ERP ENTERPRISE RESOURCE PLANNING

ERPENTERPRISE RESOURCE PLANNINGIT IS HIGHLY INTEGRATED AND ENTERPRISE WIDE INFORMATION SYSTEM THAT COVERS ALL THE FUNCTIONAL AREAS OR DEPARTMENTS OF THE ORGANIZATION.IN TRADITIONAL COMPUTERIZED SYSTEM MAIN FUNCTIONAL AREAS ARE 1) MARKETING INFORMATION SYSTEM 2) ACCOUNTING AND FINANCE INFORMATION SYSTEM 3) PRODUCTION INFORMATION SYSTEM 4) HUMAN RESOURCE INFORMATION SYSTEM AND SO ONCHALLENGES1) COMPETETITIVE ENVIRONMENT2) INFORMATION AGE ERP : IS ONE SUCH COMPUTER BASED INFORMATION SYSTEM THAT SUPPORTS THE ORGANIZATION IN ITS OPERATIONS AND ENABLES IT TO TAKE ENTERPRISE WIDE AND STRATEGIC DECISIONS.BENEFITS1) Reduces inventory2) Reduced carrying cost of inventory3) Reduced work force4)Reduced cycle time5) Reduced data transfer time6) Reduces errors7)Reduced quality costs8)Improved information accuracy9)Improved decision making capability10)Improved customer satisfactionSCOPE OF ERP SYSTEM1) Production and manufacturing planning2) Finance and Accounting3) Sales and Distribution4) Human resources5) Quality6) Plant maintenance7) Marketing8) Inventory Management

MAJOR AREAS OF ERP

STRATEGIC PLANNING NEED OF ERPANALYSIS TOOLS AND BPRBASIC CONCEPTS OF BUSINESS AND ERP SYSTEMIMPLEMENTATION OF ERP SYSTEMCHALLENGES OF ERP SYSTEMEVOLUTION OF ERP1960 Inventory management and control - using third generation soft wares like COBOL , Fortran1970 Materials requirement planning (MRP) -using third generation soft wares like COBOL , Fortran1980 Manufacturing Requirement planning Using fourth generation application DBMS. LINC Omnis Studio SDK Panther PowerBuilder DEC RALLY SheerPower4GL (Microsoft Windows only) SQLWindows/Team Developer Uniface Visual DataFlex (Microsoft Windows only) WinDev Unix Shell XBase++ AND SO ON1990 ERP - client server using fourth generation database soft ware and package soft ware applications

2000 Extended ERP - fifth generation applications like Supply chain management (SCM); CRM , Sales force automation (SFA) SaaS(Soft ware as a Service.Functional areasAn ERP system covers the following common functional areas. In many ERP systems these are called and grouped together as ERP modules:Financial accounting General ledger, fixed asset, payables, receivables, cash management, financial consolidation Management accounting Budgeting, costing, cost management, activity based costing

Human resources Recruiting, training, payroll, benefits, 401K, diversity management, retirement, separation Manufacturing Engineering, bill of materials, work orders, scheduling, capacity, workflow management, quality control, manufacturing process, manufacturing projects, manufacturing flow, product life cycle management Supply chain management Supply chain planning, supplier scheduling, order to cash, purchasing, inventory, product configurator, claim processingProject management Project planning, resource planning, project costing, work break down structure, billing, time and expense, performance units, activity management Customer relationship management Sales and marketing, commissions, service, customer contact, call center support - CRM systems are not always considered part of ERP systems but rather Business Support systems (BSS). Specifically in telecom scenario Data services Various "selfservice" interfaces for customers, suppliers and/or employeesBest practicesMost ERP systems incorporate best practices. This means the software reflects the vendor's interpretation of the most effective way to perform each business process. Systems vary in how conveniently the customer can modify these practices.[18] Companies that implemented industry best practices reduced timeconsuming project tasks such as configuration, documentation, testing, and training. In addition, best practices reduced risk by 71% when compared to other software implementations.[19]The use of best practices eases compliance with requirements such as IFRS, Sarbanes-Oxley, or Basel II. They can also help comply with de facto industry standards, such as electronic funds transfer. This is because the procedure can be readily codified within the ERP software, and replicated with confidence across multiple businesses who share that business requirementCOMPONENTS OF ERP1) People2) Hard ware3) Data base4) Model base5) Process

ERPMODULES

Site MapJuly 16, 2013Client LoginHomeSolutionsServicesService ModelsTechnologyQualityCareersContact usFinancial ManagementPurchase/ProcurementInventory ManagementSales ManagementHuman ResourcesProduction SystemProject ManagementCost ManagementQuality ManagementSolutions-->Enterprise Solutions-->ERPEnterprise Resource Planning (ERP)

Enterprise resource planning is managing each enterprise's resource systematically with more e-sophisticated way to obtain core objectives of the enterprise. Hence, Enterprise Resource Planning is core of e-business solutions and the first step to be an e-intelligent enterprise. ERP Modules: Financial ManagementPurchase/ProcurementInventory ManagementSales ManagementHuman ResourcesProduction SystemProject ManagementCost ManagementQuality ManagementERP Benefits: Enhance efficiency at every stage.Establish adaptable, efficient, collaborative relations.Ensure deliveries on time, every time.Free up skilled employees.Find the right information.Manage and control changes.Streamline human resources and reduce administrative costs.Create standard and legal reports.Monitor performance of each resource individually.Access information anytime, anywhere.|Home|Term of Use|Private Policy|Site map|Contact us

ERP modulesSales and distribution moduleMaterial management Production planning Quality planningPlant maintenanceAsset managementHuman resourceProject systemFinancial accountingControllingWork flow Project life cycle managementSupply chain managementCustomer relationship managementAdvanced planning and optimization(APO)Business information system warehouse(BIW)Strategic Enterprise Management (SEM)Enterprise Portals (EP)Role of ERP in business1) integration of functional areas2) Redesigning of business process3) standardization of business system4) Net worked business

Challenges of ERP1) implementation is done in stages2) Appropriate training is very essential3) Lack of proper analysis of requirements4) Lack of Support from Senior Management5) Compatibility Issues with ERP Modules lead to issues in integration of modules. Companies associate different vendors to implement different ERP modules, based on their competency. It is very essential that there is a way to handle compatibility issues.6) Cost Overheads 7) Investment in InfrastructureTypical Benefits of ERPLower costs

Many companies have reported reductions in transaction processing costs, software, hardware, and IT support personnel when using an ERP system.

Gain efficiency and Improve quality

By using an ERP system companies improve the quality and efficiency of customer service, production and distribution. ERP helps the manufacturing process flow more smoothly, and it improves visibility of the order fulfillment process.

Decision support

ERP system provides a real-time view of the companys overall performance which helps managers to make proper decisions in a timely manner.

Flexibility and agility

ERP system allows organizations to be more flexible so that they can more easily adapt and capitalize on new business opportunities.Typical Disadvantages of ERPERP system can be very expensive

The cost of implementing and maintain an ERP system is very high, and can challenge ROI calculations

User resistance to new system and business process

Some departments and users may be hesitant to adopt the new ERP system. Resistance in sharing sensitive internal information between departments can reduce the effectiveness of the software

Rigid structure of an ERP system

ERP systems are often seen as too difficult to adapt to the specific business process of some companies Typical causes of failed ERP projectFailure to involve affected employees in the planning and development phasesInsufficient training for personnel, including those implementing and testing changes.Failure to do enough data conversion and testingLack of corporate policy protecting the integrity of the data in the ERP systems and how it is used

AD VANCED ERP NEW USES OF INFORMATION SYSTEM AND NEW BUSINESS MODELS HAVE BECOME POSSIBLE BECAUSE OF THE INTERNET WHICH HAS ELIMINATED MANY TECHNICAL, GEOGRAPHICAL AND COST BARRIERS GLOBAL FLOW OF INFORMATION.THE ENTERPRISE SYSTEM SUCH AS CRM SYSTEM FOCUS ON ACQUIRING AND RETAINING PROFITABLE CUSTOMERS THROUGH MARKETING, SALES AND SERVICE PROCESSES AND SIMILARLY SCM SYSTEM FOCUS DEVELOPING THE MOST EFFICIENT AND EFFECTIVE SOURCING AND PROCUREMENT PROCESSESS WITH SUPPLIERS FOR THE PRODUCTS AND SERVICES NEEDED BY A BUSINESSSUPPLY CHAIN MANAGEMENT THIS SYSTEM MAKES SUPPLY CHAIN MANAGEMENT MORE EFFICIENT BY HELPING COMPANIES COORDINATE SCHEDULE AND CONTROL PROCUREMENT, PRODUCTION, INVENTORY MANAGEMENT AND DELIVERY OF PRODUCTS AND SERVICES

DRIVERS OF SCMFACILITIESINVENTORYTRANSPORTATIONINFORMATION SUPPLIERMANUFACTURERDISTRIBUTERRETAILERCUSTOMERSCM IS DEFINED AS A CROSS FUNCTIONAL INTER-ENTERPRISE SYSTEM THAT USES INFORMATION TECHNOLOGY TO HELP SUPPORT AND MANAGE THE LINKAGES BETWEEN COMPANYS PROCESSES INVOLVED IN THE SUPPLY CHAIN OF AN ORGANIZATION THAT IS BUYING , MAKING AND MOVING A PRODUCTE- COMMERCE AND ERPE- COMMERCE REFERS TO THE USE OF THE INTERNET AND THE WEB TRANSACT BUSINESS.ERP AND E-COMMERCE ARE HIGHLY RELATED BOTH ARE COMPLEMENTARY AND SUPPLEMENTARY TO EACH OTHERBUILDING BLOCKSE-COMMERCE AND ERP ARE RELATED TO NET WORK COMMUNICATION AND FACILITATING USER ACCESS. ERP PROVIDES INFORMATION COMMUNICATION NET WORKS CONNECT VARIOUS ORGANIZATIONSE-COMMERCE INTIATIVES LIKE FACILITATING CUSTOMER TRACKING OF GOODS, CUSTOMER ORDERING OF GOODS, VENDOR MANAGED INVENTORIES , BUILDING GOODS TO ORDER , LINKING WITH SUPPLIERS AND SO ONE-COMMERCE IS UNDERSTOOD AS THE ENTIRE ONLINE PROCESS OF DEVELOPING, MARKETING, SELLING, DELIVERING,SERVICING AND PAYING FOR PRODUCTS AND SERVICES TRASACTED THROUGH THE INTERNET.IN THE RECENT TIMES IT IS REGARDED AS JUST ONLINE BUYING AND SELLING OF PRODUCTSERP IT PROVIDES A MAIN REPOSITORY FOR THE INFORMATION AND THUS REGARDED AS THE CENTRE OF THE E-COMMERCETASKS BY E-COMMERCE1) IT HELPS IN PROVIDING THE INFORMATION ABOUT THE PRODUCT2)IT HELPS IN DEFINING THE REQUIREMENTS OF THE CUSTOMER.3) E COMMERCE HELPS IN TRANSACTION4)PAYMENT CAN BE DONE ON LINE5) ONLINE DELIVERY OF PRODUCT /SERVICE6)PROVIDING CUSTOMER SERVICE ELECTRONICALLYTYPES OF E-COMMERCE

B2CB2BC2Ce-COMMERCB2EG2CG2BG2GE-COMMERCE SALES LIFE CYCLE(ECSLC) MODELTHIS MODEL DESCRIBES CUSTOMER PERSPECTIVE FOR THE PURCHASES OF AN ITEM OVER INTERNET1) SERCHING FOR AN ITEM2) SELECTION AND NEGOTIATION3) PURCHASING4)PRODUCT AND SERVICE DELIVERY5)AFTER SALES SERVICE

E-COMMERCE TECHNOLOGY INFRASTRUCTUREHARDWAREIT IS MAIN HARDWARE IS WEB-SERVER. LIKE STORAGE CAPACITY, COMPUTING POWERSOFTWARE1) WEB-SERVER SOFTWARE: IT PERFORMS NUMBER OF FUNCTIONS LIKE SECURITY AND IDENTIFICATION OF RETRIEVAL AND SENDING WEB PAGES, WEBTRACKING, WEBSITE DEVELOPMENT WEBPAGE DEVELOPMENT. IT NEEDS WE-SERVER OPERATING SYSTEM

2) E-COMMERCE SOFTWARE

1) CATALOGUE MANAGEMENT2) PRODUCT CONFIGURATION3)SHIPPING CART4)e-COMMERCE TRASACTION PROCESSING5) WEBTRAFFIC DATA ANALYSIS

MOBILE ELECTRONIC COMMERCE or m-commerceIT IS DEFINED AS ANY ELECTRONIC TRANSACTION CONDUCTED USING A WIRELESS, MOBILE DEVICE AND MOBILE NET WORK FOR URCHANSING GOODS OR SERVICES.1) on line purchasing of goods or services2)m-wallets3)vending machine purchases4)stock trading and other investments5)paying bills, online banking6)reservation of tickets for airlines movies7)down loading playing games8)general information related to whether or news.ERP architectureIt has to be viewed in two different angles1) functional angle2) technical angle or the system angle defines the physical components of ERP like Hard ware, software net working and databasePURPOSE OF STUDY1) it helps an organization and implementation team to understand in details the component features of the enterprise system2) it provides frame work for the complex system3) it helps the organization in developing better IT plan understanding the architecture would provide better picture about system infrastructure requirements.ERP is highly integrated information system comprising various components like user interface (windows), business logic operations (SAP R/3) oracle, database ERP systems are commonly deployed in a distributed and often widely dispersed manner. In this architecture servers are centralized clients are usually spread to different locations throughout the enterprise1) two tier client server architecture2) three tier client server architectureTwo tier architecture is inflexible in terms of adding more clients and software. Requires middleware for integration and provides very limited flexibility in moving program functionality form one server to another In three tier architecture the user interface layer communicates only with business rules layer and not directly with the database layerThe different layers API (application program interface)ODBC ( Object data base connectivity) JDBC (java database connectivity) BENEFITS1) FLEXIBILITY 2) SCALABILITY 3) RELIABILITY 4) SECURITY 5) MAINTAINABILITY A WEB ENABLED OR INTERNET BASED ARCHITECTURE IS OFTEN DESCRIBED AS A FOURTH TIER WHERE THE PRESENTATION TIERS ARE FURTHER SPLIT INTO WEB SERVICES TIER AND WEB-BROWSER TIER.CLOUD COMPUTINGGrid ComputingRefer to resource-pooled environments for running compute jobs (like image processing) rather than long running processes (such as a Web site or e-mail server)Utility ComputingRefer to resource-pooled environments for hosting long running processes, and tends to be focused on meeting service levels with the optimal amount of resources necessary to do soCloud Computing Refer to a variety of SERVICES available over the Internet that deliver compute functionality on the service provider's Its environment (infrastructure) may actually be hosted on either a grid or utility computing environment, but that doesn't matter to a service userThe DATA in the cloud, as Intel inside (or intelligence inside), is often an important part of the services

Cloud Computing Simple DefinitionCloud Computing = Software as a Service+ Platform as a Service+ infrastructure as a service +Data as a service SOFT AS A SERVICE From end users point of viewApps are located in the cloudSoftware experiences are delivered through the Internet

Dapta as a ServicePLAT FORM AS SERVICEFrom developers point of view (i.e. cloud users)Cloud providers offer an internet based plat form to developers who want to create services but don't want to build their own cloudINFRASTRUCTURE AS A SERVICECloud providers build datacentersPower, scale, hardware, networking, storage, distributed systems, etcDatacenter as a serviceCloud users rent storage, computation, and maintenance from cloud providers (pay-as-you-go; like utility)

DATA-INFORMATION-KNOWLEDGE-INTELLIGENCEInfrastructure for Web-scale data mining and knowledge discovery; empower people with knowledge; empower services and applications with intelligence.Benefits of Cloud ComputingReduce capital and operations costsNo longer required to make large up-front capital investment on datacentersEliminate the need to plan ahead for provisioningAllow companies to start small and increase their resources investment as needed (pay-as-you-go)Simplify app deployment & managementCommon programming model across mobile, browser, client, server, cloudAccess to strong ecosystem of widely deployed applicationsIntegration with existing IT assets (Software + Services)

With cloud computing information can be stored permanently on the internet in huge servers and cached on desktops, table computers, notebooks, monitors handbooks, monitors, handhelds etc on temporary basis.CHARACTERSTICS1) IT IS PROVIDED ON DEMAND TYPICALLY BY THE MINUTE OR BY THE HOUR2)A USER CAN HAVE AS MUCH AS LITTLE OF A SERVICE AS THEY WANT AT ANY GIVEN TIMETHUS IT IS FLEXIBLE3) IT IS FULLY MANAGED BY SERVICE PROVIDER4ERP PLAT FORMS ARE DOTNET AND J2EE(JAVA 2 PLTFORM ENTERPRISE ENDITION) DOT NET IS CHEAP IN COMPARING WITH J2EE.OPEN SOURCE OF ERP ADVANTAGE1) COST ADVANTAGE 2) REDUCES DEPENDENCE ON VENDORS 3) OPENSOURCE HAS BEEN FOUND UNSUITABLE FOR CONVETIONAL APPLICATIONS THAT REQUIRE THAT FULFILLS THE PRESET CRITERIA.OPENSOURCE PROVIDES THE USER ALL THE DETATIS AND EVEN PROVIDES THE SOURCE CODE THIS IMPLES SAVING TIME.

ERP NEED ANALYSISFor establishing the need for ERP systems organizations must perform a strategic/competitive analysis and ensure that proposed ERPsystem aligns with the mission goals and strategies of the organization.MISSIONIt is a broad enduring statement giving the organizations reasons for being. It answers the basic questions what is our business.STRATEGYACCORDING TO PORTER (1980) IT IS A BROAD BASED FORMULA FOR HOW BUSINESS IS GOING TO COMPETE, WHAT ITS GOALS SHOULD BE AND WHAT POLICIES WILL BE NEEDED TO CARRY OUT THESE GOALS.TO PERFORM STARTEGIC ANALYSIS ORGANIZATION IS IN NEED OF ENVIORNMENT, ORGANIZATIONAL SOURCES.TO ANALYSE THE ENVIRONMENT THERE ARE THREE MODELS1) PORTERS FIVE FORCES MODEL (COMPETITIVE ANALYSIS)2) STAGES GROWTH MODEL (LIFE CYCLE ANALYSIS)3)SWOT ANALYSISPORTERS FIVE FORCES1) BARGANING POWER OF SUPPLIERS2)BARGANING POWER OF BUYERS3)THREAT OF NEW ENTRANTS4)THREAT OF SUBSTITUTE PRODUCTS OR SERVICES5)RIVALARY AMONGST EXISTING COMPETITORS

STAGES GROWTH MODEL1)INTRODUCTION2) GROWTH3)MATURITY4)DECLINESWOT ANALYSIS

PORTERS VALUE CHAIN MODELIt views an organizations as a chain or net work of basic activities and each activity in the chain adds value to the final product or servicePortals two types of activitiesPRIMARY ACTIVITIES1) INBOUND LOGISTICS2)OPERATIONS3)OUTBOUND LOGISTICS4)MARKETING AND SALES5)SERVICESSUPPORTING ACTIVITIES1) FIRMS INFRSTRUCTURE2)HRM3)TECHNOLOGY DEVELOPMENT4)PROCUREMENTBCG MATRIX MODEL (PORPOSED BY BOSTON)boston consulting group(BCG)IT IS A RELATIONSHIP BETWEEN A DIVISION OF PRODUCTS CURRENT REVENUE POTENTIAL (MARKET SHARE) AND MARKET GROWTH1) cash cow: it represents those products or divisions which are having high income earners. They are relatively short term expected to provide significant future revenues. In this shifting the product is possible.2) star: the products of this provides significant revenues are expected to continue to earn profits in future. These products require ongoing investments and thus do not generate as much as cash cows generateDOG: products that provide little or no contribution to profits at present it is not that situation will improve. These products that have lost market share. The organization may think of taking steps to reduce the costs WID CAT: products that an organization is currently prepared to carry despite the fact that currently these products are contributing either nothing or very little to profits of the organization expected to contribute in future. These have low market share but in fast growing markets.ADVICEStar- investin: Wild cat: Examine: Dog Divest: Cashcow_ MilkESTABLISHING NEED FOR ERPBEFORE GOING FOR ERP IMPLEMENTATION ORGANIZATIONS NEED TO UNDERSTAND NECISSITY OF ERP1) GOALS 2) STRATEGIES 3) INFORMATION ANALYSIS 4)IS SOLUTIONS 5) IMPLEMENTATION PLAN STEPS FOR ERP SYSTEM1) STRATEGIC ANALYSIS2) INFORMATION REQUIREMENT ANALYSIS3)IS SOLUTIONS (ERP SYSTEM)

STRATEGIC ANALYSISMISSION , GOALS AND STRATEGIES OF THE ORGANIZATION IS ANLYSEDIS STRATEGIES FOR DEALING WITH COMPETETIVE FORCES1) LOW COST LEADERSHIP2) PRODUCT DIFFERENTIATION3) FOCUS ON MARKET NICHELOW COST LEADERSHIPIT FOCUSES ON LOW COST LEADERSHIP STRATEGY AND LOWER THE OPERATIONAL COSTS.Ex: wal mart was able to become leading retail chain in the united statesPRODUCT DIFFERENTIATION: ex: Google; Apple; Dell computers;FOCUS ON MARKET NICHE: An organization can focus on a small market niche so as to serve this narrow target market better than competitors. Ex : customer relationship managementEx: Amazon.com keeps track of user preferences for book and CD purchases

Life cycle or Nolan Stage ModelNolan Stage Model1) Initiation2) Expansion3) control4) maturity SIX STAGE MODEL1) INITIATION2)EXPANSION3)CONTROL4)DATA INTEGRATION5) DATA ADMINISTRATION6)MATURITYSTRATEGIC INFORMATION GRID1) STRATEGIC CELL: it indicates the critical role of the information system in the existing competitive strategy and future strategic directions of the organization. IS is a part of it.2)Factory cell: it is a vital position of the existing information system. It is not a part of strategic cell3) support cell : IS applications are useful in supporting the organizational activities4) Turn around: it is a state of transition from support to strategic stage. It indicates the organizations has had only support applicationsStrategic grid helps in analyzing the current and future IS applications and thus acts as diagnostic tool. The grid is diagnostic because it helps understand the role of IS in the organization.VALUE CHAIN MODELIt is used to analyse the companys key processes and core competencies1) value adding activities: 2) value enabling activities3) non-value adding activitiesINFORMATION REQUIREMENT ANALYSIS1) define underlying organizational sub-systems2)define information requirements for organizational sub-systems3)evaluate information system4)evaluate business processes5) Gap analysis and IS solutionsBUSINESS CASE FOR ERP1) improves operational efficiency2)replace obsolete systems and technology3)improve effectiveness4)to gain competitive advantage/strategic advantageNEED FOR BUSINESS CASE FOR ERPProper information system plan in the organization which must be comprehensive and derived from organizational strategic plan.A business case is a document that will explain why an organization should make the upfront investment and gives an account expected benefits and a return on investment at some predictable point in the futureBUSINESS RAIONALE FOR ERP IMPLEMENTATIONSTRATEGIC RATIONALETECHNOLOGY RATIONALECOMPETITIVE RATIONALEBUSINESS PROCESS RATIONALECOST-BENEFIT ANALYSIS (CBA)IN THIS EXPECTED COSTS ANDEXPECTED BENEFITS ARE EVALUATED TO KNOW WHETHER BENEFITS JUSTIFY THE INVESTMENT IN PROPOSED SYSTEMROIVALUE ANALYSISWHILE VALUING INTANGIBLE BENEFITS ARE ALSO MEASURED AND TAKEN INTO ACCOUNT WHILE MAKING A JUSTIFICATION OF INVESTMENTS, THE QUANTIFIABLE OR TANGIBLE AND QUALITATIVE OR INTANGIBLE COSTS AND BENEFITS OR ERP SYSTEM ARE IDENTIFIED AND ANALYSED.COSTS OF ERP SYSTEM1) BUSINESS ANALYST FEE.2)CONSULTANT FEE3)SOFTWARE/HARDWARE/NETWORKING COST4)PROJECT TEAM MEMBER TIME5)EMPLOYEE TRAINING6)PRODUCTIVITY LOSSES7) MAINTANANCE COSTBENEFITS OF ERP SYSTEM1)REDUCED INVENTORY COSTS2)REDUCED INVENTORY CARRYING COSTS3)REDUCED WORK FORCE COSTS4)IMPROVED CUSTOMER SERVICE5)IMPROVED SALESFEASIBILITY STUDYIT PROVIDES AN OVERVIEW OF THE PROBLEM AND ACTS AS AN IMPORTANT CHECKPOINT THAT SHOULD BE COMPLETED BEFORE COMMITTING MORE RESOURCES.TECHNICAL FEASIBLITYLEGAL FEASIBILITYOPERATIONAL FEASIBILITYSCHEDULE FEASIBILITY

ERP LIFE CYCLEIT IS A STANDARD PACKAGE SYSTEMS THAT ARE GENERALLY DEVELOPED BY THE SOFTWARE DEVELOPMENT COMPANIES BASED ON SOME BEST PRACTICES OF INDUSTRYIMPLEMENTATION FACTORS1) ANALYSING THE NEED FOR ERP2)REDESIGNING THE BUSINESS PROCESS3)INVOLVEMENT OF USERS4)COMMITMENT OF THE TOP MANAGEMENT

ERP IMPLEMENTATION LIFE CYCLE1)PREIMPLEMENTATIONA) NEED ESTABLISHMENTB)FEASIBILITY ANALYSISC) PACKAGE SELECTIOND) HIRING OF CONSULTANTS2)IMPLEMENTATION PHASEA)IMPLEMENTATION PLANB)BUSINESS PROCESS REINGINEERINGC)CUSTOMISATIOND)ACQUISTION OF INFORMATION TECHNOLOGY INFRASTRUCTUREE)DATA CONVERSIONF)GO LIVE3) POST-IMPLEMETATION PHASEA) POST IMPLEMENTATIONREVIEWB) MAINTENANCE OF ERPPRE IMPLEMENTATION PHASE1) ESTABLISHING THE NEED FOR ERP SYSTEM2) FEASIBILITY ANALYSIS3)SELECTION OF AN APPROPRIATE PACKAGE4)HIRING OF CONSULTANTIMPLEMENTATION PHASE1) IMPLEMENTATION PLAN2) BUSINESS PROCESSING REVIEW3)CUSTOMIZATION4)ACQUISITION OF IT INFRASTRUCTURE5)DATA CONVERSION6)GO LIVEPOST IMPLEMENTATION PHASEPOST IMPLEMENTATION REVIEWMAINTENANCE OF ERPERP AND BUSINESS PROCESS REENGINEERINGBusiness process may be defined as a set of logically related activities or tasks performed to get a work done or pre defined business outcomes.Business process reengineering refers to a systematic methodology to identify the best of doing the business and to re-engineer or redesign the business processes so as to get the maximum benefit.BUSINESS PROCESS REEINGINEERING MAY BE DEFINED AS A SYSTEMATIC METHODOLOGY TO IDENTIFY THE BEST WAY OF DOING BUINESS.REASONS TO CONDUCT BPR1) To implement the current purchased ERP system2) To automate the existing manual processes3) To improve the customer service4)To streamline the current business processes to increase the efficiency reduce cost and so on.BPR LIFE CYCLE1) Preparation and planning for under taking BPR is done:2) Current or existing business processes of the organization are understood3)Business process mapping and gap analysis is done4)Business processes are redesigned so as to match best practices5) Redesigned processes are tested and evaluated for further improvement. PROCESS MAPPING AND GAP ANALYSISPROCESS MAPPING REFERS MODELING THE BUSINESS PROCESSES USING SOME GRAPHICAL TOOLS AND TECHNIQUES S AS TO UNDERSTAND THE BUSINESS PROCESSES.BPR TOOLS AND TECHNOLOGIES1) Technology enabled reengineeringA) it provides structure for BPR processB) builds better solutionsC) constrain the design effortD) Generate cost effective design processesE) Ensure timely implementation2) CLEAN SLATE RENGINEERINGA)organizations are free to redesign their processesB) future revisions are not limited by the technologyC)organizations can develop unique process designsD) reengineering is not confused with technology implementation.E) clean slate may be the only approach to build processes for use in new technologies.SUCCESS AND FAILURE FACTORS IN IMPLEMENTING BPR1)Top management commitment2) BPR planning3)User participation4)Collaborative environment5)IT applications6) Training and education7) Resistance to change