IDG Network:Login Register ComputerworldFailed ERP Gamble Haunts HersheyCandy maker bites off more than it can chew and 'Kisses' big Halloween sales goodbye News Story by Craig StedmanNOVEMBER 01, 1999 - A $112 million ERP project has blown up in the face of Hershey Foods Corp., which last week said it's still struggling to fix order-processing problems that are hampering its ability to ship candy and other products to retailers. Analysts and sources in the industry said the Hershey, Pa., manufacturer appears to have lost a gamble when it installed a wide swath of SAP AG's R/3 enterprise resource planning applications, plus companion packages from two other vendors, simultaneously during one of its busiest shipping seasons. The sources said Hershey squeezed what was originally envisioned as a four-year project into just 30 months before going live with the full ERP system in July. That's when retailers begin ordering large amounts of candy for back-to-school and Halloween sales. But the company said in mid-September that it was having trouble pushing orders through the new system, resulting in shipment delays and deliveries of incomplete orders. Last week, when Hershey announced a 19% drop in third-quarter profits, Page 1 of 3Failed ERP Gamble Haunts Hershey - Computerworld10/3/2005http://www.computerworld.com/printthis/1999/0,4814,37464,00.html
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