Helps in eliminating most of the business problems

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Unformatted text preview: etc. • Helps in eliminating most of the business problems like Material shortages, Productivity enhancements, Customer service, Cash Management, Inventory problems, Quality problems, Prompt delivery etc., • Provides avenues of continuous improvement and refinement of business processes. • Helps in laying down Decision Support Systems (DSS), Management Information System (MIS), Reporting, Data Mining and Early Warning Systems to the organization. Components of ERP 1.5 ERP solutions are usually divided into many sub-systems, like Sales and Marketing, Master Scheduling, Material Requirement Planning, Capacity Requirement Planning, Bill of Materials, Purchasing, manufacturing including Shop floor control, Accounts Payable/Receivable, Logistics, Asset Management and Financial Accounting Benefits of ERP 1.6 According to the organizations to have implemented ERP some of the claimed benefits are as follows: • Gives Accounts Payable personnel increased control on invoicing and payment processing and thereby boosting their productivity and eliminating their reliance on computer personnel for these operations. • Reduce paper documents by providing on-line formats for quickly entering and retrieving information. • Improves timeliness of information by permitting daily postings instead of monthly. • Greater accuracy of information with detailed content and better presentation. IT Audit Manual Volume III 4 IT Audit Manual • Improved Cost Control • Faster response and follow up on customers • More efficient cash collection, through reduction in delay in customer payments. • Better monitoring and quicker resolution of queries. • Enables quick response to change in business operations and market conditions. • Helps to achieve competitive advantage by improving business process. • Provides a unified customer database usable by all applications. • Improves International operations by supporting a variety of tax structures, invoicing schemes, multiple currenci...
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