Whirlpool Corporation Essay Example | Topics and Well Written Essays - 1750 words - 1

Whirlpool Corporation - Essay ExampleThis was compounded by separate bleak material costs as well leading to a larger end substance abuser price which immediately required the attention of the company.3. In addition to these, Whirlpool also felt that the utility support was an unique selling proposition since most of the Asian companies did not pay an elaborate armed service network. In case of Whirlpool they had operations in 170 countries which made it easy and they wanted to betray it more effective.It is important that these issues are addressed in their ERP declaration. The ERP solution was expected to provide a solution to these key issues. Primarily, it was expected to reduce the cost of production2. Reducing the stock on hand and the inventory, both raw material, intermediate and finished goods. This was expected to baffle lot the holding cost of the product as well. This would also reduce the cost of production.5. The company also tried to build relationships with v arious vendors across the clump which would result in outsourcing some of the products that these people can produce for much lesser. This will again bring down the price of the product further.6. The transportation cost and the raw material cost though they have increased, optimizing the supply and by clubbing together supplies, moving them to the nearest point for fabrication work would on the whole bring down the cost of production.All this would bring down the cost of the end product for the customer. This was what the customer expects. Also cutting down the cost of production would improve the profit margins that the company had. Implementing ERP would bring down the material movement reduce the stock holding costs in terms of both raw materials and finished goods. There will also better production planning. All this would help in trim the cost of production further and increasing the margins the company had. ERP