Case Study : Keda Industrial Co., Ltd.

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Section 1 – Case Summary Lu Qin founded Keda Industrial Co., Ltd. in 1992. The enterprise manufactures building material machinery and manages of energy resources. The company’s headquarters is located in Shunde, China. After starting as a small business, the company became a world industry leader after surpassing most of its competitors. Various factors such as research and development, coordination, and inventory management influence the success of the company. However, the challenges in business organization, inefficiency, and government pressure forced the firm to reconsider enterprise resource management (ERP) to alleviate some of the issues. The ERP implementation involved several phases with an objective of attaining office automation, product data management, and an executive manufacturing system. In addition, the company needed to create an efficient connection between the vendors and customers. The first stage encompassed the computerization of the enterprise. During this step, a planning process revealed the necessity for an ERP to automate and standardize operations. The second phase identified an ERP vendor. Priorities for selection included the level of sophistication and the variety of offered features. SAP won the tender as it met all the requirements. The third stage involved the assembly of the implementation team. Emphasizing the proficiencies of the panel as opposed to technology was a vital success factor. In the fourth stage, Keda executed the

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