ASSIGNMENT 1

ENTERPRISE RESOURCE PLANNING

TOPIC- ERP IMPLEMENTATION IN CADBURY

SUBMITTED BY-

Ankit Raj(BFT/16/580)

Kumar Aditya Dev(BFT/16/1182)

Ritika(BFT/16/1620)

Shipra(BFT/16/837)

DATE : 18TH February ‘18

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 ACKNOWLEDGEMENT
We would like to express our heartfelt gratitude our Professor MS. Nilima
Regina Topno for giving us the opportunity to work on this project and gain
much knowledge about the subject and its applications also for her constant
guidance and support during making of the whole documentation.

In addition we would also like to thanks our course coordinator Mr. Jayant
Kumar for the constant support and guidance.

Last but not the least, we would like to thank everyone who has directly or
indirectly helped us and without whose guidance or encouragement this project
would not have been successful.

Above all, we want to thank great almighty, the author of knowledge and
wisdom, for his countless love.

THANKYOU

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 ENTERPRISE RESOURCE PLANNING

Enterprise resource planning is an enterprise wide information system that

integrates and controls all the business processes in the entire organization or
is a software architecture that facilitates the flow of information among the
different functions within an enterprise. It enables an organization to integrate
all the primary business processes in order to enhance efficiency and maintain
a competitive position in the market.

ERP is evolved from the system known as MRP II (Manufacturing requirement

planning), which was developed as manufacturing software to overcome the
limitation of MRP (Material requirement planning). MRP was limited to the
flow of components and material, MRP II focused on production control
activities but its data and processes are not integrated with the areas of
enterprise like marketing, finance and human resource. So because of these
limitations ERP was introduced which facilitated information sharing and
integration across these different functions and to operate the enterprise
more effectively and efficiently using a one database, one application and one
interface for entire company.

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ERP Implementation Plan

1. Discovery and Planning

This first phase begins during the sales process and then continues post-sale.
During this period, the project team will be created. There will be initial meetings and
documentation developed as the team works to identify current issues and potential
solutions. An important part of this phase is constructing the project plan, which will
serve as a guide throughout the rest of the project.

2. Design

We’re not talking about painting the office or rearranging furniture. Instead, what will
the new enterprise-wide system look like and how will it be used in the organization?
In the ERP Design phase, the project team and implementation team will be working
out the various configurations for the new system, defining roles, and documenting
standard procedures.

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3. Development

The purpose of the development phase is to prepare the entire system for going live.
This includes activities such as completing any necessary customizations,
developing user trainings, and importing data. With ERP implementations, like any
custom software development projects – “First, Solve the problem. Then, write the
code.”

4. Testing

Is the system’s functionality aligning with the set requirements for the project? The
Testing and Development phases will often overlap, as the implementation and
project teams jump between the two – constantly fine tuning the configuration. By the
end of this phase, project team members will be comfortable doing their jobs in the
new system. This is the final step before diving into the live system.

5. Deployment

The project team and implementation team will assess the situation and make the
final go or no-go decision. Prior to going live, the final data will be loaded and
validated. The project team will train other employees who will then start working in
the new system, and completely stop using the old one.

6. Ongoing Support

Once the ERP system has gone live, the purpose of the project team will shift. Over
time, as the way the users work within the system evolves, adjustments and changes
to the system configuration may be needed.

We have included all of these steps in much greater detail in the free e-book which
you can download below. PC Bennett has been implementing ERP systems and
providing ongoing ERP support for companies since 2002 and we are happy to
assist as we know it can be a large endeavor.

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 CADBURY

Cadbury is a British multinational company owned by Mondelez

International (originally Kraft Foods) since 2010. It is the second-largest
confectionery brand in the world. Its headquartered is in Uxbridge, West
London, and operates in more than 50 countries worldwide. It is one of the
best-known British brands, in 2013 The Daily Telegraph named Cadbury among
Britain's most successful exports. Cadbury was established in Birmingham,
England in 1824, by John Cadbury.

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Currently, Cadbury India operates in four categories i.e. chocolate
confectionery, milk food drinks, candy and gum category. In the chocolate
confectionery business, Cadbury has maintained its undisputed leadership over
the years.

ERP EMPLEMENTATION

As Cadbury was owned by Kraft foods it implemented System Analysis and

Program Development (SAP) ERP 6.0 in what SAP called one of its largest global
ERP implementation. Systems Applications Products that are used in data
processing. It is a worldwide market and technology leader in client and
server enterprise application software, providing solutions for companies
of all sizes and industry sectors. This implementation reduced operational
cost according to Kraft. Around 11 thousand employees were sending data to
company’s SAP and linked to 1750 applications by 2008. In the same year Kraft
also added SAP master data management solution, Net weaver which provides
capabilities to consolidate master data from heterogeneous sources into a
centralized repository and manage it. In the starting year Cadbury was left with
excess of chocolate, after the installation of new SAP based ERP system led to
an excess of chocolate bars building up at the end of 2005. The new computer
system of U.K is a part of five year IT transformation project, called “Probe”
which aims at integrating the Cadbury Schweppe’s supply chain, purchasing,
manufacturing, distribution, sales and marketing systems on a global SAP

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 based ERP platform. Cadbury is aiming for an ultimate saving from this project.
The project was full of problems and delays when it was first introduced in
Australia in 2002.

BENEFITS OF ERP

 Cadbury was too slow due to added inefficiencies down the chain. ERP
implementation handled all the issues and added efficiency and guided the fast
paced growth. Cadbury was on a fast paced growth and could not continue
with the existing systems and the pace.
 Cadbury standardized the processes within the 16 locations.
 ERP Implementation brought in a new Warehouse Management System and
introduces a structure to branch offices and the depots.
 The manufacturing in itself had 13 operations and each was operating in a silo.
This had increased the work in progress and the integration of the processes
has done well for the company. The initial implementation took time -> the
successive implementation took lesser time -> Less cost ->huge advantage in
saving cost (in the implementation phase itself).
 The reaction from competition does not matter -> It’s not a change that was
advertised to the market. This is an internal process restructuring.
 The company also has built in a robust regular feedback system to monitor the
changes and check if they go according to the initial plan. The entire

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 implementation is cross-functional and hence it is important that there is a
high increase in the efficiency.
 The ERP vendor selection -> helped the process occur in a streamlined
Fashion -> avoided any possible chances of hiccups during the initial
implementation phase.
 The system has also been deployed up to the vendors. They have a portal
called vendor connect where they can see their inventory movement and make
plans accordingly.
 It was considered as low cost and high result implementation which by itself
highlights the success and benefits

CONCLUSION

 ERP system provides a mechanism for implementing system where a

high degree of integration between applications is required.
 The business case or value proposition for implementation must be
outlined.
 To successfully implement a proper mix of people, processes and
technology should be maintained.
 Organization should select ERP package which fits organization, provides
industry functionality, support changing business environment and easily
integrates with other information system in the organization, vendor
implementation support and good support after implementation.

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 THANK YOU

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