Why ERP information is important for executive decision making
Depending on the economy conditions, executives want information fast, especially when competition is tough.
When the economy is growing they look at employee satisfaction, market share, inventory levels, supplier data and simulations of company plans. When the economy is down they look at receivables/payables, budget/spending/costs, cash flow, operational risk, employee performance including productivity.
ERP data must balance broad, long- term project vision offering concrete, near term wins.I think companies thought 10 years ago the systems put in place would provide uniform and trustworthy data and yes ERP was able to provide that visibility, but I think we can’t ignore the human nature in corporations, I still see it today, If we get data that says you did a really good job this month then we trust the data, but if the data says we did a bad job this month we tend not to trust it, or question it.
The aim of enterprise data should be to enable faster decision making.
Once you've made your decision you need to put it into action. Don't worry about your decision being 100% full proof. Until you put your decision into motion you will not know the results of your action. Monitor your decision and make the necessary adjustments as you go along if you need to.
Here is a simple guideline you can use to help you when making decisions, it's called OAR.
O= Objectives that you are seeking.
A= Alternative choices that are available to you.
R= Risk that go along with the alternative choices.
Using these decision making tips can help you avoid worry and redirect your energy to the areas you need in order to make the best decisions possible.
The time to speed up important information is before it’s needed, not after. When crisis arrive it’s too late and slow data would have contributed to the problem.