ERP Integration in Business Process Management of Woolworths, Australia

This study discusses the process of ERP integration in Business Process Management of Woolworths, Australia. Cost-benefit analysis for integrating ERP with BPM at Woolworths is investigated in this report.

Running head: BUSINESS PROCESS MANAGEMENT
Business Process Management
(Woolworths, Australia)
Name of the student:
Name of the university:
Author Note

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Executive summary
In this study, the process of ERP integration in Business Process Management of Woolworths,
Australia is discussed. Different scopes to develop to analyze their commercial packages are
demonstrated here. Moreover, conducting of cost-benefit analysis for integrating ERP with BPM at
Woolworths is investigated this report.

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Table of Contents
1. Introduction:......................................................................................................................................3
2. Identification of ERP options combined to BPM of Woolworths:....................................................3
3. Process, tools and criteria used to analyze ERP options:..................................................................3
4. ERP supporting business requirements of Woolworths:...................................................................4
5. Effect of technology development in Woolworths:...........................................................................5
6. Opportunities or development in analysing commercial packages:..................................................5
7. Cost-benefit analysis to integrate ERP with BPM:............................................................................5
8. Ways in which Woolworths handle implementation of ERP:...........................................................6
9. The handling the above implementation:..........................................................................................6
10. Consideration of life-cycle every time:...........................................................................................6
11. Conclusion:......................................................................................................................................7
12. References:......................................................................................................................................8

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1. Introduction:
ERP Systems has been merging critical operations of an organisation into a single software
system. In business, it helps in customer relation, human resources, distribution and manufacturing
departments.
The report includes identification of ERP options integrated with the business process
management for Woolworths Group Limited. This is a famous company in Australia, having a local
interest in Australia and New Zealand. ERP systems, supporting business requirements of
Woolworths are analysed here. Further, opportunities to improve to evaluate commercial packages
and conducting of cost-benefit analysis to integrate ERP with BPM are examined.
2. Identification of ERP options combined to BPM of Woolworths:
BPM has come up with related software and provides a paradigm of methods in which things
are to be done. There are ways to consider guidelines, activities, tools and ideas from BPM and
include them in ERP implementation (Altamony et al. 2016). Change in a process is stated as the
most critical issues causing problems in implementing. ERP workflow process shows some degree
of flexibility for process change. In the real implementation modifications to systems and then
subsequently business processes are done.
3. Process, tools and criteria used to analyze ERP options:
Process Tools Criteria
Examining and documenting
present practices and
procedures for understanding
This includes, project
management, planning project
charter, collecting business
This consists of preparation of
business process designs
through mapping with standard,

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principle business factors. This
also includes collecting
business transactions and
volume of data from a future
business model
requirements (Kerzner &
Kerzner, 2017). Further, it
provides process summary and
mapping, conducting gap,
effect analysis, determining
audit and control necessities
identifying gaps in an
application.
4. ERP supporting business requirements of Woolworths:
The support of the ERP system is analysed hereafter with its various relations.
Supply chain Integration of supply chain managing with ERP would help in
distributing and manufacturing of Woolworths to achieve higher
visibility on every operation.
Logistics This covers the execution of supply chain of ERPM and different
logistics functionalities. This also involves supply chain
application about material management, sales and various
distributions ("ERP System and Business Process", 2018).
Procurement This is done by automating procurement processes, purchase
planning, strengthening supplier relationships, boosting profit
margins and developing customer satisfaction.
Performance monitoring This is done through automated application management,
enterprise resource planning applications and customizing
applications (De Wet, 2016).

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5. Effect of technology development in Woolworths:
Woolworths has pursued Australia’s one of the most significant scale IoT or Internet of
Things projects. They have installed sensors across their supply chain. To gain profit from every
data collected from IoT, ERP needs to provide real-time data, intelligent and flexible. IoT would
enable ERP systems to connect to things, data, processes and people in a smart way (Leon, 2014).
This can allow new business models and create better decisions. This would process more data with
Woolworths and can handle a considerable quantity of data.
6. Opportunities or development in analysing commercial packages:
First of all the branding must be improved. With brand awareness, it can be found out
whether customers are familiar and aware. Then competitive comparisons are to be made, and
personifications are to be determined regarding how customers relate to Woolworths’s brand. Next,
the customers are to be understood better. For this a cost-benefit analysis assimilating BPM and ERP
is to be conducted and how Woolworths has handled planning for implementation (Ptak &
Schragenheim, 2016).
7. Cost-benefit analysis to integrate ERP with BPM:
Firstly, this can be done with ROI or Return on Investment. This is calculated by dividing the
cumulative total of the future cash flow of taking by the investment made initially. Next, it can be
determined through the rate of interest rate equates the present value of future returns to the outlay of
investment (Kurbel, 2016). In other words, this specifies the percentage of recovery that Woolworths
will receive on their initial investment over the upcoming five years. Here, this resulting amount,
also known as PVIF or “Present Value Interest Factor” shows the corresponding percentage of
interest.

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8. Ways in which Woolworths handle implementation of ERP:
This is done by participating in ERP software selection, reviewing BPM. They must
determine what Woolworths would perform about gaps between necessities and system abilities.
They should engage in learning the legacy system phase-out approach (Tian & Xu, 2015).
9. The handling the above implementation:
Woolworths has dealt with this through outsourcing it. They have taken a myopic of ERP
implementation, with software specific technical and functional expertise. Moreover, it has been
helpful to conduct a gap analysis regarding the skills needed for successful ERP implementation and
calibre of different internal skills and competencies comprised in-house ("BPM-Business Process
Management in Priority's ERP Solution", 2018). Here the most significant gaps are those that
Woolworths has most likely required to outsource to ERP consultants. Besides defining roles and
responsibilities are primary features of ERP implementation planning process before starting
deployment (Antero, 2015). Besides, Woolworths has identified project management, business
process re-engineering, organisational change management are the primary instance of business
skills. These are lacked and are highly necessary for the overall success of their project.
10. Consideration of life-cycle every time:
Conventionally, automation of business process through workflows has indicated automated
processes. This is taken to the next step through business process management. This is about
constant business process development. Besides automating the process, Woolworths has captured
the process structurally (Shen, Chen & Wang, 2016). This process improvement cycle is repeated
continuously during the process lifecycle. This gives rise to a culture of constant process
development is there to organisations in a structure and simple use way.

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11. Conclusion:
Woolworths has needed their set of business process management. These have not been
systematised. The reason is that the method has comprised of various tasks moving from people to
people and thus it has turned complex. This is to gain a holistic view of the overall process. The
study has shown that integration of ERP in BPM for Woolworths is a complicated process to fir
business process, software and hardware altogether for enabling business solutions. Here the
organisation has needed to put emphasis shift from systems to context, different seamless interfaces
through components, data sharing and systems working altogether in a productive synergy.

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12. References:
Altamony, H., Al-Salti, Z., Gharaibeh, A., & Elyas, T. (2016). The relationship between change
management strategy and successful enterprise resource planning (ERP) implementations: A
theoretical perspective. International Journal of Business Management and Economic
Research, 7(4), 690-703.
Antero, M. C. (2015). A Multi-case Analysis of the Development of Enterprise Resource Planning
Systems (ERP) Business Practices. Morten Friis-Olivarius The Associative Nature of
Creativity.
BPM-Business Process Management in Priority's ERP Solution. (2018). Retrieved from
https://www.youtube.com/watch?v=CNi96GGYNdo&feature=youtu.be
De Wet, M. (2016). A study of the relationship between Enterprise Resource Planning
implementation and Change Management within a company in Southern Africa (Doctoral
dissertation, Stellenbosch: Stellenbosch University).
ERP System and Business Process. (2018). Retrieved from https://www.youtube.com/watch?
v=gcsO20DgzY0&feature=youtu.be
Kerzner, H., & Kerzner, H. R. (2017). Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Kurbel, K. E. (2016). Enterprise resource planning and supply chain management. SPRINGER-
VERLAG BERLIN AN.
Leon, A. (2014). Enterprise resource planning. McGraw-Hill Education.

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Ptak, C. A., & Schragenheim, E. (2016). ERP: tools, techniques, and applications for integrating the
supply chain. Crc Press.
Shen, Y. C., Chen, P. S., & Wang, C. H. (2016). A study of enterprise resource planning (ERP)
system performance measurement using the quantitative balanced scorecard
approach. Computers in Industry, 75, 127-139.
Tian, F., & Xu, S. X. (2015). How Do Enterprise Resource Planning Systems Affect Firm Risk?
Post-Implementation Impact. Mis Quarterly, 39(1).