Comprehensive Analysis of Strategic Information Systems at Wesfarmers

This report provides a comprehensive analysis of the strategic information system (SIS) implemented by Wesfarmers. It examines the alignment of business mechanisms with strategic planning to achieve organizational objectives and adapt to market changes. The report delves into Wesfarmers' organizational structure, highlighting its conglomerate model and operational issues. It explores the adoption of Enterprise Resource Planning (ERP) systems for system acquisition and details the sales flow chart. Furthermore, the report identifies potential control problems within the warehousing process and discusses the development and adoption of accounting software. A market analysis of Wesfarmers is conducted, including its financial data, market share, and competitive advantages, with a focus on leadership and key employees. Finally, it addresses the current gaps and challenges in accounting software and ERP framework implementation within the company. This report offers valuable insights into Wesfarmers' strategic information systems and operational strategies.

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Strategic Information System
On the basis of the below-conducted research, it has been observed that merging of the
business mechanisms with the strategic planning so as to develop an organizational structure.
This all is done for attaining the organizational objectives and targets. This mechanism will also
bring enhancements in the responses to changing market conditions. Moreover, it has also been
observed that this system is also concerned with the modifications done in the organizational
structure after the introduction of the notions of information technology. Long term strategizing
and planning for the above-mentioned concept have been the Top most priority for the
management of any of the business entity is to strategize for a long term and also to develop the
plans for the same. Amrollahi, Ghapanchi and Najaftorkaman, (2014), have stated that the main
objective of the mechanism of the strategic information system is the attainment of the
competitive advantage and the same is the outcome of the initiatives implemented business
entity. Further, the term has also been referred as a salient feature of the variables of information
technology system. Moreover, this system has been defined as the mechanism which has been
created and designed for aiding the business corporation in the procedure of dividing the varied
functionalities. These activities are associated with the sections such as store management and
modification of the information received and generated.
Organizational structure
According to the survey executed by Greenblat, E, (2015), it has been inferred that
Wesfarmers has been operating the business exercises according to the conglomerate structure
which has been received by the association. The adopted structure has been framed by joining at
least two business companies and that too in a solitary corporate structure. This amalgamation
has built up a gathering of substances, which include a solitary parent entity and distinctive
subsidiaries of the same. However, according to the organizational structure embraced by
Wesfarmers, it has been expressed that the idea of expansion has been considered as a typical
practice, and furthermore a multi-industry corporate structure has been introduced and
furthermore these hierarchical structures are eluded as multinational one. As Wesfarmers has
been canny – holding up placidly to purchase quality associations at connecting with costs
consistently and in the process influencing a stone solid total to structure (Cassidy, 2016).
Adoption of this hierarchical structure has helped the business entity by getting a decrease in the
risks and in addition, a capital market will be produced inside the business partnership which will
be bringing improvement and development for the business entity.
Operational issues
On the basis of the conducted research by Treadgold, T, (2016) it has been concluded that
the business entity has been confronting an emergency which influenced the investors to worry.
The business corporation was depending exceptionally on the retail divisions particularly on the
food and alcohol divisions of Coles, and the same was under hazard from different directions.
Besides, the author also observed that there are a few issues because of the adoption of the
previously mentioned organizational structure. Implementation of this structure has made an
expansion in the size of the group and due to which the number of positive impacts and
developments were observed. For instance, enhancements were observed in the managerial and
operational expenses. Further, the business entity has been confronting various operational
issues, for example, it can be identified with the bookkeeping operations. For example, the
business entity will be confronting an issue of reduction in development and innovations and this
is due to inertia (Galliers and Leidner, 2014). Also, tax assessment of gathering structure will

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acquire a reduction in the tax collection benefits. The workforce will be having a less level of
focus and furthermore, it will be troublesome for the administrative group to deal with an
unrelated and all around enhanced business viable.
System acquisition method
The mechanism Enterprise resource planning (ERP) is the tool which is termed as a
business process management software. The same can be adopted by the business entity so as to
enable them with a mechanism which will aid the entity in utilizing the system which is formed
by combining the various sets of applications (Morecroft, 2015). This application can be adopted
by the business entity and also can be considered as The system can be considered as one of the
best and most likely used mechanisms for acquisition method and will be proven beneficial for
the same if adopted. Moreover, this system will also allow the firm in Automation of a number
of operations and functionalities will be made possible which are linked with back office and
technology and human resources will be allowed to the business entity by an adoption of this
mechanism.
SALES FLOW CHART OF WESFARMERS

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The above posted is the sales flow chart of the Wesfarmers and which has divided into various
sections which are as follows:
The first stage in the flow chart is finding the customers, conducting the investigation
over their necessities and the prerequisites (Pearlson, Saunders and Galletta, 2016). After this the
introduction of the request sheet of the customers is done and which involves the visions about
the items which have been considered as the primary requirement for the customers while
considering the request.
The next stage comprises of the approach which is required to be initiated by the
company towards the consumers. Achievement of the business procedure will be decided
through a decent approach made by the firm. The sales representative ought to have a decent
learning about the products which are to be sold.
The assessment should be made arrangements for a demand to choose the necessities of
the purchasers. This will help the sales delegate in organizing the attempts which are to be made
to pitch the products to be concentrated on the client.
After this point onward, the products are required to be presented in-front the customers.
This will help in working up the will to buy the products or services. A strong and engaging
presentation will ensure a positive response from the buyer towards the thing.
Most of the business technique slumps as the business delegate fails to close the strategy
sufficiently. This has been considered as impelling the system towards getting an outrageous
demand (Peppard and Ward, 2016).
The last step in the process is spent taking the advancement, an extraordinary follow-up
wills twofold the achievement of closing extent.
Control problems
The first task to be done by the warehousing supervisor is updating and managing the ledger and
other accounting records.
Managers also do the duty of determining the orders
The below presented are the frauds which are possible in the above scenario:
The supplier of the raw materials is selected by the warehousing managers in most of the
scenarios and after this orders are placed (Peppard and Ward, 2016). There can be an order of
such inventory which will be of no use or it may be ordered at higher prices as compared to the
market price.
The supplier or the dealer cans also one of the reasons for occurrence of fraud in this
scenario, where authority rest with the manager for ordering and receiving the inventory.
Moreover, fraud can occur due to the miss-presentation did by the manager, as a process in-
charge.
Development and adoption of the accounting software

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Accounting software is the applications which can be implemented and utilized by the
business corporations so as to measure and record and process the accounting transactions and
operations which are executed within the functional areas. For instance, accounts payable and
accounts receivable trial balance and general ledgers are some of the operational divisions where
the business entity can make use of these applications and systems. As presented in the above
scenario, Realitysoftware, (2017), noted that these accounting applications are the mechanisms
which involve bifurcation of accounting section within Wesfarmers Limited. These accounting
applications have been offering a number of advantages to the business entity and the same has
been experienced by the author. Moreover, planning, maintaining and implementation of the
accounting mechanisms will aid the business entity (Rainer et al., 2013). This approach of
accounting systems has been established by merging the unique models and the same are dealing
with some specific segments of accounting operations which are as follows:
Accounts receivable: Payments and billing of the dues is done
Accounts payable: Money owed will be transacted by Wesfarmers
General ledger: Recording of all the company’s transactions is done
Current size of market
The following is the analysis which has been conducted for extracting the financial data of
Wesfarmers Ltd. This is required to be done for developing awareness about the current market
size and the trends experienced by the markets of Wesfarmers Limited. On the basis of the
survey, which has been executed from au.finance.yahoo, (2017), it has been noted that the
business entity has been enjoying top position in the industry and is also a multinational
corporation. The below presented are the key aspects variables of the financial data of the
business corporation:
A hike has been observed in the revenue of 4.3% to $34.9 billion
The Profit increased to $1.6 billion
A half year fully franked dividend of $1.03 was declared, up 13.2%
Wesfarmers (Coles) and Woolworths are Australia’s are the business entities which has been
ranked at the top. These corporations also stimulate and rule the retail and supermarket sector in
the economy (Sarker, Xiao, and Beaulieu, 2013). The past five decades has been considered as
the witness of the benefits which the business corporation attained in the form of a number of
sustainable developments. It has also been recorded that the total market share of the business
entity is 35%.
Leaders in the market and attaining competitive advantage
According to the survey conducted it has been noted that Richard Goyder which is the current
CEO of the Wesfarmers Limited and moreover, he was also designated as the Managing Director
in 1993 and in 2005. Moreover, he was raised as the most noteworthy expert of the business
corporation. Richard's took some great initiative which was considered as one of a kind and
compelling. Further, his advancement can be considered relevant for the proof of his feasible
authority styles and techniques used. Alongside Richard Goyder, Rob Scott, current Deputy
Chief Executive Officer of the Wesfarmers Limited (Kavanagh and Johnson, 2017). Apart from

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these mentioned leaders, the business entity has numerous of pioneers present and are associated
with Wesfarmers limited (Morecroft, 2015). A viable position in the international market has
been built by the initiative methodologies embraced by these identities which have also aided the
Wesfarmers Limited. In the working environment of Wesfarmers drilling of fundamentally
present day quality hypothesis of authority and a behavioral hypothesis of an initiative has been
done.
Holding ability and key workers have been considered as the most suitable and dependable
approach which has been utilized by Richard Goyder (Kecmanovic et al., 2014). Maintenance of
key employee is the greatest track for each business organization since they comprehend the
circumstance of the association and the working strategies know about them.
Current gaps and challenges in accounting software’s
ERP framework and the execution of the same in the business organization tough task and every
one which is associated with the procedures and the task performed in the entity does get
stimulated by the usage of ERP system (Sarker, Xiao and Beaulieu, 2013). The initial test would
be done so as to utilize the new and contemporary mechanism for its customers. Wesfarmers
employed and designate a designer or an expert who could be held responsible for monitoring
the workforce from the business corporation with the objective that appropriate outcomes could
be gotten for which ERP framework was executed.
In the limelight of the above-executed analysis, it has been inferred that Wesfarmers Ltd
is well-established brand equity in the region of Western Australia and is a leading name in the
diversified sectors of supermarkets, liquor, convenience stores, and hotels; improvement; office
supplies, department stores. The above presented is the review of the current organizational
structure which has been adopted by the business entity and also the report comprises of the
acquisition methods which can be adopted by the business corporation.

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