Infs 5024 Enterprise Systems- Auburn Assessment Answers

Requirements of a New IS

Answer

Introduction and Background of Auburn Winery Company (AWC)

Introduction

According to Barkhi and Kozlowski (2017), the ERP system and SAP implementation would comprise of developing an effective and improved analysis for the integration of the existing facilities and formation of the support and development of the operations of the organization. The use of the improved technology would ease the operations of the organization and form the integrated data management system for any organization.

The following assignment is made for the case study of AWC or Auburn Winery Company and their system development proposal documentation. The following assignment would serve the purpose of documenting a proposal in front of the stakeholders of the project that means the board of members of AWC.

About Auburn Winery Company (AWC)

Auburn Winery Company or AWC started as a small privately owned winery in the city of Clare and in the form of a small Cellar Door founded in the year of 1994 by three brothers. They had been selling most of their wine sales through the small cellar door. The AWC was formed into a proper organization company in the year 2000 and the owners started selling their goods to the local outlets. Later on in the year 2002 AWC purchased 2 wineries from the region of Barossa Valley and Barmera. It led to increasing their production capacity to 990,000 barrels in a year from the starting production capacity of 255,000 barrels in a year by the end of 2004. Since then the company of AWC has been doing major development for increasing their production capacity and revenue generation. With the passage of a decade from 2004, the AWC have brought some more units for increasing their production capacity to over 2,486,000 barrels per year. They started a restaurant in Barossa Valley in the year 2004, glass bottle plant at Port Adelaide in the year 2006, and adjoining warehouse for their development. The company had seen a promising growth and development of operations and it is expected that with the end of the year 2020 the overall production capacity would be doubled due to the use of the technology and improved strategies.

Existing System of AWC and need of SAP

Existing system of Auburn Winery Company (AWC)

1. The Auburn Winery Company had deployed Data Action for integrating their financial accounting transactions.
2. Pear tree Module is used by AWC for managing their inventory at glass bottle plant at Port Adelaide
3. AWC has installed a Supply Chain Management (SCM) computer system for the procurement division
4. Sales and Marketing office of AWC in Sydney has a separate computer system
5. Planning for the production and inventory management is done in separate computer system on an Excel sheet at the wineries of AWC

Need of ERP in Auburn Winery Company (AWC)

The existing system of Auburn Winery Company is outdated and they require some modifications and development. They have been using non-integrated systems for performing their activities and processes. The existing information processing system at AWC are not of high standards. The accounting software used by them is Data Action and it does not support sales and marketing. The Pear tree Module used at the glass bottle plant at Port Adelaide is not integrated with the accounting software of Data Action. The accounting system has to manage the vendor payments. Moreover, the SCM is not integrated to any other system of AWC. The system used in the organization is limited and does not provide scope for globalization and increase of the market capture.

On the contrary Karim and Arif-Uz-Zaman (2013), have stated that the implementation of the new system would help in developing a clear understanding of the effective and improved functional analysis for their operations. Hence, it is possible that the use of the SAP implementation would help in developing the effective flow of the information and its simpler actions. The implication of the effective flow of operations would tend to imply development of the operations. The analysis of the improved processes by the use of the SAP would help in developing the growth of the AWC and increase the performance of the organization due to the use of the information technology advancements. The SAP ERP system would serve as an advanced IT tool used for the development of the effective and improved operations.

Benefits of Implementing SAP for Auburn Winery Company (AWC)

The implementation of the SAP ERP at Auburn Winery Company would be helpful for increasing the working capacity and overall performance (Junnarkar and Verma 2017). The technical benefits including the processes and tools that would help in developing the improvement of the operations of AWC are given below,

Integration of the systems: The implementation of the SAP would help in developing an overall integrated system of operations for AWC. The analysis of the development model would help in forming the concise development of the operational processing for integrating the various systems used by AWC (De Toni, Fornasier and Nonino 2015). The computer systems of wineries, restaurant, glass bottle plant, and warehouse would be helpful for improving the processes of the organization. The deployment of the SAP ERP would tend to employ the development of the system integration and development with the help of a single platform database. The Pear tree module software would be integrated with the SAP system and it would tend to deploy the automatic deliverance of the improved operations. The users would not have to log in the Pear tree module software system every time for reporting or accessing the information due to the use of the SAP system.

Improvement of Operations: The improvement of the operations would be done by the use of the implementation of the SAP ERP in the organization. The financial accounting system of Data Action would be integrated with the help of SAP ERP and it would deploy a single database for the course of the actions of the wineries, restaurant, glass bottle plant, and warehouse. The management of the customers and information would be eased by the use of the SAP ERP system (Zahran et al. 2017). The analysis of the system integration management would help in forming the development of the operations. The deployment of the improvement and analysis would form the development of the operations for AWC. For example- the SAP ERP would help in overcoming the delays of the receipts generation and settlement. The integrated data would help in faster receipt development and involvement of the effective and improved processing.

Business Development: The operations of the project would be developed for analysis of the integration management (Leu and Lee 2017). The integration of the operations of AWC would be helpful for developing the improvement of the supportive and influential development of the operations of AWC. It would tend to increase the number of clients in the organization. The overall data management would form the deployment of the operations for forming the analysis of the effective management and development. For example- the current system of AWC holds 30 payment terms and the customers are charged with 5.5% of interest rate for being more than 21 days late on payment settlement and 2% discount for payment settlement within 7 days.

Implementation Process of SAP for Auburn Winery Company (AWC)

The implementation of SAP would require the use of the specific methodology of project management for software implementation. The use of Agile Software Development would involve the development of the improved processes for SAP implementation (Appelrath and Ritter 2013). The Agile Software Development Approach includes Initiation, Planning, Designing, Implementing, and Monitoring. The detailed explanation of the implementation process of SAP for AWC is given below,

Initiation: The first step of the SAP implementation process is the initiation phase where the basic software development process would be analysed for gathering resources and developing effective implementation process (Sun, Ni and Lam 2015). The initiation of the project would involve the development of the project scope development, scope management plan, project procedures, project standards and environment setup. The completion of all these processes would tend to deploy the improved operations and development. The analysis of the process can be deployed for forming the operations of the project initialization and resource accumulation.

Plan Development: The development of the project plan would be helpful for forming the classification of the resources of the project and implementation of the effective plan development (Kale 2014). The use of the effective plan development would help in forming the improvement of the system operations for deployment. The planning phase would involve the development of the improved functional analysis and carrying out the formation of the deployment models. The planning would help in analysis of the improvement facilities for developing the improvement of the operations in the organization. The information accumulation for the development of the project plan can be done by using brainstorming and questionnaire deployment.

Design Phase: The design phase is characterized by the use of the designing software and its implication development (Powell et al. 2013). The blueprint of the design would be helpful for the development of the system design and implication. The design phase would be helpful for forming the critical evaluation of the processes and their system development. The design would form the analysis of the system components and provide the management of the operations. The design phase would be implemented for forming the development of the improved operations. The design phase tends to achieve,

1. Common understanding of the company tending to implement the development of the improved operations
2. Detail Documentation of the requirement analysis for developing effective implementation model
3. Process requirement Analysis of the business process for integrating the deployment of the improved processes

The Simulation and Prototyping would be helpful for developing the design of the SAP ERP for AWC.

Implementation Phase: The implementation of the SAP system developed would be done for ensuring that the operations of the AWC would get the benefit of implemented ERP system (Kilic, Zaim and Delen 2014). The implementation would help in forming the development of the improved operations for implementing the analysis of the realization of the process. The implementation of the system would comprise of forming the improvement of the effective and improved process of analysis. The implementation phase would involve the deployment of the system and providing the users with required processes and development. The various methods of testing like black box testing, white box testing, user testing, functional testing, and system testing.

Monitor Phase: The integration of the system developed would involve the use of the effective development process. The monitor phase would involve the deployment of the methods of analysis for the project of integration and management (Singh and Best 2015). The monitor phase would involve the management of the deployed ERP system and its working impact in the operations of the project. The completion of the monitor phase would tend to implement the development models.

SAP Business Suite for Auburn Winery Company (AWC)

The SAP business suites that can impact the development of the ERP system for AWC consists of five integrated application functions and they are Enterprise Resource Planning, Customer Relationship Management, SAP Supplier Life Cycle Management, Supply Chain Management, and Supplier Relationship Management (Rajnoha et al. 2014). The explanation of these applications are given below,

Enterprise Resource Planning: The SAP implementation would comprise of developing an effective and improved processes for AWC. The implemented SAP system would help in developing the resource functions and essentials for management of the operations (Ahmad and Cuenca 2013). The SAP ERP Financials, SAP ERP Operations, SAP ERP Human capital management, SAP ERP corporate services are the functions of ERP that can be implemented in AWC. These would help in tailoring specific needs for the development of the operations of AWC.

Customer Relationship Management: Not at all like other CRM programming, the SAP Customer Relationship Management (SAP CRM) application and portion of the SAP Business Suite encourages AWC for addressing their fleeting goals, to lessen cost and increment the basic leadership capacity (Nagpal, Khatri and Kumar 2015). Yet it can likewise enable AWC organization to accomplish separated abilities keeping in mind the end goal to contend successfully finished the long haul of operations.

SAP Supplier Life Cycle Management: SAP Supplier Lifecycle Management is an all encompassing way to deal with overseeing provider connections. It manages the supply base overall to continually decide the correct blend of providers. It covers the lifecycle of individual providers from onboarding to a constant improvement.

Supply Chain Management: AWC face tremendous strain to decrease costs while expanding advancement and enhancing client administration and responsiveness. SAP Supply Chain Management (SAP SCM) empowers cooperation, arranging, execution, and coordination of the whole supply organizes, enabling you to adjust your store network procedures to a regularly changing aggressive condition.

Supplier Relationship Management: With SAP SRM the organization can look at and conjecture obtaining conduct, abbreviate acquirement cycles, and work with your accomplices continuously. This enables you to grow long haul associations with each one of those providers that have ended up being solid accomplices.

Business Process Re-engineering (BPR) for AWC

Business process reengineering (BPR) is the act of reconsidering and updating the way work is improved help an association's main goal and diminish costs (Weng and Hung 2014). Reengineering begins with an abnormal state evaluation of the association's central goal, key objectives, and client needs. AWC will execute SAP in their organization by following the idea of business process re-designing in second stage (Business plan stage) of SAP usage in for the most part the greater part of our areas of expertise with the assistance of Fit hole investigation process and attempt to enhance and computerize the majority of the procedures in different offices for most extreme use of assets and procedures (Kilic Zaim and Delen 2015). AWC will likewise be covering every one of the ranges which are as of now not dealt in the organization.

Training needs and change management issues for AWC

The implementation of the SAP ERP would require the use of training and change management for deploying the effective processes in the organization. The change management and training can be developed by following the mentioned three steps,

• Use of effective communication is helpful for employing the process of effective and improved processes for AWC
• Stakeholder Analysis for understanding the need of implying the effective and improved system operations
• End user training should be implied for developing the effective analysis of the operations and deployment of the improved operations for the AWC

Competitive Advantage for AWC

The competitive advantage of deploying AWC for the development of the effective and improved operations are given below,

1. Improvement of the operations for growth of the AWC
2. Development of a clear understanding of the effective and improved functional analysis for their operations
3. Implication of the effective flow of operations would tend to imply development of the customer satisfaction for increasing the proficiency
4. Increase the performance of the organization for implying the development of the functions
5. Advanced IT tool used for developing the process of integration management

References

Ahmad, M.M. and Cuenca, R.P., 2013. Critical success factors for ERP implementation in SMEs. Robotics and Computer-Integrated Manufacturing, 29(3), pp.104-111.

Appelrath, H.J. and Ritter, J., 2013. SAP R/3 implementation: methods and tools. Springer Science Business Media.

Barkhi, R. and Kozlowski, S., 2017. ERP in the Classroom: Three SAP Exercises Focused on Internal Controls. Journal of Emerging Technologies in Accounting, 14(1), pp.77-83.

Chang, J.F., 2016. Business process management systems: strategy and implementation. CRC Press.

De Toni, A.F., Fornasier, A. and Nonino, F., 2015. The impact of implementation process on the perception of enterprise resource planning success. Business Process Management Journal, 21(2), pp.332-352.

Gavidia, J.V., 2016. Impact of parent-subsidiary conflict on ERP implementation. Journal of Enterprise Information Management, 29(1), pp.97-117.

Junnarkar, A.R. and Verma, A., 2017. Study on system application product (sap) an important enterprise resourse planning tool for achievement of organisational vision, mission and operational performance.

Kale, V., 2014. Implementing SAP CRM: The Guide for Business and Technology Managers. CRC Press.

Karim, A. and Arif-Uz-Zaman, K., 2013. A methodology for effective implementation of lean strategies and its performance evaluation in manufacturing organizations. Business Process Management Journal, 19(1), pp.169-196.

Katerattanakul, P., J. Lee, J. and Hong, S., 2014. Effect of business characteristics and ERP implementation on business outcomes: An exploratory study of Korean manufacturing firms. Management Research Review, 37(2), pp.186-206.

Kilic, H.S., Zaim, S. and Delen, D., 2014. Development of a hybrid methodology for ERP system selection: The case of Turkish Airlines. Decision Support Systems, 66, pp.82-92.

Kilic, H.S., Zaim, S. and Delen, D., 2015. Selecting The Best ERP system for SMEs using a combination of ANP and PROMETHEE methods. Expert Systems with Applications, 42(5), pp.2343-2352.

Leu, J.D. and Lee, L.J.H., 2017. Enterprise resource planning (ERP) implementation using the value engineering methodology and Six Sigma tools. Enterprise Information Systems, 11(8), pp.1243-1261.

Nagpal, S., Khatri, S.K. and Kumar, A., 2015, May. Comparative study of ERP implementation strategies. In Systems, Applications and Technology Conference (LISAT), 2015 IEEE Long Island (pp. 1-9). IEEE.

Powell, D., Alfnes, E., Strandhagen, J.O. and Dreyer, H., 2013. The concurrent application of lean production and ERP: Towards an ERP-based lean implementation process. Computers in Industry, 64(3), pp.324-335.

Rajnoha, R., K d rov , J., Sujov , A. and K d r, G., 2014. Business information systems: research study and methodological proposals for ERP implementation process improvement. Procedia-social and behavioral sciences, 109, pp.165-170.

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Sun, H., Ni, W. and Lam, R., 2015. A step-by-step performance assessment and improvement method for ERP implementation: Action case studies in Chinese companies. Computers in Industry, 68, pp.40-52.

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Zahran, A.H., Quinlan, J.J., Ramakrishnan, K.K. and Sreenan, C.J., 2017, June. SAP: Stall-Aware Pacing for Improved Dash Video Experience in Cellular Networks. In Proceedings of the 8th ACM on Multimedia Systems Conference (pp. 13-26). ACM.