Download presentation
Presentation is loading. Please wait.
1
ERP Implementation at CISCO
Presented by group 6 Priti bansal (c007) ROHAN JAIN (C022) RIDDHI KUNDU (C026) ABHINAV MISHRA (c029) MAYUR PUROHIT (C040) NISHANT VATS (C056)
2
Enterprise Resource Planning
Inventory Purchase Manufacturing HR Treasury Marketing and Sales Suite of integrated applications Real time view of core business process Consistent look and feel across applications Common database to support all applications
3
ERP Statistics ERP Industry Overview
ERP Industry reached $47.5 billion in 2011 with 7.9% CAGR 1 out of every 10 software dollars is spent on ERP Average Cost of ERP $6.5 million 9% of ERP projects perform no customization ERP Vendor Top 5 ERP vendors control 55% market share Panaroma Survey: 45% businesses satisfied with their vendors
4
ERP Statistics Reasons for Implementing ERP Type of ERP
Improve Business Performance Better Integrate systems across multiple locations Better Serve customers Type of ERP On Premise is leading the deck Cloud Computing will remould the ERP industry business from
5
Vendors based on Size of Firms
Large Enterprises Dominated by SAP, Microsoft, Oracle Medium Enterprises Vendors include Infor, Sage, QAD, Lawson, Epicor, IFS Small Enterprises Vendors include Exact Globe, Syspro, NetSuite, Visibility, Consona, CDC Software and Activant Solutions
6
CISCO (Introduction) Products for transporting data, voice and video
World’s largest maker of computer networking gear Products for transporting data, voice and video Network industry rapidly evolving Integration of products, services & software platforms FOCUS ON
7
1984 – Founded by two Stanford Computer Scientists in California to capitalize on expanding internetworking market 1990 – Became Public 1993 – First acquisition : Crescendo Communication 1997 – Featured in list of Fortune 500 Companies 1998 – Market Capitalization crossed $100 Bln Mark 1999 – Internet Traffic Share > 75% Product Portfolio Categories – Switching, Routing, Service Provider Video, Collaboration, Security, Wireless, Data Center & Services
8
IT – The driver of every business
Role of IT at CISCO As an enabler of business through e-commerce, supply chain management, customer relationship management and employee self-service applications in Cisco’s business strategy of providing innovative business solutions, achieving operational effectiveness, maintaining low cost and staying competitive. IT systems and networks enable rapid transmission of data between contract manufacturers, customers, employees, and business partners such as acquired companies.
9
EXISTING BUSINESS FOR DAILY OPERATIONS
LEGACY IT SYSTEM EXISTING BUSINESS FOR DAILY OPERATIONS
10
What did the management do ??? Legacy system too rigid System outages
Intense Competition Time Pressure !!!
11
Need for ERP Jan 1993, Valuation: US $ 500 million
Unix based s/w package for transaction processing Financial, Manufacturing & Order Entry systems Jan 1993, Valuation: US $ 500 million Redundancy, Reliability and Maintainability & Customization Key Challenges: US $5 Billion Allow each functional unit to make their own decisions Consistent with CISCO’s strong tradition of standardization and budget structures Initial Approach: No ERP !! The Final Stew – 1994 Outage Independent units backfired due to lack of coordination and consistency Routine outages, incremental modifications & product shortcomings System failure resulting into a company shutdown for two days Upgrade or Purchase? Big Bang implementation strategy
12
Projected Cost: US $ 15 million
ERP Implementation Team CISCO employees KPMG Consultants ERP Software Vendor (ORACLE) Key Areas :Order Entry, Finance, Sales/Reporting & Technology Process Extensive research : 5 vendors 10 days for RFP draft 3 day Onsite demos Why ORACLE? Better manufacturing capability Long term association promise Flexibility Brand, Reputation and Size Timeline: 9 Months Projected Cost: US $ 15 million
13
ERP Deployment/Rollout
CRP3 Integrations and full system testing, front to back with full transactional load Go Live CRP2 Include major modifications and technical issues Integrated data conversion, Data warehouse acted as a bridge CRP1 Ensuring system consistency with functional units Detailed documentation & modelling Red, Yellow , Green modification classification CRP0 Technical training on Oracle application Configuration & setup of the ERP packages
14
ERP Implementation at CISCO
LESSONS LEARNT Importance of defining strong governance and metric management for program health, overall readiness, and solution stability Inclusion of multiple end-to-end test cycles with increasingly strict exit criteria ensured the appropriate level of “go-live” quality Focused on business and system readiness Software configuration best practices management Total Implementation Cost = $15million
15
ERP Implementation at CISCO
BENEFITS RESULTS Disaster Recovery Redundancy is built in at many levels for prevention of loss of data Stable Platform for Users Chance of disruptions to users has been greatly minimized Users can do their jobs with tools that provide stability and productivity. Enterprise Class Platform The technical support solutions provide a single platform for product and service teams, optimizing cross-functional efficiencies and information sharing Supportability and Reliability Standard software replaces highly customized software, providing a more stable foundation for future growth and enhancements, and introduces secure access capabilities
16
Finance and accounting functionality
Functional Strengths Flexible IT architecture E-portal Inventory Control Finance and accounting functionality Product configurator JD Edwards PeopleSoft Siebel CRM Organic Growth Model JD Edwards, PeopleSoft, Siebel CRM E-portal provides for easy interaction with customers and suppliers Well Built IT Architecture Implementation Duration Harder to enforce standardized processes across a larger organization Weakness
17
Weakness NetWeaver SAP Business All-in-One SAP Business One
Functional Strengths Multiple Currency Features Quality Control and Quality Assurance Visibility to goods-in-transit orders Make-To-Order processing Versatile Global Integration Longer Implementation Processes Expensive Contract signature till expiry Weakness
18
Vs Best of breed functionality vs. more tightly integrated modules.
Product roadmap Flexibility Business benefits and satisfaction Implementation cost, duration, and risk
19
Future Scope Business Needs System Needs Environment Needs
-- Acquisition of new businesses -- Expanding business in new geographies -- Simplified system processes System Needs -- New Versions -- System performance -- Data quality Environment Needs -- Economic considerations -- Business obligations -- Bottleneck on System capabilities -- Disparate systems -- Technology obsolescence
20
Top ERP Trends in Future
Cloud ERP Open Source ERP SaaS The hardware is shared by many customers and the model is sold on rental or subscription basis Hosted ERP Hardware is dedicated to a customer Hybrid ERP ERP Solution maintains on-premise software with cloud services Costs Free Licensing but customization costs Flexibility Low Flexibility, less customizable Security Vulnerable security, not god enough for large businesses
21
Top ERP Trends in Future
Mobile ERP Social ERP Analytics GOALS Boost the collaboration among business peers Capture in real time the Information Stream from the Business Processes Get the best information Financial Decision-Ready Analytics Human Resource Analytics Big Data Analytics MOBILITY AND INSTANT ACCESS OFFLINE AVAILABLITY AND SYNCHRONIZABLE MOBILE HARDWARE INTEGRATION
22
Insights and Conclusion
Technology Advances Lighter Apps Top Vendors need to relook at their pricing models Multi hardware, Multi Database supporting ERP Security and Privacy on ERP Systems Newer Business Models
23
THANK YOU
Similar presentations
© 2025 SlidePlayer.com Inc.
All rights reserved.