Resourcer Riordan Manufacturing Virtual Organization Review
Resourceriordan Manufacturing Virtual Organizationreviewthe Following
Resourceriordan Manufacturing Virtual Organization review the following scenario: You are an employee of Riordan Manufacturing, which has just gone through a company reorganization. You have been reassigned to a different position and are now the information technology (IT) assistant project director. Your supervisor has informed you that the company is expanding and will open a new office in Seattle, Washington. You have been tasked with expanding the company’s IT infrastructure by setting up the IT system in the new office. Write a 1,050- to 1,400-word paper that identifies the organization’s information systems and their functionalities. Select one of the organization’s major systems, and describe its global interconnectivity and the potential result of a failure of a major component of this system. Include the reasons to protect this system and the consequences of inadequate security. Format your paper consistent with APA guidelines. 3 References
Paper For Above instruction
Introduction
The expansion of Riordan Manufacturing into a new office in Seattle signifies a significant milestone in the company’s growth trajectory. As part of the expansion project, the establishment and integration of robust information systems (IS) are crucial to ensure operational efficiency, data integrity, and secure communication across geographically dispersed locations. This paper explores the core information systems within Riordan Manufacturing, with particular emphasis on a major system's functionalities, global interconnectivity, potential failure impacts, and the importance of safeguarding these critical systems against security threats.
Organizational Information Systems and Their Functionalities
Riordan Manufacturing relies on several vital information systems that support various organizational functions—enterprise resource planning (ERP), manufacturing execution systems (MES), supply chain management (SCM), customer relationship management (CRM), and human resource management systems (HRMS). Each of these systems plays an essential role in streamlining processes, increasing productivity, and facilitating data-driven decision-making.
The ERP system is central to integrating business functions such as finance, procurement, inventory, and order processing into a unified platform, facilitating seamless data flow across departments. The MES provides real-time control and monitoring of manufacturing activities, ensuring quality and efficiency. SCM systems coordinate logistics and inventory levels, enhancing responsiveness to demand fluctuations. CRM systems manage customer interactions and support sales strategies, whereas HRMS manages employee data, payroll, and recruitment processes.
Collectively, these systems form an interconnected digital infrastructure that enables Riordan Manufacturing to operate efficiently across multiple sites, including the forthcoming Seattle office.
Selected Major System: Enterprise Resource Planning (ERP)
For this analysis, the ERP system is selected as the major information system. ERP systems serve as the backbone for integrating core business processes, providing real-time data and analytics that support strategic and operational decisions (Davenport, 2018). In a global context, Riordan’s ERP connects the headquarters with regional offices, manufacturing plants, suppliers, and customers, creating a comprehensive information sharing platform that aligns supply chain operations with production and sales.
The international nature of Riordan’s operations necessitates that its ERP system be highly interconnected, often utilizing cloud-based technologies to enable remote access and collaboration. Distributed geographically, the ERP system requires robust network infrastructure, including wide-area networks (WANs), secure VPNs, and cloud services to maintain seamless communication.
Global Interconnectivity and Potential Impact of System Failures
The ERP system’s global interconnectivity facilitates real-time data exchange, supporting functions such as order processing, inventory management, and financial reporting on a worldwide scale. This interconnected environment enhances efficiency but also poses risk—specifically, the potential for systemic failure if a critical component of the ERP system is compromised.
A failure in a major component, such as a database server crash or a network breach, can disrupt multiple facets of operations. For example, if the database that consolidates supply chain data becomes unavailable, procurement and production schedules could be delayed, resulting in stock shortages and customer dissatisfaction. If the network connection fails, communication between the Seattle office and other locations could be severed, hindering coordination and decision-making (Kumar & Sharma, 2020).
Such failures can cascade, causing a shutdown of manufacturing activities, missed deadlines, or financial losses. In a global environment, the ripple effect could extend across multiple regions, damaging reputation and incurring significant recovery costs.
Protection and Security of the ERP System
Given the critical role of the ERP system, implementing comprehensive security measures is imperative. Protecting this system involves deploying cybersecurity best practices, including firewalls, intrusion detection systems (IDS), encryption, multi-factor authentication, and regular security audits (Jansen, 2021). Data encryption safeguards sensitive information both at rest and in transit, reducing the risk of data breaches.
Access controls should be strictly enforced to limit system access to authorized personnel. Intrusion detection systems monitor unusual activity, alerting administrators to potential threats. Regular backup procedures and disaster recovery plans ensure system resilience against hardware failures or cyberattacks.
Furthermore, employee training on security awareness minimizes risks posed by social engineering or phishing attacks. Given the global scope, coordination with international standards and compliance frameworks (e.g., GDPR, ISO 27001) enhances overall security posture.
Consequences of Inadequate Security
Failing to adequately secure the ERP system could result in severe consequences. Data breaches expose sensitive corporate, customer, or supplier information, leading to legal penalties, financial losses, and damage to reputation (Ponemon Institute, 2022). Unauthorized access can result in data manipulation or theft, disrupting business processes and causing inaccuracies in financial statements or supply chain data.
System downtime due to cyberattacks or hardware failures can halt operations, generating substantial revenue loss, especially in a competitive global market. Additionally, regulatory non-compliance arising from insufficient security controls can lead to hefty fines and sanctions.
Inadequate security also diminishes stakeholder trust, impacting customer loyalty and investor confidence. The cost of recovering from a security breach, including legal fees, forensic analysis, and reputation management, often exceeds the expense of preventative measures.
Conclusion
The successful expansion of Riordan Manufacturing hinges on the robust design and security of its information systems, particularly the ERP system due to its integral role in global operations. Ensuring continuous connectivity, safeguarding against failures, and implementing comprehensive security strategies are vital to sustaining operational excellence and competitive advantage. Recognizing the potential impacts of system failures and security breaches underscores the importance of investing in resilient, secure, and reliable IT infrastructure, especially as the company extends its reach into new international markets such as Seattle.
References
- Davenport, T. H. (2018). Enterprise systems: Enabling innovation and transformation. Boston: Harvard Business Press.
- Jansen, W. (2021). Cybersecurity strategies for enterprise resource planning systems. Journal of Information Security, 12(2), 97–115.
- Kumar, R., & Sharma, P. (2020). Impact of network failures on global ERP systems: A case study. International Journal of Information Management, 50, 251–261.
- Ponemon Institute. (2022). Cost of Data Breach Report 2022. Retrieved from https://www.ibm.com/security/data-breach
- Raj, A., & Sharma, S. (2020). Cloud-based ERP security challenges and solutions. International Journal of Cloud Computing, 9(4), 235–251.
- Schriber, R. (2019). The importance of security in global supply chain management. Supply Chain Management Review, 23(4), 8–14.
- Smith, J. (2020). Designing resilient IT infrastructure for multinational corporations. Information Systems Journal, 30(1), 45–67.
- Van Grembergen, W., & De Haes, S. (2021). Enterprise governance of information technology: Achieving strategic alignment and value. Information Systems Management, 38(4), 272–291.
- Wang, Y., & Chen, C. (2021). Cloud computing and ERP integration: Security issues and strategies. Computers & Security, 104, 102236.
- Zhou, L., & Li, Y. (2019). Risks and mitigation in global IT infrastructure deployment. Journal of Global Information Management, 27(3), 1–20.