According system. firstly, they apply sap system to

According to this failure, HP had affected bysome impacts which are failing in fulfilling the orders and it led to loss ofsales.

Also, it led to increase the expenses trying to order fulfilling andthis would affect the company’s profit. Customers’ dissatisfaction is one ofthe impacts also which led them to complain continuously about delayedprocessing. In addition, company’s revenue growth had gone down from itsEnterprise Servers and Storage (ESS) which attributed to migrating to acentralized ERP system. Reasons behind that are the unaddressed issues left forcontingency planning of ERP implementation and executing issues, not related toSAP software. The company claimed that the problems of data modeling were minornature between new SAP and the old system, and they didn’t hold theresponsibility of SAP’s failure.

Thus, the poor implementation of ERP systemdemonstrates the adverse financial and business impact for an IT company, especiallyfor the role of consultant implementation. To terminate this problem, HP hadcollaborated with SAP to find solutions that designed specifically fordifficult implementation of SAP. logistics. Thebenefits that they expected to gain cost saving, shorter time in delivering andleading, and being global distribution system. Firstly, they apply SAP systemto some several modules. Then, they wanted to expand it as a large distributedapplication system covering all relative processes of the corporation.

Suddenlyafter many years of implementing, they faced many several problems including, project team constitution, data integration problems, demand forecastingproblems, poor planning, improper testing, and inadequate implementationsupport and training.  The othercompany that faced failure in implementing ERP system is HP. The Hewlett-Packard Company is an Americanmultinational company that headquartered in California. . It is a small andmedium sized businesses and large enterprise. It provides and develops highquality and responsible prices hardware components, software, and services thatare related to serve customers. HP had a highly decentralized organizationalstructure and independently designs for each business unit.

Moreover, they attain a highly production in theirindustry and increasing in sales volume of their products. In light of that, the company planned to replace legacy systems with SAP R/3 as a standard ERPsolution in order to reorganize their business processes and managing more efficientlythe complex operations of manufacturing and  one company’s negative experience experience withimplementing ERP. MIE used more than 5 systems developed internally or by localvendors before they start to implement ERP. These systems were hard to maintainand develop also, they are expensive to operate.

Moreover, they did not provideaccurate, consistent and timely information to support faster and good decisionmaking. The main down fall of the system was lack of communication betweenindividual sites and prone to manual manipulation due to that tracking, inventory and stock take problems had appeared. In fact, these systems did notsupport growth of the business and were not sufficiently agile to keep pacewith the changing business environment. At this point MIE decided that adoptionof ERP system will be the solution that could enable the company to overcometheses challenges. A consulting company called Syscorp was hired because oftheir substantial experience within manufacturing industries to monitor the ERPimplementing program.

ERP project at MIE covers many departments and areas ofthe business each must be associated with risks so, implementation teamconducted risk analysis method and other analysis methods such as CAM toidentify risks and manage the ERP project in proper way to ensure its success. Many benefits gained by implementing ERP at MIE which are: lower IT cost, ability to promise and deliver to the customer on time. These are things oldsystem could not attain. Ability to deliver on time will improve the customerrelationship and trust on company thus, will increase orders and profitability. Additionally, supply chain relationship was improved because of electroniccommunication the transactions were done easier and faster. Mesfine IndustrialEngineering (MIE) is a medium company in Ethiopia had a successful