PaceMK PLC Enterprise System Assignment: Data Structure and Transition

This assignment analyzes the enterprise system of PaceMK PLC, a company that manufactures pacemakers. The student explores the company's growth strategy, which involves introducing new pacemaker models and the associated data management challenges. The assignment recommends the SAP business suite, specifically SAP Product Life Cycle (PLC) and Enterprise Resource Planning (ERP), to optimize operations. It details the SAP Enterprise Structure, including client, company code, personal area, and personnel subarea, as the recommended data structure for PaceMK. The assignment also presents a 'Destiny Application Landscape' and discusses the data needed from SAP for this future landscape, including data from legacy applications and new data from the advanced pacemaker models. Finally, the assignment compares the 'Big Bang' and 'Phased' approaches for transitioning from the legacy application landscape to the Destiny application landscape, recommending the phased approach for PaceMK PLC due to its lower risk profile and alignment with the company's five-year growth plan.

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ENTERPRISE SYSTEM ASSIGNMENT
by Student’s Name
Code + Course Name
Professor’s Name
University Name
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Date
Word count: 2190 words

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Enterprise System Assignment
SAP Organizational Data
Introduction
The strategy of enhancing growth through the introduction of the six new models of pacemakers
is an instrumental growth strategy for the PaceMK Company. However, as the company aims to
grow and expand its revenue, there will be a huge influx of data that the company has to deal
with at all times. The company must, therefore, adopt a stable data structure that will enable all
the critical functions of the organization to be highly optimized and the information to be shared
effectively (Stouten, Rousseau, and De Cremer 2018). Research reveals that organizational data
structure has a positive impact on the general behavior of the organization. The organizational
data structure can influence the organizations' measure of performance, such as the speed of
operation or the profitability of the organization (Grossman and Siegel 2014). PaceMK PLC will,
therefore, have to settle for the most effective data structure to optimize its operations and to
enhance the traceability and sharing of vital information needed to monitor and improve the
performance of the pacemakers.
SAP applications suite
With the help of technology, it is much easier to adopt data structures that are efficient and
highly effective for the organization (Satyanarayana 2015). The SAP business suite is a perfect
business application that will help PaceMK to adopt the best data structure. The SAP business
suite contains applications that will be effective in enhancing collaboration, integration of
information and organization processes, scalability, and industrial-specific functionality. For
pack, the SAP Product Life Cycle (PLC) and the SAP Enterprise Resource planning (ERP) is the
best SAP product that the company should adopt as it strives to maximize its revenues (Simion
2009). Considering SAP PLC is a good option because product lifecycle management relates to
the whole lifecycle of a given product right from the time of its inception, design, and
manufacture to disposal of the end product.
SAP Product Life Cycle will, therefore, help the organization to effectively monitor the
pacemaker's right from the time of their manufacture up to the time when they are removed from
the clients despite the increase in complexity of data. The SAP ERP is also an essential
consideration because enterprise resource planning is responsible for the major organization
process that takes place in real-time while dictated by technology and software development

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(Wagner, Weidner, and Tracy, 2009). The adoption of SAP ERP will, therefore, enable the
organization to monitor its data on various functional processes right from manufacturing,
plantation of the pacemakers, and operation in the clients' body.
Data structure
The SAP Enterprise Structure
The enterprise structure has for main components, which include the client, company code,
personnel area, and personnel subarea.
Client
The clients appear at the top of the enterprise structure in an SAP system, and it contains a set of
master data. Clients have independent data sets, and the data that the organization maintains at
the client level is accessible and valid to the other levels of the organization. For instance, for
PaceMK, the possible data that can be maintained at the client level include the heartbeat rate
and the duration which the pacesetter takes in the body before it is removed.
Company code
The company code can be considered to be an independent accounting unit, and it may be
regarded as a legal entity on its own. The company code is labeled using four-character
alphanumeric codes.
Personal area
The personal area is a representation of the sub-division of a given company code that is also
identified by four alphanumeric codes. The personal area has to be assigned to the company code
and is highly vital in authorization checks.
Personnel subarea
The personnel subarea level is a representation of the personnel area that is also identified by
four alphanumeric codes in the SAP system.
Reasoning for recommendation
The SAP Enterprise Structure is the best data structure that PaceMK can adopt to enhance
maximum accountability of its complex data following the introduction of the new pacemaker
models. The enterprise structure integrates best with the SAP ERP system. The enterprise
structure is, therefore, an excellent organizational data structure for PaceMK because the SAP
ERP system is a recommended system for the organization.

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Diagrammatic representation of organization data for PaceMK in the SAP applications suite
PaceMK clients 900
Loss Angeles, USA
PaceMK PLC
Penang, MalaysiaEdinburg, UK
USA
0001
Canada
0002
Latin
America
0003
Caribbean
0004
Europe
0005
Middle
East 0006
Africa
0007
Asia
Pacific
0008
Japan
0009
Client Company code Personal area Personal area

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‘Destiny’ Application Landscape
The destiny application landscape will define future applications that will be utilized at PaceMK
PLC. The hybrid approach sheds some light on the possible systems and processes that will be
included in future applications. Therefore, the skeleton of the destiny application landscape will
include the SAP enterprise applications, the pacer, pulse, and fulcrum, which are all
representations of different processes and systems. Below is a simple diagrammatic overview of
the components that make up the destiny application landscape for the future.
Destiny Application Landscape
PACER
SAP enterprise application
PULSE FULCRUM
Monitoring
system
MR-Conditional
pacing system
Automatic system
evaluation

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Data needed from SAP
For the PACER; the overall global system for PaceMK PLC, to work effectively it will need
specific data from the SAP enterprise applications to effectively enhance the success of destiny
future landscape. The data that will be captured in the SAP enterprise application includes the
initial data that was captured in the legacy application and other new data that are attributed to
the new pacemaker models. The data from the legacy application that will still be captured
include data on the number and type of pacemakers manufactured, serial numbers of the
pacemakers, information regarding the manufacture of all the pacemakers as well as their
movement from the suppliers, patients and back. The information regarding the surgeons who
implant the pacemakers in the patient bodies and the hospitals which the procedures are carried
out also forms part of the data which will be included in the SAP enterprise application (Chen et
al. 2013).
The new data that will be included in the SAP enterprise application, which will distinguish the
destiny application landscape from the legacy application landscape. Some of the data that the
new pacemaker models will track include data on device function as well as the patient health
status. The data on device functionality and patients’ health is large because it is collected on a
daily basis (da Silva at al. 2013). The new pacemakers will have remote monitoring systems
which will enable the devices to monitor their own functions, take note of the arrhythmias, and
share the information directly to the health providers responsible for the patient (Olshansky and
Hayes 2016). Other systems of the new pacemaker models will measure and track the heart rate
variability footprint, respiration, heart rate trends and autonomic balance (Wainscot Media,
2020). The complexity of the data increases with the increase in systems supported by the
pacemakers.
The Transition from Legacy to the Destiny Application Landscape
Transitioning from legacy application landscape to the Destiny application landscape is an
instrumental move for PaceMK PLC. Indeed, the new application landscape has to adopt if the
company has to succeed with its five years growth plan. The new application landscape will
enhance the performance of the new systems and processes that will be introduced when the new
models are launched. However, an important consideration that PaceMK PLC has to consider is
the strategy of moving from the legacy landscape to the Destiny landscape. There are a number
of considerations that the company may consider to enhance the effective transition from the

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traditional application landscape to the modern one (Khanna and Arneja 2012). However, the
two main options that the company can consider are the ‘Big Bang’ approach and the Phased
approach.
‘Big Bang’ approach and the Phased approach
Both the ‘Big Bang’ approach and the phased approach are instrumental approaches of
transitioning from one system to the other. They are both used to describe Enterprise Resource
planning strategies that organizations employ from time to time (Madkan 2014). The ‘Big Bang’
approach is used to describe an approach where the organization plans to make the transition
switches from the old application landscape to the new one within a single point of time (Sims
2012). However, as opposed to the ‘Big Bang’ approach, the phased approach prefers moving
from the old landscape to the new one in a planned sequence where the old system is replaced
gradually.
Benefits, Limitations and Risks of a ‘Big Bang’ Approach vs. a Phased Approach
In terms of cost, the big bang approach is more effective compared to the phased approach (Sims
2012). That is if PaceMK PLC adopts the big bang strategy the company will spend less in
transitioning from the legacy application to the destiny application layout. The phased approach
takes longer to achieve full transition meaning that more time has to be spent in the transition
process, and this eventually results in higher costs. However, the cost of transition cannot be
considered as an independent factor determining the decision of PaceMK PLC or other
organizations (Sims 2012). Other fundamental factors such as the ability of the organization to
cope with the changes affect the influence of the cost on the transition decision
The decision on which approach to go with also depends on the level of risk that the organization
is willing to take. PaceMK PLC is planning to make a significant step towards growth, and it
may be important for the managers of the company to be risk-averse (Elsaid, Okasha and
Abdelghaly 2013). The big bang approach has a higher level of risk compared to the phased
approach. Transitioning using the big bang can result in negative effects in case there is a failure
in one part of the application landscape (Dadfar, Schwartz and Voß 2012). For instance, if the
monitoring systems fail to work as expected, it may be difficult to make the necessary correction
to enhance the performance of the new application landscape. Again, carrying out an end to end
system testing may be quite difficult hence reducing the chances of the success of the new
landscape program (Nguyen 2011). That means that if PaceMK PLC adopts the big bang, it may

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not test all facets of the program to ascertain if they are both working effectively (Dunaway
2012). Such disadvantages can have an adverse effect on the performance of the organization
and may bar it from effectively achieving the five-year growth objective.
Recommended approach
The best approach for transitioning PaceMK PLC from the legacy application landscape to the
destiny application landscape is the phased approach. The fact that the company growth plan is
spread through five years is an instrumental strategy of ensuring that the organization is able to
systematically introduce the new systems and confirm that they are working effectively (Skripak
2016). The company will probably spend more compared to if it was utilizing the big bang
approach. However, the company understands the importance of investing heavily in the change
process because it has invested about 85 million Euros within three years to help with the change
strategy. Again, although the approach may take more time, it will reduce the chances of failure
for the organization (Sosa and Mihm 2017).
A phased approach can either be on the basis of function, geography, product, or through a
combination (Hanh 2017). Functional phasing involves systematically adopting the new
application landscape by considering the functional aspects of the organization. Geographical
phasing involves making systematic changes based on the geographical operation of the
organization. Product phasing, on the other hand, refers to transitioning the company application
landscape while considering the changes in products in all the markets (Loorbach and Rotmans
2010). For instance, if the company decides to introduce one new pacemaker model at a time
throughout its entire manufacturing model, then the transitioning is called product phasing.
For PaceMK PLC the geographic phasing is the best phasing strategy. The company has three
main manufacturing operations located in Los Angeles, Edinburgh, and Penang. Therefore, if the
organization settles on geographic phasing, it can start by implementing the system change in
one of the geographic region such as the Asia Pacific and Japan region. The Asia Pacific and
Japan region is relatively small and gives the organization the opportunity to effectively
implement the destiny application landscape as it monitors its performance (Hanh 2017). If the
new landscape proves to be effective in the Asia Pacific and Japan region the organization can go
forward and implement it in another geographic location such as the USA, Canada, Latin
America and the Caribbean geographic region whose manufacturing activities take place in Los
Angeles region.

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Conclusion
In summary, PaceMK PLC is planning to adopt a five-year plan strategy by introducing six new
models of pacemakers which will sell as a higher price than those that are already in the market.
To succeed with its growth objective, the company is adopting a hybrid approach to its future
systems and processes. The SAP organizational data and the destiny application landscape are
part of the hybrid approaches that the company will utilize to achieve its goals. It will also be
important for the organization to consider using the geographic phasing approach to enhance the
transition from legacy to destiny applications’ landscape.

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