Comprehensive Analysis of ERP System Implementation and Pain Points

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This report analyzes the implementation and use of an Enterprise Resource Planning (ERP) system within a company that manufactures electronic products. The company utilizes SAP ERP software to manage its business processes, including finance, manufacturing, and marketing. The report highlights the benefits of the SAP system, such as centralized data management and real-time information access, and its role in increasing productivity and reducing costs. The analysis further explores the integration of business processes and the use of SAP's HANA platform and cloud services. The report also identifies pain points within the current ERP system, such as complexities in data analysis, difficulties in data searching, configuration issues, and implementation interruptions due to customizations. The conclusion emphasizes the effectiveness of the SAP ERP system despite these challenges, underscoring its importance in managing business transactions and processes. The report also suggests the use of the Internet of Things to improve supply chain management and data accuracy.
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Running head: ENTERPRISE RESOURCE COMPUTING
ENTERPRISE RESOURCE COMPUTING
Name of Student
Name of University
Author Note
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1ENTERPRISE RESOURCE COMPUTING
Table of Contents
Introduction................................................................................................................................2
Integrated Business Process.......................................................................................................2
ERP software:.........................................................................................................................4
Pain Points:.............................................................................................................................5
References..................................................................................................................................7
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2ENTERPRISE RESOURCE COMPUTING
Introduction
ERP system or software is an application used in larger enterprises (Jagoda &
Samaranayake, 2017). When an ERP system is used in an Organization, the managing of the
business activities gets easier because of its better management service (Bahssas, AlBar &
Hoque, 2015). Integrated Business Planning includes the process for business planning which
helps the organization to allocate the resources to earn profit as well as provide the best
services to the customers.
Integrated Business Process
Figure: Integrated Business Process Diagram
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3ENTERPRISE RESOURCE COMPUTING
Characteristics:
This company deals with electronic products, which focuses on producing best
products to gain the highest profit. Whatever products or services exist in the market, this
company always tries to add more features beating the simplicity and releases new electronic
products so that the demand gets an increase. The business processes that are involved in this
Company are revised periodically. Different products have a different lifecycle and relevant
costs, so accordingly, the reviewing of business processes are done. New releases are the
main objectives of this organization by developing the designs according to the demands of
the consumers.
The services that are involved in this Company are the process of designing,
manufacturing services, and marketing. Finance, internet, Research & Development, human
resources manufacturing and marketing are the business operations which are involved with
this Company. There are also functional sub-systems, and to operate those sub-systems, a
hierarchical arrangement to control the activities are created. The stores or outlets of this
Company are available in different regions which are America, Japan, Europe, Canada, and
the United Kingdom.
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4ENTERPRISE RESOURCE COMPUTING
ERP software:
This organization is the manufacturer of electronic products and uses the SAP ERP
software to manage the business. SAP refers to Systems Applications and Products in Data
Processing, which consists of integrated modules that serve various features of business
management. The SAP software serves a centralized system which helps to acquire the real
time information of all the departments (Faerber et al., 2015). As there is involvement of
various business processes, the SAP ERP software is being used to control all the processes
which lead to maximize the productivity, amplify the profits, serve better quality products
and reduces the costs of the material. The SAP software also assists the processes in
preventing the duplication and redundancy in the data which the system work efficiently.
While interviewing various employees of the IT department regarding the ERP software,
benefits, usage period and other ERP relevant question, it has been found that this company
have decided to use the SAP around three years ago to make the revolutionary change for the
enterprise. The HANA platform of the SAP software assisted in launching innovative
products and which led to an increase in business transactions. The cloud platform that is
provided by the SAP, serves a secured platform for smart devices and also helps in improving
the services.
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5ENTERPRISE RESOURCE COMPUTING
The SAP software system has been chosen for this company as this has the cutting-
edge capabilities to serve innovative technologies to the customers. The SAP HANA
platform of Cloud helps the designers and developers to serve seamless experience for the
consumers (Missbach et al., 2016). Oracle ERP system was chosen previously, but it was not
as advanced and secured as the SAP ERP (Ram, Corkindale & Wu, 2015). Due to its
exclusive features and excellent capabilities, the IT department has decided to use this in
upcoming years, as this has helped in amplifying the business transactions, which is quite
beneficial for the company.
For the primary ERP system the SAP ERP software has been chosen for managing the
business processes; hence, there is no requirement for any changes in the ERP modules.
Moreover, the Internet of Things can serve better supply chain to the manufacturer; therefore,
this can be used to amplify the business potential of the organization (Kiel, Arnold & Voigt,
2017). The Internet of Things can expand the data availability with accuracy, which can assist
in improving the service, forecasting and apply business intelligence.
Pain Points:
The pain points of the existing ERP system which are needed to be fixed very soon.
Using SAP ERP systems, evaluation of the raw data or information is getting complex
as a result accuracy of the business suggestions are getting affected. Therefore
complexity of Data model is need to be improved.
This manufacturing company deals with huge volume of data for which SAP ERP
was acquired and because of this huge volume of data searching for specific
information is getting difficult such as order details of a particular product.
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6ENTERPRISE RESOURCE COMPUTING
Configuration of the ERP system is facing problem because some of the applications
are different from the business system hence there is a requirement of rebuilding the
logic so that it matches with SAP data.
Because of too many customizations in the system issues are getting interrupted
during the implementation.
Because of huge data transactions identification of errors at initial point is difficult for
which integration platform is required for better service.
Conclusion
From the report, it can be concluded that there are various business processes included
within the company. The SAP ERP software is used to monitor the business processes of the
company in a better way. Despite of few weak points in the ERP system, SAP is better to use
because it serves better mitigation plan which have been discussed in the report. The relevant
costs and business transactions can be controlled efficiently with the help of SAP ERP
system.
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7ENTERPRISE RESOURCE COMPUTING
References
Bahssas, D. M., AlBar, A. M., & Hoque, M. R. (2015). Enterprise resource planning (ERP)
systems: design, trends and deployment. The International Technology Management
Review, 5(2), 72-81.
Faerber, F., Dees, J., Weidner, M., Baeuerle, S., & Lehner, W. (2015, April). Towards a web-
scale data management ecosystem demonstrated by SAP HANA. In 2015 IEEE 31st
International Conference on Data Engineering (pp. 1259-1267). IEEE.
Jagoda, K., & Samaranayake, P. (2017). An integrated framework for ERP system
Implementation. International Journal of Accounting & Information Management,
25(1), 91-109.
Kiel, D., Arnold, C., & Voigt, K. I. (2017). The influence of the Industrial Internet of Things
on business models of established manufacturing companies–A business level
perspective. Technovation, 68, 4-19.
Missbach, M., Staerk, T., Gardiner, C., McCloud, J., Madl, R., Tempes, M., & Anderson, G.
(2016). Private Cloud Infrastructures for SAP. In SAP on the Cloud (pp. 185-213).
Springer, Berlin, Heidelberg.
Ram, J., Corkindale, D., & Wu, M. L. (2015). Examining the role of organizational readiness
in ERP project delivery. Journal of Computer Information Systems, 55(2), 29-39.
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