1. Why do you think that Aviall failed in their implementation of an enterprise resource planning system? What could they have done differently? Answer: The reasons why Aviall failed in their implementation. • The Enterprise resource planning (ERP) system did not support adequately Aviall’s business strategies. • The Enterprise resource planning (ERP) implemented did not improve the basic operational support system needed by Aviall to provide timely supply chain management. The Enterprise resource planning (ERP) system project did not adequately address the issue of systems integration between applications. • The implementation of the Enterprise resource planning (ERP) failed due to inadequate consideration of the magnitude of the project.
Aviall could have done differently. • Project planning through the use of some form of a systematic development process. • The Analysis of the business requirements prior to making decisions about the software to acquire for the Enterprise resource planning (ERP) system. Project management should have been a higher consideration of Aviall. 2. How has information technology brought new business success to Aviall? How did IT change Aviall’s business model? Answer: Information Technology brought new business success for Aviall, • The System integrated by using common business databases managed by database software from Sybase, Inc. • Designing the new combined system to properly access and deal with customized pricing charts for 17,000 customers who receive various types of discounts, and with an inventory of 380,000 different aerospace parts.
Developing Aviall. com to reduce the cost per order from $9 per transaction to 39 cents. • Customers are able to transfer their orders from an Excel spreadsheet directly to the web site. Customers have access to price and availability information in less than five seconds – a real time feature. • Sales force freed from routine order taking can devote more time to developing relationships with customers. • Customers have the ability to transfer orders from an excel spreadsheet directly to website. Helped to build relationships with suppliers by providing them with customer ordering data that enables them to better match production with demand. • Aviall can better match production to demand from the it improvements. • Changed Aviall from a catalog business to full-scale logistics business. • Aviall became a provider of supply chain management services through the integration of a range of Web-enabled e-business software systems. 3. How could other companies use Aviall’s approach to the use of IT to improve their business success?
Give several examples. Answer: • To the use of IT to improve their business success are to Reposition a firm as a supply chain management services provider through Web-enabled e-business software systems. • Also to redesign the customer relationship management system to minimize the routine order processing and permit the sales force to focus on product and service development efforts that will grow revenue. (Telecommunication Companies) Name : Zain Ul Abdin Roll no : 197 Subject: Management Information System