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ERP Introduction : * The concept is used to address the resource planning requirement of the enterprise. * ERP offers seamless integration of business Transactions based on information across various function in the organization.
ERP Definition   “ Software solution that addresses the Enterprise needs, taking a process view of the overall organization to meet the goals,by tightly integrating all functions and under a common software platform”   OR ERP is a set of application Software that integrates information from manufacturing finance, distribution, & other business functions & facilitates  Decision making.
Why  ERP ?   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Evolution of  ERP   1960’s - Systems Just for Inventory Control     1970’s  - MRP – Material Requirement Planning        (Inventory with material planning & procurement)   1980’s - MRP II – Manufacturing Resources Planning        (Extended MRP to shop floor & distribution Mgnt.)   Mid 1990’s -  ERP  – Enterprise Resource Planning        (Covering all the activities of an Enterprise)   2000 onwards –  ERP  II – Collaborative Commerce        (Extending  ERP  to external business entities)      
ERP   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
  ERP  – Functional Architecture           ERP  Database Sales Project Accounting Service Quality Human Resource Maintenance Manufacturing Materials Logistics Distribution Fig : Functional Modules of ERP
  ERP  – Expectations     ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
ERP  – Features ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
ERP  – BASIC Features ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
ERP  – BASIC Features ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
ERP  – BASIC Features ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
ERP  – Benefits   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
ERP  – Vendors ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
  Just automating the existing business practices will not help  ERP  to achieve the anticipated results because, OO + NT = EOO   Business Process Re-engineering [BPR] brings out the deficiencies of the existing setup   BPR and  ERP  will give way to implement new systems and the long pending improvements in the existing systems   BPR may be time consuming but the scope can be restricted & controlled by the Management   BPR &  ERP  
BPR - Steps   Automate   Simplify/Improve   Understand   Implement with the help of  ERP   Draft & frame the possibilities & ways to simplify or Improve or eliminate the processes   Understand the existing systems associated with all the functionalities  
OPTION 1 – MAKE [Using Internal resources]   Developing a custom-built  ERP  package, specific to the requirements of the organization, with the help of the in-house IT department   OPTION 2 - BUY   Going for Tailor-made  ERP  packages available in the market like SAP, Oracle applications, Baan, PeopleSoft etc.   OPTION 3 – MAKE [using External resources]   Developing a custom-built  ERP  package, specific to the requirements of the organization, with the help of a  software solution provider     ERP  – Options   
ERP  product selection      Preparations      Production      Implementation      Post-Implementation   Execution phases   
ERP  Team formation for selection      Appointment of Consultants [if needed]      Scoping study      Product selection      Implementation partners selection      Hardware/Communication cost estimation   ERP  Product selection Phase  
Reputation of the  ERP  product      No.of installations in the geographical vicinity      % of the overall functional availability      Customization possibilities      After sales support      Your investment plan & budget      Implementation partner’s track record     Product Selection - Parameters    
  Preparation Phase     Framing  ERP  Implementation Strategies      Formation of Apex & Steering committees      Functional & IT team formation      Training on  ERP  functions & features      Scope finalization      GAP analysis      Action plan to resolve the gaps    
  Production Phase     Installing the software & hardware     Tuning the software to meet the        customization needs   Master & Control data arrival as per        the Product data structures   Location & people specific roles & rights         allocation for module access & security  
  Implementation Phase     Conference Room Pilot [Parallel run]     Resolving the Parallel run issues     Training the end users     Live run
  Implementation Phase     Conference Room Pilot [Parallel run]   Resolving the Parallel run issues   Training the end users   Live run   Post-Implementation Phase   *Regular monitoring   *Tuning [hardware/software] for patching         the performance issues   * Maintenance
  Implementation Phase     Conference Room Pilot [Parallel run]   Resolving the Parallel run issues   Training the end users   Live run   Post-Implementation Phase   *Regular monitoring   *Tuning [hardware/software] for patching         the performance issues   * Maintenance

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Erp

  • 1. ERP Introduction : * The concept is used to address the resource planning requirement of the enterprise. * ERP offers seamless integration of business Transactions based on information across various function in the organization.
  • 2. ERP Definition   “ Software solution that addresses the Enterprise needs, taking a process view of the overall organization to meet the goals,by tightly integrating all functions and under a common software platform”   OR ERP is a set of application Software that integrates information from manufacturing finance, distribution, & other business functions & facilitates Decision making.
  • 3.
  • 4. Evolution of ERP   1960’s - Systems Just for Inventory Control   1970’s  - MRP – Material Requirement Planning     (Inventory with material planning & procurement)   1980’s - MRP II – Manufacturing Resources Planning     (Extended MRP to shop floor & distribution Mgnt.)   Mid 1990’s - ERP – Enterprise Resource Planning     (Covering all the activities of an Enterprise)   2000 onwards – ERP II – Collaborative Commerce     (Extending ERP to external business entities)      
  • 5.
  • 6. ERP – Functional Architecture         ERP Database Sales Project Accounting Service Quality Human Resource Maintenance Manufacturing Materials Logistics Distribution Fig : Functional Modules of ERP
  • 7.
  • 8.
  • 9.
  • 10.
  • 11.
  • 12.
  • 13.
  • 14.   Just automating the existing business practices will not help ERP to achieve the anticipated results because, OO + NT = EOO   Business Process Re-engineering [BPR] brings out the deficiencies of the existing setup   BPR and ERP will give way to implement new systems and the long pending improvements in the existing systems   BPR may be time consuming but the scope can be restricted & controlled by the Management   BPR & ERP  
  • 15. BPR - Steps   Automate   Simplify/Improve   Understand   Implement with the help of ERP   Draft & frame the possibilities & ways to simplify or Improve or eliminate the processes   Understand the existing systems associated with all the functionalities  
  • 16. OPTION 1 – MAKE [Using Internal resources]   Developing a custom-built ERP package, specific to the requirements of the organization, with the help of the in-house IT department   OPTION 2 - BUY   Going for Tailor-made ERP packages available in the market like SAP, Oracle applications, Baan, PeopleSoft etc.   OPTION 3 – MAKE [using External resources]   Developing a custom-built ERP package, specific to the requirements of the organization, with the help of a software solution provider     ERP – Options  
  • 17. ERP product selection   Preparations   Production   Implementation   Post-Implementation Execution phases   
  • 18. ERP Team formation for selection   Appointment of Consultants [if needed]   Scoping study   Product selection   Implementation partners selection   Hardware/Communication cost estimation ERP Product selection Phase  
  • 19. Reputation of the ERP product   No.of installations in the geographical vicinity   % of the overall functional availability   Customization possibilities   After sales support   Your investment plan & budget   Implementation partner’s track record   Product Selection - Parameters    
  • 20.   Preparation Phase     Framing ERP Implementation Strategies   Formation of Apex & Steering committees   Functional & IT team formation   Training on ERP functions & features   Scope finalization   GAP analysis   Action plan to resolve the gaps  
  • 21.   Production Phase     Installing the software & hardware   Tuning the software to meet the      customization needs   Master & Control data arrival as per      the Product data structures   Location & people specific roles & rights      allocation for module access & security  
  • 22.   Implementation Phase     Conference Room Pilot [Parallel run]   Resolving the Parallel run issues   Training the end users   Live run
  • 23.   Implementation Phase     Conference Room Pilot [Parallel run] Resolving the Parallel run issues Training the end users Live run Post-Implementation Phase   *Regular monitoring *Tuning [hardware/software] for patching      the performance issues   * Maintenance
  • 24.   Implementation Phase     Conference Room Pilot [Parallel run] Resolving the Parallel run issues Training the end users Live run Post-Implementation Phase   *Regular monitoring *Tuning [hardware/software] for patching      the performance issues   * Maintenance