To survive in this competitive world, every company must produce or offer not only a better product or service, but also offer better customer service and reduce costs of production and overhead costs, have a more well-planned management system, highly reliable infrastructure and the list is endless. Many of these can be achieved through a customized Enterprise Resource Planning (ERP) system. ERPs serve as “a comprehensive database that houses all of the company's business information.” However, if these systems are not used correctly, with the necessary change in management of people and technology, this can result in failure. PowerIT Ltd. is an autonomous company of around 200 employees whose job is to produce and repair power supplies for energy conversion. The mid-sized company decided to replace its existing legacy materials resource planning (MRPII) system with an enterprise resource planning (ERP) system to "modernize practices and provide an integrated software solution" to accommodate growth of its customer base. Like many other companies, PowerIT chose to purchase an ERP package from a third-party vendor and modify it to fit their company. The advantage of this option over an internally developed system is that it does not require a highly skilled IT team, a requirement for large-scale software development and application domain expertise. The downside, however, is that internally developed systems are tailor-made for the company by an IT team with high knowledge of the company. In contrast, a cheaper, mass-produced standard solution is built to meet industry standards and is not tailored to a particular company. As a result, it is difficult to gain a competitive advantage. PowerIT acquisition…half the paper…is not being used well by many departments. Since the initial requests of this system were formulated incorrectly, it is worth reconstructing the solution. Furthermore, it is recommended to reimplement the system since using the existing system has shown many advantages and disadvantages of the current solution and this experience could be used to formulate correct and efficient system requirements. Additionally, creating a new solution will most likely improve communications with the new ERP solution owner. Their tech support is evidently uncomfortable with the resulting product. If this company designs a new solution, its professionals may be able to train users and provide better support. In general, the decision to reconsider the requirements and reimplement the existing system is optimal from a technical, financial and organizational point of view.
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