Enterprise systems are described as large complex computing systems which enable organizations to coordinate and integrate their business processes as well as handling large volumes of data. These systems are usually a single system central to an organization that ensures all functional levels and management hierarchies can share information. This system helps in coordinating and facilitating communication throughout different departments and avail data across the process (Sedera, Lokuge, Grover, Sarker, & Sarker, 2016).
The system acts as a shortcut between various departments, and make work easier when one department wants to communicate or get specific data from the other saving time in the process. For example, if the HR department requires to communicate with a certain employee in another department, instead of going all the way to where that department is, they will use this system which connects the departments to communicate. Enterprise system also acts as a data bank where information about all departments of an organization can be retrieved with ease. Any company in the modern age that wants to be effective and efficient must integrate enterprise system in its operations. It creates a fair ground for competing companies, and the success of an organization will be based on how well they utilize the enterprise system.
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Ways in which Enterprise Systems Provide Value for a Company
Enterprise systems are vital to any company in the era of information technology because they help in centralizing communication of the organization as well as providing data when it is needed. Therefore, the enterprise system adds a lot of value to a company and the following are the main ways in which it accomplishes this task.
Getting Things Done
Enterprise systems play a significant role when it comes to executing the process. These systems inform the employees which task to be completed at a certain time, when the task must be completed, provides the mean of doing it, and also, they provide the data and information required to complete the task. Therefore, the enterprise system can be classified as the guide which helps employees do their work efficiently and effectively which will lead to the success of the company. For example, in the sales department, the system will inform the employee of a sales order, the time the order was made, and also, the time that order should be delivered explaining all the process the employee should follow before dispatching the order.
The system will also provide the employee with all the needed information on what materials should be included in the order and directs him or her where to find these materials within the organization. Enterprise system is precious in the execution of such a process because it smoothens the process, which helps in increasing the efficiency and effectiveness of a company leading to the success of the organization. The advantage of this system is that it can be used by any company ranging from sales companies to construction companies.
Capture and Store Important Data
Every company that plans to run smoothly must be able to avail the required data or information at the right time to those who want to use it in the fastest way possible. Enterprise system being a central system, it connects all departments and allows smooth flow of information among them. When one department requires information of the other one, they will only consult this system, and the data will be availed to them. For example, in a customer ordering process, all those involved will know who ordered a product, the location they ordered from or where the product will be delivered to, the time and date when the order was made and when the client is expecting the order to be delivered. This is a complex process which requires the interaction of different departments. The enterprise system eases the process by recording and storing all these information and data in a centralized way that anyone within the company will easily access the data when the need arises. The data stored in this system can be used to solve problems that may arise later concerning a particular order that a client is disputing. The system also stores information that can be used for future references.
Measuring and Monitoring Results
The last primary role that enterprise system add value to a company is that it helps in measuring results and monitoring the performance of a process, and determining how effective it is. Enterprise system can be used to provide information on which level the process is in, to determine whether the process is going at the required speed or it is lagging behind and whether it is being performed within the set standards. For example, it helps the management to track at what stage the order fulfillment process has reached. It will provide client information, status and details of order shipment, prices related to the order, and response or feedback that the customer gave regarding the order.
The system can be used in measurements such as calculating lead time, the time required to send the purchase order and the time it will be received. When a company knows about the exact time needed for various tasks, it is in the position to fulfill customer satisfaction. The information provided by the enterprise system helps the management to monitor the company’s performance, which will help them improve on areas that are slowing down its progress. The information that enterprise system avails, can be evaluated and compared to company standards to measure the level of efficiency. The management will use this information to judge whether the company is doing well or not and also determine areas that require changes.
Importance of Development and Integration of Information System in Project Management
In the modern age, the success of a project relies highly on its management. A project manager who is dedicated to his or her work will make sure that a project is completed on time without exceeding the proposed budget. To do this, the manager must integrate information system in the project so that it can assist him or her in the management. The project managers use the Project Management Information System (PMIS) to deliver information. They use this system to collect, combine, and distribute information between all parties involved in the project. PMIS helps in planning, executing and closing project management goals (Raymond & Bergeron, 2015).
The project manager uses PMIS to plan the budget framework such as estimated cost, and also to determine the time required to complete the project. Once the project is commenced, the PMIS is used to compare the actual accomplishment of each activity with the baseline, collect financial data, manage materials, and keep a record for reporting purposes. The PMIS helps the project manager to maintain the scheduled timeline for each activity, and also to maintain the proposed budget. When this system is used well, it makes sure that the project is completed on time and does not exceed its budget. The PMIS is also used to report the progress of the project by providing all information regarding the project, which helps the management team determine whether the project is moving as stipulated or not. This system allows them to identify weak areas within the project where they are supposed to make changes for it to be successful. Therefore, developing and integrating information system to project management is important because it helps in planning, scheduling, budgeting and executing work to accomplish the project on time and within the estimated budget.
References
Raymond, L., & Bergeron, F. (2015). Impact of project management information systems on project performance. In Handbook on Project Management and Scheduling Vol. 2 (pp. 1339-1354). Springer, Cham.
Sedera, D., Lokuge, S., Grover, V., Sarker, S., & Sarker, S. (2016). Innovating with enterprise systems and digital platforms: A contingent resource-based theory view. Information & Management , 53 (3), 366-379.