Friday, March 1, 2019
Successfully Navigating the Turbulent Skies of a Large-Scale Erp
Bombardier is the worlds only manufacturer of both planes and trains, it is usher in more then 60 countries and is headquartered in Montreal, Canada. Both Bombardier Aerospace & Bombardier rapture employ oer 70 000 and posted a revenue of over 18. 3 gazillion in the fiscal year ended celestial latitude 31,2011. The case presents the implementation of an ERP arranging in Bombardier, along with all the major changes the corporation undertook for a successful transition. In the analysis I give address the challenges faced by Bombardier, the challenges associated with the integration of the large ashes & its usefulnesss.I leave also address how the enter team managed and communicated its vision amongst the whole and how the novel roles were defined, communicated & understood. The analysis will focus up to and including the implementation of the system. As the company grew over the years, Bombardiers strategy of growth by erudition turned the firm into a textbook silo organiz ation. This created problems as systems did not communicate with each other efficaciously. This inefficiency generated additional costs because the firm had to honor all the different systems.Another problem, related to the operation of the aerospace division, was the low-pitched visibility of enrolment and lack of integration between the old computer systems. This caused process delays, low inventorying turns & price inconsistency from suppliers. The Bombardier Manufacturing System (BMS) , the group of information engine room applications that had been supporting Bombardier Aerospaces manufacturing activities, had not evolved to cope with the fast changes. The BMS capabilities had become limited. We roll in the hay assume that Bombardier was not a fully merged company at that time because there was a clear lack of coordination and unity.An example would be how employees would create numerous stand-al matchless databases throughout the company on trading operations specific to their authority without realizing the negative effect it causes to the rest of the organization such as data errors or omissions. But Bombardier Aerospace was working on nice an integrated Company, as the Vice-President of Operations and Project Sponsor was aware of the challenges and created a Vision One Company To align the operations of its acquired companies by implementing parkland roles and responsibilities.To meet this enormous challenge, a Enterprise imaging planning (ERP) system was get-go implemented at Bombardier Aerospace. The first attempt in 2000 was a costly failure. The implementation of this technology without the corresponding organizational changes was the main case of its failure. The component parts that contributed to its breakdown are identified as Focusing the implementation on inappropriate business processes, an outdated company vision, a weak sponsorship model, low involvement of internal employees and having too many third-party consultants e mployed on the project.In October 2001, Bombardier Manufacturing teaching System (BMIS) was created by the Senior Project Manager to establish a new integrated manufacturing system. BMIS was the first project launched with a vision of an integrated organization. Once completed it would support 9,500 users over seven sites and the main benefit of the systems integration is the cost savings of over $1. 171 billion and a one time reduction in material inventory of $219 million. To Create & implement such a system, a blue scratch of the operation was created.An integration team was formed There role was to get a line integration points where a process crossed functional boundaries, and independently dismantle integration points that could potentially cause disagreement. The functional council took high level decisions regarding the target of the projects. The BMIS team pass along that the plants provide them with experienced employees for the design flesh. Some problems that the BMIS project manager was concerned about is that there was a lack of blind drunk business employees, although empowered to make decisions and complete the design had to constantly go back to the business in order to validate.Another problem was the documentation that was requested by the BMIS team were not provided. As a result, the Design phase ran over schedule by several months. Bombardier Aerospace fixed to go with a progressive implementation of the system. BMIS would be implemented one plant at a time starting with there newest facility, the Mirabel Plant. The Critical success factor for the project was the Vanilla approach to system design It was beta that the first roll-out or implementation of the system at the Mirabel plant to be a controlled one.Bombardier limited the scope of the first roll-out one section at a time and trained the rest of the shop accordingly. This approach would siege the system to one part of the plant and identify lessons for subsequent roll-outs . The Restructuring of the procurement function plays an important role in realizing the vision of the BMIS. As was stated earlier, one of the problems the firm faced was the low visibility of inventory. By improving the visibility, you mickle reduce inventory levels that would improve liquidity and reduce cycle time.It was decided mid-project to restructure the procurement function, it was undertaken in parallel with the implementation of the BMIS and was called the Material Resource Planning Technology. The main idea for procurement was to minimize the total learning cost and overall procurement costs by concentrating on a centralized and strategic sourcing of inventory. This big change would require the teach of new employees and have them ready to use the new system.selective information Management was also a parallel project, it can be divided in 2 activities 1. information Cleansing identified as a major risk of the project. 2. Data Preparation Extraction, mapping, staging and consolidation of data. Before going live it was important to prepare the users in utilizing the new system. Due to the pressure of staying on schedule, training were delivered to users in a short period of time which wasnt effective because transmitting such a large amount of information in a sort period resulted in a negative effect.
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