THE CUSTOMERCiracasindo Perdana has been dedicated to beverage system business for the last 20 years, dealingwith the production and distribution of high-end beverages brands such as SUNFRESH NaturalFruit Juices, DOUWE EGBERTS Coffee and EQUAL Sweetener to entertain hospitality industry,including star hotels, restaurants, cafés, industrial catering, retail outlets like Hypermart, Carrefour,Ranch Market, Kem Chicks, etc. In addition, it supports beverages companies such as Arnott’s,Garuda Food, Tang Mas, Orang Tua, etc. The company has wide-ranging products and packagingwith about 150 items in total, and currently operates sales offices in 6 different regions from Jakartato Ujung PandanTHE CHALLENGECiracasindo has been applying business software system since 2003. As the company’s businessgrows, the need for a more comprehensive set of enterprise resources planning (erp) systemincreases. The current system cannot handle high capacity and the company’s growing expectationdue to its limited capacity and non-integrated nature. Furthermore, overcapacity in the currentdatabase system results in loss of valuable data. Adding more resources to operate and manageexisting system has caused inefficiency and high cost. In overall, ciracasindo has faced the risk ofbusiness disruption that will potentially hamper the company’s effort to achieve goals andobjectivesQUESTION1. With illustrations explain what is meant by ERP? 2. Explain five (5) key reasons why Ciracasindo will Undertake ERP solution.3. Expatiate on five (5) key expectations of the new ERP solution to be employed byCiracasindo.

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
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THE CUSTOMER
Ciracasindo Perdana has been dedicated to beverage system business for the last 20 years, dealing
with the production and distribution of high-end beverages brands such as SUNFRESH Natural
Fruit Juices, DOUWE EGBERTS Coffee and EQUAL Sweetener to entertain hospitality industry,
including star hotels, restaurants, cafés, industrial catering, retail outlets like Hypermart, Carrefour,
Ranch Market, Kem Chicks, etc. In addition, it supports beverages companies such as Arnott’s,
Garuda Food, Tang Mas, Orang Tua, etc. The company has wide-ranging products and packaging
with about 150 items in total, and currently operates sales offices in 6 different regions from Jakarta
to Ujung Pandan
THE CHALLENGE
Ciracasindo has been applying business software system since 2003. As the company’s business
grows, the need for a more comprehensive set of enterprise resources planning (erp) system
increases. The current system cannot handle high capacity and the company’s growing expectation
due to its limited capacity and non-integrated nature. Furthermore, overcapacity in the current
database system results in loss of valuable data. Adding more resources to operate and manage
existing system has caused inefficiency and high cost. In overall, ciracasindo has faced the risk of
business disruption that will potentially hamper the company’s effort to achieve goals and
objectives
QUESTION
1. With illustrations explain what is meant by ERP? 
2. Explain five (5) key reasons why Ciracasindo will Undertake ERP solution.
3. Expatiate on five (5) key expectations of the new ERP solution to be employed by
Ciracasindo.

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