4. What are integrated software applications? Discuss about their advantages & business application. What is the most common form of IT-enabled organizational change?
Answer:
Literal meaning of “Integration” is combination or amalgamation. In terms of computer terminology, “Integration” is a broad term for any software that serves to join together or act as a go-between between two separate and usually already Integrated software pplications for business gives you the ability to integrate the diverse information sources pertaining to your business into a single framework. This integrated information can then be shared by applications such as Customer relationship Management (CRM), Supply Chain Management (SCM) and Business process Re-engineering (BPR) systems.
ERP: Short for enterprise resource planning, a business management system that integrates all facets of the business, including planning, manufacturing, sales, and marketing. As the ERP methodology has become more popular, software applications have emerged to help business managers implement ERP in business activities such as inventory control, order tracking, customer service, finance and human resources.
CRM: Short for customer relationship management. CRM entails all aspects of interaction a company has with its customer, whether it be sales or service related. Computerization has changed the way companies are approaching their CRM strategies because it has also changed consumer-buying behavior. With each new advance in technology, especially the proliferation of self-service channels like the Web and WAP phones, more of the relationship is being managed electronically. Organizations are therefore looking for ways to personalize online experiences ( a process also referred to as mass customization) through tools such as help-desk software, e-mail organizers and Web development applications.
SCM: Short for supply chain management, the control of the supply chain as a process from supplier to manufacturer to wholesaler to retailer to consumer. Supply chain management does not involve only the movement of a physical product (such as a microchip) through the chain but also any data that goes along with the product (such as order status information, payment schedules, and ownership titles) and the actual entities that handle the product from stage to stage of the supply chain.
There are essentially three goals of SCM: to reduce inventory, to increase the speed of transactions with real-time data exchange, and to increase revenue by satisfying customer demands more efficiently. In computing, SCM typically is used in reference to software applications that enable more efficient management of the supply chain.
BPR: Short for Business Process Re-engineering. It is aimed to make radical changes in an organization from the ground up in an aim to improve performance and make more efficient use of resources. The concept of BPR generally includes the use of computers and information technology to organize data, project trends, etc. (Source: http://www. computeruser.com/resources/dictionary) Many big companies are giving high importance to software integration. Today nobody wants to access data stored in multiple systems. They want to build strong links between business systems and make information flow better. Let us take an example, suppose you want to place an order through the net. An integrated software solution will, on one hand, take that order, shift it and allocate them to the manufacturing plant and on the other hand place order for the raw materials on the basis of the stock, update the financial position of the company with respect to suppliers and the inventory and so on. Many people have given different names to the integration of ERP, SCM, BPR and CRM. These names include e-business, c-business, m-business and KM etc. There are many software that do these integration activities. To name a few there are software known as Baan, Fourth Shift, Frida, JD Edwards One World, Manage 2000, Masterpiece - MP/Net, Micro strategy, Oracle e-Business Suite, People Soft and SAP R/3.
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