Strategic Management and Information Systems - Doc

Running head: STRATEGIC MANAGEMENT AND INFORMATION SYSTEM
Strategic Management and Information Systems
Name of the Student
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STRATEGIC MANAGEMENT AND INFORMATION SYSTEM
Table of Contents
Part 1:.........................................................................................................................................2
1.1 Organizational structure...................................................................................................2
1.2 Operational issues faced by the organization...................................................................3
1.3 Most likely acquisition method........................................................................................5
1.4 Description of system flowchart for the sales process of the organization......................6
1.5 Identification of any control problem in the system........................................................7
Part 2:.........................................................................................................................................7
2.1 Development and adoption of accounting software package...........................................7
2.2 Current market size..........................................................................................................8
2.3 Identification of market leaders and the reason behind competitive advantage..............9
2.4 Current challenges and gaps encountered by the customers..........................................10
References................................................................................................................................12

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Part 1:
The paper focusses on the “Lion Beverage Company” that mainly operates as a
leading food and Beverage Company in Australia and New Zealand. The main aim of this
paper to elaborate the organizational structure of Lion Beverage Company in order to analyze
number of operational problem that are generally related with the organizational structure of
the company (Lionco.com 2017). The paper also illustrates that ERP system is one of the
most likely acquisition method that generally helps in mitigating different types of challenges
which are mainly related with the organizational structure of the company. Proper flowchart
is also provided in this paper in order to reflect on the sales system of the organization.
1.1 Organizational structure
Organizational structure is referred as a system which is mainly used in order to
elaborate the organizational hierarchy. It is mainly utilized for determining different power,
roles and responsibilities which are mainly coordinated, assigned as well as controlled by
various management level of the organization (Lionco.com 2017). It is found that the
organizational structure generally helps in playing a significant role in elaborating the
different types of functional process of the organization. The figure that is provided below is
the organizational structure for the company “Lion Beverage Company” which further assists
in elaborating the hierarchy that is mainly followed within the organization.

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Figure 1: Organizational structure
(Source: Zhang, Hoque and Isa 2015, pp.229)
1.2 Operational issues faced by the organization
The organizational structure of the company “Lion Beverage” is considered as one of
the significant aspect that helps in simplifying as well as managing the organizational growth
in context to organizational development. In addition to this, it is found that for managing the
sustainable standards of the company within the market, the company “Lion Beverage”
mainly engages in competition with various competitors of the market. According to Zhang
(2013), an organization has number of departments and it is very much essential to manage
each of the organizational department successfully in order to achieve functional benefits as
well as success within the entire organization of Lion Beverage. There are number of issues
as well as challenges that are mainly faced by the company “Lion Beverage” and the
problems as well as issues are elaborated below:

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Inappropriate communication: Improper communication is considered as one of
the most important operational problem within an organization as due to lack of
communication, the organization faces lot of challenges as well as issues which are mainly
related with the organizational structure as well as management procedure. The organization
“Lion Beverage” does not take appropriate action and as result number of conflict arises
within the organization that further creates number of obstruction in accomplishing functional
benefits as well as target markets of the organization (Subramanian, Venkateswaran and Fu
2013). In addition to this, the lion beverage organization are not capable of treating all their
employees equally and therefore the staffs who are working in lower grade does get proper
priority from the higher authority of the organization.
Improper strategic management: The potential growth of “Lion beverage” mainly
depends on the organizational structure. In addition to this, it is identified that various
strategic functionalities as well as processes of decision making are managed with the help of
the structure of the organization (Zhang, Hoque and Isa 2015). Due to absence of proper
strategic management within Lion Beverage the organization faces number of challenges as
well as issues which are mainly related with strategic decision making process. It is found
that the lion beverage company generally loose sustainability for managing their target
market.
Reduced productivity: Reduced productivity within an organization suggests that the
structure of the organization is not proper. The main reason behind poor organization
structure of the organization “Lion Beverage” is poor concentration during the development
of organizational structure in context to different organizational objectives as well as goals
(Lionco.com 2017). In addition to this, it is identified that the organization does not
manages the significant approaches as well as functional area of development including

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different standards of communication, supply chain management and various measures
associated with production.
Improper human resources management: The organization “Lion Beverage” does
not give proper facility related with human resource for handling different functions of the
organization. It is found that all the aspects generally occurs due to improper functionalities
as well as structure of the company “Lion Beverage” (Subramanian, Venkateswaran and Fu
2013).
Inefficient supply chain management: Inefficient supply chain is found as one of
the major issues that is related with the organizational structure as it generally creates lot of
challenges as well as issues for the growth of the organization (Zhang, Hoque and Isa 2015).
It is found that the structure of the organization mainly assists in organizational relation with
other stakeholders of the organization weak that further raises lot of challenges that are
mainly associated with organizational supply chain management
1.3 Most likely acquisition method
The most likely acquisition method for the organization “Lion Beverage” is the
enterprise resource planning system. According to Chou et al. (2014), ERP system mainly
helps in providing proper tool to both the organizational managers as well as users so that
they are capable of creating proper as well accurate forecasting for the organization. This
generally assists in resolving the challenges that are mainly related with improper estimation
due to organizational structure. It is opined by that Lin, Zhao and Wei (2014) that Enterprise
resource planning system can be utilized by the organization “Lion Beverage Company” for
growing collaboration between various organizational departments and it can be done by
minimizing the conflict that generally occurs due to improper communication within the
organization.

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It is stated by Lin, Zhao and Wei (2014) that ERP system helps in reducing the
repetitive procedure and thus it further helps in eliminating the process of entering
information and data manually. In addition to this, the ERP system is also helpful in
streamlining various types of procedures for making it much more efficient as well as easier
for the organization. Furthermore it is elaborated by Zach, Munkvold and Olsen (2014) that it
is quite simple to provide proper quality service to the client due to the utilization of ERP.
Therefore, the organization “Lion Beverage” for providing proper facility to the clients as
well as customers of the organization.
1.4 Description of system flowchart for the sales process of the organization
The sales flowchart for the organization “Lion Beverage” is provided below. The
sales flowchart helps in reflecting the problems that are associated with the organizational
structure as well as architecture of the organization (Van and Broekmeulen 2013).
Figure 1: Sales system of Lion Beverage Company

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(Source: Created by author)
1.5 Identification of any control problem in the system
Misplacement of different inventory items generally helps in rising number of control
challenges within the system. The most important problem that is associated with the design
of the sales system is due to failure of the system in integrating number of types of methods
as well as procedures that are considered to be quite important in cross referencing items
(Viswanathan 2015). In addition to this, it is identified that due to the problems within the
sales systems, number of items can be misplaced, stolen as well as lost which can further
raise issue associated with inventory as well as labour cost of the organization. Thus, it is
found that it is very much necessary to incorporate some of the design solutions properly so
that it can be helpful in cross checking number of orders effectively.
Part 2:
This section of the paper mainly focuses on the adoption and development of
accounting software, which is defined as one type of application software that helps in
recording as well as processing number of accounting transactions within various functional
modules including accounts payable, general ledger, accounts receivable as well as trial
balance. It is identified that accounting software generally functions as an information system
(Drury and Vickers 2015). The paper mainly focusses on XERO accounting software in order
to illustrate the entire procedure of adoption as well as development. In addition to this, the
paper also helps in illustrating the size of the market, leaders within the Australian market as

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well as different types of challenges and gaps that are mainly related with the accounting
software “Xero”
2.1 Development and adoption of accounting software package
The accounting software packages are quite beneficial for the organizations as due to
the utilization of accounting software the organizations will be able to save time, can be able
to monitor finance, cash flow management, minimizing mistakes as well as assists in
computerized invoicing. Additionally, it is identified that Xero which is one of the accounting
software organization mainly helps in developing proper software support for developing
different types of standards as well as functions in order to operate issues that are related with
the accounting department (Jenkins 2016). It is found that both small sized as well as
medium sized organizations are present as target market within Australia who generally used
accounting software in order to handle as well as supervise issues that are related with the
accounts department of the organizations.
Moreover, this accounting software is quite helpful in changing both functionalities as
well as standards which are mainly related with the organizational structure of the companies
(Hingorani, Beasley and Bradford 2015). It is very much essential to handle both the needs
as well as demands of the organization effectively with the help of proper technical team who
generally involve themselves within the accounting system of the organization. It is identified
that Xero is very much helpful in giving proper access to both the new standards as well as
processes that further helps in managing the accounting related details of the management.
2.2 Current market size
The competitive market reflects that both Xero and MYOB accounting software
packages have high demand within the market of Australia. It is identified that Xero
accounting software package is considered to be most suitable for most of the organizations

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as it generally assists in managing various organizational operations. Additionally, Xero
assists in providing proper support in order to manage different financial operations that are
mainly related with the organizations (Dunbar, Laing and Wynder 2016). In addition to this,
it is identified that Xero generally assists in offering number of operational features as well as
functionalities for managing the organizational operations.
It is found that Xero also assists in offering number of automatic functionalities to its
clients so that they can does not have to face the challenges that they used to face by utilizing
the manual system. Xero accounting software assists in offering updates about different types
of financial data what further assists in minimizing the errors from the different data sets that
are mainly used or encountered within the architecture of the system (Dimitriu and Matei
2014). It is identified that there are number of advantages of using accounting software as it
generally assists in fulfilling the demands of the organizations. In addition to this, Xero is
considered to be quite beneficial for the clients in comparison to other accounting software
packages.
2.3 Identification of market leaders and the reason behind competitive advantage
It is identified that numerous investigations are mainly performed on Xero
accounting software and it is analyzed that it provides numerous benefits to its customers.
The benefits that is provided by Xero accounting software are elaborated below:
Interface simplicity: The Xero accounting software helps in providing simple user
interface architecture for the users. Both the fundamental as well as functional development
of standards of accounting software are generally helpful in providing proper details that are
generally associated with operational structure (Hingorani, Beasley and Bradford
2015).Additionally, it is identified that there are number of challenges as well as issues that
can be generally managed properly in a very much simpler way in context to various

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operational measures. Xero accounting software helps in giving proper availability of
interface for both the users and customers in order to attract them in context to application
usability.
Cloud based set up: Xero accounting software is mainly based on cloud set up in
order to provide proper data as well as information to the users as well as customers. It is
found that cloud based systems are quite advantageous in giving proper competitive
advantages over the different types of choices of the customers.
Fast functional outputs: The setup of Xero accounting software package helps in
offering functional operations to the clients that is considered to be quite beneficial for them.
Automatic backup: Due to the utilization of Xero accounting software, all the data
are mainly backed up daily so the management of the organization does not need to worry
about the manual backup of the data. If also the computer crashes, all the important data
related with accounting will be generally stored remaining unaffected as it is generally stored
within the cloud.
Customized invoicing: Xero helps in allowing one to create, send as well as
automate professional looking invoices. It is identified that with online invoicing, one can
email the customer link for the live invoice (Dimitriu and Matei 2014). This generally
reflects payment status, history as well as pay now bottom for accepting the entire payment
online. It is found that paying online is done faster as well as in a very much simpler way for
the customers.
Cloud based accounting: The most important benefit that the organizations achieves
due to the utilization of Xero accounting software is that the information as well as data can
be accessed from any locations. The organizations does not have to maintain bookkeeper and
they can be accessed from anywhere at any time.

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2.4 Current challenges and gaps encountered by the customers
The gaps and challenges that are mainly related with Xero accounting software are
provided below: The gaps and challenges include:
Time consumption: Proper time is required for handling as well as supervising the
accounting software within different functional system of both the medium sized as well as
small sized organizations which further assists in managing the accounting details of the
organizations quite effectively.
Complexity: Xero accounting software is considered to be quite complex as
compared to other accounting software and therefore due to its complexity the users as well
as clients faces lot of challenges and issues while using it (Hingorani, Beasley and Bradford
2015).
Security issues: As Xero accounting software is one based software solution, it
generally needs proper authentication as well as privacy for keeping the data as well as
information secure.
Performance issues: It is identified that performance of Xero accounting software is
not good and thus the team needs to prepare for the changes in order to bring performance of
the organizations back properly with proper expectations (Oram 2014).
Management of cash flow: Getting finance for starting the business is considered as
one of the biggest challenges. It is found that it is quite difficult to see where the money will
be properly spent.

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References
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