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Assignment Applicable for December 2017 Examination
Enterprise
Resource Planning
1. Jayashri Enterprises is a
manufacturing firm involved in production and selling of PVC cables. It is
located at outskirts of Mumbai, India. It has got one manufacturing plant and
is looking for opening a new plant soon. Jayashri Enterprises has been using
Tally as an accounting package and MS-Excel for recording other information.
Introduction of GST has triggered the discussion regarding ERP implementation in
its recently concluded Board meeting. The MD of the firm has heard about ERP
but not sure about ERP functionality. She has also heard that ERP solutions are
too expensive but nowadays open source ERP software are also available, which
can be implemented at much lower cost. She has invited you to explain what ERP
is and how it would be useful for her firm. What advice would you give her? (10
Marks)
2. You are consultant to Jagat Facility
Management Services. This firm has over 100 clients and more than 2000
employees. You have implemented the ERP software for this company. Explain the
methodology that you have adopted for this firm. Also share the lessons
learned. (10 Marks)
3. “It is simply ridiculous! The pricing
is too much!” This was the reaction, which Ms Phatima Bidarkar received when
she shared her consulting fees. “Why we should pay so much for consulting
services when the ERP software comes for free?” A question followed the initial
reaction. Ms Phatima Bidarkar started her career as SAP functional consultant
with a large manufacturing enterprise, which had implemented SAP ERP. While
working on fine-tuning the ERP implementation, she also learnt how it is
important to do proper Business Process Reengineering (BPR) to get maximum
advantage of ERP implementation. After working for five years there, she
started her consulting company where she emphasized the need for BPR before and
even after ERP implementation. She got her initial business from the customers
and suppliers of her former employer as her employer served as a great
reference for her work. Since most of these firms were small businesses, she
started offering her services for implementing open source ERP software called
ERPNext. Recently Ms Phatima Bidarkar started to do cold calling for getting
new customers. That is when she started getting resistance for pricing of her
consulting services. Since she used to offer BPR services in addition to ERP
functional consulting services, she couldn’t reduce her prices. But she was
equally worried that she may need to abandon the SME market segment if she
sticks to her pricing.
a. Should Ms Phatima Bidarkar reduce her
consulting fees? If yes then explain how and if not then explain why not. (5
Marks)
b. Is BPR needed for SMEs before
implementing ERP? If yes then explain why and if not then explain why not.
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