erp
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BUSINESS PROPOSAL FOR HPCLGroup
Vivek Srivastava
Meethu Mohan
Kalyan Prasad
Prabhu P
Reema G
ABOUT HPCL
Hindustan Petroleum Corporation Limited (HPCL), whose roots go back to 1952, is today operational in the oil refinery and LPG distribution space.
A Fortune 500 company, HPCL recorded an annual turnover of over Rs 91,448 crores for the financial year ended March 2007.
Currently, the company enjoys a 16 percent refining and marketing share in India and a strong market infrastructure.
2 Refinaries : 3 Million Metric Tonnes per annum 80 regional Offices, 20 terminals, 120 Depots,
8900 retail outlets
SWOT
STRENGTH 1.India's major oil and gas company
2.Operates largest Lube refiniery in India 3.Large product portfolio4.Owns and operates the largest Lube Refinery in India producing Lube Base Oils of international standards5.Produces over 300+ grades of Lubes, Specialities and Greases
Weakness 1.Legal issues
2.Employee management3.Human right issues, rehabilitation issues4.Environmental hazards from wastes
OPPORTUNITY 1.Increasing natural gas market 2.More oil well discoveries 3.Expand export market
Threats 1.Government regulations
2.High Competition from other players Competitors 1.Bharat Petroleum
2.IOCL 3.Reliance Industries 4.ONGC
ISSUE IN HPCL
Difficult product differentiation Increasing consumption of petroleum products @
4% per year Fluctuating crude oil market involving geo-politics Improper pricing mechanism Reducing income constraining further investments Increasing competition from private as well as
other PSUs Inefficiencies in retailing outlets leading to loss of
customer satisfaction
SAP :COMPANY PROFILESAP (System Applications & Products in data processing) . SAP is the world's leading provider of business software, SAP delivers products and services that help accelerate business innovation for their customers. Today, more than 82,000 customers in more than 120 countries run SAP applications – from distinct solutions addressing the needs of small businesses and midsize companies to suite offerings for global organizations.
SAP defines business software as comprising enterprise resource planning and related applications such as supply chain management, customer relationship management, and supplier relationship management
8
ENTERPRISE RESOURCE PLANNING (ERP)
ERP is an integrated computer-based system
Used to manage internal and external resources including tangible assets, financial resources, materials, and human resources.
It is a software architecture whose purpose is to facilitate the flow of information between all business functions inside the boundaries of the organization and manage the connections to outside stakeholders.
HOW IT WORKS....
WHAT IS AN ERP
PackagesEnterprise systems are not developed in-house IS life cycle is different
1. Mapping organizational requirements to the processes and terminology employed by the vendor and
2. Making informed choices about the parameter setting. Organizations that purchase enterprise systems enter into long-
term relationships with vendors.
WE vendors talk to many different businesses within a given industry as well as academics to determine the best and most efficient way of accounting for various transactions and managing different processes. The result is claimed to be “industry best practices”.
TYPICAL PROPOSED ARCHITECTURAL COMPONENTS
E-business PlatformTech Stack
CRMFoundati
on
WebInternet
Mobile Wireless e-Mail Call Center
ICM/TelephonyInteractionChannels
Common Data and Object Models, Security, Interfaces, Globalisation
E-
Business Foundati
on
Marketing Sales eCommerceBusiness Applicati
ons
MarketingIntelligence
SalesIntelligence
CustomerIntelligence
Call CenterIntelligence
Analytical
Applications
Interaction HistoryUniversal Work Q
1-to-1 Fulfillment
Assignment Engine
EscalationsTCA
Installed Base
Tasks Notes
Resources
Calendar
Territories
OSS HR
COST ANALYSIS
1-13
1-14
COST BENEFIT ANALYSIS
BENEFITS OF ERPTangible benefits
Improves the productivity of process and personnel
Lowering the cost of products and services purchased
Paper and postage cost reductions
Inventory reduction
Lead time reduction
Reduced stock obsolescence
Faster product / service look-up and ordering saving time and money
Intangible benefits:
Increases organizational transparency and responsibility
Accurate and faster access to data for timely decisions
Can reach more vendors, producing more competitive bids ;
Improved customer response
Saves enormous time and effort in data entry ;
More controls thereby lowering the risk of mis-utilization of resources
Facilitates strategic planning
Uniform reporting according to global standards
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