The SAP system incorporates the project builder function to handle all the projects at all departments at Nestle. From the manufacturing to operations to supply chain management, inventory setup, materials management and personnel and customer handling, SAP manages all processes and creates detailed plans regarding its costs, schedules, resource allocation, setting baselines and timelines for activities. This system is also integrated with the budgeting overview and procurement cycle.
The project management takes a very definite role regarding the various locations it serves. The project plan was a started at the startup of the project at the initiation stage where the scope of work was clarified with a customer and both approximate completion time and budget was clarified based on historical data of similar recent project. Project stakeholders were identified including customer representatives, maintenance representatives and project engineering team with the SAP project management software.
Te primary importance is the risk management process which is attached to every element at the SAP system. It holistically integrates the various other business modules for the purpose of determining and tracking the change for projects. The resource track and its usage are some of the various points of concern for the organization. SAP at Nestle engages the responsibility at every resource. The Work Breakdown Structure and critical path is decided and distributed at every level of the organization which not only maintains schedule but also alerts for the achievement and failure to follow the schedule and cost.
Nestle has already accomplished noteworthy increase at ROI as the demand forecasting model serves a great principal in their growth and cutting costs.
With SAP in place at Nestle, the enterprise functional modules lead to more trustworthy demand forecasts for the various Nestlé product ranges. The supply chain improvements accounted for a major chunk of the $325 million Nestlé says it has saved from SAP (Worthen, 2002).
SAP architecture at Nestle has effectively pulled all resources of the organization to fill their objective. The enterprise architecture fetched the importance of the various business units and the various business processes that are required to be identified and made good for fetching the right objective for the purpose (Symons, 2006).
The enforcement of enterprise architecture would be to embrace change for the organization as the defined processes would be helpful to identify the need to implement change. The alignment of business units and flexibility can be largely enforced for fetching the scalability of the resources to invest fresh ideas and processes for change. Enterprise architecture has made clear all processes to be identified and collaborate with better planning and organizing ability.