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Comparison between
  Enterprise Resources Planning
         Oracle E-Business Suite
Enterprise Asset Management
           &
Computerized Maintenance
  Management System
                  January 25rd, 2012
   Prepared by Ghassan Chahine PhD Candidate MBA, EMBA, ITIL
                          MIS MANAGER
Discussion Topics

1.   CMMS Overview
2.   Oracle EBS Overview
3.   Oracle EAM overview
4.   CMMS v/s EAM
5.   Integration or interfacing
6.   Applicable Scenarios (Comparison)
7.   CMMS or EAM?
1. CMMS Overview
2. Oracle EBS Overview

Oracle Human Resources
Oracle Self-Service Human Resources
Oracle Payroll
Oracle Financials
Oracle Purchasing
Oracle Enterprise Asset Management
Oracle Self-Service Work Requests for Oracle Enterprise Asset Management
Oracle Inventory Management
Oracle Order Management
3. Oracle EAM overview

•   Functions:
     – Asset Management
     – Work Management
     – Inventory Management
     – Asset Performance & Forecasting
     – Maintenance Budgeting
     – Work Order Billing
     – Direct Item Procurement for Work Orders
     – Preventive & Predictive Maintenance
     – Maintenance Intelligence
     – Cost Management
     – Contractor Services
     – …
4. CMMS v/s EAM


• Operational Challenges:
4. CMMS v/s EAM -cont-

• Strategic Advantages:
5. Integration or interfacing

• Interfacing
5. Integration or interfacing –cont-


                                 ISSUES:
                                 •    Where is the official
                                     inventory maintained?
                                 •      How do you keep
                                     the inventories in
                                     sync?
                                 •      What flares will go
                                     off when they go out of
                                     sync?
                                 •      How do you put
                                     them back in sync?
                                 •   ….
5. Integration or interfacing –cont-
Applicable Scenarios (Comparison)
             Scenario                            Major PROs                            Major CONs
1- To keep CMMS system as is, and not No EAM cost of licenses and           O&M keeps on CMMS as is
implement EAM (or implement it implementation.                              O&M will sustain living at an isolated island
                                                                            (no systematic or automated work with other
elsewhere)
                                                                            departments
                                                                            Lack of information consistency and reporting
                                                                            capabilities even for O&M
                                                                            ACS team keeps the sole players and
                                                                            information owners on O&M
2- To Interface data (exchange/sync)      No additional cost                Reverse process engineering is required
between CMMS and ERP (Orders, Fin,        (Provided free of charge by the   (hierarchical    approvals,      Service  level
                                                                            management, …)
HR, Purchasing, Inventory…)          implementer)
                                                                            Data will have no reliable history (asset
                                                                            lifecycle)
                                                                            Risks of data issues, failures, changes … from
                                                                            the CMMS side (service management with
                                                                            gaps)
                                                                            Limited advantages to other enterprise
                                                                            functions (HR, PLW, FIN, …)
                                                                            Undefined custom interfacing will be
                                                                            required such as Assets & Depreciations,
                                                                            Contracts, Orders, Resources, Purchasing
                                                                            (long dynamic list and persistent changes)
Applicable Scenarios (Comparison)
         Scenario                                  Major PROs                                           Major CONs
3- To Integrate CMMS system • Best effort is reach toward some functional, analysis • High cost of implementation
with ERP                      and reporting requirements                            • Sponsor rejection of ERP custom development.
                            • Capability to merge data from different sources into • Implementation will be due with custom
                              one database repository.                                development (not recommended, risky, time &
                                                                                        effort consuming)
                                                                                      • Forgone functions and features: Asset lifecycle,
                                                                                        asset tracking, maintenance analyses, financial
                                                                                        analysis, Operations mgmt, Change mgmt,
                                                                                        strategic planning and analysis.
4- To Fully diversify toward • Enforces consistent, full and timely data entry        • Additional cost       of EAM license and
EAM and drop CMMS • Relate all enterprise functions into one entity                     implementation to be added to EAM
consequent to successful • Waive manual work, redundant entries                   and • Risk of cooperation from the O&M ACS Staff.
implementation                 additional resourcing
                             • Provide full capabilities to produce different
                               decision-making analyses.
                             • No additional time consuming:                  Parallel
                               implementation along other ERP modules
                             • Enables Masaar team to manage, control and lead
                               on the full O&M, Procurement and inventory, all in
                               one repository.
                             • Involves Masaar O&M team in full knowledge
                               lifecycle
CMMS or EAM?
•   Enterprise benefit
•   Financial concern
•   Operational outlook
•   Functional perspective
     –   Purchasing & procurement
     –   Inventory Management
     –   Inventory, Parts and Asset Tracking
     –   Financial and accounting mgmt. & control
     –   HR management capabilities
     –   Enhanced statistics & reporting
     –   Computer aided design implementation
     –   Customization capabilities forms, queries, reports.
     –   More conclusive analysis
     –   Maintenance, Repair and Overhaul (MRO) alternatives
     –   Training provisioning and knowledge transfer.
     –   Waive of single point of failure
     –   Sustainable Support availability
     –   Scalability in vertical & Horizontal growth

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ERP vs CMMS: Comparing Oracle EAM and Computerized Maintenance Management Systems

  • 1. Comparison between Enterprise Resources Planning Oracle E-Business Suite Enterprise Asset Management & Computerized Maintenance Management System January 25rd, 2012 Prepared by Ghassan Chahine PhD Candidate MBA, EMBA, ITIL MIS MANAGER
  • 2. Discussion Topics 1. CMMS Overview 2. Oracle EBS Overview 3. Oracle EAM overview 4. CMMS v/s EAM 5. Integration or interfacing 6. Applicable Scenarios (Comparison) 7. CMMS or EAM?
  • 4. 2. Oracle EBS Overview Oracle Human Resources Oracle Self-Service Human Resources Oracle Payroll Oracle Financials Oracle Purchasing Oracle Enterprise Asset Management Oracle Self-Service Work Requests for Oracle Enterprise Asset Management Oracle Inventory Management Oracle Order Management
  • 5. 3. Oracle EAM overview • Functions: – Asset Management – Work Management – Inventory Management – Asset Performance & Forecasting – Maintenance Budgeting – Work Order Billing – Direct Item Procurement for Work Orders – Preventive & Predictive Maintenance – Maintenance Intelligence – Cost Management – Contractor Services – …
  • 6. 4. CMMS v/s EAM • Operational Challenges:
  • 7. 4. CMMS v/s EAM -cont- • Strategic Advantages:
  • 8. 5. Integration or interfacing • Interfacing
  • 9. 5. Integration or interfacing –cont- ISSUES: • Where is the official inventory maintained? • How do you keep the inventories in sync? • What flares will go off when they go out of sync? • How do you put them back in sync? • ….
  • 10. 5. Integration or interfacing –cont-
  • 11. Applicable Scenarios (Comparison) Scenario Major PROs Major CONs 1- To keep CMMS system as is, and not No EAM cost of licenses and O&M keeps on CMMS as is implement EAM (or implement it implementation. O&M will sustain living at an isolated island (no systematic or automated work with other elsewhere) departments Lack of information consistency and reporting capabilities even for O&M ACS team keeps the sole players and information owners on O&M 2- To Interface data (exchange/sync) No additional cost Reverse process engineering is required between CMMS and ERP (Orders, Fin, (Provided free of charge by the (hierarchical approvals, Service level management, …) HR, Purchasing, Inventory…) implementer) Data will have no reliable history (asset lifecycle) Risks of data issues, failures, changes … from the CMMS side (service management with gaps) Limited advantages to other enterprise functions (HR, PLW, FIN, …) Undefined custom interfacing will be required such as Assets & Depreciations, Contracts, Orders, Resources, Purchasing (long dynamic list and persistent changes)
  • 12. Applicable Scenarios (Comparison) Scenario Major PROs Major CONs 3- To Integrate CMMS system • Best effort is reach toward some functional, analysis • High cost of implementation with ERP and reporting requirements • Sponsor rejection of ERP custom development. • Capability to merge data from different sources into • Implementation will be due with custom one database repository. development (not recommended, risky, time & effort consuming) • Forgone functions and features: Asset lifecycle, asset tracking, maintenance analyses, financial analysis, Operations mgmt, Change mgmt, strategic planning and analysis. 4- To Fully diversify toward • Enforces consistent, full and timely data entry • Additional cost of EAM license and EAM and drop CMMS • Relate all enterprise functions into one entity implementation to be added to EAM consequent to successful • Waive manual work, redundant entries and • Risk of cooperation from the O&M ACS Staff. implementation additional resourcing • Provide full capabilities to produce different decision-making analyses. • No additional time consuming: Parallel implementation along other ERP modules • Enables Masaar team to manage, control and lead on the full O&M, Procurement and inventory, all in one repository. • Involves Masaar O&M team in full knowledge lifecycle
  • 13. CMMS or EAM? • Enterprise benefit • Financial concern • Operational outlook • Functional perspective – Purchasing & procurement – Inventory Management – Inventory, Parts and Asset Tracking – Financial and accounting mgmt. & control – HR management capabilities – Enhanced statistics & reporting – Computer aided design implementation – Customization capabilities forms, queries, reports. – More conclusive analysis – Maintenance, Repair and Overhaul (MRO) alternatives – Training provisioning and knowledge transfer. – Waive of single point of failure – Sustainable Support availability – Scalability in vertical & Horizontal growth