Riordan Manufacturing Corporation consists of four locations. The corporate office in San Jose, California, specializes in research and development. Riordan has three production plants, Pontiac MI with 130 employees, Albany, Ga. with 45 employees, and a foreign joint venture in China with 250 employees. Riordan has specific needs concerning management of its accounting and financial information. The objective of a good financial statement for the company is to provide information about the current financial position, or the performance and changes of the financial position of the enterprise that can be essential to making corporate economic decisions. Team A will ...view middle of the document...
The systems transmit information from the corporate headquarters. The basic components of each system are
• General Ledger
• Accounts Payable
• Accounts Receivable
• Order entry
• Sales and Purchasing History
• Invoicing and Shipping
• Financial Reporting
• Bar Code Reading
• Executive decision support systems
San Jose currently has a Windows-based ERP manufacturing distribution and financial management software application that does not support source code.
Michigan uses vendor-developed software that runs on a pair of DEC Alpha’s, using the VMS operating system, VAX4000 workstations and is programmed in C.
Georgia purchased different vendor software for their finance and accounting applications. This system runs on a pair of AS400’s using UNIX operating system, Windows workstations and is programmed in RPG400.
Riordan’s goal is to achieve seamless data transmission compatibility between its finance and accounting organizations and the corporate office. In addition, Riordan wants to employ a solution that will eliminate the labor intense task of generating income statements and balance sheets, minimizing the cost associated with audits, and systems that will facilitate operations to comply with government required reporting rules.
To do this, Riordan must incorporate a cost reporting software uniform across all departments allowing for real-time expense reporting and analysis. For instance, maintenance and facilities will need to report the utility expenses, which may include electric (measured in kWh), water (measured at a cost per gallon for ever cubic feet), cable, and Internet. Riordan will use the information to compare to previous years and quarters to determine rising cost and calculate potential future budgets (Apollo, 2011).
ERP Proposed Software – SAP Business Suite
One software program in consideration to handle the financial management and accounting services in the San Jose, Michigan, and Georgia offices, is the SAP Business Suite that includes the SAP ERP application. The technology that runs the applications consists of four modules. The Service-Oriented Architecture (SOA) that is an open architecture designed to meet the diverse financial and accounting challenges that Riordan is experiencing today. The SAP Netweaver technology platform is perfect for integrating all three office processes across the network allowing for seamless administration while delivering innovative solutions. The SAP In-Memory Computing Technology will deliver real-time enterprise computing to the Riordan enterprise environment for management and analysis of large amounts of data quickly, cost effectively, and reduced complexity. The Business Objects portfolio will help to optimize the business use of applications and tools (Business Process Applications, 2012).
SAP offers superior financial management and accounting applications that will benefit Riordan. Some of the financial management...