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Case Study Report for Cisco System, Inc. Implementing Erp

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Case Study Report for Cisco System, Inc. Implementing Erp
Case Study Report for Cisco system, Inc. Implementing ERP

Team Members: Nick Qiao, Ginger Yang, Cynthia Lai, Wellington Chou

BACKGROUND * Cisco Company
Cisco was set up in 1984 and developed into one of the top companies in the world. Its main business was related to the network which remained in IT industry. In this industry, the competition was fierce. Cisco faced competition from rivals such as 3Com, Nortel, Lucent etc. To strengthen its market position, Cisco integrated the strong spirit of innovation in both technology and management which represented the value of Silicon Valley. The talents in Cisco can be addressed as IT expert and elite as Cisco itself was attractive enough for the young and smart. As we mentioned above, the company’s IT background and its company innovation culture helped to launch the ERP system in a short time period. Besides the IT talents the company had actually became a big advantage when Cisco began to choose manpower within company for the ERP implementation team. * the Management Team
In 1988, John Morgridge was nominated as the CEO of Cisco who was an experienced executive in the computer industry. With the departure of the two founders in 1990 due to the IPO, Morgridge was free to continue his plans to install an extremely disciplined management structure. Besides Peter Solvik joined Cisco as CIO later on, he made reforms. Firstly, the IT-reporting relationship was changed from accounting to the Senior Vice President of Customer Advocacy. IT department was no longer viewed as a cost center reporting through accounting department since then. This reform enhanced the function of IT department in the whole company and made the importance of IT department obvious. Secondly, the IT budget pertaining to the functions were returned to the functions, leaving a small portion in the general and administrative account. This created a structure in which all IT application projects were client-funded. All the change of the

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