Boca Electronics, LLC Boca Electronics, a manufacturer of semiconductor components, has had some downfalls in the economy and the way it operate its business (Sanders, 2012). The company is looking to implement a new ERP system that will improve its business functions in order to achieve success and avoid more slowdowns. The company considers that the new ERP system is a risky investment (Sanders, 2012). However, regardless of its cost, if the ERP system is integrate it, it will improve the purchasing department functions, the accounting department process for cash flows, and the overall communication and information sharing. Case Study Summary Boca electronics is a manufacturer of semiconductor components established in Houston, Texas in 2002 after spinning off its parent company, Vissay, Inc. (Sanders, 2012). Boca Electronic had a solid costumer base as well as strong sales with some major firms such as IBM, Compaq, and Motorola (Sanders, 2012). Their main products were microprocessor, LEDs, and suppressors; its operations system was inherited by its parent company to perform many business functions. Lately, the company is facing some critical issues with economic slowdowns and competition, which it forced the company to look into its business operations in order to identify the next step towards progress (Sanders, 2012). Ron Butler is the purchasing manager, responsible for the ordering of raw materials and distribution deadlines. Ron used his own forecast software
Our company needs to be installing a latest and advanced ERP system which makes us fully utilizing the business resources in the most efficient manner. Currently, the existing information system does not provide the full, accurate and reliable information from one department to another, neither it’s a cross-platform for information sharing(Columbus, 2014). A less-efficient information system is contributing into increasing cost of production for the business and overall reducing the business efficiency. The inventory turnover is increasing over the time period and so the productivity of staff unable to work at their optimum level. The current information system does not cover the whole business process and rather employees are engaged in manual data recording and preparing the documents to back the data.
ERP projects are most definitely expensive and risky, nevertheless despite these potential costs KEDA decided to embark on its ERP implementation project in hopes of obtaining a high return on investment. One of the factors that led to this decision was the fierce competition of global and local competitors. In an effort to retain its position within the industry and combat the threat of other businesses, KEDA needed to evolve. Specifically, through choosing a new ERP system, KETA hoped that this strategy would improve operations and become a productive advancement to the structure of the company. Since the Chinese government stopped their support and the MRP-II couldn’t manage the multiple system operations, they had to seek out a new alternative.
Pros. An ERP system is a necessary investment for Riordan because it integrates all departments and their respective functions across the organization into a single IT system (UMaine, 2009). There are three main benefits of ERP systems that directly address problems with Riordan’s operations. One benefit is a logical solution to a mess of incompatible applications currently in use by the organization. ERP also allows global access and sharing of organizational data as well. Additionally, implementing an ERP system will help the organization bypass the difficulties and expenses of replacing legacy systems (UMaine, 2009). An analysis of Riordan’s current issues with its Finance
VINSUN has decided to adopt an ERP solution that the company determined will be the best resolution to help them in better management of their valuable data with the integration feature of ERP. There are 3 alternatives that the company is considering based on the pros and cons of each of the programs, given that functionality and cost-effectiveness are the main focusing components, followed by ease of use, security and risk, and records of successful implementation.
The adoption of the ERP software package throughout the enterprise will have a positive effect on the company. Through the elimination of data conversions and manual data reentry, the company can significantly reduce the time it takes to complete the monthly General Ledger, Income Statement, and Balance Sheet reports. The adoption of a single system instead of three will save Riordan money by reducing the IT staffing needs as it
In today’s business environment, companies use integrated information systems to gain competitive advantages. The primary objective of senior management is to generate a 10% profit to reinvest into the enterprise and expand their divisions. Several of Bandon’s competitors have implemented ERP with integrated CRM solutions. In order for Bandon Group, Inc. to compete with businesses such as Xerox, it is necessary to integrate the business applications. According to Monk, Ellen, & Wagner, “increasing information system efficiency often results in the effective management of business processes, which is essential to maximizing profit and sustainable growth” (2009). Bandon Group has common critical problems and issues within the organization today; there are also opportunities and challenges that need to be addressed. The technology department is small and strained. With the range of various technical solutions that have been implemented across the divisions it has become very difficult to provide data migrations, network support, technical support and training (Sumner, 2005). An ERP system can dramatically reduce costs and improve operational efficiency as it removes feudal decision-making and facilitates data integration and transparency between business units
Foremost among these is that the ERP implementation efforts of many of their larger counterparts have resulted in partial failure, and in some cases total abandonment. Moreover, small manufacturers tend to lack the financial resources to adopt the entire system and may be forced to adopt a piecemeal approach to integrating the typically expensive ERP systems into their services. It is also felt that the lower staff levels in smaller enterprises when compared to their larger counterparts are inadequate for the rigorous and extensive IT training and development requirements for implementing an ERP project. It is however important for these firms to ensure that they make adequate studies of ERP systems before deciding to do away with them altogether because it has been found that they can be of use to the success of the business, especially after successful
This article has fairly covered an overview of Enterprise information systems and suggested management solutions for the improvement of the technical and economic efficiencies of the business operations using ERP systems. This article is a helpful source for identifying the benefits and economic effectiveness of ERP systems implementation.
Boca electronics, a manufacturer of semiconductor components was established in Houston Texas in 2002 after spinning off its parent company. Originally a branch of Vissay Inc, Boca Electronics had solid customer base and strong sales with some mayor firms such as IBM, Compaq and Motorola. Semiconductors included a wide array of products that were broken down according to their application and material. Some of their main products include microprocessors, light-emitting diodes, rectifiers, and suppressors. Boca Electronics operated on a mainframe system that it inherent from its parent company, and used additional stand-alone systems to perform many of its other business functions. For the last four years the company had performed well financially,
The entire case history revolves around enterprise resource planning (ERP). The Resort case talks about carefully structuring an IT system so that the IT program is well-matched to the company and corresponds to its offerings and needs. The case history provides us with an indication of 3 recommendations that can be employed in order to choose an ERP system that is most effective and helpful to one's needs.
The second requirement was the ERP should support rapid business growth, especially with a company such as Hunter Manufacturing whom had recently acquired two business units. It is only logical to plan for future growth whether organically or through purchases of additional suppliers. In addition, the selected ERP solution should provide a common business solution across multiple and diverse product lines enabling faster communication and collaboration among all departments.
Understanding a target market’s needs and desires can assist companies with tailoring their offerings in the name of profit. Texas Instruments (TI) had been business since 1930. During this time they have reinvented their offerings to remain a viable business entity throughout the decades. Their ability to stay ahead of the change curve has translated into a current market cap value of approximately $47 billion ("Yahoo finance," 2014). Whether it is calculators, semiconductors, software or education materials TI has been able to continually transformed itself using a strategy predicated on “risk taking and innovation” ("Texas instruments," 2014).
ERP (Enterprise Resource Planning): Enterprise resource planning system is basing on information technology. The use of information technology implementation of enterprise supply chain management, in order to realize scientific management of each link in the supply chain. ERP integrates information technology and advanced management ideas become the modern enterprise mode which reflecting the era of enterprise reasonable allocation of resources. It maximizes the creation of social wealth and become the cornerstone of corporate survival. In the company, the general management mainly includes three aspects: production control (planning, manufacturing, logistics (distribution), procurement, inventory management) and financial management (accounting, financial management); three systems are integrating and the importance of human resources constitutes the primary module of ERP system. The ERP system of business each module refinement, split, forming a relatively
The ERP is the face of the entire management system. This business management software is a suite of integrated applications that organizations use to collect, store, manage, and interpret data from many business activities (Wikepedia, 2012). The key component to the ERP is the producing and providing of information in real-time, supporting operations functions such as purchasing, inventory, manufacturing, shipping, etc. In addition to the ERP, other inputs into the EMS include
The business sector for buyer gadgets, electronic segments and innovative devices has dependably been quickly developing in tight rivalry offering distinctive mixture of items that addresses the consumers ' wants and needs. With more makers putting into innovative work for a class leading innovation and technological breakthrough, more manufacturers are likewise being