Chapter 3 Case 3

Materials Handling Equipment Corp: Enterprise Systems Drive Corporate Strategy for a Small Business

(image:http://www.unitylss.com/images/material-handling-equipment.png)

Materials Handling Equipment Corp is a commodity business that was losing their market share to larger businesses. They felt like a "ship at sea without a compass" (ZantekSAP 2012). IBM recognized many years ago that the key to gaining a competitive edge was a total information management system (anonymous p. E12). The system MHE was using offered little integration between all of their data. After considering all IT systems available, MHE decided to transition to SAP’s Business One. They found Business One to be low in cost, easy to implement, scalable, configurable, and most importantly, user friendly (ZantekSAP 2012).

(image: http://cornerstoneconsultinginc.com/wp-content/uploads/2015/07/SAP-Business-One-2015.png)

After they began using the Business One software, MHE offered a service that no other business could. Customers were able to log in through MHE portals to view their assets and see associated costs. MHE discovered asset management as a new revenue generating service. MHE saw a 30% reduction in costs and a 12% increase in revenue after they began using SAP’s Business One. 

(image:http://www.tech-faq.com/wp-content/uploads/asset-management.jpg)

Works Cited

 ZantekSAP. (2012, January 26). Material Handling Equipment Corp leaps ahead of competitors with SAP Business One. Retrieved May 24, 2016, from https://www.youtube.com/watch?v=iIIeze6i90Y