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ation in a short time, then they can prepare and deliver the demanded material to the manufacture in time, so that the manufacture could decrease the material inventory spared for production. The old way of the information flow might be through fax, telephone etc. Secondly, ERP system help the manufactures get the customers’ order information much faster and more accurate than before (the detail has addressed in last paragraphs), so the manufacture could response to the need more quickly. In another word, they do not need as much product inventory as before. Thirdly, for the sake of shorter production cycle, the semi-production inventory could be reduced. Meanwhile the ERP system also include inventory management function, and this help the inventory manager get the inventory amount of any material or product very quickly, so they could make wise decision about the inventory level. In the days without ERP system, it would take a long time to get the accurate inventory of a product, because the worker needs great effort to work out the accurate account from many bills by hand. The information flow among the suppliers, manufacture and customers is integrated very well in the manufacture’s ERP system. Not only could the manufacture benefit from the integrated information flow but also the participated suppliers and customers. Many companies even begin to adopt VMI (Vendor Manage Inventory) solution, according to some reports. Anyway with the ERP system’s support, the business strategy of inventory management is changed and improved.
Impacts to Decision-Making
Decision-Making mostly connects with the high level managers in a company. They make decisions on all aspects within the company. Sometimes they make decision only with their courage and insight. But at most of the time they need information to support and help them, because it is believed that the data tells truth. The information could be the data about sales in recent months or years, the data about cost of inventory, the data about cost on research work etc. ERP system has all information they need, and could show in the format on their special needs. So the manager could make decision in a short time. This adds flexibility to a firm. According to literatures on Decision Support System (DSS), ERP system constitutes a wide variety of information that provides a perfect basis for decision making. In the way, ERP system itself can do some help to decision-making and it can also provide large amount o f basic data for the DSS which is professional in decision-making. In recent years, more and more ERP providers are trying to realize the function of decision making in their systems, and this will make ERP more useful in helping the high level managers with the business strategies.
Case analysis in Successful ERP Implementation
Company A is one of China’s largest manufactures in communication industry, founded in 1984. Company A is a Joint venture, locates in Shanghai (one of China’s big city). Its annual sale reached 1080 million dollars in 2000. Company A always pays high priority to information. And in 1994, they began to adopt MRPⅡsystem. But the functions of MRPⅡsystem are limited to material management without the information about finance and sale. As the competition are more and more fierce, MRPⅡsystem can not well support business process and management within the company. So the leaders decide to adopt ERP in October 1998. As the leaders have realiz本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。