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Whirlpool Corporation – Giving Erp a Spin

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Whirlpool Corporation – Giving Erp a Spin
Case 5
Whirlpool Corporation – Giving ERP a Spin

Time Context Third to last quarter of 1999
Viewpoint
David R. Whitwam, Whirlpool Chairman and CEO
Statement of the Problem * How could the Whirlpool Corp. cope up with the changes in the corporation due to implementation of ERP applications, including SAP?
Objectives
Amend problems regarding shipment delays that causes customer dissatisfaction.
Improve the implementation of SAP for more organized and on-time order-delivery cycle and to regain customer loyalty.

Areas of Consideration
Changes in the company’s strategies due to the desire to match with the competitors’ prices.
Sudden implementation of SAP (pursuing SAP implementation during the long holiday weekend though it wasn’t advisable to launch yet).
The concept of having ERP applications in the company.
Alternative Courses of Action * Pwedeng wala silang gawin hanggang sa kusang um-okay yung takbo ng system (SAP) * Baguhin yung guidelines sa implementasyon ng SAP (hawak na yung products days before may mag-oorder. Dapat predicted na yung orders para pag may um-order na, maideliver na agad.) page 269-last paragraph (dapat bago ini-launch yung SAP, hawak na nila yung products) * Tanggalin na lang yung SAP.
Conclusion
ERP applications have been a great use for the Whirlpool Corporation by providing different software/systems that helps the company to cut down supply chain expenses, to better manage inventories, to reduce order-processing cycle time, to improve communication, to make production forecasts, to improve pricing strategies and to improve responsiveness to customers. These systems are the Geographic Routing Software, Centralized Pricing Configuration System, Warehouse Automation System, Easy EDI, and SAP R/3. These programs are expensive to be implemented but it can be a great advantage for Whirlpool Corporation. With these information, we think that the best solution would be, is to revise the guidelines for
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