The Enterprise Resource Planning or ERP systems are those that integrate the external and internal management information in the whole company. It combines various software systems that are from departments such as warehouse management, human resources, and finance into one, integrated software program that often runs of a database to make sure that the different departments can collaborate and share information more easily. Typically, every department has a software system that is enhanced to perform certain activity, but all of them are combined by a software program that serves all their needs. In other words, the system tries to integrate every function and department across the organization on one system that can serve all the needs of the deferent departments. Often the ERP systems automate the activity with a software application that is integrated to facilitate the flow of information between every business functions that are inside the organizational boundaries. The ERP solution can be categorized into different ways based on the technology platform that it runs on, by the size of the solution, through the use of certain vertical industry that the system has been designed to support, and by using the market share of the supplier.
Integrating the ERP System Internally and Externally
Modern businesses today are adapting to the ERP system which mainly integrates the internal and external management information. The healthcare industry is also not an exception as the ERP technology helps in making sure that there is a smooth flow of information and that the management is connected to the stakeholders ( Desai, 2013) . With the seamless flow of data and integration, ERP technology the health concern at Lamina Lifecare Hospital more prompt and efficient at delivering the services that it is expected to provide. It is vital for the hospital to upgrade its existing systems on a regular basis considering the fact that it is a busy sector to ensure that the functioning is efficient.
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With the ERP technology, the hospital can better manage the supply chain information, data archives, and patient information. Internally, the ERP system can be integrated so that it can maintain the electronic health records or the HER. In addition, it can be used in the Customer Relationship Management Systems or CRM to save on costs and optimize the generation of income considering the fact that the healthcare is a field where there is a fast increase in the costs while the demand for the products and services outruns it in all cases ( Shields, 2001) . The ERP technology can also be integrated internally and externally in the form of some communication component that helps in making sure that patient information is transferred smoothly. It, in turn, results in improves services and also saves rime in time of treatment. It is vital to note that the ERP system when used externally can help in exchanging documents and information with various trading partners. However, there are challenges that are expected in the process such as the fact that this is a new technology that would need significant changes in the work processes and thus might face resistance. The risk then becomes a big concern considering the fact that the healthcare field is considered to be a high-pressure and intense industry that does not allow for breaks. However, the solution to the problem is in choosing the correct ERP technology because it depends on the software, and also needs customization and good integration. A bad choice and implementation that is faulty can have disastrous consequences because saving lives does not allow room for error.
Structuring the Implementation of the ERP System using the Project Management Framework
Even though the ERP can provide great benefits in areas that include information technology spending and also ensures that there is efficiency in the business process, the effective implementation of the system is vital in ensuring success. It is worth nothing that even a software that is considered to be the most advance would perform poorly if there is no careful integration and customized plan for its implementation. In the healthcare sector, the implementation of the ERP includes input from healthcare managers, clinicians, and other stakeholders. It also includes an intensive training program for every user. In addition, healthcare providers need to determine the kind of enterprise resource planning solution that fits bests with their specific goals and needs ( Pelphrey, 2015) . For example, physicians’ groups, hospitals, and other organizations may require selecting among cloud-based, hybrid, or on-premises ERP systems. An ERP system strategy that is well-defined and agreed upon by the business leaders is vital to the success of the ERP initiatives. It is worth noting the ERP systems can be implemented using the project management framework. In this case, project management is considered to be the application of skills, techniques, knowledge, and tools to a wide range of activities to make sure that the requirements of a specified project are met.
The ERP system can be structured using the project management framework by allocating the necessary resources such as the budget, time, and human resources considering the fact that the ERP projects are often complex and big. Even though the hospital has all the required resources to make sure that the ERP system implementation is a success, there are factors that can be a risk to the project such as user resistance to change and corporate culture. Therefore, having a good project management often helps in minimizing the risk of failure and can help in reducing any chance of delays and over budget, which are often considered to be two of the biggest problems in the implementation of ERP projects.
Positive Impact that the ERP System has on the Hospital
The ERP system is expected to have positive impacts of the operations and project management. More specifically, the system is expected to improve flexibility, customer responsiveness, and productivity ( Harwood, 2003) . In particular, through the integration of vital processes into a single application, it helps the hospital in maximizing the efficiency of its processes across the whole organization. It ensures that there is improved customer service, services are timely, and that there is productivity among the employees.
The implementation of the ERP system also has a positive impact on the hospital in terms of helping to eliminate costs and inefficiencies. Using the ERP system to standardize the processes in the hospital can have a dramatic impact on the operations of the company. It would help the company in managing the relationship with various stakeholders and thus result in high efficiencies and cost savings. It is vital to note that increased efficiencies in a hospital is vital in making sure that the lives of patients are not put at risk.
The implementation of the ERP systems in the hospital also has a positive effect in terms of making sure that there is data consistency which is possible because of the fact that it integrates all the organizations management functions. It means that by using the ERP system, the hospital’s managers are able to get the correct information for decision making.
As indicated, the ERP technology helps the hospital in making sure that there is better management of the supply chain information, data archives, and patient information. Internally, the ERP system can be integrated so that it can maintain the electronic health records or the HER. In addition, it can be used in the Customer Relationship Management Systems or CRM to save on costs and optimize the generation of income considering the fact that the healthcare is a field where there is a fast increase in the costs while the demand for the products and services outruns it in all cases.
Finally, the implementation of the ERP system at Lamina Lifecare Hospital would help it to extend its services using the internet. It means that through the integration of every business function in one system, there is the benefit of increasing the ability of the hospital to use the internet as part of their business strategy ( Belkhamza, 2012) . The technology that is web-enables allows the hospital to communicate with stakeholders, run processes, and would help people access information that relates to the hospital. Overall, the system can help the healthcare organization to focus on its main mission which is providing its patients with the right kind of care at the right time.
Conclusion
The Enterprise Resource Planning or ERP systems are those that integrate the external and internal management information in the whole company. For example, they can be integrated internally and externally in the form of some communication component that helps in making sure that patient information is transferred smoothly. It, in turn, results in improves services and also saves rime in time of treatment. In the healthcare sector, the implementation of the ERP includes input from healthcare managers, clinicians, and other stakeholders. The ERP system can be structured using the project management framework by allocating the necessary resources such as the budget, time, and human resources considering the fact that the ERP projects are often complex and big. The system is vital because it ensures that there is improved customer service, services are timely, and that there is productivity among the employees.
References
Belkhamza, Z., & Wafa, S. A. (2012). Measuring organization information systems success: New technologies and practices . Hershey, PA: Business Science Reference.
Desai, S. (2013). Erp to e2rp . Place of publication not identified: Prentice-Hall Of India.
Harwood, S. (2003). ERP: The implementation cycle . Oxford (UK: Butterworth-Heinemann.
Pelphrey, M. W. (2015). Directing the ERP Implementation: A Best Practice Guide to Avoiding Program Failure Traps While Tuning System Performance . Boca Raton, FL : CRC Press LLC .
Shields, M. G., & Dawsonera. (2001). E-business and ERP: Rapid implementation and project planning . New York: John Wiley.