ERP

Keya Trivedi

 To provide awareness of the underlying financial structure and procedure of the organization so that the interaction of financial systems with information systems can be understood by the information system designers.

AIM

 EnterpriseBusiness/Company/Entrepreneurship

Resource Necessity
Planning Art of being prepared

ERP- An introduction

Enterprise

Information

The Heart - ERP

 It was y2k main catalyst for organizations to start replacing their systems with ERP ERP first focused on Back office Then came Front office - CRM, e-commerce etc Expansion and Integration became easy due to internet simplification. New name Enterprise application suites ( as it took care of Customers and Suppliers both)

ERP Expansion

Business Process Reengineering

MIS

Decision Support System

SCM

ERP (Enterprise Resource Planning) Primarily focused on the back office with a heavy emphasis on operations, automation, cost control, financial activity, and lagging business indicators of performance.

ERP, ERP ii, and ERP iii

Pre evaluation Screening Evaluation Package Project Planning GAP analysis Reengineering Team training Testing Post implementation

Different phases of ERP

Pre-selection Process Package Evaluation Project Planning

Gap Analysis

Reengineering

Configuration

Implementation Team Training

Testing

End- user Training

Going Live Post implementation Phase

ERP implementation Life Cycle

 Decision for perfect package Number of ERP vendors Screening eliminates the packages that are not at all suitable for the companys business processes.

Selection is done on best few package available.

Pre evaluation screening

 Package is selected on the basis of different parameter. Test and certify the package and also check the coordination with different department

Selected package will determine the success or failure of the project.

Package Evaluation

 Package must be user friendly Regular up gradation should available. Cost

Cont.

 Designs the implementation process. Resources are identified. Implementation team is selected and task allocated. Special arrangement for contegencies.

Project planning

 Most crucial phase. Process through which company can create a model of where they are standing now and where they want to go.

Model help the company to cover the functional gap

Gap analysis

 Implementation is going to involve a significant change in number of employees and their job responsibilities. Process become more automated and efficient.

Reengineering

 Takes place along with the process of implementation.

Company trains its employees to implement and later, run the system.
Employee become self sufficient to implement the software after the vendors and consultant have left.

Team Training

 This phase is performed to find the weak link so that it can be rectified before its implementation.

Testing

 The work is complete, data conversion is done, databases are up and running, the configuration is complete & testing is done. The system is officially proclaimed.

Once the system is live the old system is removed

Going Live

 The employee who is going to use the system are identified and trained.

End User Training

 This is the maintenance phase. Employees who are trained enough to handle problems those crops up time to time. The post implementation will need a different set of roles and skills than those with less integrated kind of systems.

Post Implementation

 Vendors are the people to develop the ERP packages, they spent a huge amount of time & effort in research & development to create the package solution that is flexible, efficient and easy to use. Now, these days the ERP have all features & function which can satisfy the need of all the business data. The ERP vendors spent a large amount of money so that they can become experts, to develop a flexible, efficient & easy to use ERP package.

Vendors

VENDORS

MAKE ERP S/W

TIME, EFFORT, MONEY FOR R & D OF ERP S/W

FLEXIBLE, EASY TO USE & EFFICIENT

 Supply the product & its documentation as soon as the contract is signed. Responsible to fix the errors To provide the training Give the project support function & take care of the quality control factor with respect to how the product is implemented. The vendors participate in all the phases and is answerable. In case, there is gap between the package & the actual business process then it is the job of a vendor to customize the s/w & make necessary modifications.

Role of Vendor

 Business consultants are professional people who develop the different methods & techniques to deal with the implementation process & with the various problems that will crop up during implementation. They are experts in the area of the administration, management & control activities. They have experience of implementation & various methods that ensures successful implementation. The only limitation with consultant is they are very expensive.

Consultants

 The consultants are involved in the implementation process of the organization. They consultant should guarantee the success of the project and should be able to show the results such as reduction in cycle time, increased response time, improved productivity, etc to the satisfaction of the customer. They are responsible for the administration of all the phases of the implementation so that the activities occur at the scheduled time and at the desired level of quality with effective participation with all those who must participate. They add value to the project as they provide knowledge about the packages & the implementation process which gives the employees the practical experience.

Role of Consultants

CONSULTANTS

WHO ARE RESPONSIBLE TO IMPLEMENT THE PROJECT

CLEAR CUT IDEA

TELLS THE CHANGE MUST BE MADE SO THAT WITH HIS DECISISON CHANGES ARE MADE

HE IS RESPONSIBLE FOR ADMINISTRATION OF THE PHASES

 They are the people who use the ERP system once it has been developed. End users are the people who will be doing the functions which are automated by the ERP system. The end user should be given the training as to how use the various functions that are automated in the s/w. They fear among the employees of unemployment is taken out with the training sections. The end users are provided with the skills set & more opportunities to work in a challenging environment using the modern technologies.

End Users

 They also analyze & provide the suggestion where customization needs to take place. They should be able to balance their loyalty to the client & the project. They should have a clear cut context & scope of the work so that they can provide the management with the decision that are to be taken for the implementation process. The consultants should create a knowledge base & train the people so that the knowledge stays in the organization when the consultants leave the project.

Select a company that uses an ERP and prepare a case study as below : 1. 2. 3. 4. What ERP package they use? Why is that particular ERP package used? The scenario before ERP and After ERP Conclusion

Marks : 20 Should be handwritten only.

Assignment 1