Enterprise Resource Planning: A Managerial Perspective by Pearson

122 Enterprise Resource Planning

Ford-Mazda Case:

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Mazda employed handful of people to handle their accounts payable. Their strat-

egy was to place an order, receive goods only if it matches the order and then pay according to the order.

This strategy is known as a two-way match. Ford used a three-way match where the goods received

could differ from the order placed and then a three-way match among order placed, goods received

and invoice received had to be done that also required reconciliation. Ford needed hundreds of people

for accounts payable. Ford considered rationalization but they found Mazda’s process to be Level 1

process