Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
Aspects of supply chain management
Aspects of supply chain management
Aspects of supply chain management
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: Aspects of supply chain management
SAP ERP System
Introduction
SAP is an acronym for systems, applications and products in data processing. It is an enterprise resource planning (ERP) software used in all kinds of businesses to control every aspect of the business processing. It is an IBM product which was developed in 1970s. It is used by many companies to manage logistics, business operations, human resources/payroll, reporting, order processing, planning of resources, etc. Earlier companies were using separate systems to handle general ledger, sales processing, production processing etc. The data was exchanged in order to generate management reports. But errors and inconsistencies existed when the data was interchanged and thereby, it skewed the management reports. Then, SAP ERP system were developed which was a fully integrated system. It eliminated the errors that existed between the systems. It is very beneficial in the corporate environment in terms of strategic planning, efficiency, reduced cost, and reduced complexity which is generally there in different processes. SAP has a well-established market that almost includes automobiles, chemical, furniture, consulting and software, healthcare, retail, oil and gas, etc. (Blain Jonathan, 1999).
Benefits of using SAP software
There are number of benefits of using ERP software such as SAP. But, there are certain conditions which help in achieving these benefits like education and training of the employees, people i.e. IT personnel, established metrics, resources, and responsible management who can discipline upon users and facilitate organizational learning. Staehr, L. B. (2012).
Integrated System
The most important thing about SAP software is that it is an integrated and more complete system in itself. It can ...
... middle of paper ...
...iveries. It helps to control and manage inventory.
SAP Production Planning (PP)
This module helps in the planning and managing the manufacturing activities of the company. It includes the sub-modules like sales and operations planning, product cost planning, and material requirement planning.
SAP Materials Management (MM)
This module manages the day-to-day business operations like purchasing, receiving, and storing of the goods.
SAP Quality Management (QM)
This module helps in managing the quality of the product and meet the product specification. It helps to maintain the standards across the processes in the company.
SAP Human Resources (HR)
This module helps in the process of hire to retire of an employee within the HR Department. It covers the employee’s performance, promotions, benefits, compensation, and payroll.
Conclusion
In today’s operational management arena, there are certain expectations from a managerial aspect that must be met in order to be successful. A comprehensive look at the Space Age Furniture Company will show exactly what the Materials Requirement Planning (MRP) calculations are for this company at present time and then take the information given in order to properly suggest ways to improve the sub-assemblies. In addition, there will be an analysis on the trade-offs between the overtime and inventory costs. A calculation will be made on the new MRP that will improve the base MRP. This paper will also compare and contrast the types of production processing to include the job shop, batch, repetitive, or continuous, and determine which the primary mode of operation should be and exactly why. A detailed description on how management can keep track of the job status and location during production will also be addressed. Finally, there will be a recommendation on they type of changes that need to occur that will be beneficial to the company and at the same time add value to the customer. This paper will conclude with summary of the major points.
Finance has continued to use legacy system to maintain general ledger. This SAP system integration made employees to enter all required information in the correct manner, so that they don’t have to correct the mistakes manually.
In order to retain its leadership position and continuing growing in the ceramics machinery industry, Keda refocused itself using a five year computerization plan, including the implementation of an Enterprise Resource Planning (ERP) system. Embarking on an ERP initiative was the correct issue for the organization to focus on considering the positive outcomes resulting from implementing SAP’s system.
A system integrated approach would improve the business process and hence enable the different functions to share information. It was clearly identified that the ERP deployment would benefit the company through all these elements. In the case, benefits of ERP adoption were not quantified but improved cost and better pricing strategy were discussed to justify the ERP project financially. It can be interpreted that ERP, leading to improved cost analysis, cost control, less redundancy, optimized production and better pricing, would result in low costs and hence higher profit for the company. Financial justification for the ERP adoption can also be inferred through the fact that it would lead to resolution of several problems which the company faces
Being presented with the problems in the implementation of the SAP ERP system, it is evident that Novartis Pharmaceuticals requires a comprehensive action plan that resolves key issues and the underlying problem. Refer to Exhibit A for a graphical representation of the action plan.
SAP AG is a German multinational software corporation that makes enterprise software to manage business operations and customer relations. Their most influential product is SAP which is an ERP system.
SAP meets the demand of financial institutions with features such as, high-volume transactional banking processes, customer relationship management, financial accounting, cost controlling, profitability, and risk analysis. SAP allows convenience for the firm to spot opportunities and also road bumps for development. In 2008, they also adapted Oracle’s Enterprise Content Management (ECM) Software to manage critical business documents and analyzing them into reports. Oracle offers a software with scalability, multiple outlets for support, and a user-friendly interface. The ECM benefits the firm through faster document reading, records management, and automated business processes.
Despite warnings from the vast majority of available implementation partners and other customers of the particular ERP package chosen, NIBO decided on implementing SAP in a “big bang” approach at all North American facilities (Brown, DeHaynes, Hoffer, Martin, & Perkins, 2012). While this technique contributed significant reductions in the timeline and cost of the project, it also introduced a tremendous amount of complexity, timing constraints, and need for change management. The “out-of-the box” approach minimized ABAP coding, reduced scope creep, and helped keep the project within the aggressive timelines; however, it
Pros of Glosap’s business application modernization • Cost-effective transformation of out-dated, expensive to manage and inefficient business applications • Reduction of the time and cost associated with new packaged business application • Overcoming the cons of traditional methods of modernizing these applications, which can be much expensive and problematic • Glosap brings forth its extensive industry and technology expertise to transform your existing business applications into highly flexible and reliable ones. Tab – Solutions Sub tab- Business applications Category – SAP All-in-one solution
ERP is a business system that joins all the aspects in the business world such as planning, manufacturing, sales and marketing, projects. The ERP has become more popular in the software which used to help the business actives including order tracking, customer service, finance, inventory control and human resources. The ERP databases contain all the data about the business whi...
“An Enterprise resource planning (ERP) systems are software systems for business management, supporting areas such as planning, manufacturing, sales, marketing, distribution, accounting, finance, human resource management, project management, inventory management, service and maintenance, transportation, and e-business”.( Haag, Cummings, Phillips, S, M, A (2007). Mangement Information Systems. New Yory, NY: The McGraw-Hill Company Inc..)
There were several reason for the rapid growth of SAP America during mid and late 90’s. Throughout the evolution, the parent company of SAP America, SAP AG, wishes to provide a better product based on the evolution of technology as well as based on the changing customer needs, and thus invested consistently on R&D activities. 20-25% of SAP AG’s gross revenue were re-invested in research and development. In fact, almost one quarter of the company’s employees were working on research & development activities. Adding to the point, they carried no debts over a period of time as well as they didn’t book revenues until product delivery to customers.
So with the much help from SAP ERP system, we have NRG-C bars in the market for sale. So it’s safe to say SAP if properly installed, implemented and right data integrated can ease its system users in their day to day business process and also help them in taking strategic business decision.
Operations – To work out the right layout and work flow process in the company. The manpower resource allocation is also critical in the situation on the right balance of resource to handle the production. If possible, adopt a hybrid model to handle the flexibility in the product nature, make both the production line being able to configure standard and customized so to reduce setup and changeover time and cope with the demands.
...only been entered once. This is very different from the legacy system many systems are coming from. It has been found that over 70% of organizations who have implemented SAP say that they have increased data quality and visibility (Doane, pg. 110) In order for SAP to work correctly, it is paramount that data be correct because so many employees rely on this information, so it is a benefit that many businesses will benefit from as a result. SAP also helps with the transparency and responsibility in a company. Responsibilities are clearly defined and it allows them to see just how their actions within the company affect others downstream. SAP removes the silo effect often experienced by many companies. Because people know what affects they have on others, it improves their quality of work and as a result improves the quality across the business (Eresource, page 1).