Essay on implementation ERP

The second benefit of the conversion is cost savings, primarily for multinational companies. Before companies can realize cost savings, transition costs are considerable. They include “preparation, certification, dissemination of reports, and opportunity costs”. Businesses will be “adjusting their computer systems and processes, updating documentation, training employees, and hiring outside specialists and consultants”.

Bombardier is a Canadian based public company operating in the sector of manufacturing planes and train in several countries. It was founded by Joseph –Armand Bombardier in 1942. They key people involved in the management are Pierre Beaudoin, Alain Bellemare and Lutz Bertling who are working as Chairman, CEO and COO of the company respectively. Over the years, this company has utilized its resources very well and followed a fantastic strategy of expansion. Most of the expansion was made using inorganic strategy of expansion by acquiring various companies already running in the industry which help Bombardier in quick rapid growth. This is quite clear as it has moved well in the value system from making of snowmobiles to planes

Bombardier has no easy task! In order for the integration to be successful, they need to integrate 63 systems. This would be a major undertaking as most sites had established their own information systems and databases. Ensuring that all the databases are merged into 1 global data warehouse will be a major feat. In order for SAP to function as intended, they will need to redesign their database architecture as well as endure the rigors of data cleansing and preparation.

This implementation will also enable you to uses your full suite of communication tools in all lines of business. EDI transactions, Bar Code reading, and decision software, such as EDSS, will enhance your senior leaders ability to make sound judgments on a stable base of information at any site. This, of course, becomes a tremendous help in streamlining inventory stock levels, purchase order generation, and vendor delivery predictability. Forecasting raw material needs will no longer be a guessing game. Financial data from each plant will be available from all sites without manual processes.

1. Cisco suffered from inertia when an attempt was made to engage business management in selecting software for their individual areas, and/or agreeing to participate in the ERP implementation project. List and explain reasons why management would hesitate to become engaged in the IT process/project.

The overall complication rates of ERCP in published trails vary from 4% to 15.9% with procedure-related mortality ranging from 0% to 1%. (Cheng et al., 2006).

Bombardier is the world’s only manufacturer of both planes and trains, it is present in more then 60 countries and is headquartered in Montreal, Canada. Both Bombardier Aerospace & Bombardier transportation employ over 70 000 and posted a revenue of over 18.3 billion in the fiscal year ended December 31,2011.

Major obstacles to the success of the project stem from cultural differences for those utilizing the system, the size of the project for IT undertaking, and HR role definitions. Cultural differences can present issues seeing as this company spans multiple countries. What may be acceptable in one, may not be as accepted in another which could halt successful adoption. IT undertaking of the large project may introduce difficulties in making a working system which is key to the success of this project. HR roles will change and the definition of the jobs may affect how the HR system functions after system implementation.

Incentives in Organizations Author(s): Robert Gibbons Source: The Journal of Economic Perspectives, Vol. 12, No. 4 (Autumn, 1998), pp. 115-132 Published by: American Economic Association Stable URL: http://www.jstor.org/stable/2646897 Accessed: 26/03/2009 10:39

To be successful in today's competitive and continuous evolving information technology (IT) market companies must be able to utilise their skills, information and knowledge to the highest efficiency level possible. Utilisation of and control over these factors will aid companies in acquiring and maintaining competitive advantages over others operating in the same competitive IT market. The implementation of an Enterprise Resource Planning (ERP) system would be perfect to suit a

The  focus  of  the  Board’s  decisions   was on the attainment of educational goals, and in the enhancement of the research reputation of the university. Success measures for educational initiatives were normally expressed in terms of student achievements, enrollments, and applications to the university. Success measures for research efforts were counts of the numbers of articles published and research grants received. Financial measures of success, when they were used at all, mainly comprised summaries of budgeted expenditures versus actual expenditures. With his MBA training and long business experience, Allen Carpenter found these traditional methods of project evaluation incomplete at  best,  and  superficial  at  worst.  Carpenter  had  set  out  to  change  the  approach,  and  largely  he   had succeeded. Now the university evaluated educational and research initiatives more like a

The management who approve the ERP implementation must be aware of the potential risk of error and take proper steps, such as monitoring each department and taking immediate steps to rectify the problems should they occur. This can be done by having a response team whose only task is to monitor and look out for mistakes within each department (Hoch, Dulebohn 2013). A formal plan of action which provides detailed steps explaining what should be done if there is an error has to be created. A proper means to communicate to all the parties who are victims of the errors as soon as the errors are detected is also extremely important. The management has to be aware of the changes they have to make after implementing an ERP system. This is crucial due to the fact that without the management’s guidance, the employees would not know what to do and the system will fail.

Ultimately the success or failure of any Enterprise Resource Planning (ERP) system is the contribution it makes to a company's attainment of strategic objectives, strategies and plans while unifying the many diverse systems and processes in use throughout an enterprise (Ifinedo, 2011). The very nature of ERP systems continues to go through a rapid evolution, migrating from rigid, difficult-to-use platforms into more distributed order management, supply chain management, fulfillment and Customer Relationship Management (CRM) systems all unified with accounting and financial performance information (Ifinedo, 2011). ERP systems are making it possible for companies to gain a much greater level of 360-degree insight into their supply chains, value chains and most importantly, their prospects and customers. While there are a myriad of factors that contribute to the failure of ERP systems, the lack of 360-degree views of customers and the lack of senior management support can cripple even the most potentially valuable ERP implementation (Krisgman, 2010). Alleviating an ERP failure is in the inherent interest of any vendor; they however do not have the most critical knowledge for ensuring ERP implementation success. The senior management teams and IT departments at customers do. The insights into how to best navigate change management requirements have a much greater impact on the success or failure of any ERP implementation

Customized cost- When implementing an ERP system, according to different requirement from customers and the actual situation, it is essential to appropriately change an ERP software package (as secondary development). No matter how the performance of the general ERP software package, it always has differences with specific enterprise’s demand. Therefore, they need to appropriately modify it. The custom costs are more expensive than the cost of an ordinary ERP software package [37].

EDI is a system that some small firms use in order to share business documents with each other. Those business documents can be purchase orders, shipping bills, invoices, SKUs (product stocking numbers), and so on. Also, many large companies and industries have this system. EDI system is important because it can support the relationship among partners. By using EDI system, manufacturers can send information about customers and products to their suppliers directly and very fast. This process can be done in the supply chain online. This can reduce the time spent on sending information and ease the