global business platforms

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California Polytechnic State University, San Luis Obispo *

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420

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Information Systems

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Oct 30, 2023

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docx

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Uploaded by CaptainWaterStork35

Implementing global business platforms can be very challenging. As organizations change so do their business models and the business processes that enables these business model. Projects undertaken to implement digitalized business processes have historically been redundant. Many of today’s organizations have successfully overcome these challenges by acquiring and implementing Enterprise Resource Planning systems . Challenge of implementing Global Business Platforms 1. Standardizing the business processes hosted on the platform. A work unit required to change one of its executing business processes will have to redo many of its data definitions, business rules, operating procedures, work roles, performance metrics etc. costing them time, money, operational disruptions and unsettles employees. It involves undertaking involving numerous, interrelated work/technology redesigns. 2. Integrating these global business processes. Early tactic for integrating business processes were the system-to-system interface tactic, global database tactic, and the middleware tactic. All proved to be extremely challenging in practice, complex, time consuming and costly. Technology emerged for implementing Global Business Platforms Organizations found the need to redesign their installed digitalized business process. Software vendors (SAP, Oracle, PeopleSoft etc.) began marketing a new type of technology : Enterprise Resource Planning (ERP) system: a pre- defined global business platform (global database along with a set of standardization, integrated digitalized business processes) Instead of building a set of business platforms to accommodate a business’s need, the business acquires a pre- packaged global business platform reflecting industry best practices and changes its work practice to conform to the data definitions/business processes hosted on the acquired global business platform. Acquiring ERP can still be lengthy, expensive, and disruptive undertaking. Challenges still remain. Nature of ERP Systems 3 primary components : 1) Global database: provides the data (operational database and data warehouse) 2) A set of global digitalized business processes 3) Enterprise system interfaces used to connect ERP system to digitalized business processes  ERP functional modules are pre-described, but some are configurable  Extensive use of ERP interfaces has a disadvantage: cost and time spent on building bolts-on and. Modifying the to be connected digitalized business process  When multiple instances of ERP have been implemented, business processes standardization and integration can be significantly impaired (impairment is determined largely by differences in how data is defined, processed and stored across these instances  Implementing ERP system is not the only way to assemble global business platforms.  Being selective adopters of ERP due to innovative business practices.  Tactics for implementing global business platform without ERP, build much of platforms from scratch and interconnect business platforms built by software vendor

 ERP systems today allow firms to implement global business planform. All business platforms are enabled/supported by technologies provided by digital platforms.

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