CHAPTER TEN OVERVIEW SECTION 10.1 - ENTERPRISE RESOURCE PLANNING Core ERP Components Extended ERP Components Integrating SCM, CRM, and ERP Measuring ERP Success Choosing ERP Software SECTION 10.2 – COLLABORATION SYSTEMS Teams, Partnerships, and Alliances Collaboration Systems Knowledge Management Systems Content Management Systems Workflow Management Systems Groupware Systems
ENTERPRISE RESOURCE PLANNING Reasons ERP systems are powerful tools ERP is a logical solution to incompatible applications ERP addresses global information sharing and reporting ERP avoids the pain and expense of fixing legacy systems
THE HEART OF ERP At the heart of all ERP systems is a database
THE EVOLUTION OF ERP
CORE AND EXTENDED ERP COMPONENTS
INTEGRATION TOOLS Many companies purchase modules from an ERP vendor, an SCM vendor, and a CRM vendor and must integrate the different modules together Middleware Enterprise application integration (EAI) middleware
MEASURING ERP SUCCESS Balanced scorecard – enables organizations to clarify their vision and strategy and translate them into action Balanced scorecard views the organization from four perspectives Learning and growth Internal business process Customer Financial
CHOOSING ERP SOFTWARE Successful ERP projects share 3 attributes Overall fit Off the rack Off the rack and tailored to fit Custom made Proper business analysis Successful companies spend up to 10 percent of the project budget on a business analysis Solid implementation plans A plan is needed to monitor the quality, objectives, and timelines
TEAMS, PARTNERSHIPS, AND ALLIANCES Collaboration system – supports the work of teams by facilitating the sharing and flow of information
KNOWLEDGE MANAGEMENT SYSTEMS Knowledge management (KM) – capturing, classifying, evaluating, retrieving, and sharing information assets that provides context for effective decisions and actions Intellectual and knowledge-based assets categories: Explicit knowledge and Tacit knowledge Best practices for transferring or recreating tacit knowledge: Shadowing and Joint problem solving
KNOWLEDGE MANAGEMENT SYSTEMS Knowledge management systems include: Knowledge repositories (databases); Expertise tools; E-learning applications; Discussion and chat technologies; Search and data mining tools Finding out how information flows through an organization Social networking analysis (SNA) – a process of mapping a group’s contacts (whether personal or professional) to identify who knows whom and who works with whom
CONTENT MANAGEMENT SYSTEMS Content management system (CMS) – provides tools to manage the creation, storage, editing, and publication of information in a collaborative environment CMS marketplace includes: Document management system (DMS) Digital asset management system (DAM) Web content management system (WCM)
WORKFLOW MANAGEMENT SYSTEMS Workflow management system – facilitates the automation and management of business processes and controls the movement of work through the business process Messaging-based workflow system – sends work assignments through an e-mail system Database-based workflow system – stores documents in a central location and automatically asks the team members to access the document when it is their turn to edit the document
GROUPWARE SYSTEMS Groupware – supports team interactions