A Proposal for the Introduction of an Erp System in Joshua Arkwright & Sons

6026 Words Jun 23rd, 2013 25 Pages
A Proposal for the Introduction of an ERP System in Joshua Arkwright & Sons

A comprehensive study of Joshua Arkwright & Sons, and the benefits they can expect to receive through an ERP implementation.
George Robertson: A914272

Situation analysis
Joshua Arkwright & Sons established in 1996 is a medium sized, family run manufacturer of high quality, high end, and personalised computer products. It operates in a niche market within the computer industry and differentiates itself through innovative products with extremely personalised computers, down to individual colours, stencils and operating systems. It is particularly focused on providing the highest level of customer care and support with three year
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This can be put down to a heavy reliance on a few senior employees, whom are experts in their individual products and bills of materials. This problem is magnified by the complexity of the products (Figure 2), which means that there is serious setbacks and inflexibility when they take holiday or leave the company. The switching of the product also means the reliance on each specialist to oversee the process ever time production is switched. This problem is exacerbated when individuals order different models in succession and during the Christmas period and January sales when there is a spike in demand. It is also a major problem when completing big projects for companies, worsened by the regular stock outs and poor warehouse management.
Inventory management is in much need of an overhaul with parts routinely dropping below their recommended level under the initial Kanban system set up in 1996. As the market has continued to move more rapidly, Arkwright has found it hard to keep up, especially with their outdated systems. Customers now expect their products to be manufactured and delivered within days and Arkwright has found it difficult to meet these demands. Poor inventory management has led to Arkwright being unable to cope with demand effectively, as they are regularly waiting for parts to be delivered leading to late deliveries and poor customer relations. This issue is magnified when taking on large contracts

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