SAP

It makes employers more profitable

ERP (enterprise resource planning) is an interactive system which compiles various data in order to help optimize the resources. In terms of implementing between production and sale, SAP also helps all of the department collaborate each other in favor of controlling and tracking of resources . There are two types of data usages: decentralized and centralized. They normally structuralize data at central location shared with various departments. From old system using the decentralized system, those effects have pointed out the drawbacks which are disparate information generated individually over time, integrating the information becomes more time and money consuming. The updating data are made inconsistently or made mistakes in data entries. As a consequence, all above reason can lead to lack of timely information causing the reluctance for customer services as well as the total revenue and reputation. Following this position, according to Fawzy S and Mohamed AY 1998, Dr Henning emphasizes about SAP benefit which all of the sections can access to the all resources’ data rather than relying on separating systems for each department or functional area which possibly may not interface with each other. Therefore, all data will be recorded correctly and effectively and particularly in sale, finance, material management and human management functions. Apparently, There is top 5 software to strive the efficiency of management ‘s system beside of SAP such as Epicor, Infor, Microsoft Dynamics and Oracle which has tied up around more than 50% of market share and SAP also has the highest proportion in market at roughly 24% ( Panorama, 2012 )

3) Challenges and benefits (700 words)

Benefits:

SAP is based ...

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... postponement and so on. As a consequence, it is quite crucial to assess carefully, verify and clear strategies about engagement of a SAP system during project pre-planning period. Implementing an SAP or any ERP systems is a challenge for all companies, so it takes for a certain period to see the long term improvement. Moreover, they try to avoid the acceleration of method which is opposite with SAP‘s inflexibility. Therefore, it will be better for users to adopt SAP to medium project durations. Lastly , it is necessary to track the company goals and compare between pre implementing SAP before post- period in favor of productivity so that the CEO can evaluate properly in term of system chosen is suitable for company scales and current resources, so it can be made sure that new result brought from SAP system is aligning the sustainable long term goals of businesses.