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The Affect of Shared Service Centers on Enterprise and Material Resource Planning

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Submitted By Dclouds
Words 3041
Pages 13
Proposal

The use of enterprise resource planning systems (ERP) is widespread. To maximize efficiency, companies of all sizes are implementing these systems and revising existing processes to increase efficiencies. The widespread influence on business by ERP systems requires investors to understand the benefits gained and the costs incurred by implementing them. Efficient conversions to ERP systems may provide a multinational corporation with enough of an edge to change the industry in which it participates.
Determining and investigating key ERP benefits is important for a number of reasons. By evaluating how other firms have been affected by implementing ERP systems, a company can estimate how its processes will be benefit and whether the system will assist in solving the problems. Evaluating benefits “allows firms to investigate the alignment between their needs and what an ERP system can do” (O'Leary, 2004). Once the company has established ERP benefit benchmarks, it will have a point of reference by which to evaluate other ERP implementations. Once it is understood what ERP benefits are likely to be experienced, then those potential benefits can be used as the basis to set up measurements for those benefits. Then those measurements can be used to establish whether a company has attained the levels of productivity expected from the ERP implementation (O'Leary, 2004). Industry specific benefits must also be taken into account. In total, these are the reference points by which potential stockholders will evaluate an entity’s viability as an investment risk.
This paper will evaluate UTi Worldwide Inc. as a case study for ERP implementation; the potential benefits and costs that result from the transition and realignment, and the affect on investor interests.

Industry Concerns
To be competitive within the global supply chain services and solutions

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