The Reengineering Project in the Beverage Industry The burning issue Today, the beverage industry faces very high competition in the global market. Marketing and brand position may be the first things a company probably thinks are the most important, but the fact is that supply chain management (SCM) can also strongly indicate the success of the company. An effective SCM is the most favorable key in market strategy because SCM guides every activity of a company towards the end customer. Without effective SCM, the company will likely be eliminated, Bommer and O'Neil (2001, pp11-12). Over the last decade, enterprise resource planning (ERP) has become a key to supply chain success and is the reason many beverage manufacturers are looking to replace old-fashioned supply chain management with a new ERP system to outperform the competition. The report will mainly discuss the case study of Red Bull China and different beverage manufacturers. The OverviewA commercial beverage such as beer, soft drinks, energy drinks or juice is usually contained in a can or bottle, it can be a small or large package depending on the approach to the market. A beverage manufacturer normally does not sell its product directly to the end customer but prefers to distribute the product through retailers. As a result, retailer satisfaction is considered the most important thing in the beverage industry. In recent years, the beverage industry has come under pressure from retailers to reduce prices and also from new beverage companies (Bommer and O'Neil, 2001, p18). However, due to fierce competition, manufacturers are unable to reduce marketing costs. Therefore, the answer seems to be the efficiency of SCM to satisfy retailer and customer, while the manufacturer needs to improve its SCM process. Several concepts have been involved in improving SCM over the past decades, such as “lean manufacturing” to reduce waste in production and “just in time” delivery to satisfy your retailer. However, no matter what concept the business wants, it needs to be led by “IT”, or it can be reframed as business process reengineering or ERP. The very mission of the ERP system is to integrate and analyze data from various sections such as finance, logistics, inventory, sales, etc. in an organization (sometimes between organizations). According to Al-Mashari, there are various resources to prepare for ERP system implementation; infrastructure resource planning, local area network, servers, terminal PCs, training courses, human resource planning and ERP training (2002, pp166-167). As a result, it can be seen that most of the tasks are related to information technology and human resources approach.