Introduction

Enterprise Resource Planning (ERP) system is a packaged software system that enables a company
to manage the efficient and effective use of resources by providing a total integrated solution for its
information processing needs(Monk & Wagner 2012; Staehr 2010). ERP systems are large, most
complex, and most demanding and advanced information system executed by companies, representing
a major journey from the individual and departmental information systems prevailed in the
past(Grabski, Leech & Schmidt 2011).

ERP systems implementation is a huge investment for any company and there are many risks
associated with the implementation and its use(Staehr 2010).ERP systems is an imperative strategy
that empowers organizations to get competitive advantages and improves the quality of services(Wu,
Ong & Hsu 2008). An ERP system streamlines business processes by making all transactions
enterprise-wide structure that coordinates the key elements of different departments within an
organization and integrated information system platform(Wu, Ong & Hsu 2008). As the different
systems integrate on one platform, the organization can gain the competitive advantages in this
rapidly changing environment of digital age. Therefore, ERP system is key information infrastructure
of modern enterprises(Staehr 2010; Wu, Ong & Hsu 2008). Once integrated to the business process of
the company, the ES needs post-implementation modifications redesign, like maintaining, up grading,
updating and aligning the systems with the business processes, functions and strategies(Oseni et al.
2014). Post-Implementation adjustments includes all types of support, updates, maintenance and
enhancements(Cao, Nicolaou & Bhattacharya 2013; Oseni et al. 2014). The purpose here is to
describe the benefits of ERP systems in achieving automation throughout the business life and how
the business can achieve competitive advantages through an automation strategy!

Literature review

ERP systems encourage real time information flow amongst the different parts of the department
within organization freely, which subsequently helps the management for strategic decision
making(Shah et al. 2011). ERP systems are integrated enterprise-wide systems which automates the
various core activities of enterprise such as, human resources, manufacturing, supply chain
management, production, finance and etc.(Shah et al. 2011).According to many research, it is
evidently proven that companies has realized enormous benefits through successful implemented ERP
systems(Cao, Nicolaou & Bhattacharya 2013; Chung, Skibniewski & Kwak 2009; Monk & Wagner
2012; Moohebat & Asemi 2010; Shah et al. 2011). The drivers of change which force business to

adopt the agile strategy of automations are reviewed as, The changing market conditions, increasing
technical and technological revolutions for every department like manufacturing, productions and
many more., fast changing customer preferences and changing legal environmental laws(Wnsch,
Lder & Heinze 2010). According to (Tarantilis, Kiranoudis & Theodorakopoulos 2008) previous
standalone systems for handling business was complex as well but more time consuming and manual.
Although many businesses have integrated standalone systems like WfMSs (Workflow Management
Software systems) which was emphasising on SCM functions and processes. However, this system
was performing ordering, inventory and operation outsourcing of the virtual enterprises(Lin et al.
2009; Tarantilis, Kiranoudis & Theodorakopoulos 2008).Moreover, the problem of job-time
scheduling and implementing workflow management at the same time information system remained
unexplored. The accounting systems and SCM systems were in demand before decades(Grabski,
Leech & Schmidt 2011; Tarantilis, Kiranoudis & Theodorakopoulos 2008).The data was entered
manually and thus it was taking long time to finish one task. The conventional systems were not
efficient to generate Reports and queries on real time while ERP systems does it on real time(Staehr,
Shanks & Seddon 2012; Yang & Su 2009).Foe accounting the excel and spreadsheets were used for
manual calculations and scheduling task (Grabski, Leech & Schmidt 2011). Generating plans for the
production department for production materials and inventory management was dis-jointed and nonintegrated system was addressing issues and conflicts. But the innovations in technology have evolved
a best solution for the businesses to overcome manual obstacles and make everything automatic, with
the help of ERP systems. ERP systems formed as integrated standalone systems integrating
accounting, order entries, material requirement planning, distribution, supply management and other
controlling functionalities. Later, extended ERP systems begun to facilitate advanced supply chain
functionalities such as, warehousing, capacity requirement planning, demand forecasting, scheduling
and logistics. Latest research shown the advanced functionalities of ERP in Project management, HR,
knowledge management, and other dis-integrated large scale management processes(Tarantilis,
Kiranoudis & Theodorakopoulos 2008).

Automation Achieved

ERP systems have become strategic needs of the business now days. The enterprise buys ERP
software packages for automation of their business process(Shah et al. 2011). The organizational work
processes changes and ERP system adopts best practices to improve wok process, reduce cost and
enhance the performance of the enterprise(Oseni et al. 2014; Shah et al. 2011). ERP systems have
significantly automated the daily movements of data from spreadsheets and databases to ERP systems.
It also reduces the amount of coding and scripting required, while making IT staff more
productive(Staehr, Shanks & Seddon 2012). It Improves and automates speed quality of complex

reporting process. ERP systems to helps improve communications and executive decision
making(Staehr, Shanks & Seddon 2012). ERP systems are integrated applications from various
vendors which helps in achievable and cost-effective task and projects through on platform(Staehr,
Shanks & Seddon 2012). The below figure show a chart of the processes-flow of the tasks running
automatically through an Integrated ERP system of a company.

Source: http://www.networkautomation.com/images/landing/erp-bottom.gif

Case studies:

1. LG Electronics- A global giant multinational company wants to harmonize its HR functions

on the large scale. The issues of high maintenance cost, lack of transparency, inefficient
decision making, wastage of resources and manual processes made it difficult to operate
globally(Seth 2014).Hence, LG decided to go with ERP solution to solve the persisting
problem. LG implemented HRMS from Oracle to build a single centralized system to
integrate various HR modules for uniform use at global level(Seth 2014).

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Grabski, SV, Leech, SA & Schmidt, PJ 2011, 'A review of ERP research: A future
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Oseni, T, Foster, S, Rahim, MM & Smith, SP 2014, 'OPTIMISING BUSINESS
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EXPLORATORY CASE STUDY'.
Seth, S 2014, LG As A Case Study Of A Successful Enterprise Resource Planning
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of successful ERP implementation: A case study in a public organization',
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pp. 213-38.
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system for business services and supply chain management: Application to realworld process scheduling', European Journal of Operational Research, vol. 187,
no. 3, pp. 1310-26.

Wu, L-C, Ong, C-S & Hsu, Y-W 2008, 'Active ERP implementation management: A
Real Options perspective', Journal of Systems and Software, vol. 81, no. 6, pp.
1039-50.
Wnsch, D, Lder, A & Heinze, M 2010, 'Flexibility and re-configurability in
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