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Integrated Information System | Assignment

   

Added on  2020-03-16

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Integrated Information System Proposal 10/062017 3/15/2020Auburn WineCompany Integrated Information System Proposal of Auburn WineCompanyAuthors NamePage 0 of 10

Integrated Information System Proposal 10/062017 3/15/2020Auburn WineCompany Table of Contents1.1Background and Introduction about AWC.....................................................21.2Need for SAP.................................................................................................21.3IT Improvements with SAP............................................................................31.4SAP Implementation Process........................................................................41.5SAP Business Suite uses & applications......................................................61.6Utilization of Business Process re-engineering concept...............................71.7Training & Change Management Process....................................................71.8Competitive advantage..................................................................................82.0 References......................................................................................................10Authors NamePage 1 of 10

Integrated Information System Proposal 10/062017 3/15/2020Auburn WineCompany 1.1Background and Introduction about AWCAuburn Wine Company is a company that is situated in Clare which is operatedby three brothers as partnership established in 1994. The company is a winery shopthat is privately owned and has a Cellar Door. The Cellar Door is used to make most ofall the sales of Auburn Wine Company. In the year 200, the wine selling companystarted its selling of wine directly to all the customers and the local outlets. Two newshops of wineries were built in Barossa Valley and the other in Barmera. The capacity ofthe Auburn Wine company was also expanded from 255,000 barrels that was sold in2002 to an amount of 990,000 barrels in 2004 which was expanded to a great extend.The company added more additional capacities in next ten years. The current capacityof barrels that are sold by Auburn Wine Company is near about 2,486,000 barrels. Theshop that was opened in Barossa Valley was established in 2004 was very successful.A plat of glass bottle in Port Adelaide was built by the company in 2006 and also andadjoining warehouse was also built. The future plan of AWC (Auburn Wine Company)for next five to six years is to increase the capacity of the additional purchases of wineand by adding some additional capacity to all the wineries that already exited in thecompany. By 2020, the company plans to double its revenue size if all the plan goeswell. 1.2Need for SAPThe Auburn Wine Company is working for past twenty years and is the companyis growing significantly. The initial setup for the Auburn Wine Company has alreadyfinished and the company is now focusing to streamline all the processes that areinvolved in company. It also enables a high rate growth of the company. As the servicesand branches of Auburn Wine Company were increasing tremendously, it was facingdifficulties in managing the Information Technology (Powell 2013). So the company hasidentified the need of SAP as an Information Technology Tool that is very effectivewhich serves the needs that are related to the processes and the systems. Authors NamePage 2 of 10

Integrated Information System Proposal 10/062017 3/15/2020Auburn WineCompany 1.3IT Improvements with SAPThe software that is necessary which integrates the system of financialaccounting which manages the internal accounting is the Data Action Software in theAuburn Wine Company. This software is used to manage the internal accounting,invoicing and billing to customers who has different outfalls. The software is notintegrated with any other departments in Auburn Wine Company which provides lowintegrity of information and also increases the changes of errors (Hsu, Yen and Chung2015). The settlements and the tracking of all the payments receipts are done manuallyfor the customers. This decreases the accuracy and also the settlements are delayed ofthe accounts against all the payments. There is no integrated tracking of payments andreceipts to vendors and customers were available in the system that existed in theAuburn Wine Company. By using the SAP, the company will be able to enable all thepayments and receipts that are automatically done by the tool of SAP. The company does not have any international sales handling software whichprovides the company drawback in their expansion plan in future. The company is notable to keep a look on any of the international sales that were being expanded. But ifthe Auburn Wine Company uses the process of SAP, the company can keep an eyeover all the activities that are done in the international sales and live tracking can bemade by the marketing person and the sale force team of the company on their mobilephones or iPhones. This is done by Mobile SAP which enables to track the situation ofthe product and also control the inventory to give a tough competition in the market. The company also lacks the availability of the dunning procedure which delaysthe receipts of all settlement amounts. The company sends manual reminders to all itscustomers for the payments that are to be done. This drawback of the company canalso be removed by using SAP. Sap enables automatic reminders for the due paymentswhich will be sent to all the customers via fax or emails.The company has a procedure of net 30 terms of payment that are run byaccounts of large customers or the resellers. A charge of about 5.5% interest isimplemented to all the accounts of the customers or the resellers if there is a dueamount which lasts for more than 21 days. The company also pays a discount of 2percent if the payment is done within the seven days of the delivery. This procedure ofAuthors NamePage 3 of 10

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