17. A global company needs to have all of its information management systems operate in an integrated manner across all departments and locations. Which strategy should be used for this purpose?
Answer: A
Enterprise resource planning system
An enterprise resource planning (ERP) system is essential for ensuring that all information management systems operate in an integrated manner across various departments and locations within a global company. ERP systems facilitate the flow of information between all business functions and manage connections to outside stakeholders.
A) Enterprise resource planning system
This option is correct because an ERP system integrates essential business processes, allowing for real-time data sharing and communication across departments. By consolidating information management into a single system, it ensures that all locations and functions are aligned and working with the same data, which enhances operational efficiency and decision-making.
B) Customer relationship management
While a customer relationship management (CRM) system focuses on managing a company's interactions with current and potential customers, it does not provide the comprehensive integration of all information management systems required across various departments and locations. CRM systems typically operate independently and are not designed to unify all business functions.
C) Transaction monitoring system
A transaction monitoring system is primarily used for overseeing and analyzing transactions within a specific context, such as financial compliance or fraud detection. This option does not address the broader need for integration across all departments and locations, as it is focused on monitoring rather than integrating information management systems.
D) Supplier relationship management
Supplier relationship management (SRM) systems are designed to manage a company’s interactions and relationships with its suppliers. Similar to CRM, SRM systems focus on a specific area of business and do not provide the holistic integration needed for a global company's information management systems across all departments and locations.
Conclusion
The enterprise resource planning system is the only option that effectively integrates all aspects of a company's information management, making it the best choice for a global company requiring cohesive operations across departments and locations. In contrast, the other options focus on specific areas and do not offer the same level of comprehensive integration necessary for efficient information management.