The seminar in Week 7 will look into Enterprise resource planning (ERP) and its ability to handle various transactionalrequirements including accounting. The value of corporate data integration and...

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Topic: Failed Implementation of ERP system in Hewlett Packard (HP)
Introduction:
An Enterprise Resource Planning (ERP) software is a software used by the large companies to effectively manage the multiple process of the company. The Enterprise Resource Planning (ERP) system is used by the companies to manage and integrate the process in the enterprise in such a way that a single software can be used by the company to run the company. An Enterprise Resource Planning (ERP) system can be used by the company to manage its planning activities, purchasing inventory, sales, marketing, finance, human resources, and more. Some of the most famous Enterprise Resource Planning (ERP) software are developed by Oracle Corporation and Microsoft. Even though the Enterprise Resource Planning (ERP) software are intended to reduce the complexity within the company, they first need to implement an Enterprise Resource Planning (ERP) software which suits the needs of the company or else the company will end up with a more complex system which might cause huge financial loss to the company.
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Case study of Failure of Enterprise Resource Planning (ERP) software in Hewlett Packard (HP):
Hewlett Packard (HP) is one of the known companies in the Technology world. The company started in the year 1938, as a company of electronic products and tools. In the year 2004, the turnover of the company was around $80 Billion Dollars and the Profit of the company was around $4.20 Billion Dollars. The company has worked closely with SAP and more than 50% of the SAP clients used the infrastructure of the Hewlett Packard (HP).
But during the third quarter of the year 2004, the turnover of the company starting falling and it was reported that the sales of the company has reduced by 5% in the current quarter in comparison to the previous quarter. At this point the company revealed that the reason for fall in the sales of the company is due the failed attempt of the company to introduce a new Enterprise Resource Planning (ERP) software. It was estimated and reported by the company that the overall loss incurred to the company due to this failed attempt to implement a new Enterprise Resource Planning (ERP) software was more than $160 Million Dollars. This cost was more than five times the cost...