Kunaal Bhagat - ERP - Assignment 4

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Roll no.

2001063
Name: Kunaal Bhagat

Q1. What are the current Challenges faced by Bombardier?


The main strategic challenge is to be able to cope with the competitive environment of the Aircraft
manufacturing industry, especially with their near competitors. Also, one important challenge is to take
advantage of the rising of the regional and low-cost flights to be able to grow and overtake the
competitors. To succeed with those challenges, several other goals have to be accomplished: replacing
the old system with one that allows the company to grow, reduce the data errors introduced by
humans, and align the operations of its acquired companies by implementing common roles,
responsibilities and company values. It is necessary to create an integrated organization.

Q2. To What extent is Bombardier an integrated company?


Not much. Bombardier has been acquiring different companies since its foundation (Canadair, Short
Brothers, Lear Jet Corporation, etc.). This led to integration problems, as systems from the acquired
companies did not communicate with the existing ones effectively, and the values, roles, and processes
of such former companies were very different from Bombardier ones.
In addition, there was a proliferation of stand-alone databases for very specific functions, instead of an
integrated repository of data. Different functions had different databases, and different branches of the
company in different locations had also different repositories, causing data errors, omissions and
repetitions.

Q3. What are the challenges associated with Integration?


Integration is not only a matter of a technology implementation; it implies altering tradition, the way
employees work, their roles, business processes, and many aspects of the organization. The integration
has to be grounded on a very strong business foundation, company vision has to be up-to-date and
internal employees have to be involved in order to succeed. Also, a lot of money, time, and effort is
required.

Q4. What are the benefits expected from integration?


The main benefit is that the system would follow the pace of the business and would allow its growth.
Data could be shared seamlessly across branches, sites, products and departments, and routine and
clerical tasks could be automatized, hence allocating more time for analytic tasks. Held inventory could
be reduced, expenses could be minimized, and the overall company efficiency would be increased,
leading to higher benefits.

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