Enterprise resource planning (ERP) systems are premised on the benefits associated with integrating business processes and the enabling of information systems across organisations. AB Electronics has recently become a global player in the development of innovative electronic equipment including smartphones, TVs, fridges, dishwashers, and other white goods. They operate in Business-to-Business (B2B) as well as Business-to-Consumer (B2C) areas and as such have specific requirements to maintain these business relationships. The business has experienced significant growth and operates factories in China, Japan and Malaysia. However, the location-specific systems are making top-level reporting on the movement of goods difficult to optimise. Management has noticed a significant reduction in time it is taking goods to be manufactured, shipped and sold. They believe this is due to inadequate visibility and maintenance of stock levels and inventory as well as location-specific systems. Customers are become disengaged and satisfaction levels have been dropping. A recent survey pointed to the need for a system to track and provide warranty services. At the moment they are struggling to track and monitor all of these things. 1. What modules of the ERP system would you recommend and why should AB Electronics implement them? To maintain inventory what would be the solution that an EPR system could provide to AB Electronics? 2. Explain the three challenges and issues associated with the implementation of ERP (Enterprise Resource Planning) systems in AB Electronics. How might these be overcome? 3. Customer warranty and satisfaction is a substantial key aspect for any business to survey. How can an ERP system provide a solution for this?

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
ChapterC: Cases
Section: Chapter Questions
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Enterprise resource planning (ERP) systems are premised on the benefits associated with integrating business processes and the enabling of information systems across organisations.

AB Electronics has recently become a global player in the development of innovative electronic equipment including smartphones, TVs, fridges, dishwashers, and other white goods. They operate in Business-to-Business (B2B) as well as Business-to-Consumer (B2C) areas and as such have specific requirements to maintain these business relationships. The business has experienced significant growth and operates factories in China, Japan and Malaysia. However, the location-specific systems are making top-level reporting on the movement of goods difficult to optimise.

Management has noticed a significant reduction in time it is taking goods to be manufactured, shipped and sold. They believe this is due to inadequate visibility and maintenance of stock levels and inventory as well as location-specific systems. Customers are become disengaged and satisfaction levels have been dropping. A recent survey pointed to the need for a system to track and provide warranty services. At the moment they are struggling to track and monitor all of these things.

1. What modules of the ERP system would you recommend and why should AB Electronics implement them? To maintain inventory what would be the solution that an EPR system could provide to AB Electronics?

2. Explain the three challenges and issues associated with the implementation of ERP (Enterprise Resource Planning) systems in AB Electronics. How might these be overcome?

3. Customer warranty and satisfaction is a substantial key aspect for any business to survey. How can an ERP system provide a solution for this?

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