Enterprise Information System of Geneva Steel
Added on 2023-01-16
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Running head: ENTERPRISE INFORMATION SYSTEM OF GENEVA STEEL
Enterprise Information System of Geneva Steel
Name of the student:
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Author note:
Enterprise Information System of Geneva Steel
Name of the student:
Name of the university:
Author note:
1ENTERPRISE INFORMATION SYSTEM OF GENEVA STEEL
Executive Summary
The following report focuses on the enterprise information system of the Geneva Steel Plant.
The Geneva Steel Plant is situated in Utah and is the only steel industry aligning IT with its
business process. The company first comprised of more than 2400 employees. About 75% of
the production of the company mainly focuses on producing sheet and steel plate while the
rest of the percentage comprises of production of pipes and coils. Before the implementation
of Enterprise Resource Planning system, the company of Geneva steel used to process their
business with the help of different computers consisting of different software based on the
requirement of the business. The systems that are being implemented in the company, are
used to generate reports of three different types such as operational report, daily operational
report and daily reports for operation. For the managers of the company, it was hard to
analyze all these reports daily and to keep a track of all the orders that are done by the
customers. In measure to solve all these issues the company of Geneva steel plant decided to
process with business process re-engineering and meanwhile started the Delta Project. The
aim of the delta project is to affect the systematic procedure of the business process of
Geneva Steel Plant with respect to the corporate system. The main target of the company is
to reduce the cost by 20% as compared to the cost in the year 1996. The business of Geneva
company mainly focused on the on-time delivery and fulfillment of the orders by maintaining
accuracy, reduced customer complaint, and yielding the manufacturing limit with inventory
levels and products. As a measure to bring about everything under one single platform, the
Geneva Steel Company decided to implement the SAP in its business process. The
expectation of the company from SAP implementation were fewer based on the hardware and
software requirements, analyzing all the daily reports together, accessing information without
hassle, making decisions while vigorously analyzing the data, to create a strong bond
between the information system and the accounting field of the business and many more. As
Executive Summary
The following report focuses on the enterprise information system of the Geneva Steel Plant.
The Geneva Steel Plant is situated in Utah and is the only steel industry aligning IT with its
business process. The company first comprised of more than 2400 employees. About 75% of
the production of the company mainly focuses on producing sheet and steel plate while the
rest of the percentage comprises of production of pipes and coils. Before the implementation
of Enterprise Resource Planning system, the company of Geneva steel used to process their
business with the help of different computers consisting of different software based on the
requirement of the business. The systems that are being implemented in the company, are
used to generate reports of three different types such as operational report, daily operational
report and daily reports for operation. For the managers of the company, it was hard to
analyze all these reports daily and to keep a track of all the orders that are done by the
customers. In measure to solve all these issues the company of Geneva steel plant decided to
process with business process re-engineering and meanwhile started the Delta Project. The
aim of the delta project is to affect the systematic procedure of the business process of
Geneva Steel Plant with respect to the corporate system. The main target of the company is
to reduce the cost by 20% as compared to the cost in the year 1996. The business of Geneva
company mainly focused on the on-time delivery and fulfillment of the orders by maintaining
accuracy, reduced customer complaint, and yielding the manufacturing limit with inventory
levels and products. As a measure to bring about everything under one single platform, the
Geneva Steel Company decided to implement the SAP in its business process. The
expectation of the company from SAP implementation were fewer based on the hardware and
software requirements, analyzing all the daily reports together, accessing information without
hassle, making decisions while vigorously analyzing the data, to create a strong bond
between the information system and the accounting field of the business and many more. As
2ENTERPRISE INFORMATION SYSTEM OF GENEVA STEEL
a result of the implementation of SAP in the integration of the accounting functions, about 80
to 12 staffs may lead to drop in the information technology. The entire project cost estimation
for the implementation of SAP was between $8 million to $10 million dollars. The people of
the organisation were very much reluctant to accept the changing scenario of the company
culture butt the organisation was firm enough in its place to implement the SAP in its
business process. The following report is prepared to discuss about the detailed history of the
company of Geneva steel and its different problems in the legacy system including
management of information system and enhancing customer satisfaction. The report focuses
on the different strategies that the company took with respect to its business rationale,
technological rationale and business process rationales. Based on this rationale the company
decided to implement SAP in its business process. The report reflects the different advantages
and disadvantages that are faced while implanting SAP in the organisation. The last part of
the report focuses on the current position of the Geneva steel company and hence concludes
with the importance of SAP implementation in manufacturing industries especially in steel
industries.
a result of the implementation of SAP in the integration of the accounting functions, about 80
to 12 staffs may lead to drop in the information technology. The entire project cost estimation
for the implementation of SAP was between $8 million to $10 million dollars. The people of
the organisation were very much reluctant to accept the changing scenario of the company
culture butt the organisation was firm enough in its place to implement the SAP in its
business process. The following report is prepared to discuss about the detailed history of the
company of Geneva steel and its different problems in the legacy system including
management of information system and enhancing customer satisfaction. The report focuses
on the different strategies that the company took with respect to its business rationale,
technological rationale and business process rationales. Based on this rationale the company
decided to implement SAP in its business process. The report reflects the different advantages
and disadvantages that are faced while implanting SAP in the organisation. The last part of
the report focuses on the current position of the Geneva steel company and hence concludes
with the importance of SAP implementation in manufacturing industries especially in steel
industries.
3ENTERPRISE INFORMATION SYSTEM OF GENEVA STEEL
Table of Contents
Introduction:...............................................................................................................................4
Discussion:.................................................................................................................................5
Problems that Geneva have with their legacy system:...........................................................5
Business, technology, rationale for Geneva to undertake SAP implementation:..................7
Business process rationale/ reasons for Geneva to undertake SAP implementation:............9
Advantages and disadvantages of SAP implementation in the culture of Geneva:...............9
Current position of Geneva Steel:........................................................................................10
Conclusion:..............................................................................................................................11
Table of Contents
Introduction:...............................................................................................................................4
Discussion:.................................................................................................................................5
Problems that Geneva have with their legacy system:...........................................................5
Business, technology, rationale for Geneva to undertake SAP implementation:..................7
Business process rationale/ reasons for Geneva to undertake SAP implementation:............9
Advantages and disadvantages of SAP implementation in the culture of Geneva:...............9
Current position of Geneva Steel:........................................................................................10
Conclusion:..............................................................................................................................11
4ENTERPRISE INFORMATION SYSTEM OF GENEVA STEEL
Introduction:
Geneva Steel is one of the integrated steel mills located in Vineyard, Utah on the west
of the Mississippi River. The steel company started in the year 1998. The Geneva steel
company was born out of necessity in a time of war. The plant represented the pinnacle of an
industrial era that was spent. The major customer base of the Geneva steel company was
developed in the western part and to the central of the United States. Geneva steel used to sell
its products to different service centers and distributors of steel. About three fourth of the
sales of Geneva consists of sheet and plant steel and the rest of the sales included coils and
pipes. Geneva steel used to produce cut -to- length plates that are used in the manufacturing
process of the ships, various industrial equipment and barges. The steel plate that Geneva
used to produce is also used in the construction of wide range of products which includes
buildings, roads, bridges and many more (Taniguchi 2018). The Geneva Steel plant is one of
the largest construction projects under the government of United States that was developed
during the era of World War II. During the world war II, the Geneva Steel plant was
responsible for constructing more than 2000 class liberty ships which were designed to
deliver food, ammunitions and clothes overseas (Gajdzik and Sitko 2014). The Geneva Steel
plant was mainly focused on producing hot-rolled steel sheets and a variety of construction
materials that were needed as a part of the war effort. The company was also responsible for
producing non-steel materials and semi-finished slabs which are formed from the by-products
of the operations of steel making procedure. But soon after the mill operation got under the
way, after the world war, the federal government of United States started bidding for the
plant. The steel company started modernizing the plant by implementing new technological
procedures in its existing outdated technologies (Kaiser 2018). The operation cost of the
Geneva Steel Plant was also thoroughly scrutinized and the existing backdated equipment
were also replaced in terms to avoid the main problem that raised in the company which is
Introduction:
Geneva Steel is one of the integrated steel mills located in Vineyard, Utah on the west
of the Mississippi River. The steel company started in the year 1998. The Geneva steel
company was born out of necessity in a time of war. The plant represented the pinnacle of an
industrial era that was spent. The major customer base of the Geneva steel company was
developed in the western part and to the central of the United States. Geneva steel used to sell
its products to different service centers and distributors of steel. About three fourth of the
sales of Geneva consists of sheet and plant steel and the rest of the sales included coils and
pipes. Geneva steel used to produce cut -to- length plates that are used in the manufacturing
process of the ships, various industrial equipment and barges. The steel plate that Geneva
used to produce is also used in the construction of wide range of products which includes
buildings, roads, bridges and many more (Taniguchi 2018). The Geneva Steel plant is one of
the largest construction projects under the government of United States that was developed
during the era of World War II. During the world war II, the Geneva Steel plant was
responsible for constructing more than 2000 class liberty ships which were designed to
deliver food, ammunitions and clothes overseas (Gajdzik and Sitko 2014). The Geneva Steel
plant was mainly focused on producing hot-rolled steel sheets and a variety of construction
materials that were needed as a part of the war effort. The company was also responsible for
producing non-steel materials and semi-finished slabs which are formed from the by-products
of the operations of steel making procedure. But soon after the mill operation got under the
way, after the world war, the federal government of United States started bidding for the
plant. The steel company started modernizing the plant by implementing new technological
procedures in its existing outdated technologies (Kaiser 2018). The operation cost of the
Geneva Steel Plant was also thoroughly scrutinized and the existing backdated equipment
were also replaced in terms to avoid the main problem that raised in the company which is
5ENTERPRISE INFORMATION SYSTEM OF GENEVA STEEL
the future liability of pollution. The overall culture of Geneva is similar to that of a traditional
steel mill. The Geneva Steel plant has the widest and thickest plate cutting and levelling line
which are used to facilitate the generation of products. The steel company of Geneva adopted
various programs in order to modernize the plant with new mill operations after the company
went down (Carter 2014). The prevailing technology of the company was outdated and the
operating costs needs to be carefully scrutinized. As a measure to it, the company started
replacing its equipments with new facilities. The following report will discuss about the
various technological implementation initiatives that the Geneva Steel Company undertook
and one of the main implementations is the introduction of SAP in its business process.
Discussion:
Problems that Geneva have with their legacy system:
1. The Steel plant of Geneva have various problems related to the legacy system of the plant.
The information system that the Geneva Steel Plant have evolved over time to time including
a number of assorted systems. This gave rise to a situation of one system with many software
and thus integrating the information and accessing them became difficult. According to
report, the company have a mainframe and a major accounting system. The company have
large numbers of computers running on different software and thus managing information
from these systems becomes difficult. Also this problem gives rise to slowing down of
computers as a result of which the systems cannot provide necessary data when it is required.
2. Another issue that Geneva Steel Plant have with their information system is that though the
current system of information generates a considerable amount of data related to transaction,
but still most of the data remains unavailable from the transaction system. The information
system of Geneva generates several datapoints but they remain inaccessible to the company
as they are not integrated with each other.
the future liability of pollution. The overall culture of Geneva is similar to that of a traditional
steel mill. The Geneva Steel plant has the widest and thickest plate cutting and levelling line
which are used to facilitate the generation of products. The steel company of Geneva adopted
various programs in order to modernize the plant with new mill operations after the company
went down (Carter 2014). The prevailing technology of the company was outdated and the
operating costs needs to be carefully scrutinized. As a measure to it, the company started
replacing its equipments with new facilities. The following report will discuss about the
various technological implementation initiatives that the Geneva Steel Company undertook
and one of the main implementations is the introduction of SAP in its business process.
Discussion:
Problems that Geneva have with their legacy system:
1. The Steel plant of Geneva have various problems related to the legacy system of the plant.
The information system that the Geneva Steel Plant have evolved over time to time including
a number of assorted systems. This gave rise to a situation of one system with many software
and thus integrating the information and accessing them became difficult. According to
report, the company have a mainframe and a major accounting system. The company have
large numbers of computers running on different software and thus managing information
from these systems becomes difficult. Also this problem gives rise to slowing down of
computers as a result of which the systems cannot provide necessary data when it is required.
2. Another issue that Geneva Steel Plant have with their information system is that though the
current system of information generates a considerable amount of data related to transaction,
but still most of the data remains unavailable from the transaction system. The information
system of Geneva generates several datapoints but they remain inaccessible to the company
as they are not integrated with each other.
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