Therefore Mazen used ERP enterprise resource planning an information system

Therefore mazen used erp enterprise resource planning

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different systems, thus there was a need for a custom interface to make that happens. Therefore, Mazen used ERP, enterprise resource planning, an information system that integrates tasks and activities related to business between departments as well as integrating them with external applications like customers, suppliers, and business partners. By using ERP, Mazen believed that the XLS warehouse will be able to receive orders from each pharmacy electronically without a representative needing to be there physically, thus saving both time and cost. Mazen estimated that there was losses of 3% of total revenue in 2008 which accounts for AED 1.5 million per year. Unavailability is estimated to account for 2% of lose in sales which equals to AED 900,000 per year, so XL loses a profit of AED 270,000 per year. Implementing the new system will cost a onetime investment of AED 340,000 and that includes training, software, hardware, and security features. However, The calculations suggest that the new system will be saving AED 1,628,000 during first year which adds another reason to go on with this investment. Question 2 The current computerized system of XL is used for activities such as stock update information, transaction information, and day to day sales updates. However, the current computerized system represents an issue as it is being ineffective due to its independent nature which limits information transfer and communications between different pharmacies as well as between pharmacies and the head warehouse.
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Input-output transformation diagram(XL ( Input-output transformation diagram(XLS ( Question 3 XLS case study has two problems. The first problem is the lack of a warehouse in Dubai which costs the company a huge amount of money. XL needs to transport
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