ERP and SCM systems integration: The case of a valve manufacturer in China

Authors:
Indranil Bose;Raktim Pal;Alex Ye
Affiliations:
Room 730, Meng Wah Complex, School of Business, The University of Hong Kong, Pokfulam Road, Hong Kong;College of Business, Showker Hall, MSC 0202, James Madison University, Harrisonburg, VA 22807, USA;376 Wukang Road, Unit 201, Xujiahui District, Shanghai 200031, China
Venue:
Information and Management
Year:
2008

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Abstract

Many modern organizations integrate enterprise resource planning (ERP) and supply chain management (SCM) systems, as they work in a complementary fashion. This often results in technical and organizational challenges. Neway, a Chinese organization, recently went through this complex process. This required efficient procurement and management of hardware, software, and human resources for successful completion. The integrated system was found to improve operations, foster a paperless environment, and provide efficient inventory tracking and picking. It also had several tangible benefits, including reduced lead time and improved inventory accuracy. ERP and SCM systems integration is still a novel concept for a Chinese manufacturing organization. Our case study details the organization's experience, identifies challenges that were faced, and describes solutions adopted to overcome them.