A Proposal for the Introduction of an Erp System in Joshua Arkwright & Sons
A Proposal for the Introduction of an ERP System in Joshua Arkwright & Sons
A comprehensive study of Joshua Arkwright & Sons, and the benefits they can expect to receive through an ERP implementation.
George Robertson: A914272
5/24/2013
Situation analysis
Joshua Arkwright & Sons established in 1996 is a medium sized, family run manufacturer of high quality, high end, and personalised computer products. It operates in a niche market within the computer industry and differentiates itself through innovative products with extremely personalised computers, down to individual colours, stencils and operating systems. It is particularly focused on providing the highest level of customer care and support with three year warranty as standard. The majority of its revenue comes through personal sales; however it does supply a few small games companies with powerful computers. Arkwright is currently looking into implementing a new Enterprise Resource Planning system (ERP). An ERP is ‘a commonly used software package for enhancing the operational efficiency of business resources.’ (Eaton, 2012)
Figure [ 1 ]
Figure 1. Illustrates a SWOT analysis of Arkwright and as it shows they are facing significant threats and weaknesses, but also potential opportunities and strengths to exploit, all of which is explained in greater detail later. With the help of Holdings United Plc and the implementation of SAP these prospects can be realised, Dell is a prime example of that. STRENGTHS:
1. Arkwright allows customers to customise their laptops; and has cut out the retailer meaning the customer can order from factory and so have fully customised computer.
2. Arkwright’s strong brand name in the industry.
3. Arkwright’s innovation in the computer industry
4. The retiring CEO has strong relationships with suppliers and loyal customers. | WEAKNESSES:
1. Arkwright’s slow delivery time, compared to Dell.
2. They have lost big contracts with companies because of
A comprehensive study of Joshua Arkwright & Sons, and the benefits they can expect to receive through an ERP implementation.
George Robertson: A914272
5/24/2013
Situation analysis
Joshua Arkwright & Sons established in 1996 is a medium sized, family run manufacturer of high quality, high end, and personalised computer products. It operates in a niche market within the computer industry and differentiates itself through innovative products with extremely personalised computers, down to individual colours, stencils and operating systems. It is particularly focused on providing the highest level of customer care and support with three year warranty as standard. The majority of its revenue comes through personal sales; however it does supply a few small games companies with powerful computers. Arkwright is currently looking into implementing a new Enterprise Resource Planning system (ERP). An ERP is ‘a commonly used software package for enhancing the operational efficiency of business resources.’ (Eaton, 2012)
Figure [ 1 ]
Figure 1. Illustrates a SWOT analysis of Arkwright and as it shows they are facing significant threats and weaknesses, but also potential opportunities and strengths to exploit, all of which is explained in greater detail later. With the help of Holdings United Plc and the implementation of SAP these prospects can be realised, Dell is a prime example of that. STRENGTHS:
1. Arkwright allows customers to customise their laptops; and has cut out the retailer meaning the customer can order from factory and so have fully customised computer.
2. Arkwright’s strong brand name in the industry.
3. Arkwright’s innovation in the computer industry
4. The retiring CEO has strong relationships with suppliers and loyal customers. | WEAKNESSES:
1. Arkwright’s slow delivery time, compared to Dell.
2. They have lost big contracts with companies because of
References: Caralli, R., Allen, J., Curtis, P., White, D., &Young, L. (2010), “CERT Resilience Management Model. Financial Resource Management.” Software Engineering Institute. CFO Lenovo (2000), 15th Aug-2000, Lenovo, SAP and Deloitte hold an conference express on their ERP project in Beijing. [online] Available at: http://edissertations.nottingham.ac.uk/1148/1/07MAYinghuaTang.pdf [Accessed 20th May 2013] Chen, J Colmenares, L. (2009), “Benefits of ERP Systems for Accounting and Financial Management”, Allied Academies International Conference: Proceedings of the Academy of Information and Management Sciences (AIMS), Apr. 2009, Vol. 13 No. 1, pp. 3-7. Davenport, T Davenport, T. H. (2000), “Does ERP Build A BetterBusiness?”[online], http://www.cio.com/archive/021500_excerpt.html, [Accessed 20th May 2013] Eaton, P Ellram, L., Cooper, M., (1993), "Characteristics of supply chain management and the implications for purchasing and logistics strategy", International Journal of Logistics Management, 4, 2, 1-10. Esteves, J. (2009), “A benefits realization road-map framework for ERP usage in small and medium-sized enterprises”, of Enterprise Information Management, Vol. 22 No. 1/2, pp 25-35. Fitrix. (2011), “What Is ERP and Why Do I Need It?” [online] Available at: http://www.fitrix.com/wp-content/uploads/Whitepaper_What_Is_ERP.pdf [Accessed 20th May 2013] Hindle, T Insight Consulting Parters [online] Available at: http://www.insightcp.com/res_10.html [Accessed 20th May 2013] Jacobs, F., & Whybark, D.(2000), “Why ERP? A Primer on SAP Implementation.” Javernpaa, M. (2007), “Making Business Partners: A case study on how management accounting culture was changed”, European Accounting Review, Vol. 16 No. 1, pp. 99-142. Kotler, P Lee, H. (2004). “The Triple A Supply Chain”. Harvard Business Review, October 2004. Martin, Michael, (1998), “An ERP Strategy”, Fortune Vol. 137, Feb. 2, 149-151. O’Leary, D.E Pender, L. (2000),“Damned If You Do- Enterprise Application Integration”, [online], http://www2.cio.com/archive/091500_erp_content.html, [Accessed 20th May 2013] Porter, M.E Roman, K. (2009), Benefits of Implementing an ERP, Collegiate Project Services, [online]; http://www.collegiateproject.com/articles/ERP%20Benefits.pdf [Accessed 20th May 2013] Saatcioglu, O.Y SAP (2005), “RFID Technology: Changing Business Dramatically, Today and Tomorrow”. Pg 5. Scott, E. Judy (1999), “The FoxMeyer Drugs’ Bankruptcy: was it a failure of ERP?”, Proceedings of the 5th Americas Conference on Information System, Milwaukee, WI, USA, 13-15.08.99, pp.223-225. Seaman, G Shang, S. and Seddon, P.B. (2002), “Assessing and managing the benefits of enterprise systems: the business manager’s perspective”, Information Systems Journal, Vol. 12 No. 2, pp. 271-299 Spathis, C Storey, J. (1994), “New Wave Manufacturing Strategies: Organisational and Human Resource Management Dimensions.” Pg 151. Velcu, O. (2007), “Exploring the effects of ERP systems on organizational performance: evidence from Finnish companies”, Industrial Management and Data Systems, Vol. 107 No. 9, pp. 1316-1334. WARD, J., TAYLOR, P Wong, B. Tein, D. (2007), “Critical Success Factors for ERP Projects”, [online] Available at: http://cms.3rdgen.info/3rdgen_sites/107/resource/orwongandtein.pdf [Accessed 20th May 2013]