Management Of Information Technology Within Organizations

The business world is characterized by heavy technology. Firms are relying on technology to handle numerous processes. It is for this reason that organizations are hunting for integrated systems that can combine all subsystems into a big one capable of sharing common database. Thus, enterprise resource planning (ERP) plays a great role here. The ERP system incorporates several information structures into one system. IT firms can have three main information systems namely manufacturing, human resource and finance. This software integrates data from these subsystems into a single one as well as enhancing data sharing. Any company intending to adopt the systems should consider whether or not it is increasing efficiency (McGaughey †¦show more content†¦An example is when Pharmaco lost money and time because of having a wrong implementation team that was not familiar with Oracle (Almagren Bach, 2014). The sixth factor to consider is data accuracy because moving information from an old ERP system to a new one needs accuracy otherwise errors are transferable and this could plunge the company into more problem. Finally, extensive education will be necessary to ensure staffs understand how the system works. While it could yield efficiency it has two implementation problems both at the managerial and operational level. At the managerial level, implementation of ERP system is a costly affair especially when the system develops problems shutting down, yet it is expected to increase efficiency. The firm can use lots of money working on the system and end in financial crisis which could reduce efficiency further affecting management because they are the decision makers and the negative turn could impact there poor decision making skills. Operational impacts result from technical problems of transferring data from old systems to the new ones. 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