Enterprise Resource Planning: a Single Software Application - Assignment Example

An effective information system that integrates company operations across various departments and units can play a pivotal role in improving operational efficiency the effects of which are reflected in the quality and customer loyalty (Sheldon). Enterprise Resource Planning (ERP) is a business model that integrates all aspects of an organization facilitating a link between various departments, customers, and suppliers. “ERP is a business model that involves all levels of the organization that allows organizations to link customers and top management decisions all the way through to execution in the supply chain and the factory floor” (Sheldon 2).

Hence ERP is a single software application that helps the management to keep tabs on all the processes and departments functioning within the organization. Core system architecture and benefits Bear Beverages can adopt a highly integrated ERP system that will enable the organization to integrate its processes, streamline the flow of information and resources for cost-effective operations. The primary benefit of this application tool will be managing, controlling, and monitoring supply chains, logistics, finances, customer service, production, and marketing operations.

The tool will enable managers across different units and departments to collaborate with other departments and access the updated information at the click of their mouse. . Such an application can be highly effective in communicating information and sharing of data on time assisting the managers in getting a clear picture of the work status and taking decisions. The core information systems for this application tool will be based on existing operational requirements that take into account different dimensions of marketing, finance, production, and logistics departments.

These can be identified as sales, customer relationship management, invoicing, raw material requisition, goods despatch, and product research. The following diagram illustrates how the proposed ERP system can streamline operations in the company – Source: Grey Stone Business Solutions Inc (2009) Thus, the different components of the ERP system will be manufacturing resource planning (MRP), finance resource management (FRM), supply chain management (SCM), human resource management (HRM) and customer relationship management (CRM).

The ERP system is a favored solution for all kinds of business models since it provides the management and owners with the flexibility of accessing relevant information and data from a single database. Supply chain information networking Supply and logistics form the key components that impact operational processes and manufacturing concerns. The ERP application tool will enable the inventory and logistics department to streamline material supply and demand variables automatically through the system.

The manufacturing resource planning and supply chain management modules of the ERP system will enable the managers to find out materials requisitioned and view production requirements. Based on the updated information the suppliers will be contacted through the system for scheduled delivery.