13162223 erp implementation
TRANSCRIPT
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ERP andIts Implementation
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ObjectiveTo know about ERP and itsrelevant importance
To know about the ERPimplementation and its likely
outcomes if not implementedproperly.
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ERPServes as a cross-functional enterprise backbone
that integrates & automates many internal businessprocesses and information systems
Helps companies gain the efficiency, agility, &responsiveness needed to succeed today
Gives a company an integrated real-time viewof its core business processes
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ERP software suites typicallyconsist of integrated modulesof
ManufacturingDistribution
Sales
AccountingHuman Resource Management
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Benefits of ERPDecision support Provides cross-functional information on business performance
to assist managers in making better decisions
Enterprise agility Results in more flexible organizational structures, managerial
responsibilities, and work roles
Resource IntegrationHelps in integrating resources in an efficient and effective
manner.
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Processes in ERP
Implementation
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ERP PackagesOn the basis of application
Customized Package
Readymade PackageOn the basis of implementation
Big Bang
Franchising option
Slam dunk
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Top 10 ERP Vendors
share 2006
Source: AMR Research, 2007
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Different Phases of ERP
ImplementationPre evaluation Screening
Evaluation Package
Project Planning Gap analysis
Reengineering
Team training
TestingGoing Live
Post implementation
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Major ERP VendorsSAP AG
Microsoft
OracleBaan
J D Edwards
Peoplesoft
Infor
Exact
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Facts about SAP AGSAP is founded by five former IBM employees in 1972.
SAP is situated in Walldorf, Germany.
Number one vendor of standard business application software,
with a worldwide market share of 41%.Fourth-largest independent software supplier in the world.
Available in more than 14 languages.
10 out of 10 largest US companies with the highest market valueuse SAP software.
8 out of 10 largest US corporations use SAP software.More than 7500 customers in over 90 countries have chosen SAP.
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mySAP Modules
mySAP SCM
mySAP PLM
mySAP
SRM
mySAP
CRM
mySAP ERPAnalytics
Financials
Human ResourcesCorporate Services
Operations
Life-Cycle-Data, Project-,
Quality- and Asset Management
Inventory & Warehouse Mgmt.
Manufacturing & Transportation
SalesOrder
Intern
etSale
s
PurchaseOr
der
Requisi
tioni n
g
1990 2010
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 20101993 - 1995
Interval Description
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SAP R/3 Modules
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Causes of ERP FailureUnderestimating the complexity of the
planning, development, and training required
Failure to involve affected employees in theplanning & development phases and changemanagement programs
Trying to do too much, too fast
Insufficient trainingBelieving everything the software vendors
and/or consultants say
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SAP ERP Solutions in
TISCODecided to implement SAP ERP 3
Forecasted for future operations
Took a long span of one yearNever bogged down by repeated failures
Brought about substantial increase in profits
Focus on implementation and timely
completion.
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Solution and
ImplementationStudy was conducted related to
functionality, esteem, operability, support
& future requirements.Idea is to strengthen its position in market.
Challenge is not implementation but tobuild a conducive environment for it.
Identified branches with huge transactionsas HUB and smaller branches as SPOKES
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In Jan. 1999, TERM ASSET isdevised which is Achieve Success
Through SAP enabled Transformation
It has two axioms- go live date- 1
st
Nov.,1999 and there are only 24hours a day.
Planned a big bang approach ofgoing live with all modules.
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BenefitsSpent 40 crores and saved 33 crores
in first two years.
Man power cost reduced from $200per ton to $140 per ton in two years.
Inventory cost deflated from Rs. 190
per ton to Rs. 155 per ton in oneyear.
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THANKS