The Effect of DRP Automation through ERP System on Supply Chain Management in the Egyptian FMCG Industry: A Case Study Research

Proceedings of The 2nd International Conference on Advanced Research in Supply Chain Management

Year: 2022

DOI:

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The Effect of DRP Automation through ERP System on Supply Chain Management in the Egyptian FMCG Industry: A Case Study Research

Ekbal Marzouk, Nour Abdelhady and Menatalla Kaoud

 

ABSTRACT: 

This paper examines the automation of Supply Chain Management (SCM) through the implementation of Distribution Requirements Planning (DRP) Automation project using Enterprise Resource Planning (ERP) system. A central question is addressed in this paper: from a resource-based view, what is the effect of the DRP automation through ERP system on the Supply Chain Management in the Egyptian FMCG industry?  Adopting a case study methodology at leading Egypt-based manufacturer ‘Juhayna Food Industries’, this study is the first of its kind to provide an in-depth analysis of the implementation and effect of DRP Automation on Supply Chain Management focusing on the informational flow of goods in the Egyptian FMCG Industry. Data were collected through semi-structured interviews with the main Supply Chain departments and direct observations for a period of 3 months during and after the implementation of the project. The results in this paper show the positive effect of the automation of DRP using ERP system on supply chain functions in terms of data accuracy and efficiency. This research will enhance the planning and distribution practices in SCM of the FMCG products by saving more time and effort and having precise data through automated ERP system.

keywords: Supply Chain Automation, Distribution Requirements Planning (DRP), Enterprise Resource Planning (ERP) System, Egyptian FMCG Industry, Juhayna Food Industries.