Thursday, October 10, 2013
How Lending Club found success with Cloud ERP
According to Week 6 topic: The Role of Information Technology and the Web on Global Supply Chains, we learned that information plus technology have provided a new perspective and visibility on how companies shaped their decisions around different forms of supply chain processes in their production operations or line of business. More particularly, the availability of information and technology assist companies to leverage competitiveness around outlining optimal inventory policies (Inventory), determining the type of transportation networks, modes (Transportation), etc and formulating strategies concerning trade-offs between efficiency and flexibility, level of capacity and so on. This topic was interesting given the level of technological advancement existing around us and how utilizing such advancement can scale-up companies's supply chain process. My search for an article that link seamlessly with week 6 discussion ended up with this online story titled: "How Lending Club found success with Cloud ERP".
Foremost, Lending Club, founded in 2007, is an innovative, data-rich, high-growth online financial marketplace firm that create the enabling environment for creditworthy borrowers and investors to trade products and services that are beneficial to both parties. The end result of the transactions is financial rewards that both parties get out of the market interactions. Lending Club provides the platform that foster smooth transactions void of the complexity of lending services associated with traditional banks thus generating a smarter. faster and safer way to invest. To date, the firm has disbursed total loans worth over $2.6 billion dollars and paid out total interest of over $233 million to investors.
However, with the relative success of in short period of the firm had a problem and that is ho does it deals with the massive data flow and processes carried out in its back office operations. Specifically, the firm had outgrown its current General Electric package and was seeking to migrate to a more robust automated accounting systems that will delivers seamlessly solutions in handling the massive flow of data as it grows overtime. On that premise, Lending Club elected to go for Oracle ERP Cloud Service as the portal that will provide the solution to its huge data flow processes and its decision to select the Oracle ERP system was based on numerous counts. First, Oracle ERP Cloud Service has a dynamic analytics and reporting potential, embedded data intelligence at will handle its massive data flow overtime and it embedded across the supply chain. The third reason for the selection of the Oracle ERP cloud system was based upon its cloud feature and scalability features.
Enterprise Resource Planning (ERP) Cloud System is an set of activities that assist companies manage critical business process such as purchasing and inventory management and comes with modules for financial and human resource management of a business. The ERP Cloud System, as the name denotes, utilizes cloud computing portals and services to deliver more flexible business process transformation. These features signify that indeed the ERP cloud system is such a powerful tool for generating a distinctive competitive edge in business operations and facilitates efficient and effect supply chain process.
Therefore, the key take-way for this article is that the ERP Cloud System will deliver vital business process information such as revenue forecast, long-term integration with existing Oracle based database and handles the rigor of large scale data flow process manages all in real time. This in turn will boost revenue, decrease cost and generate visibility in the supply chain process for optimal productivity. Overall, this speaks to the importance of information technology as a key drivers in integrating and providing a coordinated front-to-back end of the supply chain process for companies.