Completed by rahima yunus
1. Introduction
The new internet age came along with many changes in our daily lives; these changes were not on a small scale but came abouts on a global scale. The new technological period had the biggest impact on businesses around the world. Small local businesses were able to market themselves to a larger audience, but the larger businesses were the ones who made the mass transition and became more efficient and became challenge for their competitors to follow their route or do something bigger and better. According to Child, J.( 2005, Ch.2,pp33) “ ICT is part of a wider trend in which technological innovation has come to play an increasingly important role in the competitive strategy”.
Businesses were able to meet their market demands in a more accurate and effective way and reach out to their customers which built a good client customer relationship.
Through this report I will use the example of a multi-national company “Rolls Royce” and clearly illustrate how this company changed their methods of working. They moved to the next level of running a business by implementing a new system which offered business solutions. The approach and software that took the market by storm was the Enterprise Resource Planning (ERP) system implemented via SAP.
Background information
Since the 1990’s companies around the world have been implementing an ERP system, for some it has worked and for others it has been an expensive loss. FoxMeyer Drug filed for bankruptcy, and Dell computers spent millions only to scrap the idea as they found it too “rigid” for the way they work. Yusuf, Y et al (2004). ERP system could not be seen just as an IT upgrade to a new software but a complete change in management, culture and modification to how people worked. ERP was a new revolution to the global business market.
ERP system works on core modules each having a different functions, if you look at the modules
References: Child, J.(2005) Organization: contemporary principles and practice (Chapter 2). Malden, MA: Blackwell Publishing Article :Yasuf, Y., Gunasekaran, A. &Abthorpe, M., 2004. Enterprise information systems project implementation: A case study of ERP in Rolls-Royce. International Journal of Production Economics, 87 (3), pp.251-266.[Online].Available from: http://sfxhosted.exlibrisgroup.com.ezproxy.liv.ac.uk/lpu?title=International+Journal+of+Production+Economics&volume=87&issue=3&spage=251&date=2004&issn=&eissn= (Accessed: 5 August 2013)