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ERP - An Introduction: Khurram Ahmad

This document provides an introduction to enterprise resource planning (ERP) systems. It defines ERP as a combination of business management practices and information technology that integrates a company's core business processes. The key components are business management practices, information technology, and specific business objectives. ERP systems offer benefits like improved work processes, increased access to data for decision making, and timely information, but they are also expensive to implement and integrate due to costs of training, consulting, and a long return on investment period. Popular ERP software providers include SAP, Oracle, and PeopleSoft.

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29 views15 pages

ERP - An Introduction: Khurram Ahmad

This document provides an introduction to enterprise resource planning (ERP) systems. It defines ERP as a combination of business management practices and information technology that integrates a company's core business processes. The key components are business management practices, information technology, and specific business objectives. ERP systems offer benefits like improved work processes, increased access to data for decision making, and timely information, but they are also expensive to implement and integrate due to costs of training, consulting, and a long return on investment period. Popular ERP software providers include SAP, Oracle, and PeopleSoft.

Uploaded by

REDS
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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ERP - An Introduction

Khurram Ahmad

Opening
What is ERP?
n Discuss ERP
n Advantages and Disadvantages of ERP
n Conclude

What is ERP?
In one sentence, ERP is a combination of
business management practice and
technology, where Information Technology
integrates with your company's core business
processes to enable the achievement of
specific business objectives.

Key Components
Business Management Practices
n Information Technology
n Specific Business Objectives

Qualifying an ERP System


Flexibility
n Modular and Open
n Comprehensive
n Best Business Practices
n Worldwide Focus

ERP Building Blocks


n

Financials

AR/ AP
GL
Fixed Assets
Billing (Contract/ Service)

Manufacturing

Shop Floor
Configurator
Resource and Capacity Planning
Material Planning
Work Orders
Quality Management

Distribution/ Logistics

Inventory Management
Warehouse Management
Sales Order Management
Procurement
Transportation

Human Resources

Benefits
Payroll
Recruitment
Labor Rules
Employee Self Service

Industry Focus
n

Traditional
(Manufacturing)

Aerospace & Defense


Automotive
Chemical
Pharmaceutical
Consumer Goods
Oil & Gas

New Additions

Banking & Insurance


Healthcare
Public Administration
Education
Retail
Utilities
Telecommunications

ERP Benefits
n
n
n
n
n
n
n

Improved Work Process


Increase access to available data for Decision Making
Timely and Accurate information
Increased Customer Response Time
Quick response to changing Business Operations and Market
Conditions, resulting in Improved Competitive Advantages
Reduced Paper
Single Address Book (Customers, Vendors, Employees)

ERP Disadvantages
n
n

Takes time to implement


Expensive

Training
Integration
Data Analysis and Conversion
Outside Consulting
ROI over extended time, due to post ERP depression

Security issues

ERP Metrics
n

Inventory

Increased Inventory Turnover


Reduced Obsolete Inventory
Cycle Count Accuracy

Distribution

More Favorable Material Price Variances


Better Order-fulfillment Rate
Reduced Returns Due to Inaccurate Orders

ERP Metrics (continued)


n

IT

Decreased IS Overhead
Centralized Information for Decisions
System Availability (Uptime)

Customer Satisfaction

Loyalty
Decrease Delivery Cycle
Brand Recognition

Some General Terms / Acronyms


n
n
n
n
n

MRP
MPS
CRP
CRM
B2B

n
n
n
n
n

RDBMS
Best Practices
RFP
ROI
BPR

Big ERP Names


n

Tier 1 (64% of total ERP


market revenue)

SAP
Oracle
J.D. Edwards OneWorld
PeopleSoft
Baan

Tier 2

Lilly
Great Plains
IFS
EMIS
Lawson

ERPs are big!


n

J.D. Edwards
OneWorld has:

2,300 Applications
2,600 Tables
3,800 Reports
5,800 C++ programs
11,000 Data Dictionary
Items

PeopleSoft has:

3,000 Applications
3,200 Tables
4,000 Reports

Close
J.D. Edwards OneWorld (Demo Jr.)
n Questions!

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