• Unit 2: ERP Systems, Business Processes, and IT

    To obtain a competitive advantage with information technology requires more than just simply using the technology. As we have seen in the previous section, it is about the innovative use of technology integrated into your business processes that bring about competitive advantage. In this unit, you will dig deeper into the concepts of business processes and explore the use of ERP Systems, Business Process Management, and Business Process Reengineering in an organization.

    Completing this unit should take you approximately 5 hours.

    • Upon successful completion of this unit, you will be able to:

      • explain the concept of business processes;
      • explain the purpose of an enterprise resource planning (ERP) system in organizations;
      • give examples of how information systems support organizations in managing business processes; and
      • explain the concept of business process reengineering and describe the role information technology plays in it.

    • 2.1: What Is a Business Process?

      • Business Process Modeling and Process Management URL

        As you read Chapter 4, focus on the definition of a business process. A business process is a series of tasks that are repeated in order to produce a measurable output. Pay particular attention to how the concept of the business process has been defined in the business literature over the years (page 70). Take a moment to write a definition of business process in your own words.

      • Documenting Business Processes and Information Systems URL

        Read the first six pages of Chapter 2. How are business processes crucial for the functioning of a business and how technology is integrated with the processes. Think about some things you do on a regular basis, like pay your bills online or check your email. Are you able to map out simple processes that support your day-to-day activities? Do you feel confident that another person could complete the task based on your process map? 

    • 2.2: Enterprise Resource Planning Systems

      • Introduction to ERP Systems Page

        Watch this video learn how ERP systems are used in businesses. Take some time to write down the answers to the following questions in your notes: What is an ERP system? What is its business function?

      • More on ERP Systems Page

        As you watch, consider the following questions: What are the rewards of implementing an ERP system for an organization? What are the risks of implementing an ERP system?

      • Advantages and Disadvantages of Enterprise Resource Planning (ERP) Page

        This short article complements the videos you just watched. Look back on your notes from the videos and your answers to the questions posed in these notes. Did you uncover any advantages or risks that are not mentioned in the video or in this article? Did the these resources list advantages or risks that you had not considered? Given the advantages and disadvantages of implementing an ERP system, write a cautionary letter to your company CEO in response to this email she just sent you:

        "Good morning. I want to implement a new ERP and you are the lead for the transition. I want it online quickly but don't spend a lot of money on it. Also, make sure everyone has access to it; I don't want the IT department to be the only employees around here who can make sure this system works."

        Consider sharing your letter on the discussion forum.

    • 2.3: Business Process Management

      • Business Process Management in Health Care: Current Challenges and Future Prospects URL

        Read this article to get a better understanding of business process management (BPM). Consider the following question as you read: How do business processes and enterprise resource planning systems work together to support the use of information technology in a business organization?

      • Business Process Improvement: Creating Value from Asset Information Management Page

        This video explains BPM well and gives you an idea of how software can be used to support business processes. Note: Do not construe the inclusion of this resource as an endorsement of the particular software solution provided or the company.

      • Intro to Business Process Management Page

        Consider the following questions as you watch this video and write down your thoughts in your notes: What is business process reengineering? When is business process reengineering an appropriate strategy?

        The sound in this video cuts out from 3:50 to 4:23. Nothing critical is explained during this portion, so you may skip ahead until the sound resumes.

    • Unit 2 Assessment

      • Unit 2 Assessment Quiz
        Receive a grade

        Take this assessment to see how well you understood this unit.

        • This assessment does not count towards your grade. It is just for practice!
        • You will see the correct answers when you submit your answers. Use this to help you study for the final exam!
        • You can take this assessment as many times as you want, whenever you want.