Strategic Information System for Coles: Accounting Software Packages and ERP System

Running head: Strategic information system
Strategic information system

Strategic information system
Table of Contents
Introduction.................................................................................................................................................3
Part 1...........................................................................................................................................................3
The current organizational structure of Coles..............................................................................................3
Operational problems..................................................................................................................................4
System acquisition method..........................................................................................................................4
System flowchart.........................................................................................................................................5
Control issues and some sort to reduce fraud in the system.........................................................................6
Part 2...........................................................................................................................................................7
Adoption and development of accounting software packages.....................................................................7
The current market size...............................................................................................................................7
Leaders in the market and how they provide competitive advantage...........................................................8
Challenges encountered by users and customers of accounting software packages and recommendations. 8
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10
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Strategic information system
Introduction
In today’s era, the companies cannot survive and grow its business without using software within
the organization. To expand and flourish the business, each and every company uses accounting
software packages and ERP system in the workplace. Coles company has been chosen in the
task. It is one of the oldest companies who provide retail and consumer products in the
international market. It has been noted that Cole is the second largest retailer behind Woolworths
limited. Furthermore, the paper explains the ERP system, organizational structure and system
flow chart of Coles Company. The report explains that how the company uses accounting
software packages to maximize the profitability of the firm. The paper discusses that how leaders
in Australia provide competitive advantages to the company. In addition, it also depicts the
current challenges and issues that are faced by the company due to poor accounting software
packages. More detail of the paper has been discussed below.
Part 1
The current organizational structure of Coles
Coles is one of the largest supermarket industry producing retail and consumers products and
services in the global market. It was founded in 1914 in Australia with its headquartered is
situated in Australia (Colescareers, 2018). It serves almost all the countries of the world. The
organizational structure of Coles is decentralized and forms a matrix structure. It follows from
top management to down level management. It shall be noted by Upadhyay, Bhargava and
Faircloth (2014) that the important decisions are taken by the higher authorities and top
management. The structure of Coles is also formed in such a manner that like any other
company, it is also divided at three levels which consists of top level, middle level and low level
management (Giftcards, 2018). The top level management includes higher authorities who take
all the important decisions, the middles level management is taken care by the managers and
professionals and at the low level employees are made to work for the company. Coles is serving
many parts of the country today due to its efficient organizational structure (Coles, 2018). The
structure makes it easy for the company to manage the work and tasks properly. At each level,
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Strategic information system
the work is taken care by the respective members that help in carrying out business smoothly.
John Durkan is the CEO of Coles group. He is responsible carry out the business actions and
operations effectively (Colesgroup, 2018).
Operational problems
Since the company is widely known all over the country, therefore it has to face many problems
while its operation. It has to take care about the increasing demands of the public in order to
meet their requirements effectively and efficiently. The solutions to the problem are generally
expected from the professionals of the organization. These operational problems can have a long
time effect on the growth of the company. The main problem for Coles becomes when the
demand of for a particular product rises in the business by its customers. The problem that occurs
while standing in the demands of the business includes the supply of raw materials, shortages of
merchandise which also becomes expensive to buy as the products are sold at higher rates than
usual. In order to stand on the demands of the customers it is important for the country to tie up
with other companies to work on large scale. The poor partnership between companies becomes
one of the biggest problem in meeting the demands of the customers effectively and efficiently
(Benelli and Pozzebon, 2013). The company is unable to collect feedback and reviews from the
customers due to poor and ineffective leadership. Lack of efficiency and effectiveness is also a
biggest problem for Coles group (Fan et al, 2014). The company has to face such type of
problems and issues while operating and managing its activities (Bloomberg, 2018).
System acquisition method
The commercial software used by the company takes care about the demands of the customers. It
helps in selling and buying the products of the business, whereas custom software is designed for
specific user in the organization. The software is comparatively expensive and is generally used
for specific purpose (Hatley and Pirbhai, 2013).
This ERP is the strength of the business. A company like Coles group also has to maintain its
market over networks. The most important aspect of the company in earring profits is through
internet. Coles uses ERP software to promote and encourage its business. It stands for Enterprise
Resource Planning which is a very effective system used in companies growth. It helps the
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