Week3+LT+Assignment+DRAFT

Week3+LT+Assignment+DRAFT - Running head: RIORDAN...

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Running head: RIORDAN MANUFACTURING ERP ACQUISITION 1 Riordan Manufacturing ERP Acquisition Project Management Plan Angelica Weekley, Alexander Witt, Lori Mixson CMGT410 November 22, 2010 Chanda T. Sanders
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RIORDAN MANUFACTURING ERP ACQUISITION 2 ERP Acquisition Project Management Plan Background Riordan Manufacturing is a global plastics manufacturer, wholly owned by Riordan Industries, a Fortune 1000 enterprise with revenues in excess of $1 billion, and projected annual earnings of $46 million. Riordan employees 550 people at its plants in Albany, Georgia; Pontiac, Michigan; Hangzhou, China, and Corporate headquarters in San Jose, California. The company was founded by Dr. Riordan, a professor of chemistry, in 1991. Its products include plastic beverage containers, custom plastic parts, and plastic fan parts. Riordan’s major customers are automotive parts manufacturers, aircraft manufacturers, the Department of Defense, beverage makers and bottlers, and appliance manufacturers (Apollo Group, Inc., 2003, 2004, 2006), all of which are government regulated agencies. To ensure consistency of operations and quality control at all Riordan plants, a common set of procedures have been developed for the management of receiving raw materials, tracking products during manufacturing, and accounting for the finished good inventories (Apollo Group, Inc., 2003, 2004, 2006). These procedures include storing data on the shipping/receiving, inventory, and sales/distribution databases separately. Data is entered into the inventory system manually by the inventory clerk, of the information related to the raw materials receipts, and the information related to the raw material and sub-assembly usage during manufacturing. Additionally, the inventory clerk updates the inventory system to include information received from the shipping documents after the finished products have been ordered and shipped.
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RIORDAN MANUFACTURING ERP ACQUISITION 3 Problem Statement The problem Riordan is currently experiencing with their inventory management and control is that the data is not centrally stored, and the resources and methods used to collect and store critical information is redundant, resulting in unnecessary costs, and inaccurate records.
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Riordan is requesting the acquisition of an ERP application for manufacturing, distribution and inventory management across all plants. The company would like to integrate information currently stored in a number of different computer systems onto one system. Completion of this project would produce the acquisition of an ERP application that will help support this integration (University of Phoenix, 2005, 2007Mcm, ). Project Objectives Expected benefits of acquiring an ERP system is that it will allow Riordan to cut costs related to how received material is collected and logged, how inventory is tracked and managed, and cut down the amount of resources needed for inventory management and data entry.
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This note was uploaded on 08/21/2011 for the course CIS 206 taught by Professor Shotupo during the Spring '11 term at University of Phoenix.

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Week3+LT+Assignment+DRAFT - Running head: RIORDAN...

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