2009/06/05

Session 2: Assignment One Question

Session 2 Question:
Scroll down the page and click the "View the Demo" link under the "Inventory and Operations" section.The demo will launch within your web browser. There are 4 tracks in the video. You only need to view Track 1: Introduction and Track 2: Automate the Order-to-Delivery Process.Answer the following questions after viewing the video:
Visit the
SAP Small Business web site.

Q1. Which departments within the company are integrated within the Order-to-Delivery process?

Answer as below:
In Track 1: Introduction demo from SAP Business One, Sales and marketing Department, Warehouse and shipping Department, Inventory and Operations are integrated within the Order-to-Delivery process.

Q2. Which steps are included in the Order-to-Delivery process?

Answer as below:
From Track 1: Introduction of the “Inventory and Operation” section, we know that the benefits for SAP Business One and Inventory and Operations are as follow:
1. Automate the order to delivery process
2. Manage inventory in real time
3. Adapt to changing business needs
4. Streamline end to end operations
5. Serve customer faster and better
6. Achieve profitable growth

When Sales Department received the purchase order from key customers, just like the demo, the customer require same day delivery. Then the salesman use SAP Business One to access real time inventory data to confirm the items are in stock.

The Salesman can create the sales order with just a few clicks, e.g. item code and customer account number etc. Once the order is ready, the software automatically alerts the Warehouse Department the order requires same day delivery.

Warehouse representative received the sales order alert from Sales Department. He can easily drill down to see the complete details of the customers, e.g. item order and customer ship to address and more. He quickly assembly the order use the pick and pack feature in SAP Business One. Each of the order assigns a unique serial number for future checking.

Warehouse use the SAP Business One to print the delivery note and packing slip for the shipment.

When the shipment is pick up by the carrier, the software automatically update the order status, so the Salesman knows the package is ship and also e-mail the customer to complete tracking details.

With SAP Business One, you can automatically the order to the process and streamline your entire business operation.

Q3. What factors would you consider when deciding whether ERP is suitable or not for a small business ?
Answer as below:

Enterprise resource planning (ERP) software helps integrate management, staff, and equipment, combining all aspects of the business into one system in order to facilitate every element of the manufacturing process.
Enterprise resource planning (ERP) software helps integrate management, staff, and equipment, combining all aspects of the business into one system in order to facilitate every element of the manufacturing process.

ERP groups traditional company and management functions such as accounting, human resources (HR) manufacturing management, and customer relationship management (CRM) into a coherent whole. Manufacturing management also includes inventory, purchasing, and quality and sales management.

Advantage:
ERP systems aid in the control and communication of business activities, such as
• Efficient handling of order processing and production scheduling
• Produce and access information in a real-time environment
• Management and analyses of business processes within an interactive environment
• Synchronization of departmental activities (e.g., within human resources or finances) with the needs and output from production facilities
• Monitoring, sharing, and tracking of information throughout the organization
• Ensures quicker processing of information and reduces the burden of paperwork.
• Serving the customers efficiently by way of prompt response and follow up.
• Disposing queries immediately and facilitating the payments from customers with ease and well ahead of the stipulated deadline.
• Minimize the mistakes by double entry or duplicated files.
• Ensure proper communication, productivity and efficiency

Disadvantage:
In spite of rendering marvelous services ERP is not free from its own limitations. ERP calls for a voluminous and exorbitant investment of time and money. The amount of cash required would even be looming on the management given the fact that such an outlay is not a guarantee to the said benefits but subject to proper implementation, training and use. In the ever expanding era of information theft ERP is no exception. It is alarming to note the time taken to implement the system in the organization. These means large amounts of workers have to shun their regular labor and undertake training. This not only disturbs the regular functioning of the organization but also runs the organization in the huge risk of losing potential business in that particular period.



Conclusion
We would consider efficiency and costing when deciding whether ERP is suitable for a small business or not. If we do implement the ERP system, somehow it usually requires the business to re-engineer some of its existing business processes. For my opinion, I think it is certainly worth to do so. We've trebled in size without having to hire additional staff members. Thus, the business can be expanding.

ERP is recommended in an organization not only because the advantages outnumber the disadvantages but also by keeping in mind the ways to overcome the disadvantages. An organization has to correctly weigh the advantages and disadvantages of ERP before going for them.

The foremost advantage of an ERP system is bringing down the costs and saving the valuable time. The database not only becomes user friendly but also helps to do away with unwanted ambiguity.

That’s why small business should also enjoy the ERP system.

reference link from YouTude for CRM:

http://www.youtube.com/watch?v=G0Ln4H_deGU&feature=related

2 則留言:

  1. This is another very detailed post. You have obviously spent lots of effort and research. The main factors you mentioned are correct - cost, amount of training, disruption to the existing business and efficiency. It's important to weigh the costs and benefits of ERP, and implement ERP only when the potential benefits outnumber the cost.

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  2. Hi Jenny,

    Yes, it really takes me fews days to complete those three assignments. I never work so hard before, even for my previous exams.

    I still have a long way here...

    Thanks,
    Samantha

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