The Enterprise Resource Planning Systems - Essay Example

? Project Planning Documentation Affiliation Table of Contents 3 Introduction 3 Problem Situation 4 Objectives 5 Corporate Support through New ERP System 7 Warehousing and Distribution Department 7 Sales Department 8 Manufacturing Department 8 Finance Department 8 Conclusion 8 Bibliography 9 Abstract Without a doubt, the emergence of latest technologies, especially the Internet, has not only changed the ways business organizations carry out their daily tasks, but also offers a wide variety of tools and techniques to perform business tasks in a much better way. This report presents an analysis of a project about the investigation, analysis and implementation of the new technology based infrastructure at ABC Corporation. This report outlines a detailed analysis of the present technological problems and potential objectives of implementing ERP technology at ABC Corporation. In this scenario, this report outlines some of the major objectives of implementation of ERP technology. Introduction According to Al-Mashari (2003) the Enterprise Resource Planning (ERP) systems can be viewed as one of the most modern and effective developments since 1990s. Additionally, with the growing attention of a number of businesses towards moving from a traditional functional approach to IT and business IS based corporate working environment, ERP systems have turned out to be one of today’s most popular business information system solutions. In addition, the well-known qualities of ERP business solutions motivated businesses to put into practice ERP systems. In this scenario, some of the well-known qualities of ERP systems include standardization and integration capabilities; besides, this is flexible in the both server and client architecture and their capability to take effectual organizational reengineering and management of foundational and support processes (Al-Mashari, 2002; Turban, Leidner, McLean, & Wetherbe, 2005). Seeing the importance of an ERP system for a business, ABC Corporation has decided to implement a corporate-wide Enterprise Resource Planning package which will form (define) the core technology, database, and development environment to be utilized by the organization. This report will present recommendations for the acquisition and implementation of a corporate-wide business information system RFP from ABC Corporation in Toledo, Ohio. In addition, this report will offer a detailed analysis of the major problems and objectives of ERP technology in the context of ABC Corporation. Problem Situation ABC Corporation is currently running and managing its business tasks using the distributed financial management system in conjunction with various disparate platforms. However, with the rapid growth of ABC Corporation is the past few years, the business has experienced expansion in its business circle and data. In this scenario, the old and other business management systems are not capable of offering any reasonable support for the business management. Due to a large number of business management systems the firm is not able to deliver effective performance and a centralized business platform. The business of ABC Corporation is facing a number of IT related problems, some are outlined below: Vulnerability to arrange errors because of slow processing in the course of customer service. Lack of correct performance information Lack of incorporating financial support Dirty data Less supportive for corporate decision support More load on central corporate management staff No central data repository Different formats of data No standard format of data Less support for efficient extraction of information Manual calculations and compilations Long waiting for time for management reports More data duplication Lower quality data Objectives This section outlines the objectives of ABC Corporation which they want to achieve through the implementation of an ERP system. In this scenario, some of the major objectives of this ERP technology based system at ABC Corporation are outlined below: Greater flexibility in information production Better quality of reports of business financial statements Improved incorporation of applications to business structure Effective protection of databases Valuable logistics operations Enhanced business communication Efficient business decision-making procedure Well-organized data processing Effective handling of current information regarding financial status that will be obtainable to business managers intended for effective decision-making. Will offer the capability to analysis worldwide business inventory levels Will improve the management of inventory and sales management Development in data incorporation that will permit financial analysis to drill down to a number of stages of aspects in a single account. This will guide to improved consideration of sales trends as well as internal corporate performance. Allowing finance personnel to produce expense/ revenue reports rapidly Permitting the manager to be familiar with business cash flow in real time Allocating sales information by means of the business management, this permits for formulating improved business decisions foundational on an inclusive analysis of the business. Make possible for a business to carry out interdepartmental association Enhancing the accounts payable as well as seller relation administration Facilitating sales force administration Enhanced productivity through analyzing dealings data and forecasting and company trends Augmenting the client relations in the course of effective sales decision Offering online access to business and management data Minimizing time to produce regular financial reports Corporate Support through New ERP System This section discusses a number of aspects that will be improved through the implementation of a new ERP system: Warehousing and Distribution Department Effective shelf management for each product Effective rotating of the stock products Better stock recording Offering stock priorities Sales Department Offers the better order status Better order tracking Better ordering system Effective customer management Easy customer order arrangement Assigning priorities to warehousing orders On time delivery structure Manufacturing Department Better raw material and stock management Tracking each new order On time delivery of all orders Priority based product manufacturing Finance Department Effective account handling Effective credit control procedures Recording each business transaction Customer record management Developing accurate information from other departments Wages recording and management Conclusion Enterprise resource planning systems have turned out to be a vital part of almost every organization. The implementation of the enterprise resource planning based information systems offers an excellent support for the management of business operations. In fact, it allows the business management to take effective decisions. This report has discussed the scope and objectives of implementation of an ERP system in context of ABC Corporation. This report has discussed the advantages of an ERP system in context of ABC Corporation. Bibliography Al-Mashari, M. (2002). Enterprise resource planning (ERP) systems: a research agenda. Industrial Management & Data Systems, 102(3), 165-170. Harvard. (1999). Tektronix, Inc.: Global ERP Implementation. Harvard Business School 9-699-043. Spathis, C., & Constantinides, S. (2003). The usefulness of ERP systems for effective management. Industrial Management & Data Systems: Emerald Group Publishing Limited, 677-685. Turban, E., Leidner, D., McLean, E., & Wetherbe, J. (2005). Information Technology for Management: Transforming Organizations in the Digital Economy . New York: Wiley. Read More