Enterprise Application Integration
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- Date Submitted: 10/11/2010 03:16 PM
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ENTERPRISE APPLICATION INTEGRATION(EAI):
AN EMERGING TECHNOLOGY FOR INTEGRATING ERP AND SUPPLY CHAINS
Adoption of ebusiness applications and practices has transformed enterprises and changed the way of doing business hence, competition among companies has increased and organizations are focusing on supply chain co-ordination and collaboration to increase their business benefits. For many years, Enterprise Resource Planning (ERP) systems supported supply chain management. However, the limitations of ERP systems on integrating disparate systems have led organizations to seek for new approaches to integrate their systems and supply chains.
WHY ERP SYSTEMS FAILED TO SUPPORT INTEGRATED SUPPLY CHAINS AND THE NEW APPROACH TO SYSTEM INTEGRATION
INTRODUCTION
Since future competition centers on supply chain against supply chain, challenges arises in integration of intra and inter-organizational supply chain systems. As companies strengthen their relationships and collaborate at an inter-organizational level, the chain itself gains more links and therefore, increases management and co-ordination efforts. Kalakota, 2000; Kalakota and Robinson in 1999) view an enterprise as a loose collection of trading partners that can contract with manufacturers, logistics companies, and distribution organizations hence, fostering a comprehensive integration of business processes both intra and inter-organizational involving application to support long-term co-ordination, survival and growth.
Advantages of such integration include
* increases the automation of business processes
* significantly reduces manual tasks occasioned by redundancy of data and functionality
* reduces costs (e.g. maintenance, management, operational)
supports the achievement of competitive advantages through improving real-time response.
The problem of integrated Information Systems to many businesses, involve a supply chain involving independent systems that cannot communicate with one...
AN EMERGING TECHNOLOGY FOR INTEGRATING ERP AND SUPPLY CHAINS
Adoption of ebusiness applications and practices has transformed enterprises and changed the way of doing business hence, competition among companies has increased and organizations are focusing on supply chain co-ordination and collaboration to increase their business benefits. For many years, Enterprise Resource Planning (ERP) systems supported supply chain management. However, the limitations of ERP systems on integrating disparate systems have led organizations to seek for new approaches to integrate their systems and supply chains.
WHY ERP SYSTEMS FAILED TO SUPPORT INTEGRATED SUPPLY CHAINS AND THE NEW APPROACH TO SYSTEM INTEGRATION
INTRODUCTION
Since future competition centers on supply chain against supply chain, challenges arises in integration of intra and inter-organizational supply chain systems. As companies strengthen their relationships and collaborate at an inter-organizational level, the chain itself gains more links and therefore, increases management and co-ordination efforts. Kalakota, 2000; Kalakota and Robinson in 1999) view an enterprise as a loose collection of trading partners that can contract with manufacturers, logistics companies, and distribution organizations hence, fostering a comprehensive integration of business processes both intra and inter-organizational involving application to support long-term co-ordination, survival and growth.
Advantages of such integration include
* increases the automation of business processes
* significantly reduces manual tasks occasioned by redundancy of data and functionality
* reduces costs (e.g. maintenance, management, operational)
supports the achievement of competitive advantages through improving real-time response.
The problem of integrated Information Systems to many businesses, involve a supply chain involving independent systems that cannot communicate with one...