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About
Santosh Karkhanis
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Electronic Industry-
A world Leader
R/3 at one of the product divisions:
Objectives to be achieved:
Major challenges:
The IT strategy:
Implementation Strategy
Results
The Company:
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One of the world's largest electronics companies
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Headquarter in Europe
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262,500 employees in more than 60 countries
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Sales: USD 41 Billion in 1996
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Product Divisions: Lighting, Semiconductors, Components, Consumer Products, Professional Products & Systems, Software and Services.
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World Leader: Lighting, Color TV, Electric Shavers and recorded Music (Polygram)
R/3
at one of the product divisions:
- Implementation of globally standardized system in 120 sites,
covering 60 sites.
- Global Standardization.
- Integral Supply Chain Management.
- Investments in future information Architecture.
- Managing Change is the Key issue.
Objectives
to be achieved at the end of the SAP R/3 implementation
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Integrated Supply Chain Management of goods, money and
information, covering 80% of the turnover, supported by SAP R/3
system.
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One common system, with local update for country specifics
based on SAP R/3.
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World-wide availability of on-line, real-time transactions 24
hours a day.
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Consistent, reliable and accessible data within 2 seconds
response time.
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Plug and play infrastructure, including connectivity for
customer and supppliers.
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End-to end systems management control, based on common
operating environment, central configuration and release
control.
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Measurable and comparable IT operation cost.
Major
challenges
- Different way of working, different processes.
- No consistent data management/data ownership.
- 4000 point to point interfaces.
- 8000 connected end-users.
- Different hardware platforms, from mainframe to Unix servers.
The
IT strategy:
- Yearly update of the IT strategy and IT master plan.
- Global commonality (Processes, master data and way of working)
drives uniform IT systems policy.
- Business ownership of Re-engineering and improvements program,
including IT projects.
- Virtual networking within small business entities needs global
information & data access, on line and real time.
- IT becomes a critical business enabler.
The
implementation Strategy:
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Same processes companywide globally
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Core Configuration by experts
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Roll out of the core configuration worldwide in 5 years with
minor configuration touches
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Confirming 'Business Scenarios' worldwide to ensure minimum
gaps in core configurations thus minimum change in configuration
to suite local requirements and to ensure 'same process
worldwide' policy.
Results:
- The
company has successfully implemented SAP R/3 in it's head
office in Europe and few plans in different parts of the world
in the first phase.
- Global
Rollout is going on successfully as per the plan.
- Global
rollout in all the plans and sales offices will be finished by
year 2002.
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