Abstract

The purpose of this work is to draw attention to the importance of data entered into SAP and out of SAP ERP system. Through our work, we will use different and brand new scientific method of system dynamics in order to present results of on innovative way of graphic presentation. Common issue in companies across the globe, which use ERP system, is that one percent of highly valuable data never ends up in a centralized solution like SAP ERP. Instead of that, same data ends up in different kinds of so called external databases like Microsoft access, Excel spreadsheets, all kinds of paper notes etc. This causes many issues in SAP ERP business intelligence because management of the company doesn't see the full picture when it comes to achieving the company’s mission and vision. The goal is to present empirically the volume of savings both in the time of realizing the activities and in the financial context if the presented business activity is made by integration using SAP ERP system. Savings in time are shown with the use of system dynamics, and based on data acquired from measuring of certain activities. Savings in financial context are shown by the quantification of the state after including the business activity in information system contrary to the condition before it was included. If the management of company recognizes benefits on entering most of the crucial data into SAP ERP system and decides to exclude different types of external databases, model of system dynamics will clearly show how the same company can gain brand new benefits. This creates a whole new dimension for company which will be also ready for making quality decisions based on exact data from the system with very small percent of deviations.

Highlights

  • Information and data which are gathered and received in company business processes are of great strategic importance for one company

  • We are all witnessing a great deal of popular Enterprise Resource Planning (ERP) solutions today

  • Relevant data for this paper came from surveys done in three medium to large sized companies from BiH whose businesses are supported by SAP ERP system

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Summary

Introduction

Information and data which are gathered and received in company business processes are of great strategic importance for one company. Every information or data can be of high importance for one company. Based on input information and data, company is able to make decisions, analysis, create business history, make research etc. Based on these activities boost its business effects as well as decrease exposure to business risks on every-day basis. Importance of this category is already known, attention to input data and information is less significant, which is common issue. We are all witnessing a great deal of popular Enterprise Resource Planning (ERP) solutions today. ERP systems such as SAP, Microsoft Dynamics NAV and Oracle EBusiness Suite enable integration of business processes in whole company and greatly improve business management

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