The Hunter Manufacturing Company is currently the primary supplier of tent and truck heaters for the United States military (www.hellotrade.com). Founded in 1937, the company’s relationship with the U.S. government initiated during World War II, when Hunter provided portable, clean, and safe heating systems to the U.S. troops. Over the years, the Hunter manufacturing and the U.S. Government continued its relationship, and after the events of September 11, 2001, it became necessary to quickly deploy troops causing an increase in the need for mobilized heating units. Hunter Manufacturing was called in to meet this increased demand. During this time, Hunter made the decision to purchase two companies—the supplier which made the tents to house …show more content…
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. Next, it is necessary the ERP be able to facilitate a rapid and smooth integration of multiple business units. This is important because it allows an organization to manage and automate the essential functions of all units within the company. This function integrates key business processes into one system allowing Hunter manufacturing the ability to increase efficiency and eliminate any barriers between business units. This capability gives management the big picture status of the whole company allowing for better management decisions and more efficient operations both now and in the future (abas-erp.com). In addition, the EPR should be able to integrate operational data across all departments making it easier to track workflow. It was essential the ERP selected meet the requirement to streamline and
Home Depot is the fastest growing retailer in the U.S. by some accounts. It has a fascinating history of innovation and entrepreneurship. The company had some difficulties in the mid-2000s that some attribute to cultural clashes. However, during this period the company was able to take full advantage of the housing boom. Yet when the bubble burst, Home Depot was forced to claim substantial losses. Despite these loses Home Depot has weathered the storm fairly well and is in prime position to take advantage of an economic recovery; if it ever comes.
As a result of technological advancements, modern businesses seek new and improved methods of conducting their business processes. Systems have been designed to augment and manage core business functions such as production, accounting, procurement, and human resources. However, even with these systems in place, information is unreliable and inconsistent if they are on disparate platforms. Enterprise Resource Planning (ERP) software tackles this problem by integrating business processes into a centralized system.
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
2.The ERP solution increases the efficiency and decreases the costs. It also provides reliable information and the processing of information is very quicker so that, it can reduce the paperwork burden. The ERP is very flexible it can in any business environment. At the same time it’s so expensive to implement the ERP and also to replace it. Because of that, the negotiating power of suppliers is increased.
The Home Depot, Inc. has climbed its way up to being one of the world’s largest home improvement centers, one of the largest retailers in the United States, and rank in the top 100 in the Fortune 500 companies list provided by fortune.com. (Fortune 500, 2016) They operate 478 warehouse stores that sell thousands of items to customers and professionals. They have retail stores located throughout the United States, with stores in all 50 states, as well as in Mexico, Chile, and Canada. Their goal is to offer high levels of service, a broad selection of products, and have the most competitive prices. Home Depot was founded in 1978 by coworkers Arthur Blank and Bernie Marcus. The two hatched a business plan, and after securing sufficient
“Congratulations, Scott. You are the new supply management manager of our new Deere & Company Commercial Worksite Products manufacturing facility in Knoxville, Tennessee. As you know, we really need your help to make this new facility fully operational in 24 months. I am sure you realize that a critical responsibility of your new job is to integrate suppliers into the product development process for our own Deere manufactured skid-steer loader as quickly as needed. You will be reporting directly to me, and I need a proposal from you by the time we meet next week on June 15, 1996.” As Scott hung up the telephone with James Field, plant
In general, ERP systems are designed to standardize information entry and create data storage for information sharing across the organization. There are numerous advantages of ERP but skeptics argued on the fact that these advantages can be also achieved by simplification and lean production methods. IT systems could be effective and reliable in the long run but at the same time there is an uncertainty about whether it will align with the concerned business process. For instance, the ERP system implemented at the Korey plant to replace MRP system failed. Though it met the requirements of individual unit and enabled employees with wide range of
Enterprise resource Planning (ERP) is any integrated cross-functional software that reengineers manufacturing, distribution, finance, human resources and other basic business processes of a company to improve its efficiency, agility and profitability.1 On an initial view, an ERP system appears to be the cure for any company’s issues. The installation of such a system offers an organization the opportunity to re-structure their procedures, to coordinate branches’ systems in other geographic locations, unify information and inspire employees via granting them permission to company information. Now these chances exist at heightened costs financially. There are also implementation horrors and labor issues with which must be dealt with. A
Enterprise Resource Programming, or similar systems, have become a major part of a company’s tool set. Because of the fast pace of today’s society, the business environment has to struggle continuously in order to keep up. ERP enables companies to accomplish that by creating a “one stop shop” for all of the company’s vital information. This gives a business the ability to streamline the process of getting the item in question from the factory to the customer as quickly as possible.
Another benefit companies receive from using an ERP is standardized processes and consistent data. This is important in the energy sector and the oil and gas industry because it allows the business to move rapidly to new markets as well as adjust workloads among offices. (Anderson et al., 119) an ERP system will provide managers with pertinent and timely information on when assets need to be replaced among others which will improve the quality of their decisions. (Anderson et al. 119)
In business, it is important for companies to be able to communicate effectively. Each department of a company relies on the other departments as they add to the value chain. One way for a company to integrate its different departments is enterprise resource planning. ERPs are software programs that allow companies to join together data across operations on a company wide basis (Jessup and Valacich 248). ERPs store company information in a common database and allow all departments to access it from one central location (Koch). Companies without ERPS may contain many legacy systems, each operating with different
With the help of an ERP system, if all the data is consolidated at a single place and all the units have access to this huge repository of data, it can benefit the business tremendously. Not only will there be transparency among the units, but there will also be cross-divisional sharing of best practices and information. ERP software will help Maytag integrate business processes across the various divisions into a single enterprise-wide information system. This will improve coordination across functional departments and increased efficiencies of doing business. The immediate benefit can also be the reduced operating costs, such as lower inventory control cost, lower production costs, lower
Such as ERP’s objective which is to integrate business processes across enterprise by using a single IS (Wagner and Monk, 2008; Laudon and Laudon, 2012), Pertamina also manage to integrate all its business IS into one main system using ERP. Since 2003 ERP systems is used as Pertamina’s core platform where other business applications developed on top of it.
Strong ERP integrations automate most business processes to eliminate mistakes, reduce the need for duplicate entries, update inventory figures across multiple sales channels in real-time and provide complete product information based on each customer 's needs, stakeholders, decision-makers and B2B ordering process. Without strong ERP integrations to back-office operating software, customers could face ordering delays, incorrect inventory figures, inaccurate delivery dates and incorrect or missing product specifications. The benefits of strong ERP integrations include:
The key characteristics of Enterprise Resource Planning (ERP) are as follows. Firstly, it comprises of “an integrated system that operates in (or near) real time without relying on periodic updates”, according to (SHEILDS, 2001). That is, it automatically circulates information and data across departments and does not require manual updating by any workers. Thus, it comprises of a worker-independent and fully automated operating system. Secondly, it consists of “a common database that supports all applications”, according to (SHEILDS, 2001). That is, Enterprise Resource Planning (ERP) system consists of a master database in which all the information and data from each of the processes and/ or various functional departments is gathered and thereby consequently disseminated to each of the other processes and/ or various functional departments. In the context of integrating the processes of supply chain function, this characteristic would imply the following. There would be a master database that would gather information and data received from various working units associated with inbound logistics (i.e. process of getting raw materials from suppliers), warehousing (i.e. process of stocking the work in process goods and/ or finished goods), and outbound logistics (i.e. process of delivering finished goods to customer). And after gathering the information and data received from all working units associated with each of the processes in the supply chain, there would be