Enterprise Resource Planning in Bank

Md. Foysal Hasan

Lecturer, MIS
Enterprise Resource Planning in
Banks

Md. Foysal Hasan

 Learning Outcomes

After completing this session you will able to

 Define ERP
 Know the evolution of ERP
 Understand working process of ERP in a Bank
 Clarify ERP implementation activities in a Bank
 Explain ERP implementation strategies
 CSF of Implementing ERP
 Select right ERP vendors
 Understand the benefits of ERP in a Bank
 Explain risks associated with ERP
 ERP

An Enterprise resource planning system is a fully

integrated business management system
covering functional areas of an enterprise like
Logistics, Production, Finance, Accounting and
Human Resources.
Evolution of ERP
 Bank and ERP

Traditio
Out In
nal
Banking
 ERP systems in a Bank

General
Banking

Logistic ERP Credit

Trade and
Finance
 ERP implementation activities in
Banks

Activities During ERP systems implementation in a bank

• Selection of project leader
• Data migration
• Formation of an operational level project team
• Cost and benefits analysis
• Selection of a full time team to support the project leader
• Staff training
• Issuance of a request for proposal
• Cost analysis of different ERP Systems
 ERP implementation strategies in
Banks

Four main Implementation strategies

• Phased approach
• Direct approach
• Parallel Strategy
• Pilot study strategy
 CSF for ERP
• ERP Implementation: Critical Success Factors
• People-Process-Technology
CSF for ERP
Top ERP Vendors in service
industries
 How to select the ERP
vendors?
• Set goals and objectives for ERP implementation
• Find out which ERP systems are able to adapted to company
specific requirements.
• Distinguish between “must have” and “lower priority”
functions.
• Concentrate on core functions
• Talk to several key users about their experience with the ERP
package
• Can the software be easily upgraded? Find out cost and
duration of an upgrade.
• Is the software able to easily integrate third party solutions?
• Will the ERP vendors still be in 5 years?
 How to select the ERP
vendors?
• Ask for a live demo using real data and performing typical
tasks.
• User friendliness.
• Clicks and screens.
• International project experience.
• Compare several ERP vendors and their packages in terms of
quality criteria
• Listen to your gut-feeling.
Benefits of ERP
 ERP implementation failures
in Banks
• Inaccurate data
• Non corresponding of software with business requirements
• Eagerness in implementation
• Exit of guarantors
• Long term finance
• Ineffective consultation
Question and Answer
Session
Thank You