Enterprise systems integrate the key business processes of an organization into a single central data repository. This makes it possible for information that was previously fragmented in different systems to be shared across the firm and for different parts of the business to work more closely together.

This changes the work flow of an organization:

§ Information flows seamlessly throughout an organization, improving coordination, efficiency, and decision making.

§ Gives companies the flexibility to respond rapidly to customer requests while producing and stocking only that inventory necessary to fulfil existing orders.

§ Increases customer satisfaction by improving product shipments, minimizing costs, and improving a firm’s performance.

§ Improves decision making by improving the quality of information for all levels of management. That leads to better analyses of overall business performance, more accurate sales and production forecasts, and higher profitability.

Question to Consider: