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ERP- Enterprise Resource Planning

( An Introduction)

Maria
Adnan
Andrew
Definition Of ERP

 Software solution that addresses all the needs


of an enterprise with the process view of an
organization to meet the organizational goals
and integrate all the functions of the enterprise
or
 ERP is the combination of business
management practice and technology, where
Information technology integrates with
company’s core business process to enable the
achievement of specific business objectives.
What is ERP ?

 Facilitates Company-wide integrated Information


Systems Covering all functional Areas.
 Performs core Corporate activities and
increases customer service augmenting
Corporate Image.
 Organizes & Optimizes the data input
methodologies systematically.
Why ERP ?
Why ERP?

• For Management – to know what is


happening in the company
• One solution for better Management
• To achieve cost control & low working capital
• To marry latest technologies
• To satisfy the customers with high
expectations
• To be Competitive & for survival
A Typical IT Story
Without ERP

Manufacturing Finance
location 1 My growth
will be OK . No?

Corporate office

Sales Group Manufacturing


location 2
What does ERP integrate ?

 Database
 Applications
 Interfaces
 Tools
ERP Implementation

 Commitment from Management


 Form a task force with personnel from all
functional Areas
 Take care of Hardware requirements
 Step-by-step rather than big-bang introduction
 Be patient. ERP implementation takes Time.
ERP STRUCTURE
Phase Tasks Deliverables
Detailed  Project Initialization  Accepted norms & Conditions
Discussions  Evaluation of current processes,  Project Organization Chart
business practices, requirements  Identify Work Teams
 Set-Up Project Organization

Design &  Map Organization


Customization  Map Business Processes  Organization Structure
 Define Functions and Processes  Design Specification
 ERP S/w Configuration  Process Flow Diagrams
 Build ERP System Modifications  Function Model
 Configuration Recording
 Systems Modification

Implementation/  Create Go-Live Plan & Documentation


Prepare to Go Live  Integrate Applications  Testing Environment report
 Test the ERP Customization  Customization Test Report
 Train Users  Implementation Report

Production/  Run Trial Production


Go Live  Maintain systems
 Reconciliation Reports
 Conversion Plan Execution
Advantages Of ERP
Advantages Of ERP Package
 Highly Graphics based User Interface.
 Zero Down time/ planned down time.
 Readymade solutions for most of the Problems.
 Only Customization required.
 Integration of all functions ensured..
 Easy enterprise wide information sharing.
 Suppliers and Customers can be on-line communication.
 Knowledge transfer between industries guarantees innovation.

 Automatic adaptation to new technology.


 ERP for Cement industry
ERP for Cement Industry

FM
OD
MM

PD
Organization ID
Supplier Customer

CS
IT

R&D HRM
ERP Modules for Organization

Finance Marketing Human


Department Department resource
Department

Operation
Department
R&D Cement industry
Department Central Data ERP System

I.T. Department

Customer Service
Purchase Inventory Management
Department Department
Touch Point of Finance Department

IT
Department Marketing Human
Department resource
Department

R&D
Department Operation
Finance Department Department

Sales
Department Inventory
Purchase Management
Department Department
Touch Point of Purchase Department

Inventory Department

Purchase Department
Touch Point of Operation Department

Inventory
Department

Operation Department

Sales Advertisement Market Research


Department Department
Human Research Department

IT Department Marketing
Finance
Department
Department

R&D Human Research Operation


Department Department
Department

Sales Purchase Inventory


Department Department Management
Department
Customer Service

Customer Service
Department

Sales
Department Operation
Marketing Department Department
Summary

 Optimum utilization of resources


 Customer satisfaction
 Seamless integration between Functions
 Reduced overheads & inventory
 Timely responsiveness
 Market share & image enhancement
 Faster design to manufacturability
 Keep up with technology changes
 Only way for integrated systems for a
client with multiple locations
THANK YOU

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