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ERP Case Studies

The document provides information on several ERP case studies. Case study #1 describes how retailer Fulton & Roark successfully implemented NetSuite ERP to centralize processes and track inventory and financial data more accurately, leading to increased sales and margins. Case study #2 details how distributor N&N Moving Supplies used NetSuite ERP to manage accounting and payroll across multiple locations, reducing payroll processing time by 84%. The final case study reviews how confectioner Hershey's failed ERP implementation led to $150 million in lost revenue due to attempting a holistic upgrade without proper management.

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403 views10 pages

ERP Case Studies

The document provides information on several ERP case studies. Case study #1 describes how retailer Fulton & Roark successfully implemented NetSuite ERP to centralize processes and track inventory and financial data more accurately, leading to increased sales and margins. Case study #2 details how distributor N&N Moving Supplies used NetSuite ERP to manage accounting and payroll across multiple locations, reducing payroll processing time by 84%. The final case study reviews how confectioner Hershey's failed ERP implementation led to $150 million in lost revenue due to attempting a holistic upgrade without proper management.

Uploaded by

SAIMA VR
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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ERP Case Studies

ERP Case Study #1: Fulton & Roark

• Fulton & Roark, a retailer of men’s grooming products, is an example of a


successful ERP implementation.
• Prior to upgrading to full-featured ERP, the North Carolina-based
business tracked its inventory in a spreadsheet and its financial data in
desktop accounting software, Sage Live. When the company began
doubling sales year-over-year, leadership felt its current processes weren’t
keeping up. Spreadsheets couldn’t account for changing inventory costs,
and the accounting software didn’t have the workflows necessary to
record the cost of goods sold (COGS), an important financial metric.
• As a result, the Fulton & Roark team did double data entry—manually.
• To centralize all work in one place, the company’s co-founders implemented 
NetSuite ERP. After a three-week implementation process, changes were immediate,
according to team members. Finally, the Fulton & Roark team was able to:
• Catch and correct bookkeeping mistakes related to inventory.
• Stop working with external accountants, growing both unit and dollar volumes
significantly with no extra headcount.
• Increase sales roughly 50% year-over-year without increasing headcount.
• Get a more accurate picture of margins and inventory, which helped grow its ecommerce
operation.

Key takeaways:
• ERP implementations don’t have to drag on—Fulton & Roark’s team was up and working
in about 20 days.
• The company’s story also emphasizes a major success factor: Getting management
committed to an ERP project. In this case, the co-founders initiated the project, which
consultants say often spurs employee adoption.
ERP Case Study #2: N&N Moving
Supplies
• N&N Moving Supplies, a family-run distributor of moving equipment
and supplies, successfully implemented an ERP system after
expanding from one location in Georgia to three locations in multiple
states and more than quadrupling its workforce.
• Running on QuickBooks and a third-party payroll provider, it was
nearly impossible to keep accurate time records and reconcile payroll
with general ledger accounts. So, N&N turned to ERP to manage its
accounting and payroll processes. During the implementation process
for NetSuite ERP, N&N worked with a NetSuite partner, NOVAtime,
to add a time-clock solution to the main system.
With this in place, N&N was able to:
• Reduce payroll processing time by 84%.
• Balance accounts faster.
• Improve the accuracy of hours and vacation time counts.
• See labor-cost trends across its three locations.
• Give employees access to personalized ERP dashboards on iPads at each of its sites.

Key takeaways:
• N&N’s case study nods to another major implementation success factor: managing
employee morale. ERP projects often fail when execs and other employees don’t feel
a sense of buy-in. By providing personalized dashboards—and ideally explaining
their benefits to employees before the implementation—N&N avoided this pitfall.
• The case study also shows that a third-party partner can be helpful in tailoring the
ERP system to precisely fit your company’s needs.
ERP case study #2: Hershey Candies – failure
• Not every ERP ends in success, this case study reviews the failure of Hershey, a 147
year-old confectioner, headquartered in Hershey Pennsylvania. The enterprise saw
the implementation of an ERP platform as being central to its future growth.
• Consequently, rather than approaching its business challenge on the basis of an
iterative approach, it decided to execute a holistic plan, involving every operating
center in the company. Subsequently SAP was engaged to implement a $10 million
systems upgrade, however, management problems emerged immediately.
• The impact of this decision represented complete chaos, where the company was
unable to conduct business, because virtually every process, policy, and operating
mechanism was in flux simultaneously. The consequent result was the loss of $150
million in revenue, a 19% reduction in share price, and the loss of 12% in
international market share.  
• Remember: poor management can scupper implementation, even when you have
selected the perfect system. 
Advantage of web-based ERP software:

1.Quick installment, as known to all, the web connects the whole globe and all you need is a web-
browser to get into action.
2.Minimalist business costs and time consumption
3.A centralized and reliable depository to all your crucial data.
4.Easy accessibility and data updating.
5.Compatible with almost every device connected to the web.
6.Online training can be completed at user’s own time and pace.
7.24×7 availability of data to your employees wherever they are.
8.Remote users like officials and sales representative can access the company system with any browser
and exchange & update data without the need of Windows/Exchange Server and SQL Server database.
9.Web-based ERP escalates the additional finance and time invested towards the maintenance of the
server & other hardware.
10.It also eliminates your concern on upgrading to the new parts or features.
11.Reduces the chances of ERP failure.
12.Enhanced presentation & Support.
13.Contact through hand-held devices made easy
ERP vs CRM vs SCM
ERP CRM SCM

Focuses on supply chain


Complete business solution Enhances customer relationships management

Automates every business Important for sales, marketing, Targeted at manufacturers and
process and customer support teams distributors

Scalable and customizable Does not cover other areas of Does not cover HR, customer
the business service, marketing, etc.

Implementation is complex Can be integrated with ERP Less complex than ERP

Can be expensive Not a complete business solution Not a holistic solution


An ERP is a complete software solution for businesses

• ERP is a comprehensive business software solution whose modules streamline

every aspect of your business operations, including finance & accounting, HR,

inventory management, project management, customer support, 

sales and marketing, manufacturing, project management, and more. Most

businesses start out with a few necessary (basic) modules of an ERP suite, and

then add other modules as and when needed. As ERP is scalable and often

delivered via a SaaS model, businesses of all sizes can easily implement it.
Features of an ERP

• Centralizes all functions and operations of a business


• Eliminates duplicate entries and maintains the latest, most up-to-
date data on a single platform
• Enhances employee and business productivity and business
scalability; grows as your business grows
• Streamlines communication between departments, teams, and
companies, provides tools to collaborate and connect with
external entities
• Reduces manual tasks, and helps save time, resources, and costs

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