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For any business to achieve success, the business must exploit all its capabilities. One of the capabilities that is often overlooked by businesses is information management. For any organisation, there must be an effective information system that allows the information to be entered from various organisational processes and then is converted into a form that can be used by the management to make business decisions. The effectiveness of information can be improved by either using the information in new ways or increasing the accuracy of the information (Liang & Xue, 2004).
A similar problem is being faced by Bob who is the owner of a small auto mechanics business, He wants to implement an information system that can meet the following needs of the business:
Proposed Solution
Based on the above requirements, it is suggested that the business establishes an ERP System (Enterprise Resource System). Liang & Xue (2004) argued that usually it is considered that ERP suits large businesses only as large businesses have scalability and the organisational size plays a significant role in ERP implementation.
Blackwell et al. (2006) argued that it is usually considered that the traditional ERP system is costly, and therefore high cost cannot be usually borne by a small business. While some basic ERP systems can be implemented for small businesses, however, these systems have a fundamental drawback: these systems are standardised and lack customisation. So, it would mean that there may be several features that are needed by an organisation but are not offered by a standard system. Also, it would be mean that there may be several features that are offered by the system but are not needed by an organisation. Thus, it is suggested that Bob implements a customised information system in his business.
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