Levi Strauss published financial results of the II quarter 2008 according to which the net profit of the company was reduced in comparison with the same period of last year by 98% (from 46 million dollars to 1 million). In addition to the general reasons, such as recession of economy and the growing competition, company management explains such financial "failure" with the serious delays in delivery of the ordered goods in the territory of the USA which caused reduction of sales of corporate products. These problems with delivery in the company write off for the difficulties which arose during the ERP system implementation project performed now in the American division of the company.
A system covers different business processes of the company, such as logistics management, personnel and finance. A new ERP system as it is reported, did not cope with timely processing of incoming orders, and a part of expired orders was cancelled by retailers.
As reported, investments into further development and stabilization of work of the ERP system will be continued during the whole year therefore in the company do not promise fast recovery of financial wellbeing.
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