Book: Integrated business processes with ERP systems Introduction to Business Processes and Enterprise Resource Planning (ERP) Book: Integrated business processes with ERP systems Author: Simha, Jeffrey

Business Processes Business processes such as procurement and fulfillment processes are cross-functional, meaning no single functional department is responsible for their execution. The Silo Effect (Chapter 1, Page 2) “Silo Effect” means employees complete tasks in functional silos without knowing the consequences for the other components in the process. Example: Company X wants to place an order of 100 sedan cars with the fulfillment department of company Y. But, the department “IMMEDIATELY” does not know if the company has enough stock to deliver or the days it will take to deliver the order. Thus, the fulfillment processes loses efficiency in completing an order. This slide discusses recent developments in networking technologies. Ask students to give other examples of convergence. How fast is broadband today? Do all of the students have broadband? Note that in 2000, typical Internet access speeds were 56 kbps over a telephone line, costing 25 cents per kilobit, while today broadband speeds are 1-15 mbps, costing less than 1 cent per kilobit. Are students aware of how fast their Internet connections are at home, school, or work? Ask students if they know the speed of their cell phone’s Internet connection. The point here is to try and raise student awareness of telecommunications systems, and their capacities.

Business Processes in ERP Enterprise Resource Planning (ERP) systems allow functional areas to integrate. This results in immediate process execution without waiting for manual requests. A procurement process using SAP ERP (Chapter 1, Page 7) This slide discusses recent developments in networking technologies. Ask students to give other examples of convergence. How fast is broadband today? Do all of the students have broadband? Note that in 2000, typical Internet access speeds were 56 kbps over a telephone line, costing 25 cents per kilobit, while today broadband speeds are 1-15 mbps, costing less than 1 cent per kilobit. Are students aware of how fast their Internet connections are at home, school, or work? Ask students if they know the speed of their cell phone’s Internet connection. The point here is to try and raise student awareness of telecommunications systems, and their capacities.

Business Processes in ERP Enterprise Resource Planning (ERP) systems allow functional areas to integrate. This results in immediate process execution without waiting for manual requests. A production process using SAP ERP (Chapter 1, Page 8) This slide discusses recent developments in networking technologies. Ask students to give other examples of convergence. How fast is broadband today? Do all of the students have broadband? Note that in 2000, typical Internet access speeds were 56 kbps over a telephone line, costing 25 cents per kilobit, while today broadband speeds are 1-15 mbps, costing less than 1 cent per kilobit. Are students aware of how fast their Internet connections are at home, school, or work? Ask students if they know the speed of their cell phone’s Internet connection. The point here is to try and raise student awareness of telecommunications systems, and their capacities.

Business Processes in ERP Enterprise Resource Planning (ERP) systems allow functional areas to integrate. This results in immediate process execution without waiting for manual requests. A fulfillment process using SAP ERP (Chapter 1, Page 9) This slide discusses recent developments in networking technologies. Ask students to give other examples of convergence. How fast is broadband today? Do all of the students have broadband? Note that in 2000, typical Internet access speeds were 56 kbps over a telephone line, costing 25 cents per kilobit, while today broadband speeds are 1-15 mbps, costing less than 1 cent per kilobit. Are students aware of how fast their Internet connections are at home, school, or work? Ask students if they know the speed of their cell phone’s Internet connection. The point here is to try and raise student awareness of telecommunications systems, and their capacities.

ERP Systems (Chapter 2, Page 25) ERP systems primarily focus on intra-company processes. SAP ERP systems have following modules- This slide describes what a network is along with the components that you will find in a simple network (illustrated on the next slide.) Ask students to describe the function of a NIC. What is a connection “medium”? Ask students to describe the purpose of a hub, switch, and router.

Architecture of ERP (Chapter 2, Page 24) The architecture of an enterprise systems refers to the technical structure of the software (the capabilities) the ways the users interact with the software (user interface) the ways the software is physically managed on computer hardware Most modern ERP follows a three tier client-server architecture This slide describes what a network is along with the components that you will find in a simple network (illustrated on the next slide.) Ask students to describe the function of a NIC. What is a connection “medium”? Ask students to describe the purpose of a hub, switch, and router.

SAP ERP Client/Server Architecture (Chapter 2, Page 24) This slide describes what a network is along with the components that you will find in a simple network (illustrated on the next slide.) Ask students to describe the function of a NIC. What is a connection “medium”? Ask students to describe the purpose of a hub, switch, and router.

SAP ERP Client/Server Architecture Presentation Layer The SAP GUI is installed on Individual machines which act as presentation layer. This slide describes what a network is along with the components that you will find in a simple network (illustrated on the next slide.) Ask students to describe the function of a NIC. What is a connection “medium”? Ask students to describe the purpose of a hub, switch, and router.

SAP ERP Client/Server Architecture Application Layer In this layer business logic is executed. The application layer can be installed on one machine, or it can be distributed among more than one system. Database Layer The database layer holds the data. SAP supports any relational database. The database layer must be installed on one machine or system. Major databases which are being used in SAP implementations are Oracle, DB2. This slide describes what a network is along with the components that you will find in a simple network (illustrated on the next slide.) Ask students to describe the function of a NIC. What is a connection “medium”? Ask students to describe the purpose of a hub, switch, and router.

Support for Inter-Company Processes (Chapter 2, Page 27) ERP systems support processes that take place between and among companies. SAP ERP comes with application suite to support inter-company processes. Besides, SAP NetWeaver supports integration with non-SAP systems. This graphic illustrates the components of a simple network. While the NOS is shown as part of the server, note that, depending on the type of software, an NOS may also be designed to reside on client computers. Do some students have a home computer network? Ask them to describe the elements of the network.

Data in SAP ERP Systems (Chapter 2, Page 29) Database is a central component of any ERP systems. The DB stores all information related to all business processes. There are three types of data in any ERP systems as follows: Organizational data Master data Transaction data This slide looks at the additional components one might expect to find in the network of a large company that has many locations and thousands of employees (illustrated on the next slide). Ask students what is meant by “backend systems.” Note that many firms are dispensing with traditional landline telephone networks and using Internet telephones that run on existing internal data networks and the Internet.

Organization Data (Chapter 2, Page 29, 30,31) Before master data can be created, organizational structure data must be configured following the organization’s structure. Examples: companies, subsidiaries, factories, warehouses, and sales areas. CLIENT COMPANY CODE PLANT This slide looks at the additional components one might expect to find in the network of a large company that has many locations and thousands of employees (illustrated on the next slide). Ask students what is meant by “backend systems.” Note that many firms are dispensing with traditional landline telephone networks and using Internet telephones that run on existing internal data networks and the Internet.

Master Data: Material master (Chapter 2, Page 31, 32) Master data is the core data that is essential for operations in a specific business or business unit. Example: Buying materials from vendors and selling materials to customers need master data on materials, vendors, and customers. This slide looks at the additional components one might expect to find in the network of a large company that has many locations and thousands of employees (illustrated on the next slide). Ask students what is meant by “backend systems.” Note that many firms are dispensing with traditional landline telephone networks and using Internet telephones that run on existing internal data networks and the Internet.

Transaction Data (Chapter 2, Page 36, 37) Processes are executed at the plant level involving master data, and resulting in transaction data. Transaction data: Dates, quantities, price, payments etc. Transaction documents: Purchase orders, sales orders, invoices, financial accounting documents etc. This slide looks at the additional components one might expect to find in the network of a large company that has many locations and thousands of employees (illustrated on the next slide). Ask students what is meant by “backend systems.” Note that many firms are dispensing with traditional landline telephone networks and using Internet telephones that run on existing internal data networks and the Internet.