How can ERPs improve demand management for effective product design?

This paper aims to explore how ERP systems can enhance demand management and product design specifically at Netstar, a company specializing in vehicle monitoring and asset recovery. It will also examine the specific challenges and opportunities linked to this process. The aim is to shift towards a more advanced and integrated ERP-based approach to enhance performance, streamline operations, offer timely information for decision-making, and improve efficiency, among other advantages. (Hyunchul, 2020). Businesses must become more agile add intentional to keep up with the recent trends of cloud computing, Industry 4.0, and rapid digital technological advancements and adoption. Even technology firms encounter challenges in achieving impactful digital transformation, despite its perceived benefits. The COVID-19 pandemic also underscored operational vulnerabilities, such as the challenge of effectively managing remote work and the susceptibility to significant supply chain disruptions. Knell (2021) suggests that organisations must prioritise adaptability and flexibility to prosper in this dynamic digital landscape. Nevertheless, numerous organisations fail in their digital transformation endeavours due to their failure to implement this critical paradigm change, resulting in stagnation, missed opportunities, and an inability to respond appropriately to changing market demands. Ineffective change management practices, which prioritise technology over human factors, is a common contributor to failures as well (Jawad & Balázs, 2024; Morawiec & Sołtysik-Piorunkiewicz, 2023). Industries are still being disrupted by “omnipresent data, unlimited connectivity, and massive computing power.” Companies also encounter increasing complexity and obstacles in their transformation journeys since the Internet was commercialised, as evidenced by research conducted by Bjelland & Haddara (2018) and McKinsey & Company (2023). The challenges linked to strict adherence to technology-driven outcomes are compounded by heightened competitive dynamics, and unpredictability. In this environment, quick decision-making, adaptability, flexibility, and continuous learning are crucial skills to navigate increasing ambiguity (Whiteside, 2023). Product design processes benefit significantly from seamless collaboration among departments, along with easy access to relevant sales and customer data, improving quality and efficiency. ERP systems are essential for the improvement of demand management by utilising real-time data analytics, which facilitates the development of effective products through precise forecasting and proactive decision-making. Effective ERP integration can optimise inventory levels, reduce waste, and expedite product delivery. This enhancement improves operational efficiency and product design by creating a more adaptable and flexible development environment. The result is the provision of superior products that are specifically tailored to surpass customer expectations. (Jawad & Balázs, 2024). This article takes a systems approach to examine how ERP systems might solve these challenges by improving demand management that supports impactful product design at Netstar, inspired by the research question: “How can ERP systems improve demand management for effective product design at Netstar?”