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Chapter 13 Building Information Systems 519

he experience of MoneyGram illustrates some of the steps required to
Tdesign and build new information systems. Building the new financial
management system entailed analyzing the organization’s problems with
existing information systems, assessing information requirements, selecting
appropriate technology, and redesigning business processes and jobs.
Management had to oversee the systems-building effort and evaluate benefits
and costs. The new information system represented a process of planned
organizational change.
The chapter-opening case calls attention to important points raised by
this case and this chapter. MoneyGram’s global operations were hampered
by outdated information systems and inefficient manual processes, which
raised costs and limited the company’s ability to add new products and com-
pensation plans for new partner agents so that it could continue to expand
globally.
Management decided to replace 40 outdated legacy systems with an
enterprise-wide software suite that could create a single source of centralized
data for the company, and support global operations, new financial products,
and the back-office accounting of compensation and payment transfers with
much less manual effort. The solution entailed not just the application of
new technology but changes to corporate culture, business processes, and job
functions. Employee education and training were essential. Thanks to the
new system, MoneyGram is in a much stronger position to expand globally,
add new partner agents, and support new financial products and payment
plans.
Here are some questions to think about: What are the advantages and
challenges of using an enterprise-wide software suite such as Oracle E-Business
Suite in a global company such as MoneyGram? How much did the new system
change the way MoneyGram ran its business?

MIS_13_Ch_13 global.indd 519 1/17/2013 2:31:20 PM