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Friday 22 March 2013

Chapter 12 : Integrating The Organization From End To End (Enterprise Resource Planning)



Assalamualaikum,

Case : Shell Canada Fuels Productivity with ERP



Shell Canada

Shell Canada is one the nation's largest integrated petroleum companies and is a leading manufacturer, distributor and marketer of refined petroleum products.

1. How did ERP helps improve business operations at Shell?
    - ERP helps improve business operations at Shell by integating and managing its
      daily operations that span from wells and mines, to processing plants, to oil
      trucks, and gas pumps. For example, the ERP system 
has helped the company
      immensely in terms of reducing and streamlining the highly manual process of
      third-party contractors submitting repair information and invoices.

2. How could extended ERP components help improve 
    business operations at Shell?
    - ERP solution helps improve business operations at Shell by providing an
      integrated web-based service order, invoicing and payment submission system.
      Formerly, the information was not timely and it was often weeks or even months
      old by the time it made it into the payment processing system. Thus, Shell was
      not collecting sufficient information about what repairs being done, what caused
      the problem and how it had been resolved. However, with the ERP system, the
      contractors can also enter detailed about the work that was performed and
      sometimes even attaching photo and drawings to help describe the work that
      was done.

3. What advice would you give Shell if it decided to choose
    a different ERP software solution?
     - In my own opinion, if Shell decide to choose a different ERP software solution,
       they can be used to handle other operational task.
     - The system can help speed up maintenance and repair operations at the
       company's refineries.
     - They can use ERP system to access these things directly from a centralized
       database.
     - However it depends on the suppliers or contractors that want to search the
       Shell company's website.
     - If the system that they choose can satisfy the user or the contractors, the
       software can be used. Or else, Shell must use the ERP software that they
       already have.
     - In this era, people intend to do choose the easier task and if people already
       knows and familiar with the system before, they will make the task effectively
       and efficiencly. Changes can be made but not too complicated until until they
       find it difficult to perform the task.

4. How can integrating SCM , CRM and ERP helps in 

    improving the business operations at Shell?
    - Application such as supply chain management (SCM), customer relationship
      management (CRM), and enterprise resource planning system (ERP) are the
      backbone of e-business. It's the key to success for many companies. Thus, it
      can helps in improving the business operations at Shell in terms of :
      SCM - sales forecasts, sales strategies and marketing campaigns
      CRM - market demand, resource and capacity constraints and real-time
      scheduling
      ERP - forecasting, planning, purchasing, material management, warehousing,
      inventory and distribution

Shell does not only use the ERP system to helps their business operations but also using the SCM system to integrate sales for Shell company and CRM system to help cater the market demand. With these system, all of employees in the organization have gained fast and easier for them to access the tools and information that they need to carry out for their daily operations.


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