Strategic Information System for Business and Enterprise: Woolworths

This report provides an analysis of strategic information systems for business and enterprise, using Woolworths as a case study. It defines business processes, develops business and system requirements, and discusses software and vendor selection. The report also explores ways to improve business efficiency, assesses the level of technology implementation, and identifies potential security risks. Guidelines for managing these risks are provided, emphasizing the importance of ERP systems in achieving competitive advantages and streamlining operations. The analysis covers Woolworths' business processes, including manufacturing, and how ERP systems like SAP contribute to improved communication, cooperation, and decision-making within the organization.

Running head: Strategic information system for business and enterprise
Strategic information system for business and enterprise

Strategic information system for business and enterprise
Table of Contents
Introduction.................................................................................................................................................3
Define Business Process..............................................................................................................................3
Develop business requirements...................................................................................................................6
Determine system requirements..................................................................................................................6
Software and vendor selection.....................................................................................................................8
Three way for improving the efficiency and effectiveness of the business................................................11
Level of efficiency of the technology implementation..............................................................................12
Potential security risks and data breaches..................................................................................................13
Guidelines for managing risks...................................................................................................................14
Conclusion.................................................................................................................................................15
References.................................................................................................................................................15
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Strategic information system for business and enterprise
Introduction
In today’s modern world, every manufacturing company uses ERP system and accounting
software packages to access the data and run the business successfully. It has been noted that
ERP system contributes to make effective decisions for attaining the long term competitive
advantages in the global market. It provides various benefits to the companies by reducing the
cost and time. Furthermore, it also helps in saving the money and resources of the organization.
Woolworths Company has been taken in the task to explain and outline the benefits of ERP
system. Woolworth’s group was established in 1924 having team force around 202,000 within
the organization (Woolworths, 2018). Currently, the company is serving approx 29 million
customers around the world. It offers best quality of retail products and services to the
customers. Furthermore, the paper explains the business process of the company. Here is the
discussion about the system requirements, business requirements of the firm. Three ways through
which the company improves the effectiveness of the business have been described in the report.
It outlines the level of competency of the ERP system. It provides brief information about the
ERP system that helps to increase and amplify the productivity and efficiency of the firm and
employees as well. More information of the task has been described below.
Define Business Process
In order to achieve the organizational goal and objectives, the set of activities performed in a
systematic way, are called defined business processes. Organizations follow some rules very
strictly and business processes are based on these rules. These rule set by the individual
organization are helpful to improve organization’s economic value in the competitive market
scenario. In order to maintain organization’s market value companies are required to be directed
and these business process direct them for the same (Jaeger et al, 2011). Globalization has made
many changes in the market scenario which require companies to prioritize managing the
business process with high efficiency. Business processes are of different types. Some of them
are as Follows:
 Finance- this process of company’s business involves the management of finance or
accounts for the organization. In a single day companies make many transactions, some
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Strategic information system for business and enterprise
of them are to be paid as bills and others are to be received from the customers. This
finance process mange all these transactions for the company.
 Manufacturing- in end product companies the quality maintaining is most important to
satisfy customer therefore, a process called manufacturing focuses on making quality
products for organization’s customers. This process of manufacturing mainly deals with
the external stockholder for the supply of raw material and supply of new products to the
customers through new clients (Nazemi, Tarokh and Djavanshir, 2012).
 Health- this is the process of tertiary sector of any economy where companies deal with
the services for the well-being or welfare of people. Health processes are mainly deals
with medical services provided to people. In this process companies provide drugs to the
individuals to cure their diseases. Health process involves both government as well as
private sector operations with different costs depending upon the operating and governing
body.
 Banking- banking sector follows a typical banking process which safeguards customer’s
economic assets like money. In this process all the credit and debit entries are managed
by the banking authorities to maintain a fair record of its customer’s assets.
 Travel- people likely to travel different places for some adventure or experience require
travel companies to manage their trips in a systematic way so that they can explore
different places spending less and in less time. This systematic management or planning
of such trips comes under the travel processes.
There are many more processes like in defence, public sector, and off human resource
management. Among all these manufacturing is the main process of Woolworths. Woolworth is
one of the manufacturing companies based in Australia dealing with the manufacturing and
selling their products online. Woolworth mainly deals in grocery items like vegetables, meat,
packaged food, and fruits. In order to retain its existing customers and attracting new customers
company is following a specific format which provides better customer satisfaction. When it
comes to retain and attract new customers the enterprise planning system will be beneficial for
the company.
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Strategic information system for business and enterprise
(Source: http://wowcontractor.com.au/companies-business-entities/)
Business process of Woolworths
(Source: http://www.binarysemantics.com/images/manufacturing_chart2.jpg)
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Strategic information system for business and enterprise
The above mentioned picture provides brief information about the business process of Woolroths
that help to minimize the risks and increase outputs of the firm. It explains that how order are
placed by the company and how these orders dispatch by the vendor in the marketplace.
Develop business requirements
Till now Woolworths was mainly dealing with grocery items but now company wants to expand
its business in different sectors like energy, industry, and new retail products. This requires a
complete change in their business requirements company management was practicing till now.
Therefore, to implement this new change in the business requirements, Woolworth categories, its
new business requirements, into two different categories as follows (Dos Santos, Svensson and
Padin, 2013):
Retail Others
Increasing its product range introducing liquor,
and convenience food retail items
Office supplies as well as home appliances or
decorative accessories like Kmart and Coles
Investment in industtrial coal mining
Making insurancce schemes for individuals
Investing in chemical researh and product
manufacturing like ferrtilizers ets.
Determine system requirements
The system requirements play an empirical role to accomplish the desired goal and objectives
within the organization. It is a set of statement that encompasses of a document which is
exchanged by the team members of the firm. It explains the requirements of the stakeholders in
the organization. The main motive of the system requirement is to collect information and fact
related to the customers. It helps in fulfilling the needs and requirements of the customers. The
hardware and software for the development and implementation of ERP system are included in
the system requirement. Documentation is also done by the company before implementing the
ERP system at the workplace. ERP system helps to save and protect the data and information of
the customers (AO Dos Santos, Svensson and Padin, 2014). It has been noted that Woolworths
uses SAP software within the organization to increase and improve the business process.
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Strategic information system for business and enterprise
Login/Register: Registration shall be done to implement ERP system. The personal details such
as password, contact number and email address are kept confidential. These personal detail
ensure that users are using the system authentically and effectively.
Online shopping: It has been noted that customers of Woolworths are able to purchase the
products online also. Online shopping helps the customers to choose right and unique products
for use. Payment is done by the customers by credit/debit card or cash on delivery as appropriate.
Convenience: The software would be convenient for all the customers. It is noted that user
manual is also provided to the users to access the system effectively and efficiently.
Reliability: The customers or users can maintain reliability by using ERP system. It will also
eliminate the extra cost of the firm and helps to provide consistency to the users.
Efficiency and security: The ERP system helps thee leaders to make unique and effective
decisions regarding requirements of the system and business as well. The system also helps to
keep the records of the employees and users. Therefore, it helps to provide competitive edge
against its competitors in the Australian market (Uhl and Gollenia, 2016).
Accuracy and efficiency: It has been noted that ERP system provide accuracy and efficiency to
the users to track the record of the users. In this way, ERP system plays a significant role to
enhance and maximize the profitability and revenue of the firm (Vom Brocke et al, 2014).
ERP system
(Source: http://www.reachtechasia.com/does-your-business-really-need-an-erp-system/)
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Strategic information system for business and enterprise
The diagram shows that ERP system plays a significant in Woolworths by maintaining good
communication and cooperation with different departments. The picture shows how ERP system
is interconnected with different department of the company (Buckel and Thiesse, 2014).
Software and vendor selection
Software and vendor selection are important to make a good image in the minds of the
customers. No company can survive and grow without effective software and vendor. It has been
stated that software helps in increasing and enhancing the performance of the workers effectively
(Morris and Venkatesh, 2010). Along with this, the Woolworths needs to use unique and
dynamic policies and strategies to carry the business activities and operations in a hassle free
manner. Vendor selection is important task for each and every company. Vendor selection is
done by the company as per the needs and requirements of the business (Schaltegger, Lüdeke-
Freund and Hansen, 2012). Vendor and new software helps the firm to strive with competitors in
the global market. Along with this, effective utilization of resources can be done with the help of
unique and attractive software. The company selects software to analyze and evaluate the
choices, desires and tastes of the consumers in order sell the retail products in the international
market. The company also uses RFID (radio frequency identification) technology to strive the
competitors in the global market. It is evaluated that Woolworths focuses on the post sale
services, and license before selecting the software for conducting the activities and operations of
the organization (Elbashir, Collier and Sutton, 2011). The software and vendor selection can be
done by Woolworths after considering various things that have been detailed below.
Computerized process: Automated process is used by the company while selecting the new
software at the workplace. Such types of procedures permit the firm to expand and explore the
business globally. By using this process, regular improvement and enhancement is done by
Woolworths to maximize market share and increase economic value of the firm. It has been
analyzed that computerized process also helps the leaders to build unique and effective strategy
within the organization. Therefore, it is essential to use computerized process but not too much
else it can put negative impact on the system (Hawking and Sellitto, 2010).
Assessment of people: The Company should make suitable contract with investors and partners
to beat the competitors. All the terms and condition should be explained clearly to them. All the
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Strategic information system for business and enterprise
things shall be defined clearly such as cancellation fees, licenses before introducing a new
product and service in the global market. It is stated that vendor should posse’s unique and
effective skills, potential and knowledge to access the system in a hassle free manner. They
should know whether how to use ERP system within the organization. After the various
researchers, it has been found that vendor selection is done by Woolworths after considering the
skills and talents of the vendor. It is analyzed that Woolworths select the vendor in an effective
way in order to resolve business and ERP system issues (Maditinos, Chatzoudes and Tsairidis,
2011).
Communication and cooperation: It has been stated that Woolworths follows an effective
communication process while making contract with vendors to ensure that their meeting could
provide some benefits to the firm. The company maintains reciprocal relationship with vendors
to maximize the revenue and run the business operations successfully. Checklist has been
measured by the company to analyze the effectiveness and significance of the vendor. It has been
revealed that checklist is not used by Woolworths while selecting a vendor within the
organization (Ram, Wu and Tagg, 2014).
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Strategic information system for business and enterprise
Vendor selection model
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Strategic information system for business and enterprise
(Source: http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0101-74382014000200347)
The above mentioned diagram outlines that how Woolworths select the vendor to grab the
overall market. This vendor selection model helps the company to identify and analyze the
obstacles and issues of the market.
Three way for improving the efficiency and effectiveness of the business
In today’s globalization world, each and every company uses information system to get right and
accurate information at the workplace. This system also helps in managing the business
processes successfully. It permits Woolworths to attain their long term mission and vision by
rendering unique quality of products and services to the customers (Coles and Kirwan, 2011).
Along with this, effective and dynamic information system helps in decision making process and
furthermore, it also builds and develops dynamic relationship with target audience. Woolworths
wants to increase and enhance the market share and revenue in the marketplace. Thus, it is
significant to initiate the dynamic and effective software and ERP system at the workplace
because it is not possible for the employees to manage a ample of information and inventory in a
regular basis (Wainwright and Shaw, 2013). It is seen that software and ERP system permit the
computerized process to perform tasks and duties effectively. If the company is unable to use
software then it is very difficult to manage different function of the development, designing and
production. Software and ERP system make easy all these functions by providing right and
accurate information to the users (Jaeger et al, 2011). There are three ways through which the
company can improve and enhance the efficiency of the business that is discussed below.
Communication software: One of the significant ways through which Woolworths can improve
the efficiency of the business is communication software. Strong and unique communication is
essential for each and every business to perform roles and responsibilities effectively. It is noted
that miscommunication and misunderstandings arise at the workplace due to lack of strong
communication. It will affect the growth of the firm and will lead to the loss of the business and
profit. The company should use videoconferencing and open communication to transfer the
messages and information with each other. It will help to increase the productivity and outcomes
of the company (Norton, 2015).
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Strategic information system for business and enterprise
Task management software: This type of software provide right and accurate information
related to process and business. The task management software permit the employees to create a
agenda and programme to perform business activities and operations in a hassle free manner.
Effective planning shall be done to increase the efficiency and effectiveness of the workers.
Milestones can be formulated in advance to execute the tasks in a given time period. Basecamp
and Wrike are some example of the task management software that can be used by Woolworths
to improve the efficiency of the business (Asemi and Jazi, 2010).
Performance and time tracking methods: After the various studies, it has been found that the
company can use performance management system and time tracking tools to enhance and
improve the performance of the subordinates and business as well. In this way, Woolworths has
been able to stand out against the rivalries in the competitive market (Grabski, Leech and
Schmidt, 2011).
Level of efficiency of the technology implementation
The MIS system and integrated system are initiated by Woolworths to evaluate the effectiveness
and efficiency of the workers and business as well. Each and every company wants to flourish
the business processes globally by increasing and improving the productivity of the employees. It
has been noted that most of the companies are failed to attain sustainability and growth due to
ineffective and improper management of utilizing the resources. It is observed that ample of
issues faced by the company while managing the performance and effectiveness of the business
and employees as well (Pang et al, 2016). The integrated information system provides
information and data about the customers and internal and external business procedures. The
company is seeking effective ways to beat the competitors in the global market. The level of
efficiency can be attained by using ERP system in the workplace. ERP system helps to integrate
the information in a single process therefore; it saves resources and time of the company. It is
noted that ample of modules provided by the ERP system that permit the business operations and
activities to be exercised effectively and efficiently (Schmiedel, vom Brocke and Recker, 2013).
The level of competency can be achieved by Woolworths by measuring and identifying the
progress and growth of the company over the past year data. It has been analyzed that growth
and success of the firm can be attained by initiating the ERP system at the workplace. All the
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