5 Jun 2022

46

Product and Technology Management

Format: APA

Academic level: College

Paper type: Coursework

Words: 1426

Pages: 5

Downloads: 0

General Introduction 

The use of software programs has become an integral aspect of the management of companies and has effectively replaced the traditional clerk. This is based on the increased size of modern corporations as well as the complex nature of operations. However, as shall be reflected throughout this report, information technology is a careful balancing act between cost and efficacy. Affordability and efficiency in this essence include the purchase price, management and maintenance costs as well as operational support from the vendors. 

Materials Requirements Planning (MRP) 

With PPQ being a manufacturing company, materials requirements planning (MRP) is one of the most important software systems. An efficient MRP system is the one that is able to maintain a careful supply balance (Kumar, 2016) . This minimizes warehousing costs while at the same time ensuring that there is no deficiency of any particular essential product in the manufacturing process. 

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Capacity Requirement Planning (CRP) 

The capacity requirement planning (CRP) is essentially a planning instrument that takes an accounting dimension. The CRP is able to look at the production plans and compare them to the anticipated outcomes so as to show if the same is practicable (Kumar, 2016) . This enables the company to avoid a production crisis such as the need for too much warehousing or an inability to satisfy orders. 

Enterprise Resource Planning (ERP) 

The enterprise resource planning is a software system that handles the overall management of an organization. It evolved from the traditional dimension of only supporting supply chain management to encompass all the aspects of the company including the supply chain, human resource management, accounting and other essential aspects. This makes ERP of prime consideration in the determination of the software system to be installed. However, it is also worthy of notice that the ERP aspects by their very nature are also the most expensive components of the software (Kumar, 2016) . Upon careful evaluation of the myriad software systems available in the market, the following six options were found to be the most suitable in order of merit 

Enterprise Resource Planning Software | SYSPRO ERP 

Syspro provides application based systems that are compatible with all mainstream software and hardware, including Microsoft, the provider favored by PPQ. The initial cost of installation and integration for a small and medium rage organization is US$2,500 followed by an operational cost of US$175 per month (Howard, 2015). The entire system may not be large or complex but is highly specialized and in need of a level of expertise to operate. However, when properly operated, it is quite efficient. It can also operate under cloud and mobile based systems. The systems are relatively easy to use but require an element of specialized training as aforesaid (Howard, 2015) . The best past is that customer support by the manufacturer is guaranteed. 

From the perspective of MRP, the Syspro program is extremely well suited more so due to its simple nature. Using Syspro as an MRP means that the simplicity of the program will have to be countered by a high skill on the part of the human interface (Howard, 2015) . Not only will it require well-trained staff but also a higher number of staff members as compared to other more complex alternatives. From the perspective of CRP, Syspro is all pros and no cons. CRP is a relatively simple process that is broken down into the different aspects of production making Syspro especially suitable. Finally, from the ERP dimension, the same scenario as with MRP applies. The simple nature makes use reliant on a higher level of human input in skill and scale is necessary. 

Sage 

Sage is one of the largest players in the software system markets with Sage ERP X3 being one of its highest selling products. One of the major general advantages of Sage is variety. The company offers product varying from minute programs to exponentially large ones. It is, therefore, possible for the company to pick a smaller package and keep on enhancing on it as time and demand allows. Based on the current status of PPQ, the Sage ERP X3 would be a suitable place to begin. It is both modestly sized and priced hence its suitability. The market rate for the product is US$2600 (Howard, 2015) . Upon purchase, however, there will be a need for specialized staff to install, maintain, and manage the program. Further, the members of staff who will operate the system will also require a level of professional training. From the perspective of compatibility, the program is compatible with all mainstream software and hardware systems. In application, Sage ERP X3 is more suitable for the more straightforward CRP-based activities and it users under this arena will require very little specialized training (Howard, 2015) . However, to be effective on both MRP and ERP on a larger scale, properly trained and effective members of staff will be necessary, a fact that has an effect on the maintenance cost. However, as aforesaid, the company can upgrade in due time to options such as Sage 100 at about US$5,000 or Sage 500 for US$17,000. The upgrade would greatly boost efficacy in MRP and ERP. 

Microsoft Dynamics GP 

Microsoft is among the largest players in the software and hardware industry today, and also the manufacturer of most of the product used by PPQ today. Its product, Microsoft Dynamics GP would, therefore, be more compatible for use within the company. Further, customer support by the provider would be easier since the company is already an ardent Microsoft client. The product is also available in different versions and options with a price range of between US$10,000 and US$100,000 (Top10wr.org, 2017) . The cheapest available option, therefore, comes at a steeper price than the options offered herein above. However, from a usability perspective, the compatibility aspect acts is a major mitigating factor. Further, the need for specialized training will be minimized as the member of staff at PPQ are already quite proficient in the use of Microsoft software and hardware. The program will also be proficient in all the three main aspects of CRP, MRP, and ERP (Top10wr.org, 2017) . Indeed, even in the more complex areas such as MRP and ERP, Microsoft Dynamics GP has highly proficient versions, but at a higher price. 

Oracle's PeopleSoft Applications 

If PPQ is seeking for efficiency and high-end service with little consideration as to costs, the Oracle's PeopleSoft applications would be the ideal option. This entails state of the art software platforms that will be able to handle all the CRP, MRP and ERP needs of the organization efficiently and effectively with limited need for human input, over and above the standard procedures. The Oracle's PeopleSoft applications, however, come with a combined cost of licensing and leasing that will require the company to pay at least US$30,000 to begin the service and more for subsequent upgrades as and when necessary (Oracle, 2017) . There will also be the need for a hardware upgrade so as to establish compatibility between the current hardware and operating software regimen with the PeopleSoft software applications. Further, more so for the more complex operations such as MRP and ERP, a limited specialized training will be necessary for the member of staff (Oracle, 2017) . There will, however, be comprehensive support from the service providers. 

OpenPro Enterprise ERP Solution 8 

There is also the online based OpenPro Enterprise ERP solution 8 by the International Business Machines (IBM). Being a web-based program, it is not absolutely necessary to use IMB programs and hardware but it is recommended (IBM, 2017) . However, with only a little recalibration, the system can be able to operate under the current PPQ Microsoft based systems. The unique aspect about OpenPro Enterprise ERP solution 8 is that it does not come as a package. The company pays for access to the system at the rate of US$1,000 per station or individual user (IBM, 2017) . This is a single and final payment that allows for perpetual use by the registered user or station. The disadvantage, however, lies in the fact that to be able to utilize the same for CRP, MRP, and ERP, PPQ must need over 30 stations and/or users, which will then come at a steep price. However, for uses such as CRP which does not require many stations, this option may be ideal. With regard, to MRP and ERP, the application provides high efficiency and effectiveness but the same is directly proportional to cost. 

SAP ERP 6.0 

Another all-inclusive alternative is the German SAP ERP 6.0, which unlike the IBM alternative is a program, not web-based. The SAP program, which was launched in 2006, can be considered as among the futuristic management software systems. Its complex algorithm based systems are able to receive and digest all the aspects of PPQ. This comes at the one off price of US$7175.95 (SAP, 2014) . However, there will be additional costs in hardware and software to adjust the current PPQ system to be compatible with this system. It will then be able to give projections, which in this instance adheres to the requirements of CRP, guide procurement which aligns with MRP and also the overall management of the organization akin to ERP. So advanced is the system that it can be able to give projections and directions in issues such as HRM, financial issues, environmental and health issues, corporate services and even quality management (SAP, 2014) . The downside, however, lies in the fact that the system is exponentially complex and will thus require a specialized labor force. However, due to its comprehensive nature, there will be no need for an exponentially large labor force. 

References 

Howard, W. (2015). Project & technology management: Top ERP, MRP, and CRP ... Retrieved July 7, 2017, from https://www.linkedin.com/pulse/project-technology-management-top-erp-mrp-crp-solutions-will-howard 

IBM. (2017). OpenPro Enterprise ERP solution . Retrieved July 07, 2017, from http://www-304.ibm.com/partnerworld/gsd/solutiondetails.do?solution=18499&expand=true 

Kumar, D. (2016).  Enterprise growth strategy: vision, planning and execution . Boca Raton, Florida: CRC Press 

Oracle. (2017). Oracle PeopleSoft Applications. Retrieved July 07, 2017, from http://www.oracle.com/us/products/applications/peoplesoft-enterprise/overview/index.html 

SAP. (2014, May 02). SAP ERP 6.0 at a Fixed Price . Retrieved July 07, 2017, from http://news.sap.com/erp-upgrade-update-release-ehp/ 

Top10erp.org. (2017). Microsoft Dynamics Manufacturing ERP Software Systems Comparison. Retrieved July 07, 2017, from https://www.top10erp.org/microsoft-dynamics-erp-software-comparison-technology-137 

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