Limitations of Current ERP Packages Regarding the New Supply Chain Management Requirements in the New Millennium

Abstract

The future of Enterprise Resource Planning (ERP).is at risk. The existing structure of ERP is inadequate to meet new Supply Chain Management (SCM) requirements. Handling data on real-time basis, flexibility towards rapidly changing business opportunities and visibility of the entire supply chain are what seems to be missing in ERP. These requirements are forcing ERP to revolutionize itself. As a result, ERP vendors are releasing SCM modules and tools to enhance the existing capabilities of their ERP packages. In this context, our goal is to define the limitations of ERP both conceptually and in a practical sense through the use of extensive research and interviews with experts from various companies (Intel, Nike, LSI Logic and Promatis ). From these methods we will recommend ways to overcome the shortcomings due to the limitation issues.