Which of the following is an advantage of using a single instance ERP?

Study for the Information Technology Applications 203C (ITA203C) FE Test. Utilize flashcards and multiple-choice questions, each with hints and explanations. Prepare effectively for your exam!

Using a single instance ERP presents the advantage of enabling a strategic vision for an organization. This is primarily because a single instance means that all business units operate on the same version of the software with a unified database. This environment fosters a holistic view of the organization, allowing for streamlined processes, consistent data, and improved visibility across departments.

With all units accessing and inputting data into the same system, decision-makers can have access to accurate and real-time information. This helps in aligning the company’s strategies with operational capabilities and resource management. It becomes easier to analyze performance metrics across various functions and make informed decisions that align with the organization’s strategic goals.

In contrast, the other options highlight disadvantages such as data fragmentation, higher maintenance costs, and increased manual data handling, which are typically associated with multiple-instance ERPs or less integrated systems. Such issues can prevent an organization from achieving the level of strategic alignment that a single instance ERP can provide.

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