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NIBCO Case Summary

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NIBCO is a pipe and valve manufacturing company headquartered in Indiana with ten plants and three distribution centers. NIBCO wanted their business processes to be strategically improved in order for their manufacturing facilities and distribution centers to meet their customer’s requirements (Brown, DeHayes, Hoffer, Martin, & Perkins, 2012). There were multiple systems being utilized within NIBCO and none of the systems had the ability to communicate with each other which created duplicative and wasteful resource efforts. NIBCO’s decision to implement an ERP system was to improve their information systems. Beutler (as cited in Brown et al., 2012) stated that the consulting group reported to NIBCO “to look at integration as a major …show more content…

The ability of the systems to communicate between departments and support the manufacturing demands of the company is a huge advantage for the entire company. The new system would increase strategic processes for the different departments from planning to manufacturing to distribution to accounting by using the resources more efficiently. NIBCO would be able to identify discrepancies within their planning, purchasing, or manufacturing stages immediately. By decreasing redundant processes the firm is able eliminate waste in order to increase their profit. Another advantage for NIBCO was in establishing a timeframe in their strategic plan with a ‘go live’ date for the implementation of the IS system which meant that the company would be able to resume normal operations. A typical timeframe of installing a new IS system in a company typically occurs within a three to five year plan and NIBCO planned on having the software installed and operating within twenty-four months to limit the interruption for the …show more content…

Brown et al., (2012) stated that responsibilities would be distributed among the triad as co-leads with each individual responsible for different aspects of the project, Wilson for technology, Beutler for business coordination, and Davis for change management. The co-leads met daily to coordinate efforts, discussed issues and made decisions together, so as to work together as one team in order for strategic plan to align with the business plan and continue to meet the strategic goal. The co-leads planned for every conceivable scenario that could happen along the path in implementing the new ERP system. Communication played a key role with the co-leads and the other project stakeholders. The co-leads communicated every issue and asked for input from the entire firm to ensure no process or step was overlooked so as to capture the processes in the planning stage. The project had management’s support as well as a project champion which assisted in positively encouraging management and the staff on the benefits and advantages of the new

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