The division manager at Xperience Inc. wants to replace the SAP ERP currently used in his division with Epicor ERP as it costs 30 percent less to train new staff in Epicor ERP. But this leads to a conflict with the general manager, who insists that they can simply hire only people who already know how to use SAP ERP. Which of the following, if true, weakens the general manager's objection to the replacement of SAP ERP with Epicor ERP?
A) Currently all employees in the company are required to attend workshops on how to use SAP ERP.
B) Once employees learn how to use an ERP system, they tend to change employers more readily than before.
C) Experienced users of SAP ERP command much higher salaries than do prospective employees who have no experience in the use of any ERP.
D) The average productivity of employees in the company is below the average productivity of the employees of its competitors.
E) The high costs of updates and upgrades make Epicor ERP more expensive to maintain than SAP ERP.

Question

Quizplus · Accepted Answer

The general manager's objection is based on avoiding training costs altogether. But if hiring experienced users of SAP ERP is significantly more costly than hiring otherwise qualified people who would have to be trained to use Epicor ERP, the objection is weakened. Hence, the fact that experienced users of SAP ERP command much higher salaries weakens it. The fact that the high costs of updates and upgrades make Epicor ERP more expensive to maintain than SAP ERP argues independently against replacing SAP ERP with Epicor ERP and thus is also incorrect. The rest of the options do not provide any information relevant to an evaluation of SAP ERP as compared with Epicor ERP.

The Division Manager at Xperience Inc