Summarize the case by writing what’s about (intro, brief plot, conclusion) From

Question

Summarize the case by writing what’s about (intro, brief plot, conclusion)
From Ideas to Application: Real Case disclose the cost of the project, but analys it was well over $10 million. incorporated into one enterprise system: re ERP systems, R/3 is highly structured even the new system forced IGT to change some of a Bet en the system was ready, three functiong International Game Technology (IGT) is a leading manufacturer of slot machines and lottery machines for casinos and government lotteries. Headquartered in development Reno, Nevads, with sales headquarters in Las Vegas, the company also maintains sales, manufacturing, andmodified for a particular customer. As often happened service sites in Africa, Australia, Europe, and South America. its Reno site alone produces 140,000 business processes. However, the company machines annually. It has been profitable for many SAP's system because it found it less rigid than othe RP systems. This was important to IGT, beca builds machines to order. years. in 2005, it had a profit of $437 million on revenue of $2.4 billion, apparently a situation that would lul executives of other companies to think "If it ain't broke don't fix it." Not IGT managers The system afforded the company several beneft Price proposals are made based on more information and estimates. Managers on the manu facturing floor can view or print out process sheets at their own PCs. Employees can longer ignore specifications or "cut corners." The system does not allow a process to continue when an attempt such more efficiently and with fewer errors. The sys connects all of the company's sites around the globe Until 2002, each business function had its own information system. IGT had different systems for information about a specific customer order, they had to go to each functional unit to receive a different piece of the information: customer details from the sales bei as this is made. The products are made department, status of the machines anufactured from the manufacturing units, One of the system's modules is project management which enables managers to monitor design changes and payment status from accounting. The accounting department itself had several software applications that handled different books, such as accounts receivable, accounts payable, and the general ledger and costs involved in new product development. The new system replaced the old MRP (mate requirements planning) system, but the compa As business was growing, managers complained uses its internally developed factory control system that they could not get comprehensive information on orders. The IT department developed interface software to connect the systems, but there were st complaints that information was not coherent. The IT specialists admitted that they were maintaining a mishmash of software. The loudest complaints came from the accountants. Every year it took them two weeks "to close the books." which has been successfully integrated into the SAP system. The factory control system enables managers to know which machines are built at which plant. IGT reduced the average period of order to shipping from 9-10 weeks to 7-8 weeks. Wh rush order is entered, IGT can now fulfill it in four weeks instead of seven weeks. Between 2002 2005 the error rates in orders for raw materia The accounting department pressured manage decreased from 10 percent to almost 0 ment to purchase a new system that would make their turm increased from 6.3 to 8.4 percent per year work more efficient. The CIO understood their plea but was afraid that satisfying this department's request would trigger similar requests from other units, such . Inventory IGT's CIO admits that the implementat challenging. The company makes a variety of machines, which meant that many bills of mat neering and manufacturing. The result might had to be entered into the system (and new be a better information system for each department, ave to be entered for new products). Adapting but disparate systems that still were not connected to each other. On the CIO's advice, IGT management decided to implement an ERP system. A steering committee and project team were mbled. Their members focused on business functionality rather than the technology. After the first selection, systems from three companies were considered: SAP, Oracle, and J.D. Edwards (which was later acquired by Oracle). After further consideration, SAP won the contract, and IGT embarked on a two-year effort. In 2003, the company switched to using the R/3 ERP system. IGT did not features to the way IGT operates was not easy However, the implementation CIO credits the success to strong suppo senior management, the establishment of a steering committee with members from all affected units, capable project management team, program to help employees understand how to ust the new system, and the rigorous system underwent before it was used. testing the Source: Bartholomew, D. "ERP Gaming Compamy Jackpot," Baseline, October 2, 2006: (www.igt.com), 200 104 The Information A

Explanation / Answer

Answer) The whole case is about the thinking about something new and creative and implementing the same for the sake and the benefits of the whole firm. In this case, the IGT's employees were having some problems with the way they had to do their work and indirectly it was affecting the company's overall growth. So to overcome that, new technologies were implemented, ERP in this case. With the implementation of that, the work of the employees become easy and thus they were able to provide best outputs from them and indirectly benefiting the overall progress of the firm. The conclusion from this states that one should move with the new technologies but after properly understanding that.

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.