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In recent years, China’s rise has led to the fact that many small- and medium-size enterprises (SMEs) in Taiwan see orders being taken away by China. I On top of this, these enterprises face issues including decline of their industries, the need to increase their market shares, and increasingly higher functional requirements and expectations from their customers. These issues have forced many enterprises to consider how to increase profits, reduce manufacturing costs and inventory storage, arrange manufacturing processes quickly, meet customer needs and expectations, and improve corporate operational processes and quality of service. Therefore, for an enterprise, basic tasks of each department and departmental operational processes all need to be integrated. To integrate resources and correct information that each department has, many enterprises have introduced enterprise resource planning (ERP) systems. This paper analyzes issues that may occur following the introduction of an ERP system.
This paper mainly analyzes failure modes in an ERP system following its introduction by performing failure mode analysis on function modules mainly used in an ERP system and identifies a risk priority number by calculating it, which can serve as a reference value for setup of a smart factory.
This study employs the Six Sigma approach for analysis, the approach to the Define phase in Six Sigma for analytical simulation, and tools including fishbone diagrams and FMEA in the analytical process to eliminate failure modes that may occur during the use of an ERP system in each process step and thus increase the efficiency of use of the system.
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