In these times wherein it is not only expected that we automate (computerize) all our Operational functions but also that all sources of information should be in our Database nto allow us to gain a competitive edge over competition. Just like OPIUM, we become addicted to it: It is too expensive to convert to an ERP and it is even more expensive to get out of an ERP. We tend to forget that if something should go wrong with our beloved ERP or WMS, our whole company could go on a standstill. Imagine the following scenario:
1. This happened to one of the largest manufacturers of milk and other food products in the Philippines. According to one of the IT personnel of the Food Company's major warehouse contractor, the Food Company's SAP ERP System went down for about a month (off and on) and this affected the warehouse contractor's ability to do invoicing, inventory stock allocation and other warehouse & physical distribution functions.
As a result, the Food Company required all their warehouse contractors (and it is a requirement if a 3PL wants to bid for any of its warehouses) that THEY INCLUDE IN THEIR WAREHOUSE BID A CONTINGENCY PROGRAM (to do Offline invoicing and inventory balances) and the ability to upload the offline transactions to SAP once it is working already ;
2. A few years ago, the Philippines lost its access to the Internet after a severe earthquake affected the submarine (?) cable that linked the Philippines to the Internet Gateway in the USA. I understand from another ERP solution provider that since that time, a new Fiber Optics cable now links the Philippines apart from the submarine cable.
Still, whenever you rely on another party other than yourself for a function or facility, you have to assume the worst and try to reduce the risk of loss as much as possible. In the case of the latest trend for Cloud Computing wherein the software application program and your data is stored in the server farm of the software provider say in the USA, without a functioning Internet link-up, you cannot :
1. Access your data (its in the USA);
2. You cannot even run the program locally because the software is stored in the diskdrives in teh US of A;
3. Off-Line transaction Processing is out-of-the-question.
I remembered what my EDP operator once said when I was still working and I asked her what program is she using as she was copying numbers from the screen onto a scratch paper and she said, "IBM!".
"You mean the company bought IBM computers.", I said knowing how thrifty the company can be.
She again said "IBM. Its Better Manual.". End of story.
By the way, I would like to invite you to visit my Sulit Homepage as there are some business opportunities that you guys might be able to help me out with. If you are interested, just click the Sulit Logo below:
1. This happened to one of the largest manufacturers of milk and other food products in the Philippines. According to one of the IT personnel of the Food Company's major warehouse contractor, the Food Company's SAP ERP System went down for about a month (off and on) and this affected the warehouse contractor's ability to do invoicing, inventory stock allocation and other warehouse & physical distribution functions.
As a result, the Food Company required all their warehouse contractors (and it is a requirement if a 3PL wants to bid for any of its warehouses) that THEY INCLUDE IN THEIR WAREHOUSE BID A CONTINGENCY PROGRAM (to do Offline invoicing and inventory balances) and the ability to upload the offline transactions to SAP once it is working already ;
2. A few years ago, the Philippines lost its access to the Internet after a severe earthquake affected the submarine (?) cable that linked the Philippines to the Internet Gateway in the USA. I understand from another ERP solution provider that since that time, a new Fiber Optics cable now links the Philippines apart from the submarine cable.
Still, whenever you rely on another party other than yourself for a function or facility, you have to assume the worst and try to reduce the risk of loss as much as possible. In the case of the latest trend for Cloud Computing wherein the software application program and your data is stored in the server farm of the software provider say in the USA, without a functioning Internet link-up, you cannot :
1. Access your data (its in the USA);
2. You cannot even run the program locally because the software is stored in the diskdrives in teh US of A;
3. Off-Line transaction Processing is out-of-the-question.
I remembered what my EDP operator once said when I was still working and I asked her what program is she using as she was copying numbers from the screen onto a scratch paper and she said, "IBM!".
"You mean the company bought IBM computers.", I said knowing how thrifty the company can be.
She again said "IBM. Its Better Manual.". End of story.
By the way, I would like to invite you to visit my Sulit Homepage as there are some business opportunities that you guys might be able to help me out with. If you are interested, just click the Sulit Logo below:
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