ROLLS ROYCE CASE STUDY

Submitted to: Sir Sajid Nazir

submitted by: Rukhsar Abbas (24017)
Answer 1:

Build Create Resolve

Customer Customer Customer
Relationship Solutions Problems

Plan the Resource the Generate Fulfil

Business Business Orders Orders

Satisfy the Manage

Shareholder Cash

Rolls Royce has nine principal business processes, which are inter-linked together and shows how
business works:

 Plan the business:

Rolls Royce plans the business accordingly by building the relationship with customers and to
create a product according to customers need and generating enough cash flow from the
shareholder to resource the business.

 Resource the business:

Resourcing the business includes staffing, financing, having latest technology and enough fund
for the production and manufacturing units to start working for the growth.

 Manage cash:
Managing cash is a two-way process as it is related to cash outflow and cash inflow. The cash
outflow is the expenses on different units and employees of the department as to manage the
culture and technical problems the Rolls Royce implement different software and held training
sessions which were costly, However, by increasing their productivity they generate a profitable
business by fulfilling the orders on time which not only helps in growth of the business but also
satisfy the shareholders of the business.

 Satisfy the shareholder:

The shareholder of Rolls Royce invests huge amount of capital to start the business and
Royce Rolls have done a very well job by making this business profitable and capture
most of the market which satisfies the shareholder and also increase the market share
for Rolls Royce.
  Build Customer Relationship:
Building customer relationship is the important part of Roll Royce they always try to satisfy
customers need and find remedies of the problems faced by them, they plan their business
according to the customer demands that helps them to build strong relationship with the
customers that increases the productivity and profit.

 Create customer solutions:

Finding the best solution for the customer problem is always the priority for Roll Royce by
generating the orders they need and fulfilling the customers demand time by time, this helps
them to build the relationship with their customers and develop the level of trust between
them. This also attracts more customer and shareholder to invest in their business and help
them in growth.

 Resolve customer problems:

The Roll Royce always tries to understand the situation according to customer’s perspective by
finding the necessary solutions to the problems faced by their customers by innovating and
implementing new technology, engine and spare parts, that helps them to build strong bond
with their customers.

 Generate orders:
With the help of technology, team, introduction of new software and proper planning Roll Royce
always generate the order according to the customer demands and needs after analyzing the
market and always finds the best solution for the problem related to their customers, this builds
the strong relationship with their customers and help them to generate more orders.

 Fulfil orders:
Fulfilling the orders on time and maintaining the quality not only satisfies the customers need
but also helps in growth of Rolls Royce by making business moving in a profitable direction.

Answer 2:
The Rolls Royce faced the following problems during implementation of the project:

Culture problems:
The Rolls Royce team didn’t get the appreciation and acceptance for some of their function and
processes as expected. However, in order to get appreciation, the team decided to end the traditional
segregation of OBU’s and departments by implementation of training session in the form of organized
seminars which is basically divided into two subgroups of specialist under the supervision by SAP based
on technical knowledge while the mass user are trained internally in collaboration with EDS consultants.
These trainings include different seminars, information meeting and presentations related to changes in
working practices in which more than 10,000 people were trained.

Business problems:
The major business concern was related to SAP R/3 functioning as it required firm business structure in
order to work smoothly. For that the participant from cross functional workshop immediately changes
the way of doing business by introducing internal business process reengineering program (BPR). This
program consists of 4 important steps that are as follows:
Drawing and Mapping
1. Drawing and mapping the current process
Problem Indentification
2. Identification of problems due to mapped processes
3. Applying such issues for demonstration of SAP to Applying and Demonstration
identify problems in new system
Remapping and Modification
4. Re-mapping and modification of process in line with
SAP.

However, Modifications of software’s seems to be extremely expensive in implementation and

installation of new software modified system. Later this unmodified software implementation known as
“Vanilla SAP”.

Technical Problems:
The biggest technical issue faced by Rolls Royce was the accuracy of the data as the new system requires
the data to be stored and reconciled with the data format present in the system. However, the data
duplication was the another issue related to the data concern. The introduction of the new system and
building the interfaces between the system was a way to overcome such issue but the CAD system used
by Rolls Royce to change the file formats and manage data errors was much expense.

Answer 3:
 SUITE 1 SUITE 2 SUITE 3
Plan the supply Plan & Schedule Operate the
chain the factory factory
Master schedule Schedule the shop
key program

Suite 1:
Suite 1 is the part of APS (Enterprise level) that have the following stages:

Plan the Supply chain:

This step includes all the business activities related to cooperate planning business activity with a time
frame of 2-5 years by analyzing the future possible sales that includes engines and spare parts. It also
focuses on the maximum and minimum sales level by comparing different scenarios related to the sales.

Master schedule key program:

Suite 1 mainly helps sales and operating review board (SORB) that is actually the meeting at upper level
(director level) every 3 months for discussion on planning related to engine sale and increasing or
decreasing factory capacity for next 2-5 years. The decision made by SORB is related to the potential
growth of the company to achieve their objective of increasing their growth in terms of manpower,
technology, machinery and how to increase their sales efficiency for upcoming years. This is also known
as “Evaluation and commitment acceptance program” as this meeting is about what and when steps
should be taken. The record from previous meeting are undertaken to identifies new changes made in
the company.

Suite 2:
Suite 2 is the part of APS (factory level and SAP) that have following stages:

Plan & Schedule the factory:

This is basically the implementation of the steps discusses in suite 1 which helps all the units related to
production and manufacturing to start working on the capacity for formation of required products that
is being planned to build. It’s the process of conversation from customer requirement to the production
plan which will later facilitates in regular operations of the factory. This process is also known as
schedule smoothing.

Schedule the shop:

The another process named schedule shop is the that plans when to release the product in the market it
can either be in the form of raw material or partly finished. It also helps in scheduling different
manufacturing and production process of that product.

Suite 3:
Operate the factory:

Suite 3 act as a control system that takes control of all the activities from the initial planning or
paperwork to the delivery of final product. It collects and stores all the information at different point
during manufacturing and production process of different stages and look after the inventory during
manufacturing process and the flow of different components during final stages of production process.

After the SAP become executive these suites will be replaced by SAP modules and SFDM that will later
handle and perform all tasks.