BUSINESS ANALYSIS



Business analysis and consultancy skills

Introduction3

Key considerations before deciding to acquire a new system3

Benefits of hiring a business analyst6

Issues with Consultants7

Requirements that would be difficult to implement8

Conclusion and tools used by business analysts11

References13

Business analysis and consultancy skills

Introduction

KeepWarm is a business that manufactures and supplies heating systems. Over the years, it has shown phenomenal growth, due to which it was taken over by Global Domestic Energy (GDE). KeepWarm is looking to implement an ERP system, which integrates the core if not all the departments, for this they are analyzing the prospects of hiring a consultant. The essay aims to convey the considerations that need to be made before implementing the new systems and whether it would be beneficial for the KeepWarm to hire a business analyst and tools they use.

Key considerations before deciding to acquire a new system

There are a number of considerations that have to be taken into account. Firstly, the management of KeepWarm has to consider the desired results of the new models of Enterprise Resource Planning (ERP). Secondly, the cost structure of these new ERP models must be estimated, so that the finance department can make the necessary arrangements. KeepWarm must keep in mind, that Tony Black, Managing Director, is already looking to reduce the costs of Keepwarm; therefore the capital cost can not be that high; otherwise it must be complemented by a large cost saving.

Enterprise Resource planning (ERP) is mainly management software that allows the different departments within the organization to be integrated; basically it caters for all facets of the organization, mainly the product and development, finance, sales and marketing, and many more. ERP modules need to be purchased by the business depending upon the needs of that particular department.

ERP benefits the organization in a number of ways. Firstly it allows an automated and integrated system to be run in the organization; therefore the concept of time wastage is mitigated. Secondly, massive cost reduction would take place as purchase cost would be reduced, productivity would be enhanced, and better inventory management would be done. Plus it would enhance the level of accuracy and consistency within the organization. Furthermore, better communication would be done.

The management shall decide in advance the desired results that it wishes to have, as a result of implementing the ERP models. The motive behind making use of the ERP shall be clear. The higher management must take an assumption based approach towards this as the stakes are so high and come to a conclusion what would be the situation without the utilization of the ERP modules.

As it is evident from the case study the main reason for going for an ERP system was that there is a need for Procurement department to enhance its efficiency level, therefore it is being assumed that as a result of taking the ERP systems on board, the efficiency level of it would go up and organization's altogether. Therefore, there is much expectation on the part of the ERP modules ...