Our research on Business Software
In the pursuit of high-quality IT solutions for managerial modeling of the economy of enterprises, pivotal role play software like ERP, BI, CPQ, CRM, etc. Among these, the most critical software are the ones that effectively manage all enterprise resources, while the final goal is to successfully create a Business Digital Twin of the enterprise. This comprehensive solution is crucial in modeling business enterprises and corporations.
Background
Over the past two decades, ISEE has undertaken several major research projects specifically focused on business management software. These projects aim to appraise existing software as tools for managing enterprise economies within the framework defined by the Business Model Ontology. Notably, global companies such as SAP™, Microsoft™, Oracle™, BAAN™, Infor™, and 1C™ are leading the development of such software.
Other research areas:
Science and education
Consultancy Companies
Investigation research
In 2003, ISEE took a unique approach to exploring the cognitive potential of business software, focusing on BOEING’s main IT instrument for corporate management: BAAN 5.0 and its capabilities as an enterprise management modeling tool. The process involved experimentally implementing the software within a company. The company doing the implementation was planning a large-scale industrial reengineering project to optimize its production and increase its efficiency without suspending or even delaying its current industrial processes.
The study aimed to investigate whether BAAN 5.0 could serve as an effective tool for industrial reengineering and for developing quality and cost management models of custom product manufacturing. This involved purchasing a license, hiring consultants with specialized training, and comparing BAAN 5.0’s performance against the second version of ISEE’s Business Digital Twin software, which was also being implemented in the same enterprise.
During the comparative experimental implementation of BAAN 5.0, its performance was evaluated against ISEE’s BDT software in managing various enterprise processes, including sales, supply, production, engineering, and documentation. Both systems were assessed for their capacity to handle these processes interrelatedly and to model production capacities.
Findings and Insights
The comparison conclusively demonstrated that BAAN 5.0 was absolutely unfit as a tool for industrial reengineering, including total workplace restructuring and reorganization. In contrast, the BDT software achieved manufacturing acceleration in terms of both volume and nomenclature over the course of the reengineering process.
To a certain extent, BAAN 5.0 can be deemed compatible with the second version of the BDT software as an instrument for interlinked management of the processes of sales, supplies and production (the MRP algorithm) and also for production capacity appraisal. However, albeit generally capable, the processes correlated with a significantly lower quality of practical work. Moreover, the implementation revealed that BAAN 5.0 was unfit as an instrument for developing production costs and quality management models of custom products, integral for efficient management of the sales, production, and supplies processes.
Implications
The findings from this study have significant implications for the perceived effectiveness of globally recognized ERP solutions. The poor performance of BAAN 5.0 in the experimental setup raised doubts about the overall reliability and efficacy of such ERP systems in achieving consensus and coordinated action within business enterprises. This study also prompted ISEE to question the general capabilities of renowned global IT solutions for enterprise management as consultants assured that BAAN 5.0 was one of the best instruments for management modelling of business enterprises as the corporation BAAN had won an exclusive contract against SAP and ORACLE as the sole supplier of ERP software to BOEING.
In 2023 ISEE conducted a survey to explore ERP systems’ functional constructs and whether they incorporate Business Model Ontology principles of universal management of any enterprise economy.
This research is critical for the Mission of ISEE which seeks to develop and disseminate new digital technologies for managerial modeling of enterprise economies. Such knowledge, already embedded in the Business Digital Twin software developed by Institute for Systemic Economic Engineering (ISEE), could surpass traditional economic education in terms of practical applicability.
In 2023, ISEE conducted an ERP evaluation study focused on SAP S/4HANA’s capabilities and evaluating its functional construct as a carrier of Business Model Ontology. A meeting was held with a SAP Platinum Partner – the highest possible partner level. The survey team prepared a detailed questionnaire to assess SAP S/4HANA’s capabilities in reflecting and simulating enterprise processes. This evaluation aimed to compare SAP S/4HANA’s functional construct with ISEE’s Business Digital Twin software to determine if similar comprehensive knowledge of BMO is embedded and practically applied elsewhere in the world. The meeting was attended by five consultants from the software provider company and a survey-leading team consisting of two people. For the successful conduct of the meeting, questions and examples were prepared in advance by the leading team, according to the objective of the survey:
First area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the principle structure of the enterprise as a uniquely identified and hierarchically ordered technological environment.
Second area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the Operational Technological Field (workplace) as a set of technical and organizational elements.
Third area of questions
It aims to provide insight into the system’s capabilities as an effective tool for managing the Operational Technological Field in past and present times, but most importantly in future time horizons and in two key aspects for any enterprise – cost management and capacity management.
Findings and Insights
- The investigated ERP system lacks the ability to comprehensively reflect the functionally organized technological environment of the enterprise that ensures the implementation of all the processes in it. The reason for this lack is that in the functional construct of the system, there is no integrated knowledge of the principle setup and the way of functioning of the enterprise in its entirety (the system is not based on and built on such holistic knowledge). This is a major obstacle to the effective management of the processes in the enterprise.
- There is a lack of an established, written down, and integrated understanding of the structure of the Operational Technological Field. It is not realized that the Operational Technological Field is the foundational building block of the technological environment of the enterprise and that the management of its potential consists in the management of the potential of the technical and organizational elements that comprise it. The set of technical and organizational elements are modeled in order to achieve the functional purpose of existence of the Operational Technological Field – to realize a certain set of operations successfully.
- The system does not have the capability to effectively track the individual costs incurred on various cost items as a result of the operation of an Operational Technology Field.
- The system does not provide the capability to perform engineered organizational value analysis of manufactured products. The reason is a lack of understanding of, on the one hand, the principle structure and way of functioning of the enterprise as a whole, and on the other hand, a lack of understanding of the way in which the enterprise creates value – through the expenditure (consumption) of technical and organizational elements that make up its technological environment.
- The tracking of Operational Technology Field’s capacity is performed only at the lowest level of accuracy. This is an obstacle to the effective planning of the production capabilities of the enterprise and a prerequisite for the emergence of bottlenecks.
Implications
The absence of knowledge about the enterprise’s principle structure and way of functioning embedded in the functional construct of the investigated ERP system is the basis for all its fragmentary. The countless modules, even integrated with each other, are unable to reflect reality as it is. And this defect is substantial.
In conclusion, after detailed research and analyses of the achievements of SAP in the field of management, we can note that the investigated ERP system does not allow effective reflection of the state of the enterprise in its entirety here and now nor for past periods, while the management of future states of the enterprise is completely missing.
In 2023 ISEE conducted a survey to explore ERP systems’ functional constructs and whether they incorporate Business Model Ontology principles of universal management of any enterprise economy.
This research is critical for the Mission of ISEE which seeks to develop and disseminate new digital technologies for managerial modeling of enterprise economies. Such knowledge, already embedded in the Business Digital Twin software developed by Institute for Systemic Economic Engineering (ISEE), could surpass traditional economic education in terms of practical applicability.
ISEE’s ERP evaluation study in 2023 focused on Oracle NetSuite’s capabilities, assessing its functional construct as a carrier of Business Model Ontology. A detailed questionnaire was prepared to evaluate NetSuite’s ability to reflect and simulate enterprise processes. The survey aimed to compare NetSuite’s functional construct with ISEE’s Business Digital Twin software to determine if similar comprehensive BMO knowledge is embedded and practically applied elsewhere in the world.:
First area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the principle structure of the enterprise as a uniquely identified and hierarchically ordered technological environment.
Second area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the Operational Technological Field (workplace) as a set of technical and organizational elements.
Third area of questions
It aims to provide insight into the system’s capabilities as an effective tool for managing the Operational Technological Field in past and present times, but most importantly in future time horizons and in two key aspects for any enterprise – cost management and capacity management.
Findings and Insights
Holistic Reflection of Technological Environment
Oracle NetSuite lacks the ability to comprehensively reflect the functionally organized technological environment of the enterprise. The system does not integrate knowledge of the enterprise’s principle structure and functioning, hindering effective process management.
Understanding of Operational Technological Field
There is no established, written, and integrated understanding of the Operational Technological Field’s structure. NetSuite does not recognize that this field is the foundational building block of the enterprise’s technological environment, essential for successful operations.
Cost Tracking Capabilities
While NetSuite has some capabilities to track costs incurred on various items due to the operation of the Operational Technological Field, these are significantly less effective compared to holistic ERP systems.
Engineered Organizational Value Analysis
NetSuite does not provide the capability to perform an engineered organizational value analysis of manufactured products. This stems from a lack of understanding of both the enterprise’s principle structure and the way it creates value through the consumption of technical and organizational elements.
Capacity Management
Capacity tracking of the Operational Technological Field is performed only at a minimal level of detail. This limitation impedes effective production planning and may lead to bottlenecks.
Implications
The absence of integrated knowledge about the enterprise’s principle structure and functioning in Oracle NetSuite’s functional construct leads to fragmentation. Despite the integration of multiple modules, the system fails to accurately reflect reality. This defect is substantial.
In conclusion, after detailed research and analysis of Oracle’s achievements in the field of management, it is evident that the investigated ERP system does not effectively reflect the state of the enterprise in its entirety, neither in the present nor the past, and even more so in the aspect management of future states of the enterprise.
In 2003, ISEE took a unique approach to exploring the cognitive potential of business software, focusing on BOEING’s main IT instrument for corporate management: BAAN 5.0 and its capabilities as an enterprise management modeling tool. The process involved experimentally implementing the software within a company. The company doing the implementation was planning a large-scale industrial reengineering project to optimize its production and increase its efficiency without suspending or even delaying its current industrial processes.
The study aimed to investigate whether BAAN 5.0 could serve as an effective tool for industrial reengineering and for developing quality and cost management models of custom product manufacturing. This involved purchasing a license, hiring consultants with specialized training, and comparing BAAN 5.0’s performance against the second version of ISEE’s Business Digital Twin software, which was also being implemented in the same enterprise.
During the comparative experimental implementation of BAAN 5.0, its performance was evaluated against ISEE’s BDT software in managing various enterprise processes, including sales, supply, production, engineering, and documentation. Both systems were assessed for their capacity to handle these processes interrelatedly and to model production capacities.
Findings and Insights
The comparison conclusively demonstrated that BAAN 5.0 was absolutely unfit as a tool for industrial reengineering, including total workplace restructuring and reorganization. In contrast, the BDT software achieved manufacturing acceleration in terms of both volume and nomenclature over the course of the reengineering process.
To a certain extent, BAAN 5.0 can be deemed compatible with the second version of the BDT software as an instrument for interlinked management of the processes of sales, supplies and production (the MRP algorithm) and also for production capacity appraisal. However, albeit generally capable, the processes correlated with a significantly lower quality of practical work. Moreover, the implementation revealed that BAAN 5.0 was unfit as an instrument for developing production costs and quality management models of custom products, integral for efficient management of the sales, production, and supplies processes.
Implications
The findings from this study have significant implications for the perceived effectiveness of globally recognized ERP solutions. The poor performance of BAAN 5.0 in the experimental setup raised doubts about the overall reliability and efficacy of such ERP systems in achieving consensus and coordinated action within industrial enterprises. This study also prompted ISEE to question the general capabilities of renowned global IT solutions for enterprise management as consultants assured that BAAN 5.0 was one of the best instruments for management modelling of industrial enterprises as the corporation BAAN had won an exclusive contract against SAP and ORACLE as the sole supplier of ERP software to BOEING.
In 2023 ISEE conducted a survey to explore ERP systems’ functional constructs and whether they incorporate Business Model Ontology principles of universal management of any enterprise economy.
This research is critical for the Mission of ISEE which seeks to develop and disseminate new digital technologies for managerial modeling of enterprise economies. Such knowledge, already embedded in the Business Digital Twin software developed by Institute for Systemic Economic Engineering (ISEE), could surpass traditional economic education in terms of practical applicability.
In 2023, ISEE conducted an ERP evaluation study focused on SAP S/4HANA’s capabilities and evaluating its functional construct as a carrier of Business Model Ontology. A meeting was held with a SAP Platinum Partner – the highest possible partner level. The survey team prepared a detailed questionnaire to assess SAP S/4HANA’s capabilities in reflecting and simulating enterprise processes. This evaluation aimed to compare SAP S/4HANA’s functional construct with ISEE’s Business Digital Twin software to determine if similar comprehensive knowledge of BMO is embedded and practically applied elsewhere in the world. The meeting was attended by five consultants from the software provider company and a survey-leading team consisting of two people. For the successful conduct of the meeting, questions and examples were prepared in advance by the leading team, according to the objective of the survey:
First area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the principle structure of the enterprise as a uniquely identified and hierarchically ordered technological environment.
Second area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the Operational Technological Field (workplace) as a set of technical and organizational elements.
Third area of questions
It aims to provide insight into the system’s capabilities as an effective tool for managing the Operational Technological Field in past and present times, but most importantly in future time horizons and in two key aspects for any enterprise – cost management and capacity management.
Findings and Insights
- The investigated ERP system lacks the ability to comprehensively reflect the functionally organized technological environment of the enterprise that ensures the implementation of all the processes in it. The reason for this lack is that in the functional construct of the system, there is no integrated knowledge of the principle setup and the way of functioning of the enterprise in its entirety (the system is not based on and built on such holistic knowledge). This is a major obstacle to the effective management of the processes in the enterprise.
- There is a lack of an established, written down, and integrated understanding of the structure of the Operational Technological Field. It is not realized that the Operational Technological Field is the foundational building block of the technological environment of the enterprise and that the management of its potential consists in the management of the potential of the technical and organizational elements that comprise it. The set of technical and organizational elements are modeled in order to achieve the functional purpose of existence of the Operational Technological Field – to realize a certain set of operations successfully.
- The system does not have the capability to effectively track the individual costs incurred on various cost items as a result of the operation of an Operational Technology Field.
- The system does not provide the capability to perform engineered organizational value analysis of manufactured products. The reason is a lack of understanding of, on the one hand, the principle structure and way of functioning of the enterprise as a whole, and on the other hand, a lack of understanding of the way in which the enterprise creates value – through the expenditure (consumption) of technical and organizational elements that make up its technological environment.
- The tracking of Operational Technology Field’s capacity is performed only at the lowest level of accuracy. This is an obstacle to the effective planning of the production capabilities of the enterprise and a prerequisite for the emergence of bottlenecks.
Implications
The absence of knowledge about the enterprise’s principle structure and way of functioning embedded in the functional construct of the investigated ERP system is the basis for all its fragmentary. The countless modules, even integrated with each other, are unable to reflect reality as it is. And this defect is substantial.
In conclusion, after detailed research and analyses of the achievements of SAP in the field of management, we can note that the investigated ERP system does not allow effective reflection of the state of the enterprise in its entirety here and now nor for past periods, while the management of future states of the enterprise is completely missing.
In 2023 ISEE conducted a survey to explore ERP systems’ functional constructs and whether they incorporate Business Model Ontology principles of universal management of any enterprise economy.
This research is critical for the Mission of ISEE which seeks to develop and disseminate new digital technologies for managerial modeling of enterprise economies. Such knowledge, already embedded in the Business Digital Twin software developed by Institute for Systemic Economic Engineering (ISEE), could surpass traditional economic education in terms of practical applicability.
ISEE’s ERP evaluation study in 2023 focused on Oracle NetSuite’s capabilities, assessing its functional construct as a carrier of Business Model Ontology. A detailed questionnaire was prepared to evaluate NetSuite’s ability to reflect and simulate enterprise processes. The survey aimed to compare NetSuite’s functional construct with ISEE’s Business Digital Twin software to determine if similar comprehensive BMO knowledge is embedded and practically applied elsewhere in the world.:
First area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the principle structure of the enterprise as a uniquely identified and hierarchically ordered technological environment.
Second area of questions
It aims to establish to what extent SAP is aware of the need to reflect and simulate (in order to manage future states) the Operational Technological Field (workplace) as a set of technical and organizational elements.
Third area of questions
It aims to provide insight into the system’s capabilities as an effective tool for managing the Operational Technological Field in past and present times, but most importantly in future time horizons and in two key aspects for any enterprise – cost management and capacity management.
Findings and Insights
Holistic Reflection of Technological Environment
Oracle NetSuite lacks the ability to comprehensively reflect the functionally organized technological environment of the enterprise. The system does not integrate knowledge of the enterprise’s principle structure and functioning, hindering effective process management.
Understanding of Operational Technological Field
There is no established, written, and integrated understanding of the Operational Technological Field’s structure. NetSuite does not recognize that this field is the foundational building block of the enterprise’s technological environment, essential for successful operations.
Cost Tracking Capabilities
While NetSuite has some capabilities to track costs incurred on various items due to the operation of the Operational Technological Field, these are significantly less effective compared to holistic ERP systems.
Engineered Organizational Value Analysis
NetSuite does not provide the capability to perform an engineered organizational value analysis of manufactured products. This stems from a lack of understanding of both the enterprise’s principle structure and the way it creates value through the consumption of technical and organizational elements.
Capacity Management
Capacity tracking of the Operational Technological Field is performed only at a minimal level of detail. This limitation impedes effective production planning and may lead to bottlenecks.
Implications
The absence of integrated knowledge about the enterprise’s principle structure and functioning in Oracle NetSuite’s functional construct leads to fragmentation. Despite the integration of multiple modules, the system fails to accurately reflect reality. This defect is substantial.
In conclusion, after detailed research and analysis of Oracle’s achievements in the field of management, it is evident that the investigated ERP system does not effectively reflect the state of the enterprise in its entirety, neither in the present nor the past, and even more so in the aspect management of future states of the enterprise.