RECOMMENDING AN ENTERPRISE SYSTEM

RECOMMENDING AN ENTERPRISE SYSTEM

Enterprise systems are implemented in businesses to minimize data duplication, increase employee productivity and improve company-wide access to business knowledge. The enterprise systems also help an organization to reduce the manual input of data and minimize the costs of information technology. In an organization, the enterprise systems offer various benefits such as higher employee collaboration, increased work quality, improved response to the market place and teamwork support. SugarSquad Inc. needs an effective enterprise system as it manufactures and distributes candy throughout the kingdom of Saudi Arabia. An effective enterprise system that serves all the 300 employees in the 3 location is needed since the company revenues are growing on a daily bases. This review is a recommendation on the most effective enterprise system that should be implemented in SugarSquared Inc.

The type of enterprise system that I recommend in this company is Supply Chain Management. This is because the supply chain management involves management of the commodities and include all the processes that convert raw materials into the final products. The system bests suit SugarSquad inc because it needs an effective enterprise system in manufacturing and distribution of candy in the kingdom of Saudi Arabia. This system involves streamlining the enterprise supply chain so that to increase customer satisfaction and create a competitive advantage in the market. I also recommend this system because it is economical and more efficient than the other enterprise system. Supply chain management covers all the steps from production to product development to product distribution across the market (Christopher, 2016). This means that it will enable Candy development in Riyadh and also distributed throughout the kingdom of Saudi Arabia. The other activities that may be available in supply chain management include material sourcing and logistics. We clearly understand that there are 300 employees in SugarSquad, operating in 3 different locations and the functional business work in silos. The information flows, therefore, allows supply chain partners from the three sites to coordinate their strategic and operational plans as well as the daily flow of products in the company.

There are various importance of implementing supply chain management as an enterprise system in SugarSquad Inc. It boosts customer service; all the clients throughout the kingdom of Saudi Arabia expect the right product assortment and quantity to be derived, this enterprise system ensures that all these are met. Supply chain management also ensures that commodities are available at the right location and at the right time. The system also makes sure that the clients get the correct after sale support. The other benefit is that this system reduces the operation cost; in this case, it reduces the purchasing price. Most of the retailers depend on the supply chain to deliver expensive commodities and avoid holding costly inventories in their stores (Hugos, 2018). The supply chain management also decreases the production costse; SugarSquad Inc. will always depend on this enterprise system to deliver materials and to assemble plants so that to avoid material shortage that would cause production shutdown. The supply chain management will also create a competitive advantage in the market; this is because it will be used to design networks that meet customer service needs at the least total cost. The other benefit of this enterprise system is that it improves the financial position in an organization. In SugarSquad Inc. the supply chain management will help to control and reduce the supply costs; this means that there will be a dramatic change in the company profits. This system also decreases the use of substantial fixed assets such as the use of vehicles and warehouses. The supply chain, therefore, will redesign to serve Saudi Arabia customers from only one where house rather than three. It also increases cash flow through the increased product flow to the customers.

There are various challenges that I foresee in implementing this system and how to overcome these challenges. The first challenge is the globalization of manufacturing operation; there are difficulties experienced in having a global procurement network that can react and support the supply chain. It is difficult to select a strategic supplier that provides manufacturing locations with reliable local service and consistent global quality. The solution to this is creating a unique global footprint with a reputable local service and a consistent global quality. The other challenge is lack of safety and quality products; there is always an increased pressure on the manufactures to produce a high-quality product consistently. This increased pressure can damage a company reputation. The solution to this challenge is the selection of an appropriate raw material, decide on the right production method and finally testing and proving it (Cai, 2009). Through following this procedure, all the products manufactured in sugar squad company will be flawless and of high quality. The other challenge is shorter lead time and less inventory; due to the changing market demands and shorter product life cycles, the organization may be forced to embark on the lean journey. The solution to this challenge is to use a value stream analysis that provides a full report on the findings and recommendations in the company, and this will lower the total cost of ownership and boost manufacturing productivity. The other challenge is access to the latest technology; sometimes it may be challenging to access the latest technologies in different fields in the company. The solution to this challenge is using the expert tool to find practical durable and safe solutions.

Various vendors offer supply chain management; these include Manhattan Associates, Infor Global solutions, JDA Software, Oracle and SAP among many more.

Among all these, SAP is preferable given the organizational needs; this is because it is one of the largest supply chain management vendors across the globe. The company has an excellent reputation for making enterprise software to manage business operations and customer relations (Knolmayer, 2009). The company has specialized in supply chain management and logistics software sectors. SAP could, therefore, be the preferable company given the organization needs.

The business factors that should be addressed to make this determination include; accreditation and award, here, it is essential to check whether the vendor’s systems are fit for purpose and meets the relevant industry standards. The other factor to be addressed is the financial stability; it is essential to check the financial stability so that to feel confident that the vendor can be supportive to the system for years to come (Khan, 2011). If the system provider is bankrupt, there will be difficulties in correcting and modifying the system. The other factor to consider is the customer-centric approach; the vendors need to value the importance of staying close to their clients throughout the customer lifecycle. This starts in the initial consultancy period to after-sale support. And the last factor addressed is customer base and reference sites; the vendor should be able to provide a long track record of successful industry-relevant implementations.

 

 

 

 

 

References

Christopher, M. (2016). Logistics & supply chain management. Pearson UK.

Hugos, M. H. (2018). Essentials of supply chain management. John Wiley & Sons.

Cai, J., Liu, X., Xiao, Z., & Liu, J. (2009). Improving supply chain performance management: A           systematic approach to analyzing iterative KPI accomplishment. Decision support    systems46(2), 512-521.

Knolmayer, G. F., Mertens, P., Zeier, A., & Dickersbach, J. T. (2009). Supply Chain Management   Based on SAP Systems: Architecture and Planning Processes. Springer Science &       Business Media.

Khan, S. U., Niazi, M., & Ahmad, R. (2011). Factors influencing clients in the selection of offshore      software outsourcing vendors: An exploratory study using a systematic literature         review. Journal of systems and software84(4), 686-699.