The ERP system would provide a competitive advantage for the company as it would offer the opportunity of automation of processes that would lead to less bulk operations. The use of integrated operations provided by the ERP system would also help the company to avoid the occurrence of problems such as information silos which could otherwise lead to a backlog in the growth of the company compared to its competitors (Jagoda & Samaranayake, 2017).
Most importantly, the system would help to save on costs of management which increases the ability of the company to gain a competitive advantage in most of its fields of operation.
While an ERP system may be beneficial for the company in multiple ways, it has various requirements that demand a partial or complete business system reengineering. The implementation of an ERP requires vast changes in the existing business processes to ensure the compatibility of the business with the system (Jagoda & Samaranayake, 2017).
A failure of understanding the nature of the ERP system could lead to business failure. Managers should therefore adopt business system reengineering in which they would adjust the infrastructure, business processes, train staff, and perform all other operations that would help to increase the readiness of the ERP system.
References
Jagoda, K., & Samaranayake, P. (2017). An integrated framework for ERP system implementation. International Journal of Accounting & Information Management.
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