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In todays fiercely competitive business environment there has to be much greaterinteraction between the customers and manufacturers.
In order to produce goods tailored to customers requirement and provide fasterdeliveries the enterprise must be closely linked to both suppliers and customers.
Most organizations across the globe have realized that in a rapidly changingenvironment, it is impossible to create and maintain a custom design softwarepackage, which will cater to all there requirements.
Realizing the requirement of the user organizations, some of the leading softwarecompanies have designed E.R.P(Enterprise Recourse Planning Software).
Initially implementation of an ERP package was possible only for large multi nationaland infrastructure companies due to high cost.
But today many companies in India have gone in for implementation of ERP.
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An enterprise recourse planning system is a fully integrated businessmanagement system covering functional areas like logistics,production, finance, accounting and human recourses. It organizesand integrates operation processes and information flows to makeoptimum use of resources such as men, material, money andmachine. ERP is a global tightly integrated closed loop businesssolution package and is multifaceted.
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Aggressive cost control initiatives
Need to analyse costs/revenues on a product or customer basis
Flexibility to respond to changing business requirements
More informed management decision making
Changes in ways of doing business.
The difficulty in getting accurate data, timely information and proper interface of complex
business functions have been identified as the hurdles in the growth of any business. Time
and again, depending on the velocity of the growing business needs, one or the other
applications and planning systems have been introduced into the business world for crossing
these hurdles and achieving growth.
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ERP provides multi platform, multi facility, multi mode manufacturing, multicurrency.
Supports strategic, business planning activities, operational planning,
creation of material and resources.
Has end to end supply chain management.
Performs core activities and increases customer services.
ERP bridges the information gap across organization.
ERP is the solution for better project management.
Eliminates business problems like material shortages, customer service, cash
management, inventory problems, quality problems etc.
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Integrate financial information.
Integrate customer order information.
Standardize and speed up manufacturing processes.
Reduce inventory.
Standardize H.R information.
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ERP production planning module ERP purchasing module ERP inventory control module ERP sales module
ERP market in module ERP financial module ERP HR module
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Process of getting things done through and with people in formally organized
groups.
Features:
Organized activities
Existence of objectives Relationships among resources
Working with & through people
Decision making
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Data that has been processed into a form that is meaningful to the recipient
and is of real or perceived value in current or prospective actions or
decisions.
Features:
Timeliness Adequacy
Form
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Inter-related set of elements that function as a whole.
Composed of parts or subparts in orderly arrangement accordingto some schema or plan.
Features:
Basically a combination of parts, known as sub-systems.
These subsystems are mutually related to each other.
Arrangement of sub parts is also important.
A system has a boundary.
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Abstract or Physical
Natural or Man made
Deterministic or Probabilistic
Open or Closed
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Approach that visualizes the business organization as a single entity
composed of various inter related and inter dependent sub systems looking
together to provide timely and accurate information for management
decision making, which leads to the optimization of overall enterprise goals.
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Comprehensive
Integrated
Coordinated
Transformation of data into information
Relevant information Conformation with managers style and characteristics
Selective sharing of data
Feedback
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DATAPROCESSING
DECISION SUPPORT SYSTEMS
EXECUTIVE SUPPORT SYSTEM
EXPERT SYSTEMS
INFORMATION RESOURCE MANAGEMENT
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EXECUTIVE SUPPORT SYSTEM Used at the top level or strategic level of an organization EXPERT SYSTEMS Knowledge intensive computer program that captures the expertise of human
being in limited domain of knowledge and experience
User of this system are the people who are involved in value added work whichrequires a special skill or expertise.
INFORMATION RESOURCE MANAGEMENT Approach based on the concept that information is an organizational resource. Includes data, communication, word processing, data processing. Basic task is to manage the resources.
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Represents a broad framework within which individual information systems fit.
They are called sub systems.
Design of MIS
MIS: Federation of different information systems with each system providing informationto a specific area.
Identifying subsystems
Inter connecting sub systems
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Sub systems can be identified on the following basis
Levelsofmanagement
Organizational functions
Management functions
MIS support facilities
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Arranging the sub systems in a proper way
Connected with each other to achieve coordination and integration among
these sub systems.
Each sub systems contributes positively to other sub systems.
Because of this the system generates synergy. Aspects of interconnecting:
: differences in specific features of a subsystem that differentiates a sub system from the other subsystem so that after interconnection, it can be identified.
: quality of state of equilibrium among varioussubsystems that is required to achieve unity of effort by
the system.
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Quality of outputs is governed by the quality of inputs and processes. Emphasizes on quantitative aspects of a fact and ignores the
qualitative aspect. May not have requisite flexibility to quickly update itself with the
changing needs of time.
Cannot provide tailor made information for all types of decisionsmade by the managers.
Effectiveness is suffered when there are frequent changes in the topmanagement.
It is just a tool which provides inputs for decision making. Costly affair.
Cannot provide tailor made information for all types of decisionsmade by the managers. Effectiveness is suffered when there are frequent changes in the top
management. It is just a tool which provides inputs for decision making. Costly affair