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Cost-Benefit Analysis of Data Matrix Codes in a Project-based Business; a Business Case

Sproates, C.L. (2014) Cost-Benefit Analysis of Data Matrix Codes in a Project-based Business; a Business Case.

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Abstract:The objective of this study is to explore the possibilities for improvement in the data quality in the SAP system of Thales Electronic Systems GmbH (TES) by the use of Data Matrix Codes. The purpose of this document is to support the decision for the investment of a new identification technology. At TES there was doubt about the data quality in the ERP system SAP. There was a feeling that errors were made in SAP and that more time than strictly necessary was spent in SAP. For this reason a business case was developed in order to find out whether a new technology would be able to improve the current situation. For the computing platform the AIDC technology Data Matrix Codes was chosen, since various other locations of Thales already work with these types of barcodes and it is already possible to produce these Data Matrix Codes at TES. To find out whether the Data Matrix Codes would improve the efficiency of data input in SAP at TES, a modified version of the BC4IOP methodology has been used together with BPE and SMART. The scope of the analysis has been narrowed to the supply chain at TES in which the presumed problems occurred. By analysing the current processes via observations, tests and interviews, it turned out that the amount of errors made in SAP were very small. The main reason for this conclusion is the number of material movements conducted at TES, which is relatively small in comparison with other locations of Thales. Although the number of material movements is small, areas are still indicated for improvement largely in the field of data input efficiency. However these areas of improvement are not always related to the AIDC technology of Data Matrix Codes. The added value of materials with labels containing a DMC was too little to make such a solution cost-efficient.
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:Industrial Engineering and Management BSc (56994)
Link to this item:http://purl.utwente.nl/essays/65194
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