When an ERP is used,it is assumed that there will be increases in efficiency and the effectiveness of the activities related to the revenue cycle.However,what must be in place and functioning well to fully realize these benefits?

Question

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Adequate controls must be in place and functioning well to fully realize the benefits of ERP in terms of efficiency and effectiveness of activities related to the revenue cycle. ERP systems bring together various functions and data, therefore it is critical to have appropriate controls in place to ensure the accuracy, reliability, security, and privacy of data. Without adequate controls, the risks of errors, fraud, and inefficiencies increase, which would negate the potential benefits of the ERP system. A, B, and D are not directly related to the benefits of ERP in the revenue cycle, although they may be important factors in other areas of the organization.

When an ERP Is Used,it Is Assumed That There Will