CSI11100 Business Intelligence and Reporting Report Analysis

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This report examines the implementation of Enterprise Resource Planning (ERP) systems within the context of a construction project and program management consultancy, Faithful & Gould. It delves into business process management, exploring its significance in streamlining organizational procedures and addressing inefficiencies. The report discusses the benefits of ERP systems, such as competitive advantage and enhanced process efficiency, while also addressing the challenges, including analytical and technical risks. Furthermore, it considers legislation and ethical implications associated with ERP system implementation. The report provides insights into designing, modeling, executing, monitoring, and optimizing business processes. It suggests how business process management can help Faithful & Gould discover and eliminate inefficient processes, leading to improved business management. The report also explores the significance of ethical considerations in the context of ERP systems. Overall, the report provides a comprehensive analysis of ERP systems and their impact on business processes and ethical considerations.
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Running head: BUSINESS INTELLIGENCE AND REPORTING
BUSINESS INTELLIGENCE AND REPORTING
Name of student
Name of university
Author’s note:
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Table of Contents
Introduction....................................................................................................................2
Discussion......................................................................................................................3
Business process management...................................................................................3
ERP systems...............................................................................................................5
Benefits of ERP systems........................................................................................6
Challenges of ERP system.....................................................................................7
Legislation and ethical considerations.......................................................................8
Conclusion....................................................................................................................10
References....................................................................................................................12
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Introduction
The introduction of the various technologies has led to the simplification of the
methods by which the business provides various services and products to the customers. The
technologies in the present times helps the companies to handle the increased customer base
with maintaining the value of products as well as the services provided. Faithful & Gould is
the construction project and programme management consultancy who has been doing their
business using the conventional systems and with the increase of customer demands, there is
growth in the need of implementing the modern solutions. This report intends the analysis of
implementation of the ERP systems in the company and provide approaches to handle the
business process changes.
A detailed discussion of the business process management has been disussed in the
report that illustrates how the business process management helps the companies in
implementing the changes in the processes. A brief discussion of the Enterprise Resource
Planning systems is provided in the report that could be implemented in the organisation. A
brief evaluation and critique of the present legislation on the data privacy as well as the
various ethical issues of using the ERP system is provided in the report. The considered
company is the consultancy firm that operates around Scotland. It manages their business
with the clients within the sector procurement, the management of construction projects as
well as the programmes for delivering both the budget as well as time. The company offers
various professional consultancy services to the organisations in the large scale private sector
as well as the public sector. The business of the company is ensuring that all the projects are
efficiently delivered and for ensuring this aspect, it is needed to compare the offers from the
various commercial contractors. The selection of the correct contractor has been considered
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easy and the company provides the efficient contractors to the companies who visit for
consultancy.
Discussion
Business process management
Business process management aspect is presently focussed on the analysis, design,
implementation as well as the constant improvement of the organisational procedures. While
the early contributions had their focus on the redesigning of any single procedure, the current
research mainly calls for the complete view on management of the organisational procedures
(Chang, 2016). While considering this, the business process management is comprehended as
the incorporated set of the corporate abilities associated with the strategic orientation,
methods, authority, culture, people and technology. Managing the business processes is being
considered as the significant challenge in majority of the organisation. The Faithful & Gould
company is presently facing the issue of properly managing all the business process and
providing the services to the customers. The businesses is not investing adequate efforts in
the streamlining of the business processes because of the lack of proper awareness regarding
the major repercussions (Harmon, 2019). Business process management could be also
considered as the process by which the companies creates, edits as well as analyses major
predictable processes that forms the core of the business.
It could be considered that each of the department of the company is individually
responsible for taking majority of the raw materials or the data and then transform it valuable
products. There might be huge amount of core processes that are required to be handled by
each of the department (Mendling et al., 2018). With implementation of the business process
management in Faithful & Gould company, they could take proper step back and then look at
all the main processes combined as well as separately. It performs the analysis of the present
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state and then identifies the main areas of improvement for creating the increasingly efficient
as well as effective organisation. When the poor business processes of the organisation are
left unsystematised and unsynchronised, it could lead to severe issues in the business (vom
Brocke, Zelt & Schmiedel, 2016).
At individual level, it could be considered that the people mainly observe the section
of any particular process and significantly few people has the ability of scanning the complete
effects of any particular process, especially the starting point and the ending point of the
process, the crucial data that is required, and the situation where the potential bottlenecks as
well as the inefficiencies is located (Vom Brocke & Mendling, 2018). As in the situation of
the Faithful & Gould company, it could be observed that the improper management of all the
business processes of the organisation has led to the time wastage, increased errors, increase
blame, lack of efficient data, and the demoralised employees.
The use of the business process management in the organisation can help them to
advance their processes as well as keep all the main aspects of the operations executing in the
optimum level. The main stages in the business process management that could be
implemented in the organisation includes the designing, modelling, executing, monitoring,
and finally the execution (López-Pintado et al., 2017). In the designing phase, majority of the
processes involves the form for collecting various data as well as the workflow for processing
it. The form is developed and then recognition of all the individual who are critical for the
tasks is done within the workflow. In the modelling stage of business process management,
the representation of the processes is done in the proper visual layout. The main deadlines are
fixed and then the conditions are provided for providing the clear ideas of all the sequence of
events, as well as the flow of the data among the various processes (Viriyasitavat et al.,
2018). In the execution phase, the processes are effectively executed by properly testing it
live with the help of significantly small group initially and then opening it up for all the users.
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The most important aspect to consider in this stage is that the access has to be restricted to
any of the sensitive information that is stored in the company database. In the monitoring
stage, it is required to properly observe the processes as it is running through the workflow
(Mendling et al., 2017).
The utilisation of the accurate metrics are required to be done for identifying the
crucial progress, measure the efficiency and then locate the main bottlenecks (Weber et al.,
2016). In the optimisation stage, after conducting the other processes effectively, observation
of any changes are required to be done that requires to be performed for the workflow for
ensuring that the process is significantly efficient.
From the above discussion, it could be analysed that the business process
management could be significantly beneficial for the Faithful & Gould company for
discovering the main processes that are inefficient for the complete company and eliminate
them. With the elimination of the inefficient processes, the new efficient process could be
introduced that would help the company to manage the business more effectively.
ERP systems
Enterprise Resource Planning denotes to kind of the software that are being used in
the organisation for managing the daily business activities like procurement, accounting,
project management, supply chain operations as well as the risk management. Any complete
ERP suite mainly involve the enterprise performance management, the software that assists in
the planning, budgeting, predicting as well as reporting on the financial results of the
organisation (Ali & Miller, 2017). The ERP system integrates all the business processes and
permits in enabling the effective flow of the data among the processes. By collection of the
mutual transactional data of the organisation from the various sources, the ERP systems
mainly eliminates the data duplication as well as offer significant data integrity with the sole
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source of data. The ERP systems have been designed around the single, pre-determined data
structure that commonly has the mutual database (Efe, 2016). It helps in ensuring that all the
information utilised across the overall enterprise has been normalised and entirely based on
the mutual definition as well as the user experiences. These particular core constructs have
been then interconnected with the business processes driven by the workflows across the
various business departments with connecting the systems and people who are using them
(Jagoda & Samaranayake, 2017). ERP also helps in ensuring that all the data fields as well as
the attributes works effectively and all the financial transactions of the company are stored
properly for any kind of future references. The crucial principle of ERP system is the
collection of all the data of the organisation and then allow the distribution of the data among
the various departments.
Benefits of ERP systems
Competitive advantage: The implementation of the ERP systems in the company
helps in gaining significant competitive advantage in the market where they are functioning.
The ERP system allows the companies to ensure that all the mistakes of the business are
eliminated. The companies are provided with the effective platform for ensuring that all the
departments of the organisation are centralised and data sharing is being done effectively
(Shen, Chen & Wang, 2016).
Enhanced process efficiency: The ERP platform allows the elimination of the
repetitive processes and immensely reduces the requirement of manually entering the
information, that not solely improves the user productivity, but it allows the elimination of
the possibility of the inaccurate data that could lead to the increasing risk of making business
mistakes. The streamlining of the business process using the ERP system allows the
ineffective collection of data of all the departments (Tenhiälä, Rungtusanatham & Miller,
2018).
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Efficient predicting: The ERP systems in the organisation provides the users and
specifically the managers with the tools that are required by them for creating the precise
predictions. It allows the users of the software and the business in thinking significantly
ahead and accurately plan the requirements of the business and predict the appropriate
measures that are required to be taken for ensuring that the sales of the company does not
decrease (Shukla et al., 2016).
Scalable resources: The structured ERP systems permits the addition of various new
users as well as the functions for growing the initially implemented solution over the long
time period. The ERP system possess the features of scalability that allows the company to
function properly even though the users of the software is increasing exponentially.
Challenges of ERP system
Analytical risks: Apart from all the operational staffs ranging from the managers to
the employees, the managers are considered as the most crucial user of the ERP system. The
insufficient training, and reluctance to appropriate changes could lead to the failure in the
implementation and even if implementation of ERP system is done properly, it could not be
used properly by the organisation and the employees. If the manager of the organisation does
not possess the adequate knowledge of using this modern technology, there might not be any
accurate data and predictions that could be used in the business (Volkoff, 2020).
Technical risks: The various modules of the ERP system are predicted to be
effectively integrated. It grows specifically challenging for organisation when this application
of the ERP system is being done in the complete organisation at once and there are various
legacy systems that are needed for the various branches. The main risk challenge of the ERP
systems is that the systems might not be properly integrated and modified for effectively
meeting all the requirements of the business systems. The business requirements as well as
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the business environment changes according to the situation and this leads to the constant
modification of the ERP system being implemented. This implemented system is required to
be consistently reviewed in the stage after the implementation (Hiebl, Gärtner & Duller,
2017).
Legislation and ethical considerations
The aspect of ethics and ERP systems follows simultaneously when implementation
of ERP system is done in the organisation. The ethics could be considered as the branch of
philosophy that effectively deals with determination of the accurate things. For behaving
ethically while using any system in the present world, it is required to be ensured that all the
data and processes are properly assessed and ethically used without causing any harm to the
people. The business ethics mainly denotes to inquiry into nature as well as the grounds of
the moral judgements, rules of proper conduct as well as the standards in the situations
including the business decisions. It has been suggested by the earlier researchers that the
ethical situation in the business, when compared with the ethical situation includes the higher
complexities and possess the distinct properties (Alcivar & Abad, 2016).
These particular complexities mainly involves the aspects of the societal expectations,
the fair competition as well as the social responsibilities. The business ethic mainly involves
the overall potential consequences of the actions of people on any other, that involves the
customers, competitors as well as the employees. The ethics represent the fundamental
societal values, and makes the assumption that the society would be functioning on extensive
trust. The ethical issues of technological systems are mainly debated when the technology is
being used for controlling the content, and controlling the flow of information.
Information technology has been presently providing the major alterations for which
the various laws as well as the rules of the acceptable conduct is not presently developed. The
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growing computing power, the networking capabilities as well as the storage could be used
for adverse situations. The anonymity and ease using which the information is presently
being communicated, manipulated as well as copied in the online environments posses the
innovative challenge to protection of the privacy of the individuals as well as the intellectual
property (Iskra, 2018). The major ethical, political as well as the social issue that has been
raised by the center of the information systems are the information rights as well as
obligations, accountability and control, property rights as well as obligations, system quality
and the quality of extensive life. The major ethical issues while using the ERP system in the
organisation are:
Alteration or copying the system input: This ethical issue is raised while using the
ERP system when the individuals who are using the ERP system deliberately enters the
wrong data in the system for making inaccurate predictions or any other mishap in the
company. The system could easily be used for entering any false information in the database
of the organisation that does not allow the company to make accurate business decisions in
the future.
Theft of the processing capabilities because of unauthorised use: The ERP systems
that are implemented in the organisation are presently integrated with the cloud storage. Any
individual who is using the organisational system for gaining any information might not
allow any other organisational employee to access any vital information in company. The
manager can deliberately block the use of system for any particular employee.
Unauthorised deletion, duplication, modification or the software installation: During
the installation of the software in the organisation, the developer team might not implement
all the required modules in the system. This ethical issue is raised that does not allow the
company to use all the functionalities of the system properly and efficiently. The individuals
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without the proper credentials uses the system and does not log the usage time and deletes the
history of usage could raise significant ethical issue in the company. The individuals who are
provided with the access of using the system might use the system for modification of any
stored data in the database that could lead to data breach and damage of integrity of data.
Theft or the misuse of the system output: The ERP systems in the present conditions
provides significant centralisation of all the data. The analysis of data is done using ERP
system and accurate predictions are deduced. The ERP system gathers all the data from
various departments of the organisation, executes the analysis of the data and then provides
the accurate results to the managers. The data that is being generated from the ERP system
might be misused by the organisational manager and employees for their personal gain. This
kind of usage of data could lead to the unethical aspects of the ERP system in the
organisation.
Conclusion
Therefore, conclusion can be deduced from the discussion, that the introduction of the
business process management as well as the ERP system would be significantly valuable for
the Faithful & Gould consultancy. The ethical and legislation issues of the ERP system has to
be considered and all the measures are required to be taken in the organisation for ensuring
that the data is not misused by the organisational employees. The business process
management aspect is presently focussed on the analysis, design, implementation as well as
the constant improvement of the organisational procedures. While the early contributions had
their focus on the redesigning of any single procedure, the modern research mainly calls for
the holistic view on management of the organisational procedures. The introduction of the
business process management in the organisation could help them to enhance their processes
as well as keep all the main aspects of the operations executing in the optimum level. The
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main stages in the business process management that could be implemented in the
organisation includes the designing, modelling, executing, monitoring, and finally the
execution. In the designing phase, majority of the processes involves the form for collecting
various data as well as the workflow for processing it. Enterprise Resource Planning denotes
to kind of the software that are being used in the organisation for managing the daily business
activities like procurement, accounting, project management, supply chain operations as well
as the risk management. Any complete ERP suite mainly involve the enterprise performance
management, the software that assists in the planning, budgeting, predicting as well as
reporting on the financial results of the organisation. The ERP systems in the organisation
provides the users and specifically the managers with the tools that are required by them for
creating the precise predictions. The main risk challenge of the ERP systems is that the
systems might not be properly integrated and modified for effectively meeting all the
requirements of the business systems. The business requirements as well as the business
environment changes according to the situation and this leads to the constant modification of
the ERP system being implemented.
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References
Alcivar, I., & Abad, A. G. (2016). Design and evaluation of a gamified system for ERP
training. Computers in Human Behavior, 58, 109-118.
Ali, M., & Miller, L. (2017). ERP system implementation in large enterprises–a systematic
literature review. Journal of Enterprise Information Management.
Chang, J. F. (2016). Business process management systems: strategy and implementation.
CRC Press.
Efe, B. (2016). An integrated fuzzy multi criteria group decision making approach for ERP
system selection. Applied Soft Computing, 38, 106-117.
Harmon, P. (2019). Business process change: a business process management guide for
managers and process professionals. Morgan Kaufmann.
Hiebl, M. R., Gärtner, B., & Duller, C. (2017). Chief financial officer (CFO) characteristics
and ERP system adoption. Journal of Accounting & Organizational Change.
Iskra, M. (2018, December). Production planning and production management based on the
ERP II system. In Production Management and Business Development: Proceedings
of the 6th Annual International Scientific Conference on Marketing Management,
Trade, Financial and Social Aspects of Business (MTS 2018), May 17-19, 2018,
Košice, Slovak Republic and Uzhhorod, Ukraine (p. 91). CRC Press.
Jagoda, K., & Samaranayake, P. (2017). An integrated framework for ERP system
implementation. International Journal of Accounting & Information Management.
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López-Pintado, O., García-Bañuelos, L., Dumas, M., & Weber, I. (2017, September).
Caterpillar: A Blockchain-Based Business Process Management System. In BPM
(Demos).
Mendling, J., Baesens, B., Bernstein, A., & Fellmann, M. (2017). Challenges of smart
business process management: An introduction to the special issue.
Mendling, J., Weber, I., Aalst, W. V. D., Brocke, J. V., Cabanillas, C., Daniel, F., ... & Gal,
A. (2018). Blockchains for business process management-challenges and
opportunities. ACM Transactions on Management Information Systems (TMIS), 9(1),
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Shen, Y. C., Chen, P. S., & Wang, C. H. (2016). A study of enterprise resource planning
(ERP) system performance measurement using the quantitative balanced scorecard
approach. Computers in Industry, 75, 127-139.
Shukla, S., Mishra, P. K., Jain, R., & Yadav, H. C. (2016). An integrated decision making
approach for ERP system selection using SWARA and PROMETHEE
method. International Journal of Intelligent Enterprise, 3(2), 120-147.
Tenhiälä, A., Rungtusanatham, M. J., & Miller, J. W. (2018). ERP System versus Stand
Alone Enterprise Applications in the Mitigation of Operational Glitches. Decision
Sciences, 49(3), 407-444.
Viriyasitavat, W., Da Xu, L., Bi, Z., & Sapsomboon, A. (2018). Blockchain-based business
process management (BPM) framework for service composition in industry
4.0. Journal of Intelligent Manufacturing, 1-12.
Volkoff, O. (2020). Configuring an ERP system: introducing best practices or hampering
flexibility?. Journal of Information Systems Education, 14(3), 14.
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Vom Brocke, J., & Mendling, J. (2018). Business process management cases. Digital
Innovation and Business Transformation in Practice. Berlin et al.: Springer.
vom Brocke, J., Zelt, S., & Schmiedel, T. (2016). On the role of context in business process
management. International Journal of Information Management, 36(3), 486-495.
Weber, I., Xu, X., Riveret, R., Governatori, G., Ponomarev, A., & Mendling, J. (2016,
September). Untrusted business process monitoring and execution using blockchain.
In International Conference on Business Process Management (pp. 329-347).
Springer, Cham.
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