Author

Khurram Siraj

Degree

Master of Business Administration Executive

Faculty / School

Faculty of Business Administration (FBA)

Year of Award

2014

Project Type

MBA Executive Research Project

Access Type

Restricted Access

Executive Summary

LCL is principally engaged in the manufacture and sale of cement in finished and semi finished form. The qualities of cement generally comprise of the Ordinary Portland Cement (OPC) and Sulphate Resistant Cement (SRC). The OPC and SRC in its semi-finished form referred to as Clinker. The Clinker is further processed by adding Gypsum to convert it into the finished product i.e. Cement.

As in every manufacturing concern the supply chain function of LCL is principally engaged in the purchase of the raw materials used in the manufacturing of the finished product.

However, the manufacturing of cement alone cannot convert the raw materials into its desired finished form i.e. the cement. An organization need to have a processing plant to process those raw materials and bring into being the end product.

Here emerges the need to purchase the plant and machinery. However, the role of procurement does not end here. After procurement of plant and machinery there is also a need to maintain certain spares and consumables which are required in the ordinary course of business such as those which are consumed in the annual turnaround of the plant or in case of any break down of the plant.

It is pertinent to note that the business cannot only run from the plant; rather, there are several other functions which together with the plant operations keep the ball rolling. Amongst others those functions include: (i) Sales and Marketing; (ii) Finance; (iii) IT; (iv) Human Capital and (v) Health, Safety, Security and Environment etc. Each of the aforementioned functions have their peculiar needs such as: Sales and Marketing function may require airtime on the electronic media. Finance may require a suitable accounting software for processing of accounting transactions, IT function may require certain hardware. Human Capital may require advertising a vacancy announcement in the local papers, and similarly. Health, Safety, Security and Environment may require purchase of safety equipment etc. In order to fulfil the aforementioned needs the role of supply chain function comes into play.

Lucky Cement being emerging organizations is increasingly relying on real time knowledge sharing, process management and operated by various branches of learning teams through a precise approach.

To achieve this target supply chain department of Lucky Cement decided to work in order to figure out current system deficiencies need to be removed from the system, as well as to enhance system capabilities by improving and adopting new and best industry practices for a better supply chain.

The purpose of this report is to specify the functional business requirements of the ERP system supply chain function.

The report describes the end users business needs and points out the industries best practice and additional features/ control that are required to accomplish day to day activities more efficiently.

Pages

73

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