With the variety of requirements for information within businesses, most businesses tend to have several information systems operating at the same time. Executives require information to plan for the future, middle management require information to monitor and control whilst employees require information to help them carry out their duties. In this essay we look at information systems in supply chain management and enterprise resource management. 2.2.
There are various types of information systems, these include office automation systems, transactional processing systems, decision support systems, management information systems and knowledge management systems. In identifying the use of information systems in enterprise resource planning and supply chain management, we first have to understand what these represent. 2.2.1
Review of Information Systems, ERP and SCM
Information systems are an integrated set of components for collecting, storing, processing and communicating information. Organisations rely on information systems to manage their operations and compete in the marketplace effectively and efficiently. Information systems rely on three key resources i.e. technology, people and information. Bocij et al. (2008) describe enterprise resource planning (ERP) as systems that provide a single solution with integrated functions and a unified database for major business functions across the value chain for example: finance, sales, distribution, marketing and human resource management. ERP systems enable efficient planning, managing, and controlling of all core business processes across multiple locations. According to Bocij et al.(2008) supply chain management (SCM) consists of a series of activities that moves material from suppliers through operations to customers. SCM enables more efficient management of the supply chain by integrating the links in a supply chain; which may include suppliers, manufacturer,...
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