Maytag Global Company - Implementing Erp

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MIS Quiz 1

Ritesh Verma

Course Name: MIS

Professor: Dr. Pratim Datta

Graduate School of Management

Kent State University

Date: 9/16/2012

Q1. Assume you have been asked to advise on a project rollout for a global company (MNC: Multinational Company) division such as Maytag Refrigerators. Maytag Refrigerators uses its universal brand but conducts all its component sourcing, packaging and labeling from around the globe. Its compressors might come from Thailand, its condenser piping from Brazil, its electronic and thermostat units from Japan and Germany, its panels and plastic components from China. They are assembled in Malaysia and shipped to the US and 20 other global markets. Each market has its own profit center with independent executives that make local market decisions.
In light of the global procurement of components and the changing landscape of centralized information but decentralized decision-making, explain how you would advise Maytag Refrigerators on operational best practices using the two concepts we discussed in class. Explain in detail and provide your solutions to the aspects. 1. The costs of “Complex Linkages” and how Maytag should best manage them in a global world of distributed sourcing and manufacturing. 2. The problems of “Taxation without Representation” in instituting centralized information flow while maintaining a profit-center based decentralized decision-making.

Problem Statement:
Maytag Refrigerators is a Multinational company with operations throughout the world. Maytag uses its Universal brand but conducts all its component sourcing, packaging and labeling from around the globe. The parts are shipped from all over the world to be assembled in Malaysia and then shipped to US and 20 other global markets. Each market has its own profit center with Independent executives that make local market decisions.
Maytag wants to now implement an ERP system from SAP for a common sourcing and logistics platform



References: Benzinga Insights at : http://www.forbes.com/sites/benzingainsights/2012/09/12/apple-must-rebrand-ipad-ipod-or-lose-tablet-market/ http://www.referenceforbusiness.com/management/Bun-Comp/Bundled-Goods-and-Services.html#b#ixzz26C1aWmoh http://www.referenceforbusiness.com/management/Bun-Comp/Bundled-Goods-and-Services.html#b

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