Track: Undergraduate Student Paper Competition

Abstract

The Enterprise Resource Planning (ERP) system in making the process of the companies to be more. Many companies are using it to make their process more systematic and efficient. It is because the system cannot just automate the processes in the company. Still, it can also make the company's processes convenient and efficient in terms of performance and output. The ERP system can also make transactions between the company, its clients, and suppliers. With the company's current process, there is a problem in the company's particular department, the Purchasing department. The problem with the current process in this department is the delay in the operation. The inefficient process in the business, the disorganized or missing documents because of the manual operation that occurred in the said department, and lastly, the methods of creating purchase requisition and purchase order to the supplier manually through phone call or email. It also resulted in a high number of lead times and slowed down the process in the said department. To address the company's problem in terms of their problem regarding the purchasing department, the group came up configuring an ERP system using SAP HANA. The system is composed of processes such as creating the purchase requisition, purchase order, issuing goods receipt, receiving invoice, and paying to the vendor, which is all done manually with the current process. With the said ERP system using SAP HANA, the group solved the problems in the company's purchasing department, which are the manual creation of purchase requisitions and purchase orders, disorganized documents, and ineffective business processes. The group also created a flow process chart between the current process and the proposed process to compare the lead time between the two processes. As a result, the proposed process reduced the lead time of the purchasing department to a total of 83 minutes compared to 245 minutes that occurred in the current process.