Management of Information Technology

This presentation discusses the management of information technology, specifically focusing on the implementation of enterprise resource planning (ERP) systems in Walmart. It explores the benefits and risks associated with ERP systems and highlights the importance of process preparation and configuration. The presentation also covers the use of ERP in Walmart's center for distribution, planning and replenishment, vendor managed inventory, electronic data interchange, and concludes with the overall benefits of implementing ERP in a business.

MANAGEMENT OF INFORMATION
TECHNOLOGY
NAME OF THE STUDENT
NAME OF THE UNIVERSITY

ENTERPRISE RESOURCE
PLANNING:
 The enterprise resource planning (ERP) is such a
category of the software for the management of the
business.
 An organization can utilize for storing collecting and
managing data and information for the activities of
the business that is including the product planning,
service and manufacturing delivery, sales and
marketing, management of inventory, payment and
payment.

THE ERP SYSTEM

IMPLEMENTATION OF ERP IN
WALMART:
 The ERP systems could execute on the variety of the
computer hardware and the configurations of the
network and commonly it utilises the database as the
repository of the information of the company.
 It was observed by the company during the
implementation of the ERP systems that the ERP
scope commonly implies the significant alteration of
the work processes of the staff and the practices.

PROCESS PREPARATION FOR THE
IMPLEMENTATION OF ERP IN
WALMART The poor understanding of the required changes in the
process before the starting of implementation is the major
reason for the project failure and the company employed
the skilled workers for providing the required consulting
regarding the various aspects of the implementation
project.
 The major difficulties could be associated with the system,
the infrastructure, the business process, the training and
the lack of the motivation.

CONFIGURATION:
 The ERP vendors offers the customers with the
options of the configuration that allows the
organisation with the incorporation of their
respective rules of the business but frequently it
features the gaps still exists even afterwards the
configuration has been executed by the
organisation.
 The customers of the company have the various
options for the reconciling of the features gaps and
each of them consists of its own advantages and
the disadvantages.

BENEFITS FOR IMPLEMENTING
ERP:

MAJOR RISKS:
 The resource planning of the organization can be
said to be the inside corporate development
helping a firm settle on the decisions that are
speedy as well as noteworthy decline of the
operational cost of the business that are improved.
 The researchers have recognized that each of the
competencies have been made out of different
diverse concealed limits, which are also known for
controlling the rationalities and methods in order
for completing the express collaborations.

MAJOR BENEFITS:
 Fastened time for response
 Interaction that is elevated across the
organization
 Interaction between the customer that is
best
 Deliver that is faster in the time
 Better interaction with the suppliers
 Low level of inventory
 Best currency management

ERP FOR WALMART

CENTER FOR DISTRIBUTION:
 The center for distribution receive goods and
products from numerous suppliers and then the
goods are sorted according to fulfill the requirement
and demand of the several stores. Then the sorted
products are shipped to the suppliers.
 This system of distribution is known as Cross-
Docking. The process minimizes handling cost,
avoids inventory cost and there is nearly a 2-3%
reduction in the product cost

PLANNING AND
REPLENISHMENT:
 Wal-Mart has the Retail Information System
which provides visualization to the company
about real time availability of goods and
products in each of the stores.
 Wal-Mart practices collaborative forecasting
rather than demand forecasting

VENDOR MANAGED
INVENTORY:
 Wal-Mart will hugely benefit from EDI as it has
the capability to provide coordination and control
of the product. The system will also help in
scheduling of delivery and receiving of the goods
from suppliers.
 EDI ensures perfect delivery system for goods
and products, the goods reach at the right time
and at the right place. Wal-Mart is very particular
about stocking product in the distribution center;
they store it for a short time that is till cross

ELECTRONIC DATA
INTERCHANGE:
 Once cross docking takes place, the merchandise is
immediately shipped across to the stores. The
suppliers are given a stipulated time of four days to
get the product to the distribution centers.
 This strict rule imposed by Wal-Mart makes the
suppliers use third party logistic warehouse to send
the products to the distribution center on time

CONCLUSION:
 ERP model provides massive help in managing business
and easy automation of back office services and
functions. Implementation of ERP will prove to be
highly beneficial to company’s success in operations in
the new economy.
 ERP will help the organization will gain the desired
effect. To effectively measure the benefits of ERP, there
is a need to draw firm competency.

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