LG is the south korea based company which is the electronics company. It has 119 subsidiaries available worldwide and there are more than 80000 people working as an employee. The company is actively working in the following segments - entertainment, wireless and mobile communications, transportation components, home appliances etc.
Why ERP was felt needed in the LG company ?
There were following reasons responsible for the implementing ERP software in LG company -
high maintenance costs
inefficient decision making
lack of transparency
underuse of resources
more manual processes
How ERP was implemented in the LG company ?
To launch the erp software in LG company was not a cakewalk but it was implemented in to five different planned phases in five consecutive years (2002 - 2006). It gave the following benefits to the company -
boosted employee morale and productivity
transparency in the manual and automated process
centralized and integrated single ERP system
readily available real time reporting
easy sharing of best practices
facilitated learning through the online prepared manuals and reports
performance appraisal on the base of actual performance, competencies and standards
So the overall moral of the story is this that the LG electronics company became able to improve its HR practices & policies by using the automated erp solution and it is still using this software by innovating new modules and services.