Strategic Information Systems Assignment (SIS)

STRATEGIC INFORMATION
SYSTEMS

Table of Contents
INTRODUCTION...........................................................................................................................1
Business process of bank........................................................................................................1
Business requirements ...........................................................................................................2
Requirement from the software .............................................................................................3
Selection of software and vendor ..........................................................................................4
Determine 3 ways in which common wealth bank of Australia can utilize ERP to improve
efficiency of their business.....................................................................................................5
Evaluate the level of efficiency of the technology implementation ......................................6
Examine potential security risks, data breaches.....................................................................6
Provide guidelines on how these risks could be mitigated.....................................................8
CONCLUSION................................................................................................................................8
REFERENCES ...............................................................................................................................9

INTRODUCTION
ERP stands for Enterprise Resource Planning, which is the integrated system designed to
manage the transactions related with human resources, technology and service efficiently and
effectively in business organisation. The following assignment will cover the detail process
related with installing ERP system in the organisation. Definition of business process and
requirements regarding business will be developed and evaluated in this report (Tanrikuluand
and Ozcer, 2011). Determining the requirements of system and decision regarding selection of
software will be made in effective way. The ways by which companies can utilise ERP
technology for improving their business efficiency will be determined. The level of efficiency of
the technology implementation will be evaluated effectively in this report. Further, examining of
security risk and data breaches will be made. Specific guidelines will be provided to mitigate
these potential risk associated with implementation of enterprise resource planning.
Business process of bank
Banks’ prime process is to keep track, transfer and relocate money. Banks take and save money
of the ones who desire to do same and give it to the ones those who are in need through loans.
The banks earn money with these processes. The revenue is earned by the bank by giving loans
to the customers and earning interest on those loans.
Different process of bank are:
Account opening and management: The primary process of the bank is to open accounts of the
customers of bank. Accounts are opened to facilitate the customers in respect to saving of money
(Martovoy and Mention, 2016). The customers save money in different kind of accounts in
which different facilities are provided by the bank. Banks are also liable to take care of the
accounts opened by the customers. The accounts opened in the bank are duly managed by the
banks which is part of their process. Banking process includes keeping track of the transactions,
accounting the transactions in the books, providing the customers with transaction records. The
management of the accounts is done by bank employees. Employees of Common wealth bank of
Australia depends upon its employees to manage the accounts of customers and also the
employees depend upon the functioning of the software of the bank.
Giving advances: Another main function of the bank is to provide loans to its customers. The
bank provides loans to its customers with a proper process and conditions involved. Loans are
given on demand up to the extent of the security provided by the customers. Loan management
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process is managed by the employees of the bank. The common wealth bank of Australia
provides loans to its customers on regular interest rates from which its revenue is created. The
banks provide loans taking in account the money available with it, which is identified from the
accounts of the banks, the account management is critical part of bank processes. Also, the loan
accounts are managed by the employees of the common wealth bank of Australia (Babund and
Bezawada, 2012).
Business requirements
Business requirements are the needs of the business to run its processes swiftly. The
banks require system to support its activities and help the processes of the common wealth bank
of Australia to run smoothly. The common wealth bank of Australia faced an issue in august
2017 in respect to reporting of transaction. Common wealth Bank is allegedly ordered by the
Reserve bank of Australia to report all the transactions which are more than $AUD 10000 to
AUSTRAC within 10 working days the bank failed to do so and was charged with a case for not
doing so. It was identified that the 53506 transaction of were not reported by the bank to the
authority. In the defence CBA called this an error of the Smart ATM's which lead to such a
mistake (Leon, 2014). They also reported that the coding of the system had error which resulted
in non-detection of mentioned transactions.
Bank requires an Enterprise resource processing system to support its business needs and
processes. From the mentioned problem, it was identified that the ERP is required by the
common wealth bank of Australia to solve the above problem.
Banking activities are wide and incorporate a number of functions. The bank needs a system
software which allows it to run all the errands of the business in through the use of a single
system. Moreover, the system needs to be highly efficient with the data handling process.
1. Accounting requirements: Banks are needed to maintain the accounts of the customers
individually and separately. Every account in the bank is maintained separately to avoid
any overlay of the separate accounts. With the separate recording of the transaction of the
customers the bank also keep handle of the banks accounts and the inflow and outflow of
cash.
2. Transaction detection Common wealth bank of Australia needs to address the problem
which has been identified by the AUSTRAC. They need to detect every transaction
which is equal to or more than $AUD 10000 and report it to the authority. They are also
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