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Explain erp recommendation
Course:- Marketing Management
Length: 2487 Words
Reference No.:- EM1323571




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Explain ERP Recommendation

Scenario:

Smitheford Pharmaceuticals was founded by a former officer in the Civil War, General Robert Smitheford, in 1878. He moved his family to Colorado Springs to aid in his wife's tuberculosis condition. At the time, it was believed that the sunshine and high altitude had curative effects.

The company quickly grew and expanded. To improve the economies of several growing towns in Colorado, General Smitheford built additional manufacturing facilities in Pueblo, Grand Junction, Fort Collins, and Durango, Colorado.

Smitheford was an excellent leader, as demonstrated by his rapid rise in the Union Army. He used management incentives and was an early follower of Frederick Taylor on methods improvement and employee satisfaction. The company has since adopted total quality management (TQM) philosophies but has done a poor job of implementing these principles in manufacturing.

By the 1950s, Smitheford Pharmaceuticals grew to become the 6th-largest pharmaceutical firm in the United States. Expansion in manufacturing occurred in the 1970s and 1980s with operations in Canada, Puerto Rico, France, Japan, Mexico, and Brazil.

Many challenges are facing the industry today. NAFTA impacted some advantages that Canadian manufacturing might have had. Stricter FDA guidelines have made transportation of partially manufactured products more complicated; drug interactions, especially for the elderly, can seriously affect whether or not to release a new product, and manufacturing equipment has become more sophisticated, and with the advanced technology comes increase fixed costs.

A decision-making team has been formed; the executive has asked the team to create a decision tree for the implementation of ERP software. Research two brands of ERP software that Smitheford could use to improve its performance. In the decision tree, analyze the possible effects that the implementation of each brand of ERP software may have on Smitheford's operations. In a single word document, address the following:

Provide an overview of two brands of ERP software to the executive.

Create a decision tree diagram that includes both brands of ERP software, analyzes key implementation questions, and describes the action outcomes for the executive.

Using the decision tree diagram that you created, choose one brand of ERP software to recommend to the executive and describe why it should be implemented

Answered:-

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The implementation of any ERP package is a matter of concern for the management of any enterprise, and the same needs to be undertaken after a considerable amount of planning and with a long term an analysis of the situation. Changing from an existing package and moving to a completely new package involves considerable amount of efforts and shall have an effect on the entire organisation, and hence, they need to be undertaken with thorough planning.

The new package installed shall materially alter the manner of working of the people in the enterprise, and shall replace all the existing operating procedures. People require time to adjust to this, and to get along well with the new software. The management while deciding to implement any such change, must analyse the current situation and develop a strategy for implementation of the new package and only then the idea may be moved head, and given a concrete form.

The management of Company, planned to implement a new ERP based system in the organisation, the same was planned way back in 1996 with an initial horizon period of 4 years for the installation process. The management has identified some of the goals and objectives for itself as an area of concern.




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