A STUDY OF ERP SYSTEM IMPLEMENTATION AND SUPPLY CHAIN INTEGRATION IN CHINA
Enterprise resource planning, as its name implies, focuses on the needs of the organization: what resources are going to be needed in which areas of the organization in order to accomplish the organization's goals and objectives ("Enterprise Decision Support Systems," 1).
At the heart of ERP systems is their ability to maintain business intelligence, information and data that crosses across the functions of the organization. Customer orders are traced using the same system that tracks orders due from vendors and the production schedule. Engineering drawings used in production are tracked along with sales forecasts and human resource records. In short, an ERP encompasses all aspects of a company's operations. However, traditionally, the information that is contained in an ERP system is not easily retrievable and may require expertise in query languages in order for decision makers to have access to the information they require. At the same time, traditional ERP systems have had difficulty in working with the Internet, causing frustration for employees, vendors and other stakeholders who are increasingly using the Web to interact with each other (Bloodworth 24).
2.1.1 THE BENEFITS OF ERP TO THE COMPANY
One of the most difficult aspects of enterprise resource planning is determining how effective a particular implementation is for a particular organization. These systems can be expensive, not only in terms of the hardware and software, but also in the training required for users to become proficient in their use. In addition, many large organizations are faced with the challenges of replacing or updating legacy systems with new ERP systems that make use of the Internet and real-time communications which improve the effectiveness of the system, but which require additional resource investment. To measure the effectiveness of a particular syste...