The LD2 group has grown rapidly over the past five years by acquiring a number of smaller kitchen accessory manufacturers and kitchen suppliers and fitters. As a consequence of this method LD2 has 'inherited' many dissimilar systems which it has continued to operate. LD2's technology now lags far behind that of its competitors, many of whom are experimenting with online trading. A number of quality and other problems within the group have now become apparent including:

• incompatibility of software;
• complex reconciliation of systems output being performed;
• stock shortages leading to contract delays;
• late management reports, and
• payroll and invoicing errors due to faulty data entry and calculation.

Explain how the People and Payroll system could benefit LD2.

Improved system quality

LD2 wants to make simpler and improve the quality of its operations, containing presumably data and information. The People and Payroll software should offer a simplified system that would overcome some of the existing deficiencies which are leading to poor quality operations.

Systems integration.

At the moment there is incompatibility of software and difficult reconciliation processes being performed within LD2. The solution will provide a single common integrated technology for both centralised HR and payroll processing. It is wasteful to operate separate systems and common data can be used for both applications. The unification of the systems will make reconciliation of separate data sources unnecessary.

Improved accuracy

A single system will help eliminate errors and inaccuracies arising from the existing duplication of data sources. At present, there are payroll errors due to faulty data entry and calculation.

Better management control

The information from accessible diaries, overtime patterns and holiday and sickness levels will enable managers to exercise tighter control over staff activities and possibly decrease costs as a result.