Whirlpool Europe

Based on the spreadsheet, the Human Services Department faces a great shortfall. Our department is planning to make a 5% reduction from the Social Services Fund within the Human Services Department. In the Social Services Fund, we require the reduction of the expenses category in order to hit the target reduction. By reducing 5% of the Social Services Fund, the cost of target reduction would be $ 2,679,764. Then based on the target reduction, we are planning to reduce the 2015 adopted budget.

Account/Description Manufacturing overhead Cost of goods sold Actual overhead costs Incurred on account Indirect materials Indirect labor Depreciation $120,000 14,000 20,000 8,000 $162,000 Applied overhead costs Job 7640 Job 7641 Job 7642 $43,200 57,600 66,000 $166,800 $162,000 166,800 $4,800

Answer. The firm will adopt the new technique because the total cost drops to $32.

The Whirlpool Europe case provides an opportunity to look at different ways to evaluate a major IT investment the company is considering. To undertake this analysis we have to make a few assumptions because the case does not have all the details needed to estimate benefits and investment cost. However, if you were in a company faced with this situation, these numbers would be available.

| refer to the problem we did on class d selling expense e ? F 7000 depreciation Exp vii applied oh, wip, oh I & J?

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.

Upon reviewing the data provided by Squeaky Horn and the analysis’ shown above it becomes evident that the variable expenses had the largest impact on the profits, specifically the compensation of the employees and owners. The employees that fix the minor repairs of band instruments are paid $20 a hour. This year the company had less minor repairs than they had budgeted for, 1,740 instead of 1,830, but they hourly employees spent more time working on each job then they were expected too. The extra average time per job cost the company $31,200 for they year. The minor repairs of orchestral instruments where done by salaried employees. These employees were paid $38,000 annually for the first 1,560 instruments repaired, if the employees were required

This report is going to highlight the major events over the history of the MeadWestvaco Corporation. It particularly demonstrates how the MeadWestvaco used information systems to bring together the companies Mead and Westvaco into one integrated company and further explains the detailed implantation of ERP along with the related issues and challenges.

Today Enterprise Resource Planning (ERP) is extensively adopted by many organizations regardless of kind and size, mainly because it provides enterprise-wide view of information across all their business operations and help organizations achieve consistency across all their functional departments. The potential benefits of ERP system implementation include improved coordination across functional areas, increased efficiency, reduced operational costs, rapid access to information for decision making, managerial control and support for strategic planning.

For the hourly employees, the budget was $450,000 with a $375,000 salary and 50% of $10,000 ($5,000) cover of benefits. With a 20% cut, the budget was reduced to $360,000 without having to cut any employees. For the salaried employees, the budget was $2,025,000 with a $1,975,000 salary and a 60% cover of $10,000($6,000) in benefits. With a 20% cut, the budget was reduced to 1,620,000 cutting employees. For the Executive employees, the budget was 1,500,000 with full coverage of benefits. A 20% cut brings the budget down to 1,600,000.

No. of employees * (0.10 * Selling Price * Volume of sales) = $100000 + No. of employees * ($25000 + 0.05 * Selling Price * Volume of Sales)

A negative gain of revenue of $7920 with further decrease on income of $6,286 in first quarter is recorded. However, the situation is much better than increase hourly rate. More, idle time is reduced greatly to from 530 to 412 hours(22%). If we can utilize all the idle hours, then we can maximize the income. According to hint on proportional relationship of increase / decrease hourly rate thus leads to lower and pump up sales, we can calculate the revenue in adjusting the hourly rate.

ERP, which is an abbreviation for Enterprise Resource Planning, is principally an integration of business management practices and modern technology. Information Technology (IT) integrates with the core business processes of a corporate house to streamline and accomplish specific business objectives. Consequently, ERP is an amalgamation of three most important components; Business Management Practices, Information Technology and Specific Business Objectives.

ERP stands for Enterprise Resource Planning. ERP is one complete system to rationalise processes and data across the whole organisation, so business decisions can be data driven. The perception of ERP is a joint database that supports numerous purposes used by different business elements which in practice this means that staffs in different departments for example, accounting and sales can

According to Griffin & Pustay (2005), a core competency is a distinctive strength or advantage that is central to a firm¡¦s operations, and by utilising its core competency in new markets, the firm is able to increase