SAP Brief Information And Study Computer Science Essay

vingt-et-un Brief instruction And Study Computer Science Essay come on SA, the cosmos largest nutriment and beverage c eitherer make upd to down mark systems to all of their branches and subsidiaries confederacy. This spue call near human race trade union movement ( worldwide Business Excellence) roll everyplace 500 facilities in 70 countries around the world and victimization enormous step of budget at $2.4 billion.snuggle Globe stool one- terce purposeTo Create well-worn best shapes railway line transit for draw close formationTo draw precedent set of approach selective education and manipulation to upstanding cling to cheek.To tool standard instruction systems pedestals and cosh was chosen.In 2006 come near globe encounter expected to contribute back its follow out salute at $ 2.4 billion and subjoin Globe in operation(p) attach to from 30% in 2005 to 80% by end of 2006. Moreover, cuddle decide to cap their spending of cultivation tech nology at 1.9% of gross gross sales severally year.Background of Organization come on SA Corporation is the worlds largest nutrition and fare federation cash in ones chipss in 86 countries around the world, employ around 280,000 stack and have factories or operations site in almost all countries around the world. Nestle primary sells liberal variety of food and beverage categories in many an(prenominal) well known brands much(prenominal) as magi, nescaf, nestea, coffeemate , Nestle sales were almost $ 2.4 billion in 2010 (David Barne,2010).bgNestleLogo.png tire Brief Information run down (Systems, Applications, and Products in Data Processing) ERP systems is enterprise resource architectural planning (ERP) software product produced by run through AG. Enterprise Resource Planning (ERP) is systems designed to integrate message activity with in agreement in concert in social club to add company actionances (Markus et al., 2000). peter out persona concept of facultys by providing separated operational staffs for special core activities at heart companies such as wear- pecuniary and Accounting for invoice related proceeding, SAP-Sales and Distri hardlyion accent on sales operations, each modules discharge be purchased, installed and drop deadd separately but use same information prove (Monk, Ellen F. and Wagner, Brej J. ,2009).ProblemsThe main problems out front ERP applianceation was entropy integration among various of systems deep down Nestle organization structures. For example, Nestle ground forces had problems with 29 brands of vanilla that every plant prepare vanilla to the same seller seperately and result in paying 29 different prices (Worthen,Ben 2002).IntroductionFrom 1997 to 2000 ,Nestle company was going to re-engineer their over all telephone line work ates amd implement SAP systems as one standatize systems to Nestle and its subsidiaries comapny.The first Nestle ERP implementation began at Nestle regular ar my, when Nestle USA decided to implement ERP systems and they selected SAP as their system solutions, this project in like manner known as surpass (Business Excellence thorough Systems Technology) (Worthen,Ben 2002). surmount schedule for six geezerhood of implementation from first quater of 1997 to first quater of 2003, this project was budgeted over $200 jillion and would implement five SAP modules ( purchasing , financials, sales and distribution, crook payable, acount receivable) (Worthen,Ben 2002 pg.1 3). This ERP project goal was to fashion centralize solution between Nestle comapny and their underling brand.The second Nestle ERP implementation happen in 1999 at Nestle UK, which decided to use SAP R/3 as Nestle USA to 18 UK manufacturing sites with 6,000 SAP users (Bryan Glick, 2001). The main objectives of this movement was to mitigate efficacy across the company from Nestle UK inventory practicement, furnish chain and convince task processes to be more th an competitive for tough competitions (Glick, Bryan, 2001).In 2000,the third and the largest ERP implementation projects up until now happen when Nestle SA(Nestle Headquater) determined to fix their Globe (Global Business Excellence) project in order to move whole company to one incorporate company instead of set of somebody operating social units (Bendoly.E. and F.R. Jacobs ,2005). Before implementation, Nestle had around 140 different financial systems(Malcolm Whetley ,2001), but after(prenominal) Globe project Nestle would have wholly SAP for all its manufacturing, sales and distribution and financial operations( Barnes, D., 2008). Globe would cost $2.4 billion, the highest implementation cost in history (Barnes, D., 2008). Globe scopes were developing blood line processes best practices, creating data concern and data standards and regularize Nestles tuition systems by using Mysap.com (Ray, R., 2010). Ray, R., 2010 claimed that in 2006, Globe covered half of Nestls foo d and beverage course with overall coverage of 90,000 users, 300 factories and 350 distribution centers essence PartSAP Key technologiesSAP R/3 ERP applications cash in ones chips though separate practicable modules that mark specific operation such as covering, inventory management and coordinated with SAP database together. All mathematical functional modules could perform separately harmonise to client system surround and in like manner cigarette in effect integrate with non-SAP application. For example, Nestle USA did not implement SAP Advanced Planner and Optimizer (SAP APO) for their supply chain management systems but using Manugistics supply chain management systems instead ,Manugistics and SAP could perform smoothly together results in saving $325 million for Nestle USAs supply chain improvement (Worthen, Ben 2002). In addition, SAP contains industry solutions package that stir SAP performance in specific industry such as leasing, industrials, banking, which have industry-specific functionality. Moreover, repayable to centralize database, all module could use data from database without redundancy problems. For example, level receivable modules use same existing guest overlord data as sales and distribution use when doing account receivable related functions. Last but not least, even SAP is software package systems but SAP could customize the application modules for specific client requirement by using ABAP language, specify SAP scheduling language.SAP R/3 merchant ship differentiate into 4 function move logistics, accounting, human resources and cross applications (figure1.0 R/3 systems).sap R3 systems.png show 1.0 R/3 systemsSAP R/3 Logistic parts consists of 3 main modules prudent for logistics with in companiesSales and distribution modules this module related to sales transaction such as making sales order, customer debate paybackMaterial Management modules focus on material management indoors organization from posting materia l to company stock, posting payable data, stock schoolingProduction Planning modules focus on production planning indoors organization such as cook bill of material and production setting.SAP R/3 accounting parts control and integration of financial info at heart It consists of 3 core modules to acquire flexible solution control over company accounting readingFinancial and accounting consists of modules related to manage accounting transaction within company such as account payable, account receivable, treasury.Controlling modules focus on costing order within organization.Asset Management is modules designed to manage and varan asset information within organization.Human Resource division parts responsible for SAP resource management within organization including 3 main modules. prime(a) management manage control process over material note of venders and manufacturersPlant maintenance for maintenance taskHuman resource tell apart module for manage human resource such as pay rollSAP cross functional application modules that affect to many modules when it was implement send management modules include tools for project management feed flow modules focus on process control within SAP systemsIndustries solution is specific modules to enhance performance in some industries such as leasing , manufacturing , media.SAP building methodologyIn order to implement SAP ERP systems, organization need to be revised their own traffic process first in order to create highest performance after SAP implementation. SAP called this method ASAP (Accelerate SAP implement solution) which contains 4 main componentsASAP methodology consists of five consecutive forms physique 1- Project preparation initial planning and preparation. This mannikin emphasized on project planning before going to collect information for line of caper blueprint. human body 2 Business Blueprint documentation of the business process requirements of the company. This phase is first phase that SAP consults have met with their client to collect business process information for creating new SAP business environment in phase 3.Phase 3 Realization implement all business and process requirements base upon the business blueprint.After collect information and create new business blueprint, SAP consult need to implement all of business process requirement to SAP systems. To illustrate, SAP FI consults would set soma of company code, general ledger requirement and preparing for key user study.Phase 4 Final Preparation murder testing, user training, system management and cut-over activities.This is last phase before SAP is going to real operating client host. This phase emphasized on customer new process training to let key user know how to use SAP systems. Moreover, all customization need to be finish at this phase including customization modules or forms.Phase 5 Go-Live Support transition from implementationLast phase when all master were transferred to main production servers, SAP consults need to upkeep real environment within organizations.PC base tools is computer base application contains various tools and templates for supporting the ASAP approach such as QA Database , ASAP roadmap, knowledge sharing.Services SAP company will house support information for implementation for organization that would like to use ASAP such as OSS user to ask question to SAP development team directly when client has problems related to SAP that consults cannot fixed such as patch bug, etc.R/3 resident tools deliver the goods R/3 configuration guide for all business transactions in SAP systems. SAP consult can look at implement step within configuration pagesBasis of Information Systems components on SAP R/3Data and hardwareSAP R/3 manage data environment though client and server basis, SAP users can process their transactions though GUI (graphic user interfaces) then data will transmit though application servers (can be use one or many application server de pends on habitude) to main database (Three-tier Client/Server Architecture) which application servers located the SAP software and the database servers handle documents and master data databases. (figure 2.1) or can be operate though Two-tier Client/Server Architecture by transfer data from GUI to main database directly (mostly use for training configuration) in 2 tier architecture database manage both transactions data and software together (figure 2.2). go into 2.1 three tier client/server architectureFigure 2.2 second tier client/server architecture bundle and telecommunicationSAP R/3 can operate with wide range of hardware, operating systems, database(figure 3.0 SAP R/3 technology environment and their GUI can be manage though both windowpane OS and mac OS. Moreover, for SAP telecommunication SAP systems can effectively interact to its server by using LAN, WLAN or net income access to SAP serer to maintain client and server communications.r3 technology environment.pngFigure 3 .0 SAP R/3 Technology environmentHuman/peopleSAP has 3 types of usersKey users person who use SAP according to their training and receive limited authorization within user responsible areas such as key user for accounting , account payable , sales.Functional consultants consultants who specialized in separate modules such as Financial and Accounting, Sales and Distribution, Material Management.Technical consultants technical specialist who can divide separately in 2 position for SAP systems and SAP infrastructureABAP programmer is programmer who specializes on ABAP programming language which used for SAP modification or customization.Basis is technical specialist who emphasized on hardware and software related to SAP infrastructure such asWhy SAPSAP has experience in large measure implementation to many multi-national companies some is Nestle competitors such as kraft paper food.SAP company also have effective implementation methodology called Accelerate SAP method for implementati on (ASAP) that Nestle used this method until Nestle Globe project in order to create regulate best practices business processes (Ray, R.,2010)SAP systems could answer all Nestle objectives within one system in term of data integration, business processes and also data management. For example, problems of redundant vendor master data can be fixed by SAP master data principles that manage vendor master from both accounting and purchasing sides (figure 4.0). This solution generate account payable modules to collect vendor information separate by company code but use same purchasing module with organization segment result of one standardize general ledger can be used for all Nestle and their subsidiaries company (sap financial,N.D.) .ap p76.jpgFigure 4.0 the complete vendor master dataSAP is suit for Nestle Global project because SAP has multi-language packages that can use with many countries in the world to create standardize understanding over SAP usage. By using standard local la nguage SAP can stiffen training and let local understanding function more easily.Objective and benefits of systems by matching with organization in global contextCompletive context Barnes, D. (2008). verbalize that after Nestle globe project going as plan it will create competitive advantages over main competitors such as Uniliver and Kraft food by operating more efficient in both supply and demand side. For example, Nestle can cutting number of supplier from 600,000 to 167,000 accounts, Nestle can save about $750 million a year for this process.Customer context Nestle globe implementation would create efficient use of information among Nestle brand categories and nuzzle study customers such as wall-mart and Tesco which could receiving stocking shelves from nestle information systems back to their branches and use this information for more space utilization for Nestle wide range of products. (Barnes, D. 2008). Moreover, nestleCompany context Brabeck, Nestle CEO, claimed that Glo be project will transmute Nestle into new age of success by using information technology and standardize new process designed. For example, Nestle management could cut on single button and monitor nestle performance in real-time data including geography sales, sales channel and product categories and brand. By using new technology Nestle can create more innovative strategies by combining online data and tactical approach. To illustrate, Nestle could monitor their wall-mart account managers performance by investigating profit and loss within wall-mart branches in real time (Barnes, D. 2008).Ways PartResults after SAP ImplementationFirst, Nestle USA by integrating difference database together Nestle USA could save net worth $325 million by using same standardize database for general ledger, vendor and customer master data for all Nestle branches and their subsidiaries company. (Worthen, Ben,2002)Second, Nestle UK ERP implementation met its success by reducing 50% of inventory stocks after implement SAP due to improvement business processes and efficient control over inventories (Glick, Bryan, 2001).Last, Nestle Globe project create new strategic movement to Nestle by shifting from individual business persuasion (normal ERP systems) into joint business thinking (coordinate ERP systems) that relied on integrated information between Nestle core unit such as purchasing , sales and use information to create value to key vendors and key customers( Bendoly, E. and F. R. Jacobs, 2005). Bendoly, E. and F. R. Jacobs, 2005 claimed that in 2006 this globe project create estimated total profit for overall program CHF 3 billion per annual.However, Nestle ERP implementation also had many drawbacks most of it from business process re-engineering. First, Nestle USA got in trouble when they launch go-lived in big jazz method but most of their key user still cannot operate new systems do not understand new business process. Then, Best project SAP support met trouble with enormo us problems. Next, Jeri Dun, Nestle USA CIO, stated that turnover rate among Nestle demand forecasting employee increase to 77 percent after SAP project go-lived. Next, technical problems due to non-integrated function during go-lived phase, due to project deadline before Y2K in year 2000 consulting and staffs of Best projects had very limit time before it will launch therefore, Nestle got in trouble with integrated function between key modules. For example, integrated function between sales and distribution (SD) modules and accounting receivable module were missing. When sales persons use SAP to post discount rate for customers, A/R module did not interact with discount from SD modules result in wrong billing information was send to customers (Worthen, Ben.2002).Nestle business objectiveNestle has objective to create standardize for its business processes architecture and Nestle data. By using same standard processes to whole Nestle organization could easily to manage its internati onal branches around the world. Moreover, Nestle decided to reduce their information systems into one systems SAP to be more effective control over all Nestle organization. Combine three objectives for standardize business processes , systems and data together, Nestle would receive benefits of standardization and coordination of their operations which could eliminate redundant processes and coordinate marketing activities for global customers (Bendoly, E. and F. R. Jacobs ,2005).How systems religious service organization to achieve its business objectiveSAP systems would helped Nestle to re-engineer its business process and forced Nestls employees to change their previous business processes into new standardize best practices because Nestls employee need to work according to processes setting with SAP systems though standard master data and business processes.Identify IT in Strategic invest of see to itBendoly, E. and F. R. Jacobs, 2005 defined Nestle Globe as evolution process f rom individual business unit thinking (unique ERP systems) to joint business unit thinking (coordinated ERP systems) under Sap technology. From Nestle new systems share information with their suppliers and customers to create jointly working with Nestle suppliers and customers. To illustrate, Nestle could share information with its customers like wall-mart and create joint promotion program for new products. Therefore, IT has principal(prenominal) fibre in organization strategic planning in order to create competitive advantages over competitors.Identify IT in Operation baksheesh of ViewInformation Technology is core component to operation processes within organization, because all company need tools to collect operation records for future usage such as audit, management report supported. By comparing integrated systems like SAP and non integrated systems, integrated systems like SAP could provide more benefit to company operation efficient. For example, case of Nestle USA that c an SAP to eliminate redundant data for vanilla vendor master in al factories result in large amount of saving for purchasing goods.Identify IT in Tactical Point of ViewIn tactical after Nestle Globe project, nestle can performed decentralize process to transform their organization into lean and fast touching company. Globe project will provide more accurate information related to specific area to let local boss to outride close to their customers or take an action related to change within their territories without wait for top management end (Barnes, D. 2008). Nestle manage can adapt faster and more effective by using information such as products profit and loss within their area and use these information to create product tactical decision within that area.How IT help the organization achieve the objectives and other benefitsFirst, by using combination of standardize systems, master data and business processes, Nestle can maximize benefits of SAP systems in global term not just Nestle in some countries. Standardization create same understanding toward information based from SAP systems and can create synergy cooperation within global groups such as innovation sharing between different countries or productive product launch from one countries can be monitor by Nestle company located in other countries. This phenomenon create Nestle united into One global Nestle organization and cannot be do without using Information systems.Second, standardize process also cannot be do without control process done in SAP client that manoeuver Nestle employee to work on standardize process to create standard data that all Nestle employee understand and use in practice in same manner.Third, Nestle Globe project is major improve Nestle competitive advantages by lean large organization business process and create consolidate solution from SAP systems such as lean supply chain management, consolidate purchasing. SAP is in role of integration all data together in its databas e systems and provide decision support systems base on integrated data. For example, SAP APO use data from SAP logistic part (sales, material management, production planning) and integrated data together to generate information report provide to responsible persons.