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Enterprise ResourceEnterprise Resource
PlanningPlanningPresented by:-
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YashupriyaPuneet Paul
Rajat KumarRajwinder kaurYatin malhotra
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y It is a company-wide computer software system used to manage and
coordinate all the resources, information, and functions of a
business from shared data stores.
y ERP relates to the integrated software infrastructure that supports the entire
company business process.
y ERP refers to a view of a company and all its parts as connected whole,
rather than small silos of activity
y ERP system handles companys accounting, logistic, distribution, shipping,
manufacturing, procurement and sales order.
y ERP software can aid in the control of many business activities such assales, marketing, finance management, inventory management, delivery,
production, quality management and so on.
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Enterprise Resource Planning
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Islands of informationIslands of information
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Why ERP?
Manufacturing Challenges.
Distribution network spread.
New Product introduction. Lower manufacturing lead time.
Focus on industry markets.
Satisfying the needs of customers.
Develop specific business methods andprocesses.
Integration with third party products.
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ERP EVOLUTION
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ERP Features
1. Security Authorization
2. Referencing Responsibility
3. Implementation of business rules
Authorization is a feature provided for ensuring that thetransaction is completed with regards to the businessrules set by the management.
Referencing is a feature for tracking the chain of eventsfor monitoring , progress checking and control.
The business organization runs through the rules andresponsibility allocation. A strict adherence to them isessential for creation of controlled environment.
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Hidden costs
Hidden costs
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ReRe--engineeringengineering
y Study the current system & Processes
y Design and develop new systems
y
Define Process, organization structure,procedures
y Develop/Customize the software
y Train people
y Implement new system
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ReRe--EngineeringEngineering --a part Life witha part Life withERP!ERP!
y Re-engineer process before going forERP
y Re-engineer during implementation ofERP
y Re-engineer after implementing ERPy Continuous re-engineering through ERP
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Continuous reengineeringContinuous reengineering
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ERP Process &Information FlowsERP Process &Information Flows
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Catchword forCatchword forERPERP
The faster ERP is implemented, the quicker and better are theresults.
So what we need is help of IT in ERP.
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ERP module in anERP module in an
enterprise is never a cakeenterprise is never a cake--walkwalk
y
Successful implementation can take from18 to 24 months.
y There is an immediate switch in all levelsof the organization.
y System prone to give disastrous results.
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IT comes in helpIT comes in help
It helps to implement the work step bystep without hampering the work
By providing software solutions andoptimizing the resources
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Why IT?Why IT?
Flow of information is changing in world.There is need to find new ways to grow
in business.
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ITs role in ERPITs role in ERP
Top management alone cannot managethe business.
Small business and Large sector firmscan approach in different manners
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Results produced by ITResults produced by IT
Costs are reducedRisks involved are minimizedEase handling for management
Better quality services
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Why ERP?Why ERP?y For Management to know what is happening
in the companyy
One solution for better Managementy For cycle time reductiony To achieve cost control & low working capitaly To shun the geographical gapsy To satisfy the customers with high expectationsy To be competitive & for survival
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ERP Systems
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ERP Case StudyERP Case StudyyColgate: The Business Value of ERP?
y Colgate embarked on an implementation ofSAP R/3 Enterprise to allow the company toaccess more timely and accurate data, getthe most out of working capital, and reducemanufacturing costs. An important factor forColgate was whether it could use the
software across the entire spectrum of thebusiness. Colgate needed the ability tocoordinate globally and act locally.
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Reasons for FailureReasons for Failure
The Project Manager
Implementation and maintenance of large-
scale
Failure of User AcceptanceFailure to follow proper system selection
methodology
Lack of sufficient implementation planning/
project management
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Next Generation ERPNext Generation ERP Provides Integration capabilities Supported by SCP Systems SCP systems extracts data from each
component of supply chain & present it in a
proper format that helps the managementunderstand the entire market scenario & get aclear picture of where the organization is heading
Management can develop a production plan andreview it with the help of the SCP system
SCP helps management to analyze the impact ofa plan across the supply chain as well as on thecustomer demand
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ERPERP
A
dvantages:strategic planning Monitoring Security Current position Globbaly joining Bad debt
Failures:project failures,humanfailures,referncing failures.
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Disadvantages: Complex system,
referencing
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