1. At the start of the case, describe what conditions made an ERP implementation desirable for Bombardier Aerospace. After reading the case study, there were many conditions which I think made the ERP implementation desirable for Bombardier Aerospace. As quoted in the case study by a senior project manager that ‘Organization has become a textbook silo organization’ because of its acquisition strategy. This particular quote is one of the desirable reasons as whenever Bombardier Aerospace acquired any company they adopted the data, process and the systems of each company and hence it was just like a textbook silo. The cost of information system ownership increased due to the increased number of systems. There were process delays, sequential …show more content…
2. Bombardier did several things well to help ensure the success of its ERP implementation. In particular, the case discusses “creating a vision,” the project team, and “creating a blueprint.” What does each of these things mean in terms of successfully implementing an ERP system and how did Bombardier Aerospace address these issues. In the case of “Creating a vision” , Vice President of the company created a vision ‘One Company’ where he meant to integrate organization where the employees would share common data using single set of combined systems and processes. In terms of successfully implementing an ERP system, all the functions i.e. Methods, Quality, Production, Work and Material Planning and Procurement needed to identify their key performance indicators required to run the business and the skills required for the function to realize their proposed vision. A need to reduce the clerical task and paperwork and increase analytical focus was emerged and also to align the outputs of the visioning process with the overall project vision to address this issue the Bombardier Aerospace, vice president of the operations and the Project Sponsor participated in the road shows and the presentation where the employees were explained the implementation of the BMIS and their effects in their everyday working lives. Everyone was included i.e. all levels of the management were included while passing
As a result of technological advancements, modern businesses seek new and improved methods of conducting their business processes. Systems have been designed to augment and manage core business functions such as production, accounting, procurement, and human resources. However, even with these systems in place, information is unreliable and inconsistent if they are on disparate platforms. Enterprise Resource Planning (ERP) software tackles this problem by integrating business processes into a centralized system.
Kumar, P. (2010). Successful implementation of ERP in a large organization International journal of engineering science and technology. Vol. 2(7), 3218-3224. Retrieved from http://www.ijest.info/docs/IJEST10-02-07-151.pdf
The case presents the implementation of an ERP system in Bombardier, along with all the major changes the corporation undertook for a successful transition. In the analysis I will address the challenges faced by Bombardier, the challenges associated with the integration of the large system & its benefits. I will also address how the project team managed and communicated it’s vision amongst the firm and how the new roles
"The effects of Hansen's ERP technology changes on both production and non-production functions of the business, and how the production and non-production effects are related to each other"
Adoption of an ERP system enables an organization to eliminate dozens or even hundreds of separate systems and replace them with a single, integrated set of applications for the entire enterprise.
As a result of its acquisition strategy, Bombardier had a “textbook silo organization.” Bombardier’s strategy was to develop an ERP system to cross these functional boundaries. A high-level cross-functional scenario was developed. Five functional councils were established: methods, quality, production, work and material planning, and procurement. These functional departments established their own scenarios, and the leaders of each function met to integrate these scenarios.
The problem presented by Joseph-Armand Bombardier is the upcoming third round of ERP implementation in his organization. Even though a big improvement over the efficiency and success of execution between the first ERP round (Mirabel plant) and second round (Saint-Laurent plant), there is still room for improvement.
2.The ERP solution increases the efficiency and decreases the costs. It also provides reliable information and the processing of information is very quicker so that, it can reduce the paperwork burden. The ERP is very flexible it can in any business environment. At the same time it’s so expensive to implement the ERP and also to replace it. Because of that, the negotiating power of suppliers is increased.
The major problem in the first implementation was the ineffective change management practice followed. The stakeholder communication about the ERP system was not managed properly. There was no shared ownership or strategic alignment of the employees to the vision of the company in implementing this system. The employees were not clearly communicated the reasons for getting this ERP system at Bombardier. While some perceived that it would make life easy, others were skeptical. Managers did not show enthusiasm for the project and in many cases, even abdicated their responsibility to propagate the vision and passed this crucial task to the operational level employees. Some stakeholders amongst employees perceived the project to be a top-down initiative and felt disconnected with the broader vision of streamlining the inventory management, which in fact would have positively affected them. Delays further derailed the projects. Business teams and the project teams did not work with a common objective.
In general, ERP systems are designed to standardize information entry and create data storage for information sharing across the organization. There are numerous advantages of ERP but skeptics argued on the fact that these advantages can be also achieved by simplification and lean production methods. IT systems could be effective and reliable in the long run but at the same time there is an uncertainty about whether it will align with the concerned business process. For instance, the ERP system implemented at the Korey plant to replace MRP system failed. Though it met the requirements of individual unit and enabled employees with wide range of
This white paper discusses the 6 Key Decision Drivers that you should consider as you evaluate ERP software products. These 6 criteria are: • Functionality • Technology • Software Vendor • Implementation Vendor • Support & Maintenance • Total Cost of Ownership If you ask the right questions of software vendors you will collect the right information to make an informed decision when selecting an ERP solution. The software should provide you with more than a basic functional fit, it should provide a strategic advantage to drive efficiency and expand your business. You are buying a tool that you can use to support the business functions of your company and
There were several problems encountered during the selection and implementation phases of the project. The most significant was the lack of involvement from top management, which gave off the perception of the project to be a low-priority activity. In turn, this project was given to a single person, the business development manager, Pat McDuncan. In the early stages, his job was to “identify potential stakeholders, set up user groups representing these and arrange meetings in order to gather initial requirements.” For a manager in his position, communication skills are essential. Yet, McDuncan, could not even get his staff to attend or participate in the user group meetings resulting in less knowledge of the initial requirements for the new system. Lack of physical proximity was one of the reasons of the faulty communication. McDuncan’s office was segregated and placed away from the other senior managers. His dictorial style of management only added to the problem. His communication with other members of staff included levels of “antagonism and
ERP builds the level of correspondence in the association in this manner prompting better proficiency of the work. It additionally expands profitability, which wouldn 't have been conceivable with a non-ERP firm where every one of the divisions utilizes their own PC framework and keeps up their own particular database, which is not open to different offices. Yet, with ERP every one of the offices can work in concordance with each other. Today manager 's undertaking is made parcel simpler with the presentation of ERP programming. There is low chance of any error in an association where ERP is introduced. For administrators it empowers abnormal state basic leadership capacity, which they can make easily, and more clarity. It likewise enhances the client experience and keeps up great association with the clients.
The objective of the aforementioned piece was to carry out a process of analysis, valuation and discovery of potential risks linked with the post-implementation of ERP. The writers conducted this observational and factual quest using a perceptible path. They facilitated and implemented an inferential research design that stood on a review of cross-inspection queries for 118 major bodies to introspect the prospective liabilities of ERP post-implementation. Nonetheless, some impediments should be taken into account. This
ERP implementation is unlikely experience that any company will have. It has to be planned prepared and stimulated from the entire stakeholder otherwise it will sunk the millions of dollar and it drain the companies market. In case of Nestle USA, it confronted a lot of difficulties due to improper implementation plan yet be able to recover as a successful project. Many organisations have gone through the similar situation that there are plenty of lesson to be learned. We can conclude that ERP implementation needs big consideration on business requirement, business process reengineering, stakeholder’s involvement, hardware and software and other units.