The report had given the information about the ERP Implementation on the CLNRecycle Ltd which the Australian company owned. The report had analysed the current business requirements of the CLR Company. The scope of the report was to provide an ERP implementation system for the organization.
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Running head: ERP ANALYSIS AND IMPLEMENTATION ERP Analysis and Implementation Name of the Student Name of the University Author Note
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1ERP ANALYSIS AND IMPLEMENTATION Executive Summary The report had given the information about the ERP Implementation on the CLNRecycle Ltd whichtheAustraliancompanyowned.Thereporthadanalysedthecurrentbusiness requirements of the CLR Company. The scope of the report was to provide an ERP implementation system for the organization. Each item had been described with relative to the CLR and their business context. The report had made the analysis of the current situation. Based on the situation a process has been followed for software selection. The report had then investigated about the new solution. There had been provided with a risk management plan in the table format and a change management plan. The requirement of CLR is linked to the functionalities of the ERP. The existing system of the enterprise has a market suggests which had provided two ERP solutions suitable for CLR, namelySAP Business Suite 4 SAP HANAandSAP ECC6. The report had then provided basic information on purchasing and implementing such ERP system. Finally, recommended the two ERP system mention above and find the better option among them.
2ERP ANALYSIS AND IMPLEMENTATION Table of Contents Case Study: CLNRecycle Ltd....................................................................................................3 1.Introduction.........................................................................................................................3 Scope......................................................................................................................................3 Audience................................................................................................................................4 2.Project Background.............................................................................................................5 3.Analysis and Evaluation.....................................................................................................6 Current Situation Analysis.....................................................................................................6 Process of Software Selection................................................................................................6 Investigation to new solutions................................................................................................6 Risk Management Plan:.........................................................................................................6 Change Management Plan......................................................................................................6 4.Overall summary.................................................................................................................6 5.Recommendations...............................................................................................................7 Reference....................................................................................................................................8
3ERP ANALYSIS AND IMPLEMENTATION Case Study: CLNRecycle Ltd 1.Introduction CLNRecycle Ltd is a manufacturing company that make to order and to stock the production. It has 80 years of experience for producing and supplying materials having raw chemicals.ThecompanyisownedbyanAustralianwhobasicallyoperaterecycling company. It provides a proven and innovative product with solutions that are made through a recycle material mainly for the national and international clients. The products of the CLR are used by Japan, New Zealand and Australia. The home office of CLNRecycle is in Melbourne it is the headquarters of the main sales office. There are other regional offices were the headquarter are located namely Adelaide, Brisbane, Hobart and Sydney. The company is sorted with eight centres namely NSW, Queensland, South Australia and cross Victoria. This centres use automatic sort systems that range from manual sorting, identify the resin and pick the plastic materials that could mechanized the processes of automation. It involves sieving, separation, shredding with the rates of density. The materials are separated and sent to the manufacturing plants. In Australia there are two manufacturing plants of CLR, namely Wollongong and Adelaide. The current manufacturing plants have got the distribution and warehouse centres. Environmental sustainability is the major issue worldwide. However, with dedication CLR has researched and developed environmentally a 100% recyclable product. Recently in Hong Kong the company has added a sales force which has a distribution centre and a manufacturing facility. CLR Company is now keen to expand the operation in India. Scope The main scope of the CLR company is to provide theNewby Systems Consultants Ltd.With a new ERP system. As the Business System Requirement Analyst, I have been
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4ERP ANALYSIS AND IMPLEMENTATION provided with the role on analysing the problem and providing the organisation with the implementation of the ERP software. The whole report will discuss on the Enterprise System adoption and implementation. The CEO of the company plans to have robust and centralised ERP system.TheBODswouldbe providedwith informationon takingdecisionfor purchasing and implementing and ERP system. Audience Here the audience are the CEO and the BoDs of the company who will be implementing the ERP system for this manufacturing organizations.
5ERP ANALYSIS AND IMPLEMENTATION 2.Project Background In the project the product of CLR needs to be customized from the application of value- added resellers (VARs) which have the reseller’s logo. There is no direct influence by the Individual customers for the product or about the function, size and shape. The Board of Directors allow individual customers to have change in the future which would create opportunity that could specialised the mobile devices. The design of the product and the planning for the sales are determined by the management in cooperation with the other staff members. The Board of Directors (CoDs) has considered changes in specialising the mobile devices to be created. The product design and planning of the sale would be determined by the cooperation management along with the other staff members. The company does business with even other countries however it still maintains the sales in the currency of US or Australian. The current network is maintaining by the company suppliers but there are possibilities that the company work with more suppliers of other countries. As the changes is being fast and the business environment is highly competitive. It has been realised by the CLR management team that they are not proactive. The companies could get influence by the emerging requirements for competitive advantages and share of the market for which it need to act quickly. It is a customer-centric business models that were adopted by CLR few years ago which could increase the CLR’s interactions. The CLR had somehow identified the issue of respond, change in area and adaptation to change in business environment (Lam, J., 2014). The engagement for workforce is important based on priority. A huge network is created for mobile information and expertise that could increase mobility of staff, managers, clients and the competitors. The company need an efficient and effective support for managing and the advantage taken for the network opportunities which the client and the mobile network offers (Owusu-Manu et al. 2017). The advantages are taken partially
6ERP ANALYSIS AND IMPLEMENTATION a network for improving the design of the products and develop a marking strategy with collaboration.
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7ERP ANALYSIS AND IMPLEMENTATION 3.Analysis and Evaluation Current Situation Analysis The current situation of the CLR is that it needs a standard operation for the sales, manufacturing and inventory activities. The is a lack of flexibility and scalability in the IT systems for the support of the new market for the growth over the next decade. There is no data standardization provided for the current IT systems were the costs and profitability could be analysed for different products, customers and sales regions. CLR is direct to new manufacturing plan that could develop some non-toxic recyclable products. It could easily breakdown and are durable in both develop and developing countries (Souca 2014).The another key strategy is the commitment to the satisfaction of the customer that could deliver the products at the right time, place and price. There is a requirement of ‘make to order’ or ‘make to stock’ of the products (Papke-Shields and Boyer-Wright, 2017). The CLR company could process and are focused on the customers’ value that could generate carbon footprint. It has an environmentally sensitive manufacturing company. The list of drivers within the organizations includes, ListDescripti on Specify whether itisa business driver or a business require Business processes typeof dataor informat ion required chosen ERP functional ities Justificat ion
8ERP ANALYSIS AND IMPLEMENTATION ment 1.Marketpl ace Require ment The requireme ntofthe customer was determine inthe marketpla ce.It decide whatit takesfor the business to succeed (Alleset al.2018). Itinclude the service orthe product needed and requireme Business Require ment Consume r segmenta tion It requires detail informati on of the consume r ERP analytics It provides agreat insight to the behaviour ofthe customer and focus on supply and demand inthe Market
9ERP ANALYSIS AND IMPLEMENTATION ntlike customiza tion, capability, quality level, innovation ,delivery speed, customer service level. 2.Organiza tion Imperati ves Itspecify the changes requirein the organizati on, systems, structure, technolog y, processes, skills, Business Require ment Quality Physical Environm ent (QPE) It collect the performa nce metrics tomake the decisions and meet theneed ofthe organizat ion Automate the Customer Service Process TheERP system benefits the companie sand streamlin ethe experienc eofthe customer service.
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10ERP ANALYSIS AND IMPLEMENTATION resources thatcould realize the strategic business imperative . 3.Business Imperati ves Itwill provide an outline aboutthe company wereit requirea systematic changein thegoals, mission, pricingor branding. Business Require ment Strategic Planning It improve the overall planning ofthe company withthe develop mentof their strategy Real-time informatio n access Access to realtime isa powerful feature of ERP. 4.Cultural Imperati ves Itdenotes thenorms of relating withthe company Business Drive Cultural and Recreatio nal Opportun The performa nce metrics collected Automate the Customer Service Process Itsave timeand effortsto respond the
11ERP ANALYSIS AND IMPLEMENTATION forthe support anddrive ofthe company itiesand make the data based decisions customer requests and provide product informati onand forecast thenew products. 5.Employe e Mindset Itcould derivea changein the behaviour and cultureof the employee and which effect directly the employee Business Require ment Operating Business Process The company would make the basic income stream withthe mindset ofthe employe e Automate the Customer Service Process Such ERP helpsthe employee to give a consistent experienc etothe customer 6.EmployeOrganizatiBusinessManaginItNA. NA
12ERP ANALYSIS AND IMPLEMENTATION e Behavio ur on behaviour and culture are expresses through style, tone or character. Require ment g business process manage the behaviou ral, strategic and corporate manage ment (Kerzner and Kerzner, 2017). 7.Data Standard ization Itbring datainto common format andallow large- scale analytics, collaborati ve research and Business Drive Database Managem ent Itwill manage the personal dataof the customer and store informati on on the database Usable Formatof storing business data Thiswill improve the experienc eofthe customer
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13ERP ANALYSIS AND IMPLEMENTATION provide toolsand methodolo giesthat are sophisticat ed 8.Sales Inventor y It generally suggest company tosellof the inventory Business Drive Sales Process It set the process to convert the customer prospecti ve. It has its impact onthe sales manager with their teamto sellthe product. Cost reduction Customer service capabiliti escould be increase by giving more budget free environm ent
14ERP ANALYSIS AND IMPLEMENTATION 9.Manufac turing Inventor y The goods, partsor materials wouldbe required to perform the process in stock. Business Drive NANASupply Change Manageme nt It streamlin esupply chain managem entwere thedata areused. Products are manufact uredand delivered tothe customer in a more reliable way 10.Custome r Satisfacti on It need the opinion and feeling aboutthe customer to Business Require ment Customer Relations hip Managem ent It provides the company a strategy and Reliability inIT Infrastruct ure Itwill havea greater “uptime” and “downtim e”.It
15ERP ANALYSIS AND IMPLEMENTATION understan dtheir needand builta customer satisfactio n objective. technolo gythat could manage and analyse the interactio nofthe customer ensure proper collection and operation of data. In the context of implementation of services in any organisation, several involvement of challenges and issues imposes a negative impact in the organisation’s wellbeing. These associated risks are required to be avoided at any instance (Powers et al. 2017). The risks are something that cannot be avoided or eliminated but can be mitigated with the help of certain structural guidelines and a risks management plan that discusses the impact and likelihood of those risks and sorts them accordingly. With the help of a risk management plan, one organisation is aware of the upcoming risks and are able to take actions accordingly. Process of Software Selection SAP Business Suite 4 SAP HANA is one of the newest implementation software to be found in the world of business and commerce. One ERP software integrates technology into the hardware of the system with the help of this dedicated business suite (Pattanayak 2017). As mentioned in the case of CLNRecycle Ltd. A lot of challenges are being faced by the company in the implementation of the processes since it lacks an effective way of resource and planning (May, Böhm and Lehner 2017). This is the same reason the company is being
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16ERP ANALYSIS AND IMPLEMENTATION subjected to a lot of risks. This business suite will aim at providing effective solutions to counter the present challenges in the system. Moreover, the software intends to provide solutions with a sophisticated 3-tier model. This 3-tier model will help the company to meet the marketplace requirements, imperatives of the organisation, imperatives of the business, cultural imperatives, develop the employee mind-set and the behaviour, improving sales inventory, improving customer satisfaction, improving manufacturing inventory and ultimately meet the customer satisfactions. As the business suite provides these solutions, it is recommended for the company to select this software. If seen closely it will be seen that the SAP S/4HANA stores the effective insights of the customers and also helps in the collection of the performance metrics to make the decisions and meet the need of the organization. In addition, it helps in improving the overall planning of the company with the development of their strategy. The application services provided by the business suite has a row store database with full in-memory column that do not support the requirement of OLAP and OLTP. It will help in the automatic compression of data and optimally store them to be used alter using different tiers of storage that incorporates some of the sophisticated guidelines and strategies that is based upon the support of data ageing. Investigation to new solutions The solutions provided by the Ariba, Concur Technologies include some of the solutions that will be beneficial for the CLR company in increasing the effectiveness of their services in the market. Some of the solutions provided by the Ariba, Concur Technologies are supplier management, strategic sourcing, solutions for direct spend, procurement, financial supply chain and the platform solutions. The supplier management, strategic sourcing, procurement,
17ERP ANALYSIS AND IMPLEMENTATION financial supply chain and the platform solutions are required by the CLR solutions to foster in the fglobal market. The solutions provided by the Calliduscloud includes some of the solutions that will be beneficial for the CLR company in increasing the effectiveness of their services in the market. Some of the solutions provided by the Calliduscloud are lead to the money, sales performancemanagement,salesexecution,salesenablementandlearning,customer engagement along with revenue and billing. All the solutions offered by the Calliduscloud meets the necessities of the sales domain of the CLR Company. A waterfall methodology should be implemented in order to effectively bring in the new changes to the organisation. Risk Management Plan Nameof the issues Descripti on Source/ Cause(not morethan 3foreach risk) Likeli hood Impac t Ratin g Mitigation (nomore than2for each risk) Referen ce 1-Lack oftop managem ent support Proper allocation of the resources are not done by the CLR managem Disrupte d commun ication Inadequ ate resource s Mediu m to Low ServerSignifi cant Developi ng a proper commun ication plan Predictio n of the Owusu- Manu, D., Addy, M.N., Agyeku m,K., Aidoo,
18ERP ANALYSIS AND IMPLEMENTATION entChang in the prioritie s funding process C.and Okide, C., 2017. Explorin gthe critical success factors ofthe built environ ment consulti ng firms in Ghana. Internati onal Confere nceon Infrastru cture Develop mentin
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19ERP ANALYSIS AND IMPLEMENTATION Africa. 2- Lack of standardi zation in the operation al activities The manufact uring, sales and the inventory are not standardi zed. Lack of scalabilit y in the IT systems Lack of scalabilit y in the IT systems High to mediu m Operat ions Distin ct Impleme ntation of an effective ERP system Proposin g a policy of operatio nal standard s 3- Lack of customer valuation Potential loss in the customer base Imprope r manage ment of the services. Insensiti ve manufac turing of products HighManag erial VividImprovi ng policies for valuatio nof custome rs Decreasin gthe carbon
20ERP ANALYSIS AND IMPLEMENTATION emission and environm ental footprint. Change Management Plan The Change Management plan provides activities and roles through which changes could be manage and control during the stage of execution and control. Changes provide a detail description for the scope, schedule, plans and budget that could manage the quality, issues, risk and change (Sammer et al. 2017). In the Change Management Plan, the CEO, BoDs, employees, manager, customers and stakeholder are involved. One of the problem with the CRL is that it has an old system of ERP implementation which need to be change. Change Management plan is crucial for the ERP success. As in the recommendation section two ERP software are provided of which one of the model will be used by the ERP system. For the company it is suggested to implement the SAP Business Suite 4 SAP HANA as the change management model. The strength of SAP Business Suite 4 SAP HANA is to bring all the data of the enterprise in to real-time decision making. It will help in making decisions smarter, faster and better. It has a 360-degree view of the business operations for the integration of data modelling (Siebel et al. 2018). It accelerates the performance of the business that could reduce the total cost of ownership. The weakness of SAP Business Suite 4 SAP HANA is that it takes away the flexibility as there is no migration for the standard RDBMS. It has not point-in-time recovery (PITR) as
21ERP ANALYSIS AND IMPLEMENTATION data get deleted accidentally. 4.Overall summary As the company is growing, there is a need of the standard operations in the sales, manufacturing and inventory activities. The scalability and flexibility lack the IT systems that support the growth of the new markets for the coming decades. Today the current systems of IT have analysed the need of data standardization for the profitability and costs of different products for the customer. The SAP Business Suite 4 SAP HANA is selected as a new ERO software for the company to face the challenges. Thus, there will be new implementation of the ERP system for the company. There have been provided with the change in the plan of implementation of the ERP system. The risk management table has provided the list of information about the lack of top management support, standardization in the operational activities and customer valuation.
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22ERP ANALYSIS AND IMPLEMENTATION 5.Recommendations It is recommended for the company to use the market suggested software namely the two ERP solutions that are suitable for CLR. 1)SAP Business Suite 4 SAP HANA: It is a new business suite that has been officially announced by SAP in the year 2015. This is the new technology in the Hardware which has a massive power of processing. It reimagines the business as S/4HANA is built natively on SAP HANA. The new SAP S/4HANA successively replaces the old code line in relation with the new code line. It allows the partners SAP and customer developer to maximise and explore the benefits of in-memory database technology. S/4HANA has a built in capabilities with SAP HANA. SAP HANA provide many application services built in 2-tier model instead of 3-tier model. SAP HANA has got in-memory engines that are native providing real time data. SAP HANA has a row store database with full in-memory column which do not support the requirement of OLAP and OLTP. By using automatic compression data are stored optimally and manage on different tiers of storage which has some strategies to support data ageing. 2)SAP ECC6: It is the upgraded version for SAP ERP periodically. It stands for Enterprise Central Component. It is the recent version among the SAP ERP software. It provides an end-to-end support of the software for the manufacturing businesses. It helps to determine the SAP components and upgrade the challenges and pitfalls faced during the process. The SAP ECC6 would make the user aware of the benefits of the ERP upgrade. With regard to the finding done of the current situation and the software process that is being used are selected over here. Among both the software the SAP Business Suite 4 SAP HANA is chosen and provide to the BoD and CEO.
23ERP ANALYSIS AND IMPLEMENTATION References Alles, M., Brennan, G., Kogan, A. and Vasarhelyi, M.A., 2018. Continuous monitoring of business process controls: A pilot implementation of a continuous auditing system at Siemens. InContinuous Auditing: Theory and Application(pp. 219-246). Emerald Publishing Limited. Kerzner, H. and Kerzner, H.R., 2017.Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons. Lam, J., 2014. Enterprise risk management: from incentives to controls. John Wiley & Sons. May, N., Böhm, A. and Lehner, W., 2017. SAP HANA–The Evolution of an In-Memory DBMS from Pure OLAP Processing Towards Mixed Workloads.Datenbanksysteme für Business, Technologie und Web (BTW 2017). Owusu-Manu, D., Addy, M.N., Agyekum, K., Aidoo, C. and Okide, C., 2017. Exploring the critical success factors of the built environment consulting firms in Ghana. International Conference on Infrastructure Development in Africa. Papke-Shields,K.E.andBoyer-Wright,K.M.,2017.Strategicplanningcharacteristics applied to project management.International Journal of Project Management,35(2), pp.169- 179. Pattanayak,A., 2017. SAP S/4HANAEmbeddedAnalytics:An Overview.Journal of Computer and Communications,5(09), p.1. Powers, M.A., Bardsley, J., Cypress, M., Duker, P., Funnell, M.M., Fischl, A.H., Maryniuk, M.D., Siminerio, L. and Vivian, E., 2017. Diabetes self-management education and support
24ERP ANALYSIS AND IMPLEMENTATION in type 2 diabetes: a joint position statement of the American Diabetes Association, the AmericanAssociationofDiabetesEducators,andtheAcademyofNutritionand Dietetics.The Diabetes Educator,43(1), pp.40-53. Sammer, L., Hetzer, S., Wiechers, V., Boehm, F., Schwarze, P. and Wassiljew, I., SAP SE, 2017.System for business suite and network integration. U.S. Patent 9,536,213. Siebel,T.M.,Abbo,E.Y.,Behzadi,H.,Coker,J.,Kurinskas,S.,Rothwein,T.and Tchankotadze, D., C3 Iot Inc and C3 Lot Inc, 2018.Systems, methods, and devices for an enterprise ai and internet-of-things platform. U.S. Patent Application 15/890,867. Souca, M.L., 2014. Customer dissatisfaction and delight: completely different concepts, or part of a satisfaction continuum?. Management & Marketing, 9(1).