Enterprise Systems
and
Business Analysis
Tinu Samuel John
Student ID: 104235
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Contents
1.1 Enterprise Resource Planning(ERP)............................................................................................... 3
Scope of ERP: .................................................................................................................................. 3
Customer Relationship Management (CRM) ...................................................................................... 4
Scope of CRM .................................................................................................................................. 4
1.2 Modules of ERP ............................................................................................................................. 6
CRM Modules ...................................................................................................................................... 7
1.3 Effect of ERP and CRM on business strategy ................................................................................ 8
Effect of ERP and CRM on business drivers ........................................................................................ 9
Effect of ERP and CRM on business requirements ........................................................................... 10
2.3 Proposal of Enterprise systems................................................................................................... 13
Impact on End-users ..................................................................................................................... 14
Impact on organisation performance ........................................................................................... 15
Conclusion ............................................................................................................................................. 16
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1.Enterprise system
Enterprise systems are software packages that help in the collection and access of information
across different departments of an organisation. Enterprise Resource Planning(ERP),
Customer Relationship Management(CRM), Expert systems are some of the enterprise
systems. This report discusses the two popular enterprise systems – ERP and CRM.
1.1 Enterprise Resource Planning(ERP)
Scope of ERP:ERP can be defined as a software application used to integrate all the processes required to
manage and run the business. The core idea of ERP is to establish a centralized database
system that can be accessed by the employees of the organisation. Deciding which area of
the business needs improvements by the implementation of ERP is known as scope. Defining
the scope is an important part of the implementation of ERP. ERP contains several software
applications dedicated to different business departments. Cloud-based ERP allows the
organisation to choose from the software application they want to use. Organisations like
Oracle and Microsoft are the popular ones providing different ERP systems (panorama
consulting, 2021).
Benefits:
The main idea of implementing a centralized database system will help to eliminate
data duplication and provide real-time accurate data or information for end-users.
Moreover, with the help of ERP, the firm can automate various tedious tasks of the
business process. This eventually will enhance the productivity and the performance
of the organisation.

Customer satisfaction and improved response time are other advantages of using ERP.

Operational costs can be reduced by connecting different processes or technologies
used in each department of the firm.
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
End users can track or identify the status, and report of an ongoing process or a
finished task(Labarre, 2019).
Customer Relationship Management (CRM)
As the name suggests CRM is a technology that provides an easy way for developing and
maintaining the relationship with the customers. In other words, Maintaining long-term
relationships with both customers and potential customers for mutual benefits(Adair, 2020).
Scope of CRM
Figure 1 shows the scope of CRM where the main element is the customer. Other elements
included in the scope are investors, partners, employees, and suppliers. CRM provides a way
to manage and coordinate all these elements so that preferred value is delivered to the
customer by the company.
Buttle(2016) points the importance and connections between all the elements in the scope
of CRM. Employees of an organisation also have equal importance like the customer. A
satisfied employee leads to factors like customer satisfaction, improved productivity, and
improved performance of the firm. Moreover, well-managed and coordinated suppliers of an
organisation are also essential for the smooth operation of a business. CRM provides an
efficient way of managing all these aspects of an organisation.
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Figure 1: Scope of CRM(Buttle,
2016)
Suppliers
The main input of an organization’s value chain is provided by the suppliers. They provide
resources for the operation of the business. Developing a good long-term relationship with
the suppliers is always essential. Traditionally firms were in search of cheaper suppliers but
now most of the companies are focused on providing a quality service. This forced the
organisation to have a healthy relationship with fewer suppliers. Thus there is a reduction in
cost for the process of searching suppliers and improved product quality. CRM helps to order,
manage and track the suppliers which give the organisation a better way of providing values
for the customer.
Customers
Different modules in the CRM help the firm to meet customer expectations. By providing
values to the customers as they expected will lead to customer satisfaction. This will
eventually earn a loyal customer for the firm. CRM helps to manage and process different
data or information of the customers to know what consumers need. In this way, the business
can find the right audience for their services or products. Customer retention is always an
essential factor to consider in the long run of a business. Other advantages of CRM which
leads to customer satisfaction are proper communication with the customers, quick response
time of employees(Plaksij, 2021).
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Employees
As mentioned above employee satisfaction is directly linked with customer satisfaction. CRM
gives a better work environment for the staff by providing real-time data or information about
the services, details of the customer, and other details required for the operation of the
business. Even the workload is also greatly reduced by automating some tedious tasks.
Moreover, employees will be able to know every bit of services provided to a particular
customer and thus they can provide better customer service.
1.2 Modules of ERP
There are different modules of an ERP which can be added to your base ERP software. These
add-ons will help to manage a specific area of the business. The two modules discussed in this
report are- financial management and inventory management.
Figure 2: Main modules of ERP(Hayes, 2019)
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Financial module:The backbone for every organisation is its finance. Using a financial management tool will
help the firm to know the cash flow and revenue. This tool will help the firm to track and
manage the financial aspects of different departments of a business from sales to accounting.
Payroll, general ledger, and reporting are some of the basic features involved in this module.
Reporting will help the firm to extract certain valuable insights by data analysis which will lead
to a new service or product. Other advantages include developing a budget, tracking the
financial status of the organisation (McCue, 2020).
Inventory Module:
The inventory management module helps in managing processes like ordering, invoicing, and
shipping of the products. This module can also be seen or used as a supply chain management
module which helps to track the inventories needed for the business. These tools are involved
in the operation of every business unit. If properly used, this tool can also lead to high
productivity and performance of the business (Hayes, 2019).
CRM Modules
Customer relationship management always comes with a certain number of applications
inside. The main responsibility of these modules is to create a workflow by collecting, storing,
and using data. A centralized database for a business is the core idea behind CRM. The two
important modules of CRM are:-
Contact Management
Proper contact management is always essential for the smooth operation of CRM strategy.
The advantage of this module includes developing and maintaining mutually beneficial
relationships. It can also help in analyzing the expectation of the customer and provide an
easy and convenient way to deliver the services to the customer. Moreover, the decision7
making process of the business will be improved by the use of accurate data provided by the
contact management module(Cole, 20019).
Lead Management:
Leads in a business can de be defined as an individual or company who showed interest in
your service or products. As competition is increasing every business not only needs leads but
should also convert them into a customer. The lead management module in CRM offers some
automated process which identifies leads, analyze, and helps in converting those leads to a
customer. Some of the features of this module are that it:

Saves the data of leads

Tracks and follow up the leads

Assigning a salesperson for leads and monitoring the status(Cole, 20019).
1.3 Effect of ERP and CRM on business strategy
Business strategy can be defined as long-term planning of business operations to deliver the
desired value to the customer and achieve the mission and vision of the organisation.
Implementation of ERP can have a positive impact on business strategy as the organisation
will discover new opportunities compared to pre-implementation of ERP. An organization can
utilize the real-time data or interrelated information provided by the ERP to make the correct
decision, quick response to the market change, and customer satisfaction. The by-product of
these improved response time and right decisions are that the firm will get a competitive
advantage, chance to redefine their business strategy, cost leadership, and delivering the
right services or products to the right target. All these lead to a better business process and
firm performance(HassabElnaby et al., 2012).
CRM with the use of several modules helps to make a good relationship between an
organisation and customers. Customers are not the only element that is positively affected
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by CRM. Elements like suppliers, employees are also positively impacted by CRM. All this
eventually will result in improved performance of the business. Several factors like customer
retention, customer satisfaction, service/product quality are also improved with the help of
CRM. This will increase the revenue of the business and helps to achieve the business strategy
of the organisation(Satoshi, 2006).
Effect of ERP and CRM on business drivers
The key business drivers for any business are shown in figure 3. It can be defined as elements
needed for the smooth running of a business.
Fig 3: Key business drivers(Lighthouse Group | The 5 Key Drivers of Business, 2021)
The impact of enterprise systems like ERP and CRM on the business drivers can be positive if
the organisation is implementing the enterprise system properly and employees are properly
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trained for its use. Both ERP and CRM offer real-time data or information which is the basic
and important factor in a business. These data with proper use of the above-mentioned
enterprise system can give valuable insights regarding business operation, customer
satisfaction, and cash flow. With these findings, the firm can redefine, and adopt a business
strategy that delivers value and helps to achieve the business goals.
Effect of ERP and CRM on business requirements
Business requirements can be defined as things that a business needs to do to stay in the
business. The objectives of the business are achieved by business requirements. To support
these business requirements both CRM and ERP have many modules like the inventory
management module and contact management module. Both the enterprise systems offer a
wide range of tools to support any business requirements. These tools if used properly can
make any complex task simple and profitable. ERP and CRM can integrate different
departments of business which makes the firm redesign or implement a new business process
with the help of much-accurated data(Stroud, 2018).
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2.Case
study
2.1 Problems in Bank of America
As per the case study, the key problems are: 
Low customer satisfaction rating: This is the main problem mentioned in the case
study. As per the American Customer, Satisfaction Index rating’s BOA came to the
lowest ranking(66th) in history in terms of customer satisfaction. Based on different
reviews collected by the research team in the case study “Service fees” is the main
issue behind this low customer satisfaction. It is evident from the customer’s comment
that they are not clear about ‘what they are paying for’!!. When the service charges
are compared to its closest rivals they are not competitive enough. Poor employee
behavior towards the customer also resulted in these poor ratings. A major percent of
its customers were dissatisfied with the bank employees' poor communication, poor
handling of loan services, and unresolved issues. Moreover, customers have also
shown dissatisfaction towards the company policies on lost funds and controlled
access to the customers' accounts. The detailed information provided by the bank is
not sufficient or not enough for the customer to understand the different services and
rates of the bank. Apart from these reasons the long processing time even for
transferring funds from accounts to accounts also resulted in customer dissatisfaction.

Strong Rivals: BOA is facing competition from several other financial organisations.
Among them, CFE Federal credit union and JP Morgan chase are the main competitors
for BOA. In terms of customer service and fees, CFE is ahead of BOA. The research
found that many customers are choosing CFE and other banks in place of BOA due to
their value-added services and fewer charges. The competitor analysis done in the
case study reveals different services and fees for each of the banks. It is clear from the
analysis that chase and CFE are ahead of BOA in terms of both services and fees.
Customer satisfaction is an important indicator of the success of the business. This
leads to earning a loyal customer to the business. This requires a well-crafted strategy
so that customers will get the right services at an adequate price. In this way, the
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organisation can delight the customers. Another factor for the success of the business
is having a competitive advantage. The customer always chooses the best option they
have so It is always advisable to have a competitive advantage to have an edge over
the competitors. It would make an organisation a better option to choose
from(Insecurity, 2019).
2.2 Challenges faced by the Managers

Competitors: Developing a sustainable competitive advantage is a continuous
ongoing process. This will give a competitive edge over other rivals in the business.
In the case of BOA, their main opponents like chase and CFE was offering a better
customer experience with reasonable fees. From the research done in the case
study, it is clear that customers were attracted to other organisations offering
better value services. These days with more companies coming to the financial
sector it is always a key challenge for the managers to provide better or new
services for the customers.

Retaining old customers: As stated above more organisations are providing better
and innovative services to the customers. One way of retaining the customers is
making them loyal to the organisation. This can also help the organisation to attract
new customers to the company. As more competition arising retaining the
customers is also a challenge for the managers(Wingard, n.d.).

Training and motivating employees: The main challenge for the managers is to
overcome customer dissatisfaction because of poor communication, and
unresolved cases. Coordinating employees and giving them essential training is one
way of tackling the above-mentioned issues. Human resources are the main
elements of an organisation like BOA. So, having staff with proper knowledge, and
skills will be an asset for the organisation. BOA can resolve most of the customer
issues by having the right staff with skills to make the customer understand the
services and fees of the organisation(Alomari et al., 2017). Though management of
BOA is supporting their employees in training and coaching it's not the same in
every location or branch of BOA. Another challenge for the manager is to resolve
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the staff's complaints about not giving rewards for the right and talented
employees of the organisation.

Offering a value-added service: Time and fees involved in the services of BOA are
high. This will force the customer to think that they are not getting the right services
for the amount they are paying. This is another challenge faced by the manager
either to reduce the fees or to speed up the processing time. It should be resolved
in a way so that both BOA and the customers should be satisfied.
2.3 Proposal of Enterprise systems
The proposed enterprise system in this report to overcome the above-mentioned problems
and challenges is Enterprise Resource Planning (ERP).

The main advantage of using ERP is that it integrates various business units of an
organisation like sales, marketing, finance, and human resource management. This
integration is achieved by different software in the ERP package. It also allows
controlled and the right information to be shared among the departments of an
organisation(Al-Nimer et al., 2017). As a result, there will be a single database for the
organisation regardless of the location. The results of such an integration are:-
 Improved customer service: Availability of the right data for different business
units helps to respond to the customers' queries faster. This will ultimately lead
to customer satisfaction. Another advantage of ERP is that it managers can
track the work progress which will reduce the number of unresolved cases.
Using the different feedback data from the customer ERP can evaluate the
customer experiences and thus can improve their services if needed. One of
the main issues with BOA is its customer service. By implementing ERP they
can resolve those issues.
 Improved communication: In the case study one of the comments from the
customer was that the bank should have a system to notify or inform the
customer directly in case of any problems. ERP system gives the feature for
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better communication with the customer(How ERP Solutions Can Improve
Customer Satisfaction? n.d.).
 Increased productivity: With ERP all the employees will have a sufficient
amount of data regarding customers and services. Due to this, the speed for
both short and long-term decision-making can be increased. Thus the
productivity is also increased. ERP can also be used to determine the future
needs of the market(Al-Nimer et al., 2017).
 Cost-saving: Different modules in the ERP system helps in eliminating data
duplication, reduce operational mistakes, and any tedious tasks will be
automated. All these features help in saving time and cost of the
organisation(The Impact of ERP on the Effectiveness of Business Process - GRIN,
n.d.).
2.4 Impact of ERP
Impact on End-users
End users are the individuals who use the enterprise system for their daily tasks.
Organisational change after the implementation of ERP is inevitable. So, having proper
knowledge and awareness about the ERP is essential for the end-users. Based on this fact the
impact can be positive and negative. Without proper training, the user will not use the
complete feature of the ERP. This will affect the overall productivity of the organisation.
Researches show that many users still don’t utilize the ERP completely. On the other hand, if
the end-users are properly trained the impact will boost the performance of the business.
Employees from different departments will be informally working together for improving the
business process and firm performance. That indicates a cultural change in the organisation
which is good for the business. Another advantage is that the workload of the end-users will
be reduced by automating complex and tedious tasks. Implementing ERP alone does not
guarantee an improved business but employees having enough knowledge and skills can
improve the overall business. (Liselote, 2018).
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Impact on organisation performance
HassabElnaby, Hwang, and Vonderembse (2012) mentioned that every firm wants to improve their
customer service, reduce the operation cost and time involved in decision making. One way
of achieving this is by implementing ERP in the organisation. The performance of a firm
depends on the capabilities and business strategy of the organisation. Implementing ERP will
have a positive impact on both. After the implementation of ERP organisation will have
accurate and fast information sharing among different business units, and improvement in
the business process. This in turn will have a positive impact on both financial and nonfinancial aspects of the company.
Effect on business strategy: The business strategy of an organisation involves certain plans
and processes for achieving both long term and short-term goals of the company. As
mentioned above the availability of real-time data provided by the ERP will enhance the
decision-making process and thus will give an advantage in achieving business strategy and
competitive advantage. Other advantages achieved by the ERP implementation are a proper
feedback mechanism, understanding and correcting any deviations from the vision of the
firm.
Effect on organisation capabilities:- An organisation’s internal competency plays an important
role in the business. Due to the fast-changing environment, there will be a situation where
the company needs to reconfigure its competencies. The ability of a firm to improve its
competency with the fast-changing environment is known as organisation capability. These
capabilities can be improved by the implementation of ERP. With ERP systems a company can
achieve its different goals. Also, the employees of the organisation can work together by
sharing information, and resources. Thus staff from different departments can work together
and achieve the company goals.
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Conclusion
The research report mentioned the scope and modules of two enterprise systems – ERP and
CRM. The impact of both on the organisation is also discussed in the report. Analyzing the
case study, problems, challenges, and the impact of ERP on end-users and organisation
performance was discussed in the second section of the report.
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