Automation of Company X Procurement Activity via ERP System

The main purpose of this research is to evaluate the possibility of automation of company X procurement activity via SAP ERP system. To achieve this goal, it is necessary to accomplish following tasks: 1. To analyze the procurement activity of company X; 2. To formalize the procurement activity of company X; 3. To develop requirements for the designed information system; 4. To evaluate the possibility of automation of company X procurement activity via SAP ERP system. In order to achieve the objectives of analysis and formalization, functional modeling methodology IDEF0 and ARIS methodology are used; development of requirements is based on the FURPS+ approach. As for latter task, it is realized through the analysis of SAP ERP system’s standard functionality for compliance with the declared requirements. The main body of this research consists of two parts. In the first one, the study of company X procurement activity is accomplished by the means of modeling and analysis of business processes which are included in the considered activity. The second part represents the requirements development for the designed information system based on the performed study. Further in this part the possibility of automation of company X procurement activity is evaluated. The relevance of this work lies in the fact that lack of a unified information system in the company X reduces the efficiency of enterprise management, leads to the loss of benefits which can be provided by modern ERP systems and results to many other problems that can be solved via automation. As a result of the conducted research, the conclusion, which is that a significant portion of the required functions can be successfully performed by SAP ERP and that the system is able to provide company X with an effective information support, has been obtained.