Labeling granularity and semantic models. In2018 IEEE 31st Computer Security Foundations Symposium (CSF)(pp. 233-246). IEEE. Wang, L., Fan, H. and Wang, Y., 2018. Sustainability analysis and market demand estimation in the retail industry through a convolutional neural network.Sustainability,10(6), p.1762.