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Bussiness integration & ERP (master level) - Essay Example

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ERP as an Integration Method for Business Integration Before I start talking about Enterprise Resource Planning (ERP), I would like first to start with business integration in which ERP is used as a means to achieve integration in business. Business integration manifested itself in bringing together all the business data and process that will shared across the company and allow easy access to them which will provide accurate and real-time information…
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Bussiness integration & ERP (master level)
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Bussiness integration & ERP (master level)

Download file to see previous pages... In terms management business integration can also lead to firmed grip on their internal and external control process. Also, the globalization is considered to be one of the factors behind in the adaption of business integration to compete with others in order to succeed in their business and prove their existence in the market. As the company or business gets bigger, the need for integration becomes a demand in order to ensure the smooth flowing of information between different departments and units to operate sufficiently and effectively with regard to quickly and reliability of this kind of information flow. In fact, as the integration process bring so many advantages and benefits it also bring with it some challenges too. The integration process between people, technology and process holds real challenges that need to be overcome in order to have successful integration process. At the process level, the challenge may materialize within the company itself, let me explain how. In general, companies despite their size have various numbers of units and therefore that means they may have various numbers of autonomous and heterogeneous applications or systems for particular purpose. During the integration process which is often a result of strategic plan these systems that could cause integration problems thus inability to co-operate together. Another dimension of the problem is the construction of metadata. In order to integrate business processes there is a need to understand the meaning of metadata and their use in the existing system or applications to figure out how they can be integrated. The challenge here is that collecting these data is difficult especially if the people who defined them or familiar with are not available anymore. Metadata hold information like purpose, specification and context of the data which helps to understand the meaning of data. Another challenge is that in order to integrate process there is a need to understand precisely what the current system and applications are used for. That would include their functionality and the means by which they can be integrated. The challenge here is that many companies do not have this information. At people level or socio-technical level, there is the challenge between people and technology therefore the organizational change aspects need to be considered in the integration process, some may resist using the new system or find it difficult to accept it or use it therefore implementing organizational change practices could be of help through training and support. Another challenge is that the lack of people intervention in integrated process to deal with and exception handling in case they appear. At implementation level, the integration process would be complex and the cost of available methods for business integration is expensive also the process would take time and efforts to be completed while some could perceive that the cost of implementing might overweigh the benefits or the return on investment would take time to be achieved. There are cross organizational challenges like the connectivity to suppliers, service providers, and customers and so on and all security issues related to that. There are a number of companies that were able to achieve the benefits of adapting an ...Download file to see next pagesRead More
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