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Erp at Hp

Satisfactory Essays

Subject: Managing The Value Chain Name: ALOK KUMAR GUPTA Enrollment No. 6010091106380 ERP IMPLEMENTATION FAILURE AT HP (ITYS045) a. Analyze the limitation of IT project management. Discuss the importance of business contingency plans for enterprise projects. Justify your answer taking the example of HP b. Examine the implementation of the ERP migration failure considering HP’s role as a third party implementer of SAP’s supply chain solutions. Can HP use this ERP implementation failure to its strategic advantage? Why / why not? Give reason for your answer HP announced that their revenue has gone down by 5% to $3.4bn for the 3rd quarter ended July 2004. The reason proposed was due to the problem faced during the migration to …show more content…

The problem with them was they did not adopt many of the critical success factors required in the implementation of an ERP project. The following are causes of the migration failure Project team constitution Date integration problem Demand forecasting problems Poor planning & improper testing Inadequate implementation support / training Analysts commented that the HP’s culture did not support the much active involvement of employees also company ignored valuable suggestion from employees. Company staff had warned HP but it was not possible for it to continue with the tradition system and also suggested for a back-up system but company turned deaf ears over that many Vice-president had joined the rival Company and also many employees had a fear of been laid off. Learning from Failure: Implementation failure can impact overall business performance there is no standard approach to implement ERP, many times it involves a business change in many departments. Therefore otherwise it might miss out the objectives. The success of implementation depends upon the planning, which considers the business process along with the technical aspects. The potential benefits to the supply chain are much bigger than the IT costs and the potential risk to the supply chain is also much bigger. The success of ERP implementation also depends upon the ability to align IT along

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