Sample Management Essays on Enterprise System Recommendation

Technology and its advancement ease life and tasks, both for individuals and organizations. Corporations, both small and big, find it especially advantageous to deploy and implement technology to their tasks in the form of enterprise systems. Indeed, when they are rightly deployed and implemented, such systems enable managers to gain access to knowledge, increase productivity, as well as eliminate the duplication of data within the company. For SugarSquared, Inc, which has over 300 employees, growing revenues, an online retail site, and separate legacy systems, a supply chain system is arguably the best enterprise system to implement. Such a system will not only assist in the management of tasks but also centralize its processes making for an effective and efficient organization while offering a competitive advantage.

The supply chain has various advantages. As an enterprise management system, supply chain refers to the collation of equipment, data, tasks, and individuals responsible for the production and movement of products from the manufacturers to the customers. Effective and efficient management of the supply chain process traditionally accords an organization a competitive advantage (Mor, Bhardwaj, & Singh, 2018). therefore, this system centralizes production and ordering processes making it easier for a firm to fulfill its obligations regardless of the difference in locations and the number of people that it has employed. Essentially, by implementing a supply management system, an organization can easily collapse its different legacy systems into one and provide the required information to different departments within the said organization in real-time.

The advent of globalization necessitates the implementation of a supply chain management system, especially for organizations with global/international operations. According to Janvier-James (2012), the fact that companies currently source their inputs and sell their product planetary calls for a supply chain management system, for profitable management and regulation of inputs and outputs. The rationale behind implementing a supply chain management system is the opportunity that the system presents in cost savings and better customer service, while at the same time recognizing and eliminating turnover (Janvier-James, 2012; Singh, Singh & Khan, 2018). Moreover, such a system helps improve organizational competitiveness in the face of increasing competitive forces and fluid customer needs.

Another benefit of implementing a supply chain management system as an enterprise system is the higher efficiency rate it gives an organization. According to Bátori (2010), organizations that are successful in incorporating supply chain, logistics, and product innovation are in a better position to predict and respond to customer demands than those that are not. Janvier-James (2012) argues that one of the objectives of supply chain management is to improve organizational competitiveness in a globally competitive environment. As such, implementing supply chain management as an enterprise system could have SugarSquared, Inc. reaping the benefits of supply chain management. The organization will be capable of adjusting more dynamically to the fluid economies and emerging markets, as well as have shorter product life-cycles.

Supply chain systems help in decreasing cost effects. Bátori (2010) avers that through the implementation of a supply chain system, the organization is presented with opportunities to cut costs. One way through which such a system helps in reducing expenses is through improving inventory. Given that the system is organization-wide and used for ordering and deliveries, the corporation can easily take stock of its inventory; both inputs and outputs. Moreover, the supply chain helps an organization to adjust storage space accordingly, particularly finished goods. Such an action helps in eliminating damage resources.  Perhaps the most important cost-cutting measure benefit that accrues from the supply chain is the improvement in responsiveness to customer demands, while at the same time improving the relationship with vendors and distributors.

Implemented effectively, supply chain greatly increases output. Kotzab et al. (2018) point to competencies required in supply chain management. When supply chain managers have these capabilities, they can easily increase the output within the organization by stimulating revenues (Prajogo, & Sohal, 2013). Part of these competencies include social and communication skills and improvements (Kotzab et al. 2018). Better communication is a precursor to improving coordination and collaboration among all the parties in the supply chain, translating in faster deliveries, timely supply of input, short to-market times, and conclusively better revenues.

Although implementing a supply chain management system has its benefits, there are foreseeable challenges to the implementation of the system. Ronoh (2016) highlights complications within the supply network as one of the foreseeable challenges to the implementation of the system. Here, the many departments, equipment, processes, and procedures expected of the system are likely to make it complicated. It is, however, possible to counter this challenge through the thorough training of the employees. According to Ronoh (2016), the management should bring to the attention of all employees the changes within the supply chain management. By making them aware and offering training on the new system before its implementation, employees get the required skills and attitude for the effective implementation of the system.

Despite an organization’s attempt to implement a new system, suppliers and partners may be unwilling to compromise and use the new supply chain system. Since the organization relies on the suppliers and partners, such unwillingness to compromise may be detrimental to the corporation causing delays in the manufacturing and delivery of products (Prajogo, & Sohal, 2013; Saini, Arif, & Kulonda, 2019). Firms on the verge of implementing a new system must involve all its stakeholders before the implementation. Additionally, consulting the suppliers, vendors, and partners help alleviate the resistance that comes with change, as well as ease worries that may emerge among the stakeholders. Such a consultation offers the opportunity to educate the stakeholders on the benefits that accrue with the implementation of the new system.

Within the supply chain market are vendors who offer packages and systems for different organizations. SAP, Oracle, and IBM are among the top supply chain vendors in the world (Bond, 2018). For SugarSquared, Inc., SAP is the most preferable syste, according to the organization’s needs. The fact that the software can be scaled up or down according to the present needs of the company makes it a perfect match. Moreover, SAP’s software offers an end-to-end suite of applications, which are easy to use, offer cloud computing services, and have an embedded machine learning capability that could be deployed to the online retail site to help with collecting and collating customer information.

Technology is at the center of everyday life. Innovation offers many advantages to organizations, some of which many do not enjoy since they have not implemented them. Supply chain management is one of the most important elements, especially for manufacturing organizations. Implementing an enterprise management system, such as supply chain offers many benefits to the organization. While challenges abound in such implementations, there are ways of addressing them, reaching a compromise for the success of both the organization and its stakeholders.

References

Bátori, Z. (2010). Supply chain intelligence: Benefits, techniques, and future trends. MEB 2010 – 8th International Conference on Management, Enterprise and Benchmarking. Budapest, Hungary.

Bond,J (2018). 2018 top 20 supply chain software suppliers. Supply Chain Management Review. https://www.scmr.com/article/2018_top_20_supply_chain_software_suppliers

Janvier-James, A., M. (2012). A new introduction to supply chains and supply management: Definitions and theories perspective. International Business Research, 5(1), 194-207.

Kotzab, H., Teller, C., Bourlakis, M., & Wünsche, S. (2018). Key competences of logistics and SCM professionals – The lifelong learning perspective. Supply Chain Management, 23(1), 50-64

Mor, R., Bhardwaj, A., & Singh, S. (2018). A structured -literature-review of the supply chain practices in dairy industry. Journal of Operations and Supply Chain Management, 11(1), 14-25.

Prajogo, D., & Sohal, A. (2013). Supply chain professionals: A study of competencies, use of technologies, and future challenges. International Journal of Operations & Production Management, 33(11), 1532-1554. doi:http://dx.doi.org/10.1108/IJOPM-08-2010-0228

Ronoh, R. (2016). Challenges faced in the implementation of Supply Chain Management in the Manufacturing sector. International Journal of Science and Research (IJSR) 5(11),1964-1966.

Saini, M., Arif, M., & Kulonda, D. J. (2019). Challenges to transferring and sharing of tacit knowledge within a construction supply chain. Construction Innovation, 19(1), 15-33. doi:http://dx.doi.org/10.1108/CI-03-2018-0015

Singh, C., Singh, R., & Khan, A. (2018). An evaluation of SCM initiatives in Indian: Manufacturing industries. Journal of Supply Chain Management Systems, 7(1), 37–49.