Discuss about the Enterprise Resource Planning System for Information & Management.
The concept of ERP directly stands for the enterprise resource planning. The ERP can be considered as an enterprise wide system of information that directly facilitate the aspect of the flow of coordination and information of all the resources and the activity which are done within the concept if the business organization. The functions which are related to the ERP system are mainly supported by the system which may include the sector of the inventory, logistics, manufacturing, invoicing and aspect of accounting. Some of the functionality which is related to the concept can be directly linked with the aspect of the relationship management functionality (Kilic, Zaim and Delen 2015). On the other hand relating to the business activity the concept can be applied to a large number of area which may include the sector of the inventory management, production, billing, human resource and quality control depending upon the system. The ERP system can be beneficial in a way which directly enhances the connection to the stakeholders who are outside the organization as well as enhances the performance which is related to the performance. The ERP uses a centralized database system which directly relies on the aspect of the common platform of the computing (Shatat 2015).
The main focus point of the report is to take into consideration different aspects which are related to the concept of the ERP system. The different scopes which are related to the aspect of the implementation of the ERP system such as on premise, hosted ERP system and the cloud ERP system are majorly discussed in the report. The different weakness and strength which are related to the concept are majorly discussed in the report.
The software which are related to the on premise ERP can be related to different types of product from the item which can handle accounting and payroll to the system that analyze or simulate the business process or the control which is related to the control inventory and the issues which are related to the supply chain. One of the most important argument which can be stated in context of the on premise ERP is that business requirement which is related to the detailed use that an organization might want from a set of software’s (Leyh and Sander 2015). The idea which can be applicable in the context is the cloud system or the hosted system which does not allow software’s to be supplement and modify in key ways. On the other hand the on premise ERP system might directly allow IT staff to tweak and improve the software and involve the aspect which is related to the customization for a particular business case.
Some of the advantage which is related to the on premise ERP can be on the following sectors:
Less vendor Dependency: The concept of the ERP are generally implemented by organization for a long period of time. In some of the cases when it is seen that if the vendors of the business go out of the concept of the business, the organization have nothing to show relating to it and there are lots of scrambling which is done to directly implement a new solution. The concept of the on premises ERP removes the concept which is related to the vendor dependency. This is very much beneficial in a way which directly reduces the different aspect which are related to the need of the system.
Data control: In most of the ERP system the data which is handled can be very important to the organization and it can support different types of data. accounting and expense, employee social security number, supply chain logistic management and other business intelligence which directly represent the significant value to outside party. When an organization hosts the ERP on premises, it can be stated that it has direct control over each and everything which may include the sector of the security measures which are used in the physical access control aspect (Leyh and Sander 2015). The concept would not directly leave the organization at the factor of the risk due to the factor that workstation which are connected to outside of the network to the cloud based ERP system are very much insecure or an employee at the end of the cloud provider may jump into the ship with as much data as possible (Kilic, Zaim and Delen 2015).
Limit related to going cost: The cost which is related to the upfront may be higher in the concept of the on premises ERP but it can be stated here that the total cost which is related to the ownership may end up on a lower side. The concept directly depends on the aspect of the costs which are incurred with the ongoing subscription and the aspect of the support service which is related to the cloud. Taking into consideration the factor which is related to the ongoing cost can be related to the cost which are related to the IT maintenance and the energy. The main factor of consideration that should be done by any of the organization would be to look into the total cost which is related to the ownership and not only look into the aspect of the upfront cost (Shatat 2015).
Easier customization: Taking into consideration other ERP system, it can be stated here that the solutions which are related to the ERP system can be very easy in a way of integrating to the most of the popular ERP software’s and application but they are not so good in the aspect of providing flexibility when the organization owns a customized solution. Instead to throwing away all the useful application which are related to the aspect of the tailourization relating to the organization, an on premise system would be directly providing the organization with an option of customization for the working areas of the business. These customization directly help the organization to use all the basic functions according to their requirement and the overall cost of the aspect would be related to the applications which are being used.
The Disadvantage which are related to the concept of the on premise ERP can be directly be related to the aspect of cost which are very much high in the early stages of the venture. On the other hand it can be stated that the fees of maintenance which is related to the concept is considerably high in the process which can be avoided by the means of implementing the concept of the cloud computing (Leyh and Sander 2015).
Business software’s which are sophisticated directly enables the organization to optimize streamline, optimize processes and drive the productivity which is related to the different departments of the organization. These all concept makes the aspect of the ERP very much crucial for most of the organization and it can also be considered as crucial investment for most of the organizations. However it can be stated here that the selection of an appropriate model which is related to the ERP can be considered to be very much important decision. This is a major decision due to the factor that it should directly fits the need of the organization and get into the normal working and the operation of the organization. There are different models which are related to the aspect of the ERP system for example on premise and cloud ERP. The main question which can arise in this case is that if both of the system does not suite the need of the organization what should be done (Kilic, Zaim and Delen 2015).
Hosted solution can be one of the solutions in this aspect which directly deal with effective compromise in the sector which would be directly give lots of benefit to the organization in different sectors of the working. In the concept of the hosted ERP the organization can directly but the ERP software and then hire or purchase the necessary virtual server and the physical server at the end of the securing of the facility of hosting which would be running the overall system (Shatat 2015). In this concept it can be stated that other hosted solution can also be available which would be available for implementation according to the need of the transition. There are different subscription bundles which are available for example an organization can directly rent both the ERP system and the server which is related to the ERP.
The aspect of the investment which is done in the sector of the ERP system can be very much important but to take advantage of the concept the platform selection is very much important. There are a number of reasons why the hosted solution of the ERP are better than the cloud ERP and the on premise ERP which are stated below:
Maintenance support: The organization might not have the overall support in the sector if the resources and the IT infrastructure which would be directly be provided by the hosted service. The service which are delivered by the hosted service would be directly be delivered according to the need of the organization.
Security: In any technology the most important sector which should be taken into consideration is the security of the data which is posed by the system. It can be stated here that the data of the organization sometimes are very much important and if the data gets lost it could directly hamper the overall working of the organization. The hosted service directly gives the provision of securing the data of the organization and maintain a standard so that it is not accessible by any other person apart from the authorized person (Leyh and Sander 2015).
Easy to ship: It can be considered that it is very easy to move to the concept of the ERP from hosted solution to ERP to on premises. On the other hand it can be stated that it is very difficult to move to the concept of the cloud based platform to in-house ERP due to the factor the difference in architecture which is related to the system.
Higher cost: The initial cots which is attached with the concept of the hosted ERP can be considered to be very much high. This is due to the factor that there are different applications which can be used in the concept and the hiring of the license in the applications can be considered to be very much high. It can be stated here that the in most of the ERP system the upfront cost is relatively high (Shatat 2015).
Need of expertise: The hosted ERP solution cannot be used by any people. It should incorporate higher standard of employee and would be expertise in the field. In most of the cases it is seen that the training aspect is very much important in the aspect in which how to deal with the concepts are mainly taken into consideration. It can be stated here that the hosted ERP in the initial stages can be very much difficult to be understood due to the fact that the concept have some sort of complexity attached to the concept (Kilic, Zaim and Delen 2015).
Maintenance sector and update: The sector of the maintenance and the update sector are very much vital in the aspect due to the fact that there are no automatic update. The organization have to provide update to the application and make sure that have the security implications involved into the working.
The concept of the cloud ERP can be considered as a software which directly deals with the aspect of enterprise resource planning on the concept of the cloud computing rather than the aspect of on premises with the enterprise of the own data center of the organization. The concept of the ERP can be considered as a term which is related to broad set of activity which helps the organization to manage different parts which are related to the concept of the business. The application which is related to the aspect of the cloud ERP directly involved the aspect of human capital management and finance. Taking into consideration other systems of the ERP it can be stated here that the concept of the cloud ERP is a type of software as a service (SaaS) which directly increases the accessibility aspect which is applicable via the internet and the user enabled relating to share and the transfer of the data across the business requirement as well as the external resources in a real time manner. Due to the concept that the service is hosted in the concept of the cloud, the business are not notified with any of the update in the field of the software immediately. The cloud based ERP also comes with different aspects which are related to the backup, availability and disaster recovery plan form the end of the providers to directly reduce the interruptions to the software.
The main advantage which is related to the aspect of the aspect of the cloud ERP are stated below:
Access to more features: the basic approach which is applicable to the application being on the concept of the cloud computing has many advantage which are related to the access to the standard features which are related to the aspect (Kilic, Zaim and Delen 2015). The updating sector which is applicable in the case can be considered to more appropriate with the sector being taken care of by the cloud providers.
Faster implementation: The implementation concept which is applicable to the aspect of the cloud computing can be considered to be very much easy as compared to other services of the ERP. The main function which is related to the concept is the effort which is applicable to the moving of the data from the legacy system to the concept of the cloud computing. From that point onwards it can be stated that the updating sector is very much faster and it directly accompanies security of the data as well.
Cost consideration: The overall cost which is related to the aspect of cloud ERP can be considered very much less if it is taken into consideration for a long run. It can be stated here that if the concept is applied for initial stage it can be stated that it is would be an expensive process but if it is taken into consideration in the long run it would be very much beneficial.
Limited customization: It can be stated here that with each and every release the cloud providers are directly moving to a concept of more configuration. This directly means that the functionality in this aspect can be considered to be a disadvantage in the sector of the cloud computing. It can be stated that most of the organization require heavy application demand which would be requiring loss of money involvement.
Limited customization: Most of the cloud ERP supporting service deliver the aspects which are related to the financial and the HCM. Very few of the provider’s offer single suite relating to the product that directly meet most of the requirement of the user. This directly means that the integration of the on premises that meet most of the user requirement. This can directly lead to potential additional cost, lost functionality and complex process flows.
Cost consideration: In the long run the concept of the cost which is related to the concept of the cloud ERP can be considered to be very much on the higher side. It can be stated here that in the long run it can be stated that cost which is related to the concept is very much less and can be considered to be very much cost effective in different manner (Kilic, Zaim and Delen 2015).
Conclusion
The report can be concluded on a note that there are different aspect or service which are related to the concept of the ERP. The main focus point should be which model has to implement into the organization which would be working well for the organization. In most of the cases it is seen that organization tend to move towards a concept which is cost effective but it should be taken into consideration that the aspect which fits directly into the concepts of the working of the organization should be adopted. There are different advantage and disadvantage sector which are related to the concept but it should be taken into consideration that remedial measures should be taken into consideration which would not directly impact the overall working of the organization both in the sector of internal working as well as external working. The adaptation of the concepts should be done in a way which directly improves the overall functionality of the organization and should be adopted in a way which improves the standard of the organization and improves the quality of service which is expected from the organization. In most of the cases it should be taken into consideration that the organization should take into consideration different aspects which are related to framework of the ERP so that the benefit which can be achieved from the concept is on a higher end.
References
Alcivar, I. and Abad, A.G., 2016. Design and evaluation of a gamified system for ERP training. Computers in Human Behavior, 58, pp.109-118.
Chang, S.I., Yen, D.C., Chang, I.C. and Jan, D., 2014. Internal control framework for a compliant ERP system. Information & Management, 51(2), pp.187-205.
Chen, Y.S., Lin, C.K. and Chen, W.S., 2016, July. Performance Evaluation of Data Mining Technologies: An Example of ERP System Adoption. In International Conference on Frontier Computing (pp. 963-970). Springer, Singapore.
Chou, H.W., Lin, Y.H., Lu, H.S., Chang, H.H. and Chou, S.B., 2014. Knowledge sharing and ERP system usage in post-implementation stage. Computers in Human Behavior, 33, pp.16-22.
Efe, B., 2016. An integrated fuzzy multi criteria group decision making approach for ERP system selection. Applied Soft Computing, 38, pp.106-117.
Kilic, H.S., Zaim, S. and Delen, D., 2014. Development of a hybrid methodology for ERP system selection: The case of Turkish Airlines. Decision Support Systems, 66, pp.82-92.
Kilic, H.S., Zaim, S. and Delen, D., 2015. Selecting “The Best” ERP system for SMEs using a combination of ANP and PROMETHEE methods. Expert Systems with Applications, 42(5), pp.2343-2352.
Kulkarni, A., Hegde, N., Sharma, M., Kulkarni, A.A., Hegde, N. and Sharma, M., 2015. Educational ERP systems in the market–a comparative study. International Journal of Innovative Research Science in Technology, 1.
Leyh, C. and Sander, P., 2015. Critical success factors for ERP system implementation projects: An update of literature reviews. In Enterprise Systems. Strategic, Organizational, and Technological Dimensions (pp. 45-67). Springer, Cham.
Maas, J.B., Fenema, P.C. and Soeters, J., 2014. ERP system usage: the role of control and empowerment. New Technology, Work and Employment, 29(1), pp.88-103.
Nwankpa, J. and Roumani, Y., 2014. Understanding the link between organizational learning capability and ERP system usage: An empirical examination. Computers in Human Behavior, 33, pp.224-234.
Nwankpa, J.K., 2015. ERP system usage and benefit: A model of antecedents and outcomes. Computers in Human Behavior, 45, pp.335-344.
Ptak, C.A. and Schragenheim, E., 2016. ERP: tools, techniques, and applications for integrating the supply chain. Crc Press.
Rajan, C.A. and Baral, R., 2015. Adoption of ERP system: An empirical study of factors influencing the usage of ERP and its impact on end user. IIMB Management Review, 27(2), pp.105-117.
Shatat, A.S., 2015. Critical success factors in enterprise resource planning (ERP) system implementation: An exploratory study in Oman. Electronic Journal of Information Systems Evaluation, 18(1), pp.36-45.
Shen, Y.C., Chen, P.S. and Wang, C.H., 2016. A study of enterprise resource planning (ERP) system performance measurement using the quantitative balanced scorecard approach. Computers in Industry, 75, pp.127-139.
Zach, O., Munkvold, B.E. and Olsen, D.H., 2014. ERP system implementation in SMEs: exploring the influences of the SME context. Enterprise Information Systems, 8(2), pp.309-335.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download