KEDA CASE
KEDA’S SAP IMPLEMENTATION CASE STUDY
Summary This case introduced that KEDA Industrial Company Ltd., which is a Chinese ceramic machinery manufacturer company founded in 1992. Due to the Keda had a good running on its R&D function, inventory management, and procedure of production, Keda soon became one of the top 10 materials machinery enterprises in the world in a few years. Keda also has the high degree of autonomy and flexible culture that enables Keda to have a freewheeling environment in terms of innovation. By early 2000s, Keda surpassed most of its competitors and became an industry leader in the world not limited to market share and revenue but including the product management innovation. But things were not always going smoothly in Keda. As the disconnected business units often duplicated, it caused Keda resulting in redundancy and heightened costs. Even worse, there is very little information exchanged among the departments. Keda needed to continue innovating, more inform about the production, sales and customers to keep the dominating position of the industry. But the lack of integration made Keda face more and more pressure from the same trade competitors. In addition, Keda also had the pressure from Chinese government and related issue to inventory management. Due to all of these, Keda decided to undertake ERP to change the current situation urgently to keep successful. The company required a well-established structure and operation system, which need computerization as a tool.
The company’s first attempt its computerization in 2000. With all complexities, like how much investment was needed, in what kind of system, what problems need to solve, Keda was to go for a company wide status quo analysis as its first step. After Keda outsourced the ERP project to the vendor, the implementation team was formed that included key users, the consultants and the IT officers. With some clashes between the suggestions and interests of the key users and the
Summary This case introduced that KEDA Industrial Company Ltd., which is a Chinese ceramic machinery manufacturer company founded in 1992. Due to the Keda had a good running on its R&D function, inventory management, and procedure of production, Keda soon became one of the top 10 materials machinery enterprises in the world in a few years. Keda also has the high degree of autonomy and flexible culture that enables Keda to have a freewheeling environment in terms of innovation. By early 2000s, Keda surpassed most of its competitors and became an industry leader in the world not limited to market share and revenue but including the product management innovation. But things were not always going smoothly in Keda. As the disconnected business units often duplicated, it caused Keda resulting in redundancy and heightened costs. Even worse, there is very little information exchanged among the departments. Keda needed to continue innovating, more inform about the production, sales and customers to keep the dominating position of the industry. But the lack of integration made Keda face more and more pressure from the same trade competitors. In addition, Keda also had the pressure from Chinese government and related issue to inventory management. Due to all of these, Keda decided to undertake ERP to change the current situation urgently to keep successful. The company required a well-established structure and operation system, which need computerization as a tool.
The company’s first attempt its computerization in 2000. With all complexities, like how much investment was needed, in what kind of system, what problems need to solve, Keda was to go for a company wide status quo analysis as its first step. After Keda outsourced the ERP project to the vendor, the implementation team was formed that included key users, the consultants and the IT officers. With some clashes between the suggestions and interests of the key users and the