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Vendor Managed Inventory (VMI) - An analysis of how Microsoft could implement VMI functionality in the ERP system Microsoft Dynamics AX.

Gurenius, Peter and Wicander, Johanna (2007)
Packaging Logistics
Abstract
Title: ?Vendor Managed Inventory (VMI) ? An analysis of how

Microsoft could implement VMI functionality in the ERP

system Microsoft Dynamics AX.?

Authors: Peter Gurenius

Johanna Wicander

Supervisors: Ola Johansson, Department of Packaging Logistics, Lund

University

Per Lykke Lynnerup, Microsoft Development Center,

Copenhagen

Background issues:

VMI is being increasingly implemented in companies and therefore Microsoft

wants to have this functionality in the ERP system Microsoft Dynamics AX.

Today, in version 4.0 of AX, there is no VMI functionality and customers

have to buy add on VMI solutions from Microsoft's partners. However, these

solutions are customer specific and do not lead to competitiveness for

Microsoft in the... (More)
Title: ?Vendor Managed Inventory (VMI) ? An analysis of how

Microsoft could implement VMI functionality in the ERP

system Microsoft Dynamics AX.?

Authors: Peter Gurenius

Johanna Wicander

Supervisors: Ola Johansson, Department of Packaging Logistics, Lund

University

Per Lykke Lynnerup, Microsoft Development Center,

Copenhagen

Background issues:

VMI is being increasingly implemented in companies and therefore Microsoft

wants to have this functionality in the ERP system Microsoft Dynamics AX.

Today, in version 4.0 of AX, there is no VMI functionality and customers

have to buy add on VMI solutions from Microsoft's partners. However, these

solutions are customer specific and do not lead to competitiveness for

Microsoft in the long run. Microsoft wants to have generic VMI functionality

build into AX, why Microsoft has started a large project for implementing

advanced trading functionality in AX, including VMI.

Purpose:

The purpose of this master's thesis is to ?investigate how Microsoft could

implement VMI functionality in Microsoft Dynamics AX?. To achieve this,

three research questions will be answered regarding purposes of starting VMI

relationships, information needed in VMI collaborations and communication

methods.

Method:

Since little prior research is done on VMI implementations into ERP systems

the authors have conducted benchmarking case studies at six companies, both

suppliers and customers working with different VMI solutions. The

conclusions and recommendations are to a large extent based on the findings

from the case studies.

Conclusions:

In summary, the case companies have reported overall positive results after

implementing VMI and want to develop the collaborations further. The

findings from the study indicate that more or less the same information is

VI

needed irrespective of how the information is sent. However, differences in

how the information is sent are found.

Recommendations to Microsoft:

The authors believe after having conducted literature and case studies that it is

necessary for Microsoft to have VMI functionality in AX to be able to

compete successfully in the future. The authors present a generic solution for

VMI in AX, in which configurations can be made easily to suit different

methods of communication. (Less)
Please use this url to cite or link to this publication:
author
Gurenius, Peter and Wicander, Johanna
supervisor
organization
year
type
H2 - Master's Degree (Two Years)
subject
keywords
VMI, ERP, Microsoft Dynamics AX, supply chain collaboration, information sharing, Technological sciences, Teknik
language
English
id
1316831
date added to LUP
2008-05-15 00:00:00
date last changed
2010-02-01 14:40:03
@misc{1316831,
  abstract     = {{Title: ?Vendor Managed Inventory (VMI) ? An analysis of how

Microsoft could implement VMI functionality in the ERP

system Microsoft Dynamics AX.?

Authors: Peter Gurenius

Johanna Wicander

Supervisors: Ola Johansson, Department of Packaging Logistics, Lund

University

Per Lykke Lynnerup, Microsoft Development Center,

Copenhagen

Background issues:

VMI is being increasingly implemented in companies and therefore Microsoft

wants to have this functionality in the ERP system Microsoft Dynamics AX.

Today, in version 4.0 of AX, there is no VMI functionality and customers

have to buy add on VMI solutions from Microsoft's partners. However, these

solutions are customer specific and do not lead to competitiveness for

Microsoft in the long run. Microsoft wants to have generic VMI functionality

build into AX, why Microsoft has started a large project for implementing

advanced trading functionality in AX, including VMI.

Purpose:

The purpose of this master's thesis is to ?investigate how Microsoft could

implement VMI functionality in Microsoft Dynamics AX?. To achieve this,

three research questions will be answered regarding purposes of starting VMI

relationships, information needed in VMI collaborations and communication

methods.

Method:

Since little prior research is done on VMI implementations into ERP systems

the authors have conducted benchmarking case studies at six companies, both

suppliers and customers working with different VMI solutions. The

conclusions and recommendations are to a large extent based on the findings

from the case studies.

Conclusions:

In summary, the case companies have reported overall positive results after

implementing VMI and want to develop the collaborations further. The

findings from the study indicate that more or less the same information is

VI

needed irrespective of how the information is sent. However, differences in

how the information is sent are found.

Recommendations to Microsoft:

The authors believe after having conducted literature and case studies that it is

necessary for Microsoft to have VMI functionality in AX to be able to

compete successfully in the future. The authors present a generic solution for

VMI in AX, in which configurations can be made easily to suit different

methods of communication.}},
  author       = {{Gurenius, Peter and Wicander, Johanna}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{Vendor Managed Inventory (VMI) - An analysis of how Microsoft could implement VMI functionality in the ERP system Microsoft Dynamics AX.}},
  year         = {{2007}},
}