1. Enterprise Resource Planning

2. Units 1.Enterprise Resource Planning 2.ERP module 3.ERP Implementation 4.ERP market and vendors 5.ERP and Related Technologies 6.ERP Case Studies

3. Unit -1 Enterprise Resource Planning Prepared By Sarika Choudhari

4. ERP

5. Contents Introduction Disadvantage of non ERP System What is ERP? Need Of ERP Advantage of ERP Risks of ERP Growth of ERP

6. What is enterprise? Enterprise: a group of people with common goal, which has certain resources at its disposal to achieve this goal People RecoursesGoals & objectives

7. Organization where there is no or little communication between departments Production Planning Finance Sales &Distributio n Production R&D marketing

8. Business Process Collection of activities that takes one or more kind of input an create an output that is value to the customer Effective communication and collaborative among department is required for smooth execution.

9. Non ERP Software(Simple Software) Also know as “Applications” “Tool” “Software” which provides you with single functionality for a department. Examples: 1. Accounting software 2.HRM tool for Human resource department 3.software for Sales force Automation 4.Warehouse management System

10. Disadvantage of Non ERP Can not fulfil the needs and requirements or implementing multiple specialized software for every department. Duplication of content Not effective not integrate entire functionalities Silo Effect

11. History of ERP TimelineSystem 1960sInventory Management System 1970sMaterial requirement Planning 1980sManufacturing requirement planning 1990sEnterprise Resource Planning

12. What is ERP? ERP is short for enterprise resource planning. ERP is often referred as back office software It is a business process management software of an organization applications to manage the business and automate many back office functions related to technology, services and human resources product planning, purchase, manufacturing or service delivery marketing and sales, inventory management, shipping and payment. product planningmanufacturing marketingsales, inventory It designed to automate,any basic processes of company, from finance to the shop floor.

13. Organization where all departments know what others are doing Production Planning Finance Sales &Distributio n Production R&D marketing Central Database

14. Use of ERP Distribution process management supply chain management services knowledge base configure price improve accuracy of financial data facilitate better project planning automate employee life-cycle, standardize critical business procedures reduce redundant tasks assess business needs accounting and financial applications lower purchasing costs manage human resources and payroll

15. ERP Vendors Large Enterprise ERP (ERP Tier I): SAP, Oracle and Microsoft. Mid Market ERP (ERP Tier II): Infor, QAD, Lawson, Epicor, Sage and IFS Small Business ERP (ERP Tier III): Exact Globe, Syspro, NetSuite, Visibility, Consona, CDC Software and Activant

16. ERP Advantages Direct Advantages 1.Business Integration 2.Flexibility 3.Better analysis and planning 4.Use of latest Technology Indirect advantages 1.Better corporate image 2.Improved customer good will 3.Customer satisfaction

17. Need of ERP for company Back office software Provides a software roadmap for automating different steps 1.Affect almost all organization-irrespective of their size and nature 2.Forces the competition to change their strategies and process. 3.Improve the profits of the consulting organization 4.the most important tool for business process reengineering 5.Provide best practice business process 6.Changes the nature of information system function and IT professionals 7.Changes the nature of jobs in all functional business area 8. Involve the organization in very costly implementation process 9.Erp forces business partners to become more competitive 10. fully utilizes the true potential of client server computing to deliver an enterprise product

18. Risks Of ERP 1.Lack of top management commitment and support 2.Unclear goals and objectives 3.Limitation in resources 4.Insufficient training of end users 5.Failure to redesign business process 6.Poor changes and risks management 7.Lack of business and technical knowledge 8.Poor project management 9.Lack of competence of erp consultants 10.Poor motivation and project team work

19. 11.Lack of proper project planning and controlling 12.Insufficient testing phase 13.Poor software troubleshooting 14.Lack of vendor support 15. Poor quality of data and data losses during migration

20. Reason for growth of ERP market Enable improved business performance  Cycle time reduction  Increased business agility  Inventory reduction  Order fulfillment improvement Support business growth requirement  New products, new customers  New technology  Global requirement including multiple languages and currencies Provide flexible,integrated,real time decision support  Improve responsiveness across the organization

21. Eliminate limitation in legacy systems  Fragmentation of data and processing  Inflexibility to change  Insupportable technology Take advantage of the untapped mid market