ERP

Enterprise Resource Planning

 Introduction

In order to Survive in the market we need

 Well knit information system

 Right decision at Right time

 Effective cost control measures

 In House Development vs ERP
In House Development
Project Development takes time
Enterprise implementation is
difficult as each unit follows
different Software option
Maintenance depends on
Individuals
Latest developments to be studied
before implementation
EDI implementation
Documentation is difficult
Enterprise Resource Planning
Ready made projects, needs only
customization
The package itself is designed as
Enterprise Package 
Company takes care of this
Constant updates on technology and
processes assured
EDI compatible. Universally
acceptable
Documentation is part of the system
 Why do we need ERP ?

Effectively use the resources

 To achieve Maximum Productivity and Quality

 Effective planning and execution according to the plan

 To monitor the activities and status of order in the system

 To make effective decision

 Definition

Software solution that addresses the enterprise needs

taking the process view of an organization to meet the
organizational goals tightly integrating all functions of an
enterprise.
Evolution

Small Applications

MRP
Material Planning
Inventory Control
MRP II
Material Planning, Inventory Control
Capacity Planning, Master Scheduling
ERP
Materials Management, Production Planning, Sales and
Marketing, Finance and Controlling, Human Capital
Management

ERP II
Integrated Systems that Cover the firms entire Value Chain
Electronic Commerce
Applications with an Object Oriented Structure
 Prerequisites

The success of ERP is dependent on the following prerequisites

 Orientation and alignment of processes and structure

 Accuracy of master data

 Education and training of people

 IT Requirement

 Client-server systems

 Relational database management system

 Graphical user interface’s

 Web-based application
 SAP ERP Benefits

Improve alignment of strategies and operations

 Run your enterprise in accordance with strategy and plans, accessing
the right information in real time to identify concerns early.

 Pursue opportunities proactively.

 Achieve corporate objectives by aligning workforce and

organizational objectives.

 Find the best people and leverage their talent in the right job at the
right time.
 SAP ERP Benefits

Improve productivity and insight

 Leverage self-services and analytics across your organization

 Improve operational efficiency and productivity within and beyond

your enterprise
 SAP ERP Benefits

Reduce costs through increased flexibility

 Use enterprise services architecture to improve process

standardization, efficiency, and adaptability

 Extend transactions, information, and collaboration functions to a

broad business community

 SAP ERP Benefits

Improve financial management and corporate governance

 Gain deep visibility into your organization with financial and
management accounting functionality combined with business
analytics

 Increase profitability, improve financial control, and manage risk

 SAP ERP Benefits

Optimize IT spending  

 Integrate and optimize business processes

 Eliminate high integration costs and the need to purchase third-

party software
 Limitations

 The system can be very expensive to install and maintain

 A problem in one department or at one of the partners will affect all

the other participants
 ERP packages
Some of the ERP packages
 SAP (Germany)

 Oracle (USA)

 INTENTA (Sweden)

 People soft

 QUAD

 BaaN

 J.D. Edwards

 Marshall

 SSA etc..,
 Competitive Analysis

Among all the ERP Products SAP holds 60% of the market and all
other products hold the remaining 40% of the Market
 Modules in SAP
 MM Material Management

 PP Production Planning

 SD Sales & Distribution

 FICO Finance and Controlling

 HR Human Resource

 CRM Customer Relationship Management

 SRM Supplier Relationship Management

 SCM Supply Chain Management

 SEM Strategic Enterprise Management

 Conclusion

 ERP systems will benefit the organizations by providing better

integration of working environment, more automation, more flexibility
in operations and information access.

 Training is crucial in successful implementation of ERP Systems

THANK YOU