ERP Software Analysis Unilever, Course ERP: December 14
ERP Software Analysis Unilever, Course ERP: December 14
ERP
December 14
SOFTWARE
ANALYSIS
UNILEVER,
COURSE
ERP
2017
ERP is about the efficient and effective management
of resources of the business to sustain business and to
achieve desire goals.
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ERP SOFTWARE ANALYSIS UNILEVER, COURSE ERP 2017
TABLE OF CONTENTS:
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ERP SOFTWARE ANALYSIS UNILEVER, COURSE ERP 2017
5. DEPARTMENTS: ................................................................................................................................... 19
5.1. STATUS OF AUTOMATION: ..................................................................................................... 19
5.1.1. Shown By Table; .................................................................................................................. 19
5.1.2. Shown By Graph: ................................................................................................................. 20
6. ERP ANALYSIS AND IMPLEMENTATION: ............................................................................................. 21
6.1. What Is ERP Software? ............................................................................................................ 21
6.2. ERP Software Of Unilever; ...................................................................................................... 21
6.2.1. ERP Hosting Type; ............................................................................................................... 21
6.2.2. Database System; ................................................................................................................ 22
6.2.3. Learning Curve Of ERP: ....................................................................................................... 22
6.2.4. Benefits And Value: ............................................................................................................. 22
6.3. Vendor Selection Criteria, Testing, And Training: ................................................................... 23
6.4. Current Shortcomings: ............................................................................................................ 23
6.5. Networks Systems: .................................................................................................................. 24
6.6. Communication Speed: ........................................................................................................... 24
7. Difficulties In This Project And Their Solutions: .................................................................................. 25
8. RESPONSIBILITIES OF EACH MEMBER: ................................................................................................ 26
9. LEARNINGS: ......................................................................................................................................... 27
9.1. Learning From This Project: .................................................................................................... 27
9.2. Learning From This Course:..................................................................................................... 28
10. CONCLUSION:.................................................................................................................................. 29
10.1. Recommendations: ............................................................................................................. 29
10.2. Future Steps: ....................................................................................................................... 29
10.3. Benefits Of This Report: ...................................................................................................... 30
11. GLOSSARY:....................................................................................................................................... 31
12. REFERENCES: ................................................................................................................................... 32
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ERP SOFTWARE ANALYSIS UNILEVER, COURSE ERP 2017
1. ACKNOWLWDGMENT:
First of all I would like to thank Almighty Allah for blessing us with the
necessary physical and mental abilities and He gave us a bit of knowledge
from the ocean of knowledge.
After that we would like to say thanks our respected teacher Sir Khurram
Khan who assigned us this project, which provided new opportunities in
learning process and also accessed us to think in different dimensions.
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2. EXECUTIVE SUMMARY:
Our Enterprise Resource Planning course project report is based on the technology, Erp
software, and situation analysis of the UNILEVER Company Pakistan ltd. We wanted to
analyze that how Erp software works in large companies and under which criteria they
implement the software for their business operation.
Our team visited the company’s head office which is in Avari Tower Karachi and talked
to two managers of MIS department, Mr. Mohammad Farhan and Mr. Adeel. We asked
several questions related to the Erp software implementation in the company and their
expected outcomes and benefits. We have noted all the detailed information provided
by them and also recorded our conversation with them in the audio file.
The results of the project is that, we came to know that the future of all the kinds of
businesses is based on different software and databases, new upgraded technologies
and men power cost reduction techniques are been adopted by the top companies to
reach on the maximized level of profits and revenues. Now the companies are
becoming more fragile to respond on change whether it is the change of economy,
technology, global market or software systems and as the result of this competition
among companies has increased and it has become a challenge for companies to
maintain a competitive edge in the market. Now organizations and companies can
sustain and grow in the market only if they work in the more technological manner.
For completing this project we had some resources such as; first of all we had a strong
reference to visit the company, we were able to visit the head office without any difficulty
as the route to the office was convenient, we were also well prepared with our questions
and each member of the team had enough queries to ask them, and we also had notes
and mobile to record the data in hard form and in soft form.
We also faced some limitations such as we could not ask such questions which could
reveal their private company matters and secondly they were the managers of MIS
department which means they could not answer the questions related to other
departments like sales department or about CRM software, so in this way we could ask
only limited questions related to their department.
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3. INTRODUCTION:
They have to produce their products in a bulk quantity and on daily basis so
manufacturing on a daily basis is a big challenge for this business field.
Challenges including securely sharing information, leakage of company’s
personal data is a rare problem and its security is a big challenge in modernize
technological competitive world.
Managing product safely and its quality management while keeping cost
effectiveness in mind is also a challenge of this business field.
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3.3.2. Benefits;
The benefits for FMCG industry are as following;
It provides different products lines like household goods, food and beverages, personal
care products for instance beauty products, soaps and detergents, ice cream, cooking
oil, tea etc and has long list of world luxurious brands like surf, vim, rim, lifebuoy soap,
sunsilk shampoo, close-up toothpaste, blue band butter, Dalda cooking oil, knor soup,
dove soap, walls ice-cream and much more.
It is the world’s third biggest FMCG Company based on its revenues generated in the
year 2012. It has 400 brand spans of 14 different categories. It invests nearly 1 billion
every year in research and development.
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3.4.3. Background:
After the creation of Pakistan, Unilever Company launched its first industrial factory
constructed at Rahim Yar Khan and due to increasing in customer demands Company
decided to do investment more on fast moving consumer goods for this purpose they
launched many new products and enter in new product line, products like personal
products and margarine.
As Company decided to manufacture more and different type of products for this they
needed to use different type of technologies so they decided to do investment in
machines and manufacturing facilities to fulfill their requirement and save time. Unilever
introduce new technologies and techniques and produces goods which are not only
healthy but also provide nutrition to their customers and also give them good
environment and value them.
They have launched factory in Karachi, in 1995 and launched ice-cream factory in
Lahore to manufacture wall’s range of ice-creams which shortly became popular in all
over the country. In 1999 the owner of polka brand of ice cream was merged with Lever
to increase its strength. The Company’s image Lever Brother’s Pakistan changed its
name to “Unilever Pakistan Ltd” in August 2002.
They believe this is the best long-term way for their business to grow.
Unilever’s purpose states that success requires "the highest standards of corporate
behavior towards everyone they work with, the communities they touch, and the
environment on which they have an impact."
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3.4.5. Values:
They always work with principles which has good impact to their employees,
suppliers, distributors, and customers with the help their, commercial activities and
voluntary contributions.
Unilever is engaged in the uninterrupted efforts to make the way better through
which they manage environmental friendly impacts and are focusing towards their
longer-term objectives to develop their business worldwide.
3.4.6. Principles:
Unilever will conduct their operations with loyalty, integrity and transparency, and
with respect for the human rights and interests of their employees. They shall
similarly respect the valid interests of those with whom they have relationships.
Unilever’s companies and employees are required to follow or obey the laws and
regulations of the countries in which they operate.
Unilever will be committed to a working environment that boost variance and
equal opportunity and where there is mutual trust, respect for human rights and
no favoritism.
Unilever will be committed to secure and healthy working environment for all
employees.
Unilever is engaged in providing branded products and services which constantly
offer value in terms of price and quality, and are safe for their designed use.
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Fair & Lovely’s targeted consumers are age group of 18+ who wants to look
beautiful and wants their skin to be fairer in which men & women both are
included.
It has a purpose to give an instant glow to its consumers.
Fair & Lovely uses the method of skin lightening and its technology is superior to
other brands in the market.
2. Lux Soap.
Lux has targeted the people who care about their beauty as it smells nice,
enhances beauty and give you a glamorous feeling, that’s why they advertise
their product through celebrities.
The soap has positioned itself as the ‘soap of superstars’ which attracted its
market. But with time the product shifted its positioning from “soap of superstars”
to “need for becoming a superstar” and also the tagline became “bring out the
star in you”.
Lux focuses on beauty, glamour and stardom over the years. The pleasant
fragrance, colorful packaging and beauty enhancing ingredients etc have
contributed to the success of the brand.
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3. Sunsilk.
Sunsilk is the third top famous brand of Unilever.
Sunsilk has always targeted the girls who have dreams and are passionate about
it. It is also targeting the female who wants to live life to the fullest.
The shampoo has positioned itself as the co-creator of hair. It has different types
according to the consumer’s needs that co-creates the solution for their hair
problems.
The focus of sunsilk is on the solution for the consumer’s hair problems.
Sunsilk is also working with the extraordinary group of hair professionals which
bring their own unique expertise to this product.
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4. SITUATION ANALYSIS:
4.1. INTERNAL ANALYSIS;
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4.2.1. Strengths;
Unilever is a multinational company and it has strong brand name and equity.
They use updated machines and latest state of the art technologies to produce
high quality goods.
The biggest strength to Unilever is that it has earned customers loyalty.
Unilever consider and take into account an important factor for its business that
is maintaining ethics, safety and security, values and health community.
The company has a unique competitive edge that is wide retail reach of the
company in the market.
Experienced and strong management is also one of the strength for Unilever to
achieve pricing power.
4.2.2. Weaknesses;
The big considerable weakness for Unilever is that it has lost the market share
for Tapal in Karachi and Multan.
Unilever has a wide range of products in its portfolio that’s why it is very difficult
for the company to focus on its marketing efforts correctly.
The company is also facing complexity in its operations due to a large number of
products and due to diverse workforce environment.
Cost reduction strategy is also a weakness because some products are very high
in prices.
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4.2.3. Opportunities;
Rural market is a big opportunity for Unilever.
People in developing countries like Pakistan are consumption oriented rather
than saving so it can prove a profitable segment for the company.
Use of social media can be used as an opportunity for advertising and ultimately
it can reduce its advertising costs.
Unilever portfolio has a diverse range of products; this diversification in unrelated
business is an opportunity to increase its profits.
CPEC is also bringing a big opportunity for the company in Pakistan.
4.2.4. Threats;
P&G, Nestle, R&B, CP are its major competitors and thus biggest threats.
Increasing in raw material cost and bad economy is also a threat to the company.
Cheaper smuggled and Chinese copied products are threatens the company.
Substitute products and change of tastes is also a threat to the company.
Political risk is also a threat to the company.
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5. DEPARTMENTS:
Unilever Pakistan, Karachi has seven numbers of departments in its head office. Name
of these departments are as following;
HR Department.
Finance Department.
CD (Customer Development Department)
Supply Chain.
Legal Department.
BSD (Business Support Department).
Buying Department.
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Level of Automation
Level of Automation
UNILEVER Pakistan Company’s head office all the seven departments are 100%
automated and centralized structure (ERP Systems).
Currently they are using “Altra” ERP Software at secondary scale and “SAP” at primary
scaleand all the operations and records are integrated with a global portal.
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The company is also using another application namely “Click View”, it is used to analyze
the data on the basis of this results they forecast their future growth and weaknesses to
take a better decisions. They also use bio tool to make database about strategy sales,
productivity, brand sales, and penetration etc. The company also has an application
“Unilever Insight” which is used as a share point where all related data is shared by the
departments.
Cloud works as a center mark for them, it is a public highway and they have made a
triangle in a way that distributor shifts the data or any related information on the cloud
and the company sinks the data from cloud to their premises system. They have a
separate server room for their premises ERP software.
They keep updating and upgrading their servers quarterly on the basis of their business
needs. They update their software, windows, servers, networks and hardware. And they
are working on the communication speed of 4mbs in the company.
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Database for which Altra is dependent is SQL server and its programming is ASP
classic, Altra is developed on this program and their main national database is Oracle
where all the entire data is dumped NDB also works as their data warehouse.
UNILEVER is a company that uses MySQL, MS SQL as their database system which is
developed by Oracle and Microsoft. They keep their records in MySQL and MS SQL,
later on they convert the data in Microsoft Excel form which is then sent to authorities of
the company for updating purposes.
So the learning curve for heads is one month and for the other employees are for one
week.
It also enabled them to use sales lock techniques for their business operations and it
ultimately lowered manipulation in the business. Before the implementation of this
software there were no visibilities of sales but now DSR (developer sales
representative) can have visibility of sales and they now can focus and record the actual
sales in the country.
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Their vendor selection criteria are that the vendor and the software should be registered
with the legal department so that the company could be secured from frauds. The
software should be flexible and updatable time to time according to business needs and
requirements. And budget should be approved before the implementation of the
software.
They create a test environment where vendor, heads of departments, and a pilot test
the new software for 1 month, if the software works properly then they imply the
software in all over the company.
Firstly they train the heads or managers of all departments and then the heads give the
training to the workers and employees, training process is done within one week
because the software they select is user friendly and point outs the errors by its own
even it also guides the column number where an error is made.
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The Unilever Pakistan is using a LAN (Local Area Network) which interconnects the
people through their computers which is a easy way to communicate with each other.
The Unilever Pakistan also have a WAN (Wide Area Network) that's comprised of cloud
services, they are using it on a large scale in which the whole Asia is included.
Except these networks they also use Wi-Fi and internet networks systems to connect to
the people and employees.
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We faced few difficulties while doing this project, they are as following:
1. It was difficult to find a company because our chosen company was also chosen
by another group then we got a strong reference of Unilever through the help of
our teacher and in this way we resolved this problem.
2. There were so many questions to ask to them and too much data to analyze so
we found it difficult to ask the related questions, we solved it in this manner that
the questions were distributed among the members of the group and each
member asked their assigned questions.
3. Since there was a lot of data in the audio clip and in written so it was difficult to
analyze the related information but we did it successfully as each member
analyzed the data related to their part of questions.
4. We also found it difficult to corporate with each other because everyone was also
busy in their other project reports and events as well but we resolved this
problem with the help of time management.
5. It was a challenge to complete the report before the last date because as we
visited the company late due to the 1st mention issue but each member gave their
best to complete it and we did it successfully.
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9. LEARNINGS:
9.1. Learning From This Project:
S.NO GROUP LEARNING FROM THE PROJECT
MEMBERS
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10. CONCLUSION:
10.1. Recommendations:
UNILEVER belongs to Fmcg industry it means that they have a big target market and
potential customers along with this they also have strong competitors like P&G and
Nestle so they should improve their communication with their customers as they only
use an application namely, “Unilever Rabta” to keep in touch with their customers but
they should begin a two way communication with their customers in this way not only
their customer life expectancy rate will increase but they could also gain and attract the
customers of substitute goods to their products as their all the queries and suggestions
would get a respond from the company.
We would also recommend Unilever Pakistan to use these three keys to success in
leveraging their ERP systems:
They should start with a focus and targeting data integrity.
Develop reports and metrics for effective decision-making.
They should also consider leveraging their ERP system with their main business
drivers.
In the coming year (2018) they are going to change their current Erp software which is
Altra, they will launch “Leverage Software” in their company. This software will enable
them to see and check the work which is done in other departments from the head
office, in this way their visibility of the tasks done in other departments will boost up.
This software will also help them to move from offline to online operations in the
company in this way they will improve their productivity and efficiency of work and they
could operate their Fmcg industry business in more cost effective manner to improve
profitability with minimal investment.
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This report helped us to analyze the Erp software in the real life scenario. Unilever is a
multinational company and by working on this project we learned how fast growing
companies use software and databases to sustain and grow in the global market and as
well as in the local market.
This project report helped us to analyze the current situations of the company and how
they select a vendor which stands on their expectations and prove profitable for them.
We also learned how Erp software helps them and makes their work easier and
convenient that they can maintain a competitive advantage and agility in their business.
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11. GLOSSARY:
ERP: (Enterprise resource planning) It is a software system which helps in efficient and
effective management of business resources.
Database: It is logical collection of records which is use to store the information in rows
and columns.
Vendor: Vendor is a person or organization from whom we can buy the software and
who the matters of the Erp software system look after all. Choosing the suitable vendor
for the purpose of Erp is very necessary.
Learning Curve: The period in which vendors consult is dependent on the duration team
become expert. Each company which is working on ERP has to analyze strategically
the duration and processes required from ERP software.
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12. REFERENCES:
https://www.scribd.com/doc/22055720/Background-of-Unilever-Pakistan-Ltd-Co
http://ivymobility.com/index.php/2016/11/04/fmcg-enterprise-solutions-3-ways-
small-businesses-benefit-from-direct-sales-deliverys-work/
https://www.traceone.com/en/network/
https://www.lma-consultinggroup.com/leverage-your-erp-system-for-bottom-line-
business-results/
1. Mohammad Farhan
2. Adeel Ullah phone: 03018239501
3. Saad Afsar phone: 03034446509 e-mail I’d: [email protected]
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