Exam Questions Ch6 Erp Systems

ACCOUNTING INFORMATION SYSTEMS/3e

TURNER / WEICKGENANNT/COPELAND

Test Bank: CHAPTER 6: ERP Systems

NOTE: All new or adjusted questions are in red. New questions are identified by the letter A as part of the question number; adjusted questions are identified by the letter X as part of the question number.

End of Chapter Questions:

1. Which of the following advantages is least likely to be experienced by a company implementing an enterprise resource planning (ERP) system?
2. Reduced cost
3. Improved efficiency
4. Broader access to information
5. Reduced errors
6. An ERP system is a software system that provides each of the following EXCEPT:
7. Collection, processing, storage, and reporting of transactional data.
8. Enhancement of e-commerce and e-business.
9. Coordination of multiple business processes.
10. Physical controls for the prevention of inventory theft.
11. Which of the following is NOT a feature of an ERP system’s database?
12. Increased efficiency
13. Increased need for data storage within functional areas
14. Increased customer service capability
15. Increased data sharing across functional areas
16. Manufacturing companies implement ERP systems for the primary purpose of
17. Increasing productivity
18. Reducing inventory quantities
19. Sharing information
20. Reducing investments
21. What company developed the first ERP systems?
22. Microsoft
23. Peoplesoft
24. SAP
25. IBM
26. In the late 1990s, the Y2K compatibility issue was concerned primarily with computer systems’:
27. File retrieval capability
28. Data storage
29. Human resource comparisons
30. Capital budgeting
31. The primary difference between ERP and ERP II systems is that ERP II may include:
32. Internet EDI
33. Logistics modules
34. Reporting modules
35. A data warehouse
36. Which of the following is NOT one of the reasons for increased spending on ERP systems in recent years?
37. The need for Sarbanes-Oxley compliance
38. Globalization and increased competitive pressures
39. The need for earnings management
40. The need for customer service enhancements
41. Supply chain management (SCM) is a critical business activity that connects a company more closely with its:
42. Customers
43. Suppliers
44. Subsidiaries
45. Customers and suppliers
46. The type of ERP system used by large, multinational corporations is known as
47. Big bang implementation
48. Modular implementation
49. Tier one software
50. Tier two software
51. Which of the following ERP approaches accomplishes the ERP implementation beginning with one department?
52. The pilot method
53. The modular implementation approach
54. The big bang approach
55. The location-wise implementation method
56. Which of the following statements best describes the risks of ERP systems?
57. The risks of implementing and operating ERP systems are nearly identical to the risks of implementing and operating IT systems.
58. The risks of operating and implementing ERP systems are greater than the risks of implementing and operating IT systems, due to the scope, size, and complexity of ERP systems.
59. The risks of implementing ERP systems are greater than the risks of implementing IT systems, but the operating risks are nearly identical.
60. The risks of operating ERP systems are greater than the risks of operating IT systems, but the implementation risks are nearly identical.

TEST BANK – CHAPTER 15 – MULTIPLE CHOICE

1. Select the statement from those provided below.
2. An ERP system is designed to interact with a stand-alone sales and inventory application to create general ledger information.
3. An ERP system is designed to be a stand-alone software application to accomplish revenue, expenditures, conversion, and administrative processes.
4. An ERP system will accomplish e-commerce but relies on other software applications for the accomplishment of e-business transactions.
5. An ERP system will not collect, process, store, and report the data resulting from e-business transactions.
6. An ERP system uses:
7. One database for each module associated with the organization – sales, inventory, human resources, etc.
8. One database for manufacturing, one database for sales, one database for administrative, and one database for design and research.
9. One database which contains all data items associated with the organization.
10. Relational databases for interactive queries between modules and departments.
11. Which of the following is used to produce management reports that would be used to oversee day-to-day operations?
12. Operational Database
13. Data Warehouse
14. Functional Database
15. Organizational Database
16. The _________ contains the data necessary to conduct day-to-day operations and produce management reports used to oversee day-to-day operations.
17. Data warehouse
18. Data center
19. Operational database
20. Enterprise resource planning system
21. The _________ is an integrated collection of enterprise-wide data that ideally should include 5 to 10 years of nonvolatile data.
22. Data warehouse
23. Data center
24. Operational database
25. Enterprise resource planning system
26. An enterprise resource planning (ERP) system would:
27. Update both accounts receivable and inventory when purchased goods are received from a vendor.
28. Update both accounts payable and accounts receivable when inventory purchased from a vendor is received.
29. Update both accounts payable and sales when purchased goods are received from a vendor.
30. Update both accounts payable and inventory when purchased goods are received from a vendor.
31. An enterprise resource planning (ERP) system allows a sales representative to provide a customer with all of the following information EXCEPT:
32. Is the product in stock?
33. What is the price of the product?
34. What is the cost of the product?
35. When will it be shipped?
36. MRP applications are:
37. Management resource programs software
38. Manufacturing resources planning software
39. Management reporting programs software
40. Manufacturing reporting programs software
41. ERP modules include all EXCEPT:
42. Financial
43. Operational database
44. Sales and services
45. Product development and manufacturing
46. ERP software operates on a(n) _________ database
47. Operational
48. Warehouse
49. Relational
50. Enterprise
51. Data within an ERP system may be stored in a(n):
52. Operational database
53. Relational database
54. Data warehouse
55. Both A & C
56. Within an ERP program:
57. The operational database contains five to ten years of transaction histories.
58. The data warehouse is updated as daily transactions are recorded.
59. The data warehouse contains five to ten years of transaction histories.
60. The data warehouse information is available to sales personnel for customer histories.
61. Interfaces between modules of ERP systems would be accepted for all of the following EXCEPT:
62. Sales and inventory.
63. Sales and human resources.
64. Sales and accounts receivable.
65. Sales and manufacturing.
66. Material requirements planning (MRP) software:
67. Calculated raw materials quantities needed for manufacturing.
68. Calculated lead times on raw materials orders.
69. Calculated material needs on accounts payable data.
70. 1, 2, and 3
71. 1 and 2 only
72. 2 and 3 only
73. 1 and 3 only
74. The purpose of MRP II was to integrate all of the following into a single database EXCEPT:
75. Human resources
76. Manufacturing
77. Marketing
78. Finance
79. SAP R/3 operates on a:
80. Mainframe environment with closed architecture.
81. Client-server environment with open architecture.
82. Client-server environment with closed architecture.
83. Mainframe environment with open architecture.
84. Which company developed the first ERP system?
85. SAP
86. Oracle
87. Hyperion
88. Microsoft
89. The systems transition responsible for moving business processes from an internal management perspective to an interactive, internal, and external perspective is?
90. The evolution of Customer Relationship Management (CRM) into Supply Chain Management (SCM)
91. The evolution of ERP systems into ERP II systems
92. The evolution of Electronic Data Interchange (EDI) into ERP II systems
93. None of the Above
94. Y2K compatibility issues arose because:
95. Older computer systems recorded dates in mm/dd/yyyy formats and memory for these was expense.
96. Older computer systems recorded dates in mm/dd/yyyy formats and memory in older systems was unreliable.
97. Old computer systems kept dates in mm/dd/yy formats.
98. Memory in older systems would fail when challenged with a mm/dd/yy formatted date.
99. Select the correct statement from those provided below.
100. MRP II allows interaction between suppliers and their customers via the internet or other electronic means.
101. While MRP II provides automatic inventory reordering, it does not allow suppliers to see customer inventory levels.
102. MRP II systems preclude e-commerce and e-business transactions due to internal security measures to protect data.
103. To increase operational response times, MRP II systems utilize operational databases but not data warehouses.
104. Spending on ERP systems increased or decreased based on several factors. These factors include all of the following EXCEPT:
105. Y2K compliance concerns
106. The need for better customer service
107. Multi-national sites of operation
108. Compliance with the Sarbanes-Oxley Act
109. Which of the following is NOT one of the reasons for the increased spending on ERP systems since 2004?

A. Bigger IT budgets replaced leaner budgets as economic conditions improved.

B. Many companies needed upgraded systems to enhance compliance with the Sarbanes-Oxley Act.

C. Business processes were separated and standardized.

D. ERP has become so important to daily operations that many companies cannot allow their ERP system to become outdated.

1. Over the next few years, spending on ERP systems is expected to:
2. Fall
3. Stay Constant
4. Rise
5. Spending habits are uncertain for the future
6. The financials module of an ERP such as SAP would include all of the following components EXCEPT:
7. Inventory
8. Financial accounting
9. Management accounting
10. Corporate governance
11. The sales and services module of an ERP such as SAP would include all of the following components EXCEPT:
12. Sales order management
13. Procurement
14. Professional service delivery
15. Incentive and commissions management
16. The analytics module of an ERP system such as SAP would include all of the following EXCEPT:
17. Financial analysis
18. Strategic enterprise management
19. Project portfolio management
20. Workforce analysis
21. The human capital management module of an ERP such as SAP would include all of the following components except:
22. Talent management
23. Workforce process management
24. Workforce development
25. Workforce termination management
26. Management would use the _____________ module for feedback from the ERP system to assist in the proper management and control of operations.
27. Financials
28. Corporate services
29. Analytics
30. Human capital management
31. To employ analytical processes on the organization’s data:
32. Data mining is performed on the operational database.
33. Data is uploaded to the analytics module’s database.
34. Data mining is performed on the data warehouse.
35. Data is uploaded to the financials module’s database.
36. Supply chain management is:
37. The management and control of all materials.
38. The management and control of all funds related to purchasing.
39. The management of information related to the logistics process.
40. Limited to the flow of materials from vendors into the production cycle.
41. 1, 2, 3, and 4 are all correct.
42. 1, 2, and 3 are correct.
43. 1, 2, and 4 are correct.
44. 1, 3, and 4 are correct.
45. Processes in supply chain management:
46. Involve trading processes from a supplier to the business.
47. Involve trading processes from the business to a customer.
48. Involve trading between the business and other intermediaries.
49. Do not include any transactions once raw materials are put into production.
50. 1, 2, 3, and 4 are all correct.
51. 1, 2, and 4 are correct.
52. 1, 2, and 3 are correct.
53. 1, 3, and 4 are correct.
54. The term for software solutions that help businesses manage customer relationships in an organized way is:
55. Sales and service
56. Customer relationship management
57. Corporate services
58. Human capital resources
59. All of the following are types of integration strategies utilized by an ERP system except:
60. People Integration
61. Process Integration
62. Information Integration
63. Supply Chain Integration
64. The two tiers of ERP systems are:
65. The internal tier and external tier.
66. The vendor & customer tier and the employee tier.
67. The large, multinational corporation tier and the midsize business tier.
68. The acquisitions tier and the sales tier.
69. Which of the following companies would be most likely to use a Tier Two ERP software?
70. AT&T
71. Walmart
72. Rite Aid, a national Pharmacy Store Chain
73. None of the Above
74. The ERP program that uses the term “back office” in reference to managerial functions and “front office” in reference to customer and sales functions is:
75. SAP R/3
76. Oracle Applications
77. Peoplesoft
78. mySAP
79. The first “pure Internet” architecture, with no programming code residing on the client computer was:
80. SAP R/3.
81. Oracle Applications.
82. Peoplesoft.
83. mySAP.
84. Select the statement from the following:
85. The strength of SAP is its human resources capabilities.
86. The strength of Peoplesoft is its manufacturing capabilities.
87. The strength of SAP is its financial reporting capabilities.
88. The strength of Peoplesoft is its human resources capabilities.
89. ERP implementation:
90. Must accomplish a full ERP system implementation.
91. May install only selected modules.
92. Must be done one module at a time.
93. Is a short duration process due to total integration of the software.
94. Best of breed means:
95. Picking the best ERP software on the market for the particular type of business or organization.
96. Picking the best software on the market for a particular type of business process for this size of an organization.
97. Picking the best consulting firm to accomplish implementation of the ERP software.
98. Utilizing the most capable employees within the organization work with the implementation of the ERP application.
99. The advantage of “best of the breed” is:
100. The best functionality of the ERP system as a result of total implementation.
101. The best functionality of a unique process of the organization.
102. Best cost of implementation of the ERP system.
103. Total integration of the ERP modules
104. Business process reengineering (BPR):
105. Aligns business processes with IT systems to record processes.
106. Reengineer the underlying processes to be more effective.
107. Improves the efficiency of the underlying process through automation.
108. Requires significant investment in IT resources.
109. Does not have a mutual enhancement effect with IT.
110. 1, 2, 3, 4, and 5.
111. 1, 3, 4, and 5 only.
112. 1, 2, 3, and 5 only.
113. 1, 3, and 4 only.
114. When computerized technology is introduced into processes, the processes
115. Must utilize standardized forms and screens for data entry.
116. Can be radically redesigned to take advantage of the speed and efficiency of computers to improve processing efficiency.
117. Data retrieval from the databases will be restricted to upper management for analysis.
118. Both B and C are correct.
119. Business process reengineering means:
120. Configuring the business processes to conform to the functionality of the IT system.
121. Configuring the IT system to the business process for best processing speed.
122. Matching the IT and business processes to achieve the greatest mutual benefit from each.
123. Configuring both IT and business processes to meet the goals of ERP.
124. Business process reengineering means:
125. Reconfiguring the ERP system to fit the current methods of the organization.
126. Retaining general software applications as legacy systems to reduce training and implementation costs.
127. Modifying business processes to take advantage of the capabilities of the ERP system.
128. Acquiring additional computer networking resources to effectively handle current business processes.
129. Customizing an ERP system:
130. Will tailor the ERP system to the user.
131. May have a prohibitive cost.
132. May hinder future system upgrades.
133. Is recommended wherever possible.
134. 1, 2, 3, and 4.
135. 1, 2, and 4 only.
136. 1, 3, and 4 only.
137. 1, 2, and 3 only.
138. A consulting firm helping a company with the implementation of an ERP system will typically perform all of the following actions except:
139. Evaluating and selecting an ERP system
140. Hiring specialized technicians to maintain the system
141. Implementing the software
142. Training employees to use the system
143. Data conversion will:
144. Require an appropriate amount of time be devoted to the conversion.
145. Be done at a minimal cost.
146. Import data from many legacy systems into a single RDBMS.
147. Require cleansing of errors and configuration inconsistencies.
148. 1, 2, 3, and 4.
149. 1, 2, and 4 only.
150. 1, 3, and 4 only.
151. 1, 2, and 3 only.
152. The big bang approach to implementation means that the company:
153. Will buy one integrated system to accomplish all business processes.
154. Implements all modules and all function areas of the ERP system at one time.
155. Commences training and data cleansing throughout the organization on one date.
156. Implements the business process reengineering process on a predetermined date.
157. All of the following are implementation of software systems EXCEPT:
158. The big bang implementation.
159. Location-wise implementation.
160. Progressive implementation.
161. Modular implementation.
162. Which of the following ERP implementation methods is rarely used today due to its high rate of failure?
     1. Big Bang
     2. Location-Wise
     3. Modular
     4. Micro-Enterprise Approach (MEA)
163. More than one-half of ERP implementations by the ________ approach experienced significant failures or problems in the 1990s, and nearly one-third of these implementations abandoned in progress.
164. Big bang
165. Location-wise
166. Progressive
167. Modular
168. When one site is utilized as the pilot approach to ERP, the implementation method is referred to as:
169. Big bang implementation
170. Hardware implementation
171. Location-wise implementation
172. Modular implementation
173. The advantages and disadvantages of modular implementation are:
174. Full system integration is available but hardware incompatibilities exist.
175. Reduces the risks associated with installation and operation of the system, but full system integration is not available.
176. All employees are exposed to some portion of the ERP system but critical information is still in the legacy system.
177. Critical information is still available in the legacy system but technical support is not readily available for the legacy system.
178. Benefits of an ERP system include all of the following EXCEPT:
179. The real-time nature of processing increases the total processing time.
180. The interactive nature of the modules allows processes to interact with each other.
181. ERP systems have evolved from many years of software experience so the software reflects tried and practices.
182. There is the capability to analyze large amounts of data in a single database.
183. ERP system benefits include all EXCEPT:
184. ERP systems are built to interact with the IT systems of trading partners such as customers and suppliers.
185. ERP systems are configured upon implementation to exceed any reasonable business growth in the future.
186. The ERP systems incorporate modules to conduct e-commerce and e-business.
187. Analytical tools that enable detailed analysis of the data are incorporated into ERP systems.
188. Organizational benefits of ERP implementation include all EXCEPT:
189. Retaining long-held work patterns and work focus.
190. Facilitating organizational learning.
191. Building a common vision.
192. Increased employee morale and satisfaction
193. Factors which adversely affect the implementation of an ERP system do NOT include:
194. Cost
195. Complexity
196. Size
197. Scope
198. If one module in the ERP system fails,
199. The rest of the system will operate correctly.
200. It has the potential to stop or disrupt all processes across the entire enterprise
201. That one module will automatically revert to the legacy system.
202. Will result in the entire system reverting to the legacy system.
203. Operation risks with an ERP system includes all of the following EXCEPT:
204. Security is a greater risk because processes are integrated.
205. An unauthorized user can affect more processes in the legacy system.
206. Incorrect data generated in a given process can automatically post flawed data to other processes.
207. Online privacy and confidentiality risks are magnified.
208. All of the following are operation risks of ERP systems except:
     1. Availability
     2. Online Privacy
     3. Confidentiality
     4. Duplicate Information
209. The assigning of access and authority for a specific user ID is called a ________.
210. User profile
211. User access account
212. User account
213. Profile of access
214. As required by Sarbanes-Oxley, enhanced ERP systems provide feedback to management regarding internal controls. To effectively use the function, there are important steps that need to be taken.
215. Establish and maintain a list of compatible duties.
216. Insure that employees are given access and authority only to those parts of the system required.
217. Periodically review the user profile and change any access and authority levels as necessary.
218. Configure the ERP system to track and report any instances where an employee initiated or records any event.
219. Monitoring the periodic reports or real-time reports by the appropriate manager to determine if user profiles have changed.
220. 1, 2, 3, 4, 5
221. 2, 3, 5
222. 1, 2, 4, 5
223. 2, 3, 4, 5
224. With the proper implementation of an ERP system:
225. Fraud due to inappropriate transaction recording is eliminated.
226. Employee IDs, passwords, and segregated duties aid in internal control measures.
227. Audit trails are not necessary due to ID and password security concepts.
228. All of the above, A, B, and C, are correct answers.
229. To prevent issues with segregation of duties within an ERP system, the system may do which of the following?
     1. Limit the types of transactions each employee can perform.
     2. Limit access to physical hardware.
     3. Both A and B.
     4. None of the Above.
230. To resolve discrepancies on invoices so that they can be paid on a timely basis, management may issue which of the following?
231. Report on purchase orders created after the invoice date
232. Blocked invoice Report
233. Requisition Invoice Report
234. Purchase Order Transcription Report

TEST BANK - CHAPTER 6 - TRUE /

1. The intent of an ERP (enterprise resource planning) system is to provide a single software application for revenue, expenditures, conversion, and administrative processes.
2. The intent of an ERP (enterprise resource planning) system is to provide a sales and inventory software application that will interact with the general ledger software with its sales and inventory transactions.
3. An enterprise resource planning (ERP) system integrates all business processes and functions into a single software system using a single database.
4. An enterprise resource planning (ERP) system would update accounts receivable and inventory when purchased goods are received from a vendor.
5. An enterprise resource planning (ERP) system allows a sales representative to provide the date that inventory for sale will be received from a vendor to a customer upon order placement.
6. Manufacturing resource planning software systems are outgrowths of the ERP concept.
7. ERP applications use modules such as financials, human resources, data warehouse, and analytics.
8. ERP data is stored in both financial and operational databases.
9. The data warehouse is up dated as transactions are processed.
10. Today’s ERP systems can be traced back to the first generation of materials requirements planning software.
11. Early MRP applications utilized sales forecasts to compute material requirements for production.
12. The purpose of MRP II was to integrate manufacturing, engineering, marketing, finance, and human resources units to run on the same information system.
13. SAP R/3 had tremendous growth due to the use of closed architecture and client-server hardware compatibility.
14. Y2K compatibility issues arose because computers kept dates in mm/dd/yy type formats.
15. ERP II has additional modules including customer relationship management and supply chain management for enhanced e-commerce transactions.
16. MRP II systems let vendors track customer inventory levels and trigger inventory shipments when prearranged levels are met.
17. Spending for ERP and ERP II systems has been consistently growing since the mid 1990s and the Y2K events.
18. The financial module of an ERP such as SAP might contain such components as financial accounting, management accounting, corporate governance, and inventory.
19. The product development module of an ERP such as SAP might contain such components as production planning, manufacturing execution, operations analysis, and enterprise asset management.
20. ERP systems such as SAP normally batch their financial transactions for processing due to the large amounts of data.
21. ERP systems such as SAP normally post their financial transactions in real-time for current information through all of the appropriate modules.
22. Management must examine feedback from the ERP system to assist in the proper management and control of operations and financial conditions.
23. Supply Chain Management integrates supply and demand management within and across companies.
24. Processes in supply chain management involve trading processes from a supplier to a business only.
25. Sales and service is a term for software solutions that help businesses manage customer relationships in an organized way.
26. CRM is a term for software solutions that help businesses manage customer relationships in an organized way.
27. CRM success depends entirely on the implementation of the software package designed for customer relationship support.
28. Tier one includes software often used by large, multinational corporations.
29. Tier two describes software used by midsize businesses and organizations.
30. Tier one describes software used by midsize businesses and organizations.
31. Tier two includes software often used by large, multinational corporations.
32. Peoplesoft uses the terms “back office” in reference to managerial functions and “front office” in reference to customer and sales functions.
33. SAP was the first “pure Internet” architecture, with no programming code residing on the client computer.
34. The strength of SAP is the human resources aspects of an organization.
35. The strength of Peoplesoft is the human resources aspects of an organization.
36. The differences between Tier One and Tier Two software are becoming more definitive as the Tier One vendors attempt to attract larger companies.
37. All ERP vendors have developed cloud-based ERP products.
38. One of the greatest risks of ERP cloud systems is the potential service outage that might cause the system to be unavailable.
39. One of the greatest risks of ERP cloud systems is their vulnerability to hackers.
40. The best fit software is usually defined by the client’s hardware and intranet structure.
41. When ERP implementation is started, all of the legacy system must be replaced for proper operation.
42. Best of breed means picking the best ERP software on the market for the particular type of business or organization.
43. Business process reengineering (BPR) is the purposeful and organized changing of business processes to make them more efficient.
44. Business process reengineering means tailoring both the business process to IT and the IT process to the business process for best functionality and processing.
45. Customizing an ERP system is recommended wherever the business has an existing process to accomplish a goal and that process is not compatible with the ERP system.
46. Customizing an ERP system should be limited due to cost and upgrading to the system in the future.
47. ERP implementation costs are kept to a minimum by retaining the legacy computer hardware and operating systems.
48. The decision as to whether to adopt cloud-based ERP systems will not have much impact on the computer hardware and IT infrastructure needed.
49. A cloud-based ERP system will require less infrastructure at the company.
50. Due to the integration of design, ERP systems do not require extensive testing if implementation does not entail best of breed or legacy modules.
51. Because the ERP system will cleanse and correct data errors while importing legacy data into its RDBMS, a minimum of time, effort, and dollars will be spent on data conversion.
52. Training of employees will be minimal due to BPR and system’s integration.
53. The big bang theory is the easiest to implement since the switch from the legacy system to the ERP system is done on a single date throughout the organization.
54. The big bang theory of implementation is preferred due to the limited problems incurred in transition.
55. Modular implementation and pilot implementation are both considered methods of implementation.
56. Location-wise implementation and pilot implementation are both considered methods of implementation.
57. The real-time nature of processing decreases the total processing time and allows more immediate feedback to management.
58. The real-time nature of processing increases the total processing time and precludes immediate feedback to management.
59. ERP systems are built to interact with the IT systems of trading partners such as customers and suppliers.
60. ERP systems can grow with the business.
61. ERP implementation regarding IT infrastructure benefits include building business flexibility for current and future changes
62. The integration of an ERP system compensates for its scope, size, and complexity to make implementation less risky than most IT systems.
63. Since the sale of goods in an ERP system may automatically trigger more production, which in turn would trigger the purchase of raw materials there is a significant need to ensure that these integrated processes are triggered at the correct time and in the correct amounts.
64. Since ERP systems are modular the risks of implementation enterprise-wide are minimized.
65. Within an ERP system unauthorized access to a purchase module could trigger a related unauthorized payment within accounts payable.
66. Conflicting abilities are also referred to as incompatible duties.
67. The assigning of access and authority for a specific user ID is referred to as a user profile.

1. Segregation of duties require within an ERP system is difficult due to the free access allowed to employees.
2. As the result of promotions or job changes, an employee may have different access or authorizations. Because of this, it is important that a company review user profiles and make changes to access and authority levels.
3. ERP will automatically track and report any instances where an employee initiates or records an event with conflicting abilities. It is not necessary to configure the system to accomplish this.
4. Based on each employee’s user profile, audit trails can be constructed and reported which employees initiated or conducted individual processes.
5. Due to their level of integration, ERP systems have difficulties in properly segregating duties.
6. The ERP system can incorporate a matrix of tasks that are compatible.

1. SO 6 Implementation of an ERP system

There are many important factors and issues to consider when an organization attempts to implement an ERP system. List and describe the issues outlined in the text that organizations should consider when implementing an ERP system.

1. SO6 Implementation of an ERP system

There are several methods of making the final conversion from an old system to a new ERP system. List and describe the three most common approaches.

1. SO7 Benefits of ERP Systems

There are a number of benefits associated with implementation of a new ERP system. Describe six benefits that your text outlines for the implementation of a new ERP system.

BENEFITS AND RISKS OF ERP SYSTEMS (STUDY OBJECTIVE 7)