ERP and Information Systems

6Case Studies

In this chapter, three case studies have been conducted: the first two case studies analyze the information systems (IS) of Hershey and FoxMeyer Drugs, both of which have already implemented enterprise resource planning (ERP) systems; while the third case study studies the strategy of Oracle as a software vendor. We briefly describe the IS evolution for each firm with an analysis of the impact of the research factors on relationships between ERP systems and IS integration or disintegration.

6.1 Hershey

Hershey, which was founded in 1894, sold several products: Kisses, Kit Kat, Reeses peanut butter cups, Twizzlers, etc. In 1996, Hershey chose to replace its legacy systems. There was growing demand from its retailers for suppliers such as Hershey to share their product delivery data so that the retailers could maintain optimum inventory levels and reduce costs.

Hershey selected SAP R/3, along with companion software from two vendors: Manugistics (supply chain software) and Siebel (customer relationship management (CRM)) = “TDEV–”. Software from systems, applications and products for data processing (SAP) included modules for finance, purchasing, materials management, warehousing, order processing and billing. Manugistics provided software for transport management, production, forecasting and scheduling. Siebel was to support Hershey in managing customer relations and in tracking the effectiveness of the company’s marketing through a pricing promotions module. Hershey ...