Vodafone: A Giant Global ERP Implementation

Vodafone: A Giant Global ERP Implementation
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Abstract
Vodafone is a global company operating in diverse areas of the world. The company serves a wide range of consumers and has numerous numbers of employees. However, regardless of the external growth, the systems of the company were not developed enough to handle the diverse markets before the implementation of the ERP. Being a technological company, Vodafone lacked a centralized system to allow the sharing of data from each of its subsidiaries making it hard for the organization to function as one. Sharing of data and business principles was a major problem in the company and each unit operated as an individual organization. The implementation of the ERP system ensured centralization of operations, thus allowing the firm to act uniformly and achieve the intended position in the global business world. Moreover, the implementation of the system ensured efficiency in the company and reduced the cost of operation to the least possible.

Vodafone: A Giant Global ERP Implementation
Vodafone is a quite developed company in terms of its people and branches all over the world. The organization served a wide number of markets before the ERP implementation, but its systems and business process had not developed to a level that could handle such diverse customers and employees. The management of human resources was a difficult task because each unit operated under a different operating model. Having a varied set of expectations made it hard for the company as a whole to come up with ideal performance measurement strategies to manage the operations of Vodafone employees as a whole.

Additionally, information sharing was a problem at the organizational level. Each subsidiary functioned as an individual company, thus making it hard to analyze and compare practices. Technologically, the company lacked a centralized system for sharing data from one subsidiary to the other (Laudon & Laudon, 2013). The lack of shared network made it hard for the firm to perform as a single company.
Vodafone took a lot of time dealing with change because the company did not have the technical knowhow and the resources to handle the change swiftly. Moreover, the firm wanted to limit the possible risks associated with the system implementation process as well as ensure that employees and customers were not negatively affected by the new system. The complexity of the systems in each unit and the willingness of the local organizations to accept change also contributed to the delay. Each subsidiary had a set of different needs and expectations; therefore, the company had to ensure that each of these unique needs was handled carefully to allow the smooth running of the new system.
Vodafone needed the ERP to ensure the unity of operations among its units and to cut down on cost. Having a centralized system would enable the company to work in an efficient way and encourage sharing of data and business operations from one unit to another. Before the ERP implementations, sharing of data amongst subsidiaries was not common which made it hard for the Vodafone Company to serve its consumers with uniformity and efficiency. The cost of operation was also unmanaged because of the varied operating systems in each unit. Ensuring efficiency, low costs, and unity of operations would give the company a competitive mileage in the global business world (Laudon & Laudon, 2013).
The company was sensitive to individual issues that affected employees from each unit during the transition. Social support was offered to the employees and the mother company absorbed the economic downturns experienced during the period (Laudon & Laudon, 2013). At the organizational level, the company approached the legal issues, user interface, and demands of each unit differently because the needs of each subsidiary differed. Handling specific legal issues ensured that the system would not be faced with unexpected challenges. Additionally, dealing with the demands of the local unit ensured that each organization remained loyal to the course. Technologically, the firm handled legacy issues that were making it hard to move to the new system while making the interface more users friendly.
The new system offered Vodafone better efficiency and lower costs of operation. Additionally, units were able to operate uniformly and share necessary information with one another. The mother company was able to spearhead operational change in various units because the centralized system allowed easy access to information from one subsidiary to the other. Consultation between different units was also made possible by the implementation of the system, thus ensuring efficiency and effectiveness in business operations. Additionally, the company gained the business and system capacity to serve in diverse areas and to handle the high number of employees. In other words, the expertise and resources of the organization developed to match the exponential growth that Vodafone enjoyed in the global market.
References
Laudon, K. & Laudon, J. (2013). Management Information Systems + Mymislab with Pearson Etext Access Card Package. City: Pearson College Div.