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Literature Review

1.Provide the Current Organizational Structure

2.What Operational Problems Do you think the Organisation Could Experience Because of this Structure?

3.What is the Most Likely System acquisition method,s  Commercial Software, Custom Software, or ERP?

4.Describes and Prepare a System Flowchart of the Sales Procedures for the chosen Organisation.


5.Identify any Control Problems in the System and what Sorts of Fraud are Possible in.

Coca Cola Amatil is one of the world’s top most rated bottler of Coca Cola Company. It specializes in production of ready to drink non-alcoholic drinks. Currently, it is the largest producer of non-alcoholic drinks in Asia Pacific. Its headquarters are based in New South Wales Australia. However, the company carries its operations in many other different countries like New Zealand, Australia, Indonesia, Fiji, Samoa and others. It produces a variety of product brands apart from the non-alcoholic drinks like: non-carbonated drinks, spring water, fruit juices, energy drinks, tea, flavored milk, soft drinks and iced tea among other brands (Puravankara, 2007). However, it also produces alcoholic beverages like bookers, vodka, cocktails to name a few. The business has grown and developed with years and has achieved a very wide range of market share and segment in the non-alcoholic and alcoholic beverages market. The company has managed to win the loyalty of so many consumers who rely entirely on its beverages on daily basis. However, this has not been easy for it because it has to keep on implementing and changing its strategic management techniques to be able to succeed on every objective it makes. According to Cooper and his fellow writers, the business has been using very effective and efficient management systems and strategies to maintain its customers and attract new ones. In addition to that, it has currently been using much updated accounting information systems to help it in its daily operations.

Literature Review

An organizational structure is the designing, controlling and coordinating of the business operations by dividing responsibilities to certain employees as their responsibilities. Coca Cola Amatil has recently restructured its structure to be able to function under the new managing director and also for the sake of improving its relationship with the Coca Cola Company itself. Its current structure’s aim is to improve profit making rates and increase communication aspects in the business. The director decided to divide the beverages product into alcoholic and non-alcoholic beverages which will be reporting their progress the director herself. The organizations employees have also been allocated to specific duties and responsibilities which improves its overall performance. Ms. Watkins has also said that the two departments will definitely need strong leadership and directorship to be able to achieve the business’s objectives and goals. This has strategy of business structuring has certainly proved to be effective and efficient simply because the business has currently been improving in its performance especially its profit making levels (Slack, 2015). Also, it has been able to improve its relationship between the Coca Cola Company and itself.

Current Organizational Structure

Basically, every organizational structure has some challenges or problems that affect its operations. Some of the problems that may affect Coca Cola Amatil’s operations include:

Lack of Job Qualifications

When the business started restructuring, some of its employees had to leave the business simply because there was no position for them in the company. This is entirely related to the fact the employees may have experience and skills to work in the company but no expertise and right skills to run a certain department. Also, some of the employees that were put in place may have experience in the company’s operations but not specific departmental areas. Therefore, when the reports are given they may not have any clue on what to do with them. Therefore, this may lead to negative effects on the company’s objective achievement and overall success.

Business Inefficiency

When a business structure is interfered with, the business operations change, maybe working environment itself and even employees may get fired or opt to leave for good. The restructuring may affect the attitude, commitment and general working schedule of the employees (Carraher et al, 2015). This makes it hard for them to focus on the new objectives and goals that have been set. Therefore, it affects the efficiency of the overall business and hence failure.

For Coca Cola Amatil, the best acquisition system is the ERP system. Apparently, the business has already adapted the usage of these kind of systems to improve its operations and product marketing. A few years ago it signed a deal with the IBM Bank whose purpose was to expand the brands market share to other than those in which it operated in. Every business needs to have effective and efficient systems to use in its operations especially the marketing, distribution and transportation operations (Hung et al, 2016). Therefore, for this reason, the company hoped to get better, effective and efficient systems that would help it distribute its products to other countries and towns that they did not sell them. In addition to that, the systems will be able to help it manage its data through effective cloud computing. The cloud based computing (through the use of the ERPs) will help it improve the standards of its operation and information which will lead to success and objective achievement.

 A system flow chart demonstrates how a business decisions and data is shared in a business with an aim of achieving a certain objective. As for Coca Cola Amatil, the following represents the system flow chart

Operational Problems

5.Control Problems Experienced In a System Flow Chart

Every system flow chart has its problems that make it difficult to operate and to achieve its objectives. In that case, it is very important to make sure that the information flow and system chart structure is right and well placed (Shevchuk et al, 2016). The reason for this is to make sure that there are no errors or mistakes experienced during the chart data usage process. Some of the problems include the following:

Delayed or wrong decision making

This is where the manager makes the wrong decision about the process which is likely going to affect the whole of the process. Also, the manager may take more time than expected to make the decision required for the process to commence. This is a problem that when it occurs, it causes effects to the whole process and hence the result interference.

Usage of the wrong process

In every system flow chart, there is a main process to be followed for the objective or goal to be achieved. The production process or system process is entirely the heart of the whole process. It determines the end product or result, the quality and appearance of the end product. Therefore, if the right process is not followed, there are increased chances failure than success. However, if the right process is not followed, then the business will certainly not be able to achieve its objective.

Lack of enough time

Most flow charts take longer time to be processed and therefore leaves less time for it to be implemented. Apparently, in the decision making stage, every opinion and idea should be considered and therefore may lead to time wastage. Also, the stage for choosing the production process is sometimes always very time consuming because it is one of the main issues to be considered for production of a product or service and business success.

Development and Adoption of the Accounting System

A systems development and adoption is a very fundamental part if a business wants the system to achieve its objective and goals therefore business overall success (Pearlson et al, 2016). There are conditions for system development and adoption which include the following:

Availability of qualified workforce

The business should make sure that there is qualified, skilled and experiences work force to work with the systems and be able to operate it. Therefore, it can do this by conducting training and education sections to help the employees understand the system and how it works. Also, the management should ensure that the employees are well prepared for the new system change which gives them psychological change.

Most Likely Acquisition System

Availability of infrastructure

This is in relation to ICT equipment, internet connections, computers and general machine connectivity. The availability of the technical support like the internet and electricity should be enough and reliable. These help to run the accounting system as well as help manage the system (Willcocks, 2013). Therefore, every business that needs to upgrade or used any accounting system must make sure that it has all the infrastructure required.

Cost effective

This is in regard to the end costs incurred during the installation, maintenance and upgrading costs. All of the above issues should be put into consideration (Dwivedi et al, 2015). Their costs should be within the budget limit of the organization so that it cannot strain the company financially. Therefore, every business that decided to use an accounting system should make sure that its system cost budget it realistic and manageable.

Current Market Size

Coca Cola Amatil has been operating in a number of countries and states in Australia. Just as mentioned earlier, some of the towns include Samoa, Fiji, Australia and Indonesia to name just but a few. The company has currently increased its market share to other countries and states like America where its market share has gradually increased with time. In addition to that, the company’s market share has been increasing because of the increased product demand by its consumers. The fact that the company produces different brands and types of products, its markets share keep on increasing (Chuang et al, 2017). These is basically because of the many consumers who have different preferences for products eg it produces alcoholic and non-alcoholic beverages, energy giving drinks, iced and hot tea, coffee, flavored milk other product brands. This is one of the facts as to why its market share and segment is increasing with time. The business operates under the global Coca Cola Company which is located and operates in almost all the parts of the world. This fact has helped it improve and develop its market share and segment. Through Coca Cola Company, Amatil’s products have been exposed to the world and many more consumers. These reasons have helped Coca Cola Amatil to build up on its current large market share in one way or the other.

Market Leaders and Their Competitive Advantage

In Australia, the Coca Cola Amatil is one of the top five rated companies specializing in production of food and beverage. With it being listed as the third company, the other market leaders include: Fronterra and lion which are listed as the first and second respectively. These two businesses have their competitive against Coca Cola Amatil and the other businesses in the food and drinks market and production. Some of the competitive advantage aspects include the following: better and increased economies of scale, lower product prices, customer loyalty, high and great product quality, product differentiation and development as well as the market focus and development (Hill et al, 2016). The businesses have been in the market for a longer period that Coca Cola Amatil which gives them a start off point for the market segmentation and product positioning. Apparently, Fronterra deals with dairy products and supplies its products in a large number of countries in the world. As for Lion it is mostly a drink and beverage company which produces not only alcoholic and non-alcoholic products but also dairy products. This means that they both produce more than product brands which is apparently more than what Coca Cola Amatil produces.

System Flowchart

Current Challenges Faced By Accounting Software Customers

Lack of enough experience-some customers may not have the needed experience to operate the systems which makes it harder for them to operate the systems.

Difficulties in accessing-this is in relation to lack of internet and connectivity. This makes it hard for them to access the systems and therefore affects communication.

System delays- system delays may be caused by the fact that there is a lot of overcrowding because of the many people trying to access the system. This can cause time wastage.

Recommendations

I would recommend the customers of Coca Cola Amatil who use the company’s accounting systems to get knowledge on how to operate the systems before they attempt to use them. This will help them minimize the time used by trying to operate and failing.

Amatil should also make sure that its installed systems are easily accessible, simple and easy to understand especially for the new customers as well as its current ones.

In addition to that, the company should make sure that its systems are effective and efficient to minimize customers’ time wastage

References

Galliers, R.D. and Leidner, D.E., 2014. Strategic information management: challenges and strategies in managing information systems. Routledge.

Willcocks, L., 2013. Information management: the evaluation of information systems investments. Springer.

Ismail, N.A. and King, M., 2014. Factors influencing the alignment of accounting information systems in small and medium sized Malaysian manufacturing firms. Journal of Information Systems and Small Business, 1(1-2), pp.1-20.

Arvidsson, V., Holmström, J. and Lyytinen, K., 2014. Information systems use as strategy practice: A multi-dimensional view of strategic information system implementation and use. The Journal of Strategic Information Systems, 23(1), pp.45-61.

Dwivedi, Y.K., Wastell, D., Laumer, S., Henriksen, H.Z., Myers, M.D., Bunker, D., Elbanna, A., Ravishankar, M.N. and Srivastava, S.C., 2015. Research on information systems failures and successes: Status update and future directions. Information Systems Frontiers, 17(1), pp.143-157.

Malhotra, A., Melville, N.P. and Watson, R.T., 2013. Spurring impactful research on information systems for environmental sustainability. MIS Quarterly, 37(4), pp.1265-1274.

Hung, S.Y., Huang, W.M., Yen, D.C., Chang, S.I. and Lu, C.C., 2016. Effect of Information Service Competence and Contextual Factors on the Effectiveness of Strategic Information Systems Planning in Hospitals. Journal of Global Information Management (JGIM), 24(1), pp.14-36.

Chuang, S.H. and Lin, H.N., 2017. Performance implications of information-value offering in e-service systems: Examining the resource-based perspective and innovation strategy. The Journal of Strategic Information Systems, 26(1), pp.22-38.

Pearlson, K.E., Saunders, C.S. and Galletta, D.F., 2016. Managing and Using Information Systems, Binder Ready Version: A Strategic Approach. John Wiley & Sons.

Shevchuk, N. and Oinas-Kukkonen, H., 2016. Exploring Green Information Systems and Technologies as Persuasive Systems: A Systematic Review of Applications in Published Research.

Peppard, J. and Ward, J., 2016. The Strategic Management of Information Systems: Building a Digital Strategy. John Wiley & Sons.

Rothaermel, F.T., 2015. Strategic management. New York, NY: McGraw-Hill.

Carraher, S.M. and Paridon, T.J., 2015. Entrepreneurship journal rankings across the discipline. Journal of Small Business Strategy, 19(2), pp.89-98.

Slack, N., 2015. Operations strategy. John Wiley & Sons, Ltd.

Hill, C.W., Jones, G.R. and Schilling, M.A., 2014. Strategic management: theory: an integrated approach. Cengage Learning.

Wu, S.P.J., Straub, D.W. and Liang, T.P., 2015. How information technology governance mechanisms and strategic alignment influence organizational performance: Insights from a matched survey of business and it managers. Mis Quarterly, 39(2), pp.497-518.

Puravankara, D., 2007. Strategic analysis of the Coca-Cola Company (Doctoral dissertation, SIMON FRASER UNIVERSITY).

Wisaksono, M. and Wibisono, D., The Indonesian Journal of Business Administration.

Cooper, J., Marketing, M.B.A. and Cooper, F.F.U.J., Cola Wars: Case Study Analysis.

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