Reference no: EM133814096
Information Systems in Accounting Assessment
Response to Request - For - Proposal (RFP) for an ERP System
Aim:
This assessment is designed to give you the opportunity to learn about ERP systems and to make decisions based on your investigation.
Assignment Facts
Wilson Engineering Group Pty Ltd (WEG), a medium-sized engineering company with a turnover of $100 million per year, is considering the purchase of an ERP system.
As they have an urgent need to update their accounting system, they plan on purchasing an ERP financial module as the first step and then over time, they plan on integrating this module as part of a larger ERP rollout through the company. Get Assignment Help Now!
Bernie Wilson, the CEO of WEG recently issued a request for proposal (RFP) to a number of ERP vendors.
To assist the vendors in the preparation of their responses, Bernie has provided the following information:
WEG was founded by Bernie's father (Peter Wilson) in 1999. Even though Peter is now in his 70s, he still plays an important figurehead role in the company and will have influence in the choice of vendor. Bernie has emphasised that whilst the presentation materials be to a high professional standard, it is imperative that they clearly and simply articulate the benefits of the new system and don't just contain "cut and paste" from the company's website as his father would be very disappointed by such an approach.
The current IT systems could best be described as "home grown" and have become increasingly difficult to maintain. These systems support the major accounting functions including: sales order processing, inventory control, accounts receivable, accounts payable and the general ledger. These applications use multiple legacy file systems which create both data redundancy as well as data inconsistencies. As could be expected from such a "home grown" "cobbled together" system, almost no documentation is available, and it is difficult to produce management reports.
Many of WEG's competitors have adopted or are adopting fully integrated ERP systems that enable web-based front ends for order processing, order tracking and order follow-up. However, WEG's back-office systems are in disarray, and they cannot offer these services to their clients. One of their largest clients has indicated that they will shift their business to WEG's main competitor Ellis Hill Engineering Services (EHES) if WEG cannot provide a similar (or better) level of service to the current level of service being offered by EHES.
Ideally the selected ERP system will support HR, materials procurement and Customer Relationship Management. It is anticipated that these capabilities will eventually be implemented in subsequent phases.
WEG currently has approximately 150 computers (including laptops), uses a Windows based network system and has a Hewlett Packard server that supports the legacy systems.
WEG is currently uncertain about the exact budget they should allocate for the new financial module of the ERP system. To ensure the budget is appropriately set, they have requested that shortlisted vendors provide guidance on the total costs, including necessary upgrades in hardware, software, and networking facilities. This feedback will help the company establish a realistic budget for the project, ensuring all critical components are adequately funded
Selection Criteria
Vendor Related
Corporate history as an ERP vendor & market strategy
Market share
Market strategy
Overall strengths
Product offerings, integration & scalability
Overall ERP product line
Module integration strategy
Web-based application strategy
New offerings
Consulting support
Support for configuration of organisational data
Technical support for system implementation
Cost of consulting support
Availability of consulting support
Availability of training
Training in configuration of master data
Training in operations
ERP Modules Supporting Sales & Financial accounting
Fit with current business processes
Fit with sales order processes
Fit with financial accounting processes (A/R, A/P & GL)
Fit with managerial accounting processes
Cost
Cost of ERP modules
Cost of configuration and implementation support
Cost of training
Cost of maintenance and software licenses
Reporting applications
Current reporting capabilities
Availability of tools for database query and reporting
Web-based reporting capability
Ability to integrate sales & financial accounting with other ERP modules
Integration with production and manufacturing modules
Integration with marketing modules
Integration with HR modules
Integration with Web-based applications
User friendliness
Availability of tutorials
Availability of application module documentation
Technical documentation
Key Skills Developed:
The ability to conduct industry-based research to solve a "real world" problem.
The ability to select an ERP system that would align with IWS's requirements.
The ability to deal with limited information.
The ability to produce a slide deck to a professional standard.
The ability to produce a presentation to a professional standard.
Slide Deck / Expectations:
Professionally assembled slide deck consisting of no more than 10 slides