enterprise resource planning (course outline)
TRANSCRIPT
Institute of Business & Management (IB&M)UET, Lahore
Course Introduction Enterprise Resource Planning
MBA 2011
Course Name Enterprise Resource Planning
Instructor Turab Ali Khan, B.Sc. (Mechanical Engg) MEM. (Manufacturing),
Semester Spring, 2011
Credit Hours Three
Class Timings: Alternate Sundays 10 a.m. to 4 p.m., Starting from Feb.20th
Tele Mobile: 0300-8520271
Email: [email protected]
Required Texta. Enterprise Resource Planning by Alexis Leon
Reference Booksa. Solving business Problems with MRPII by Alan D. Luberb. Orchestrating Success by Richard C. Ling and Walter E.
Goddard.
Teaching Assistant
Program Coordinator
Telephone No.:
Enterprise Resource Planning, Turab Ali Khan, EMBA, Spring 2011 1
1. Introduction:
Globalization is a phenomenon which is associated with reduced barriers to international
trade, increased global movements of raw-materials, products, technology and to some extent
of manpower. This has a tremendous impact on the way we live. One of the most important
enabler in this whole process is availability of the right information at the right time.
Information technology is revolutionizing the way in which we conduct businesses and
ultimately the way we live. Digital technology has enabled us to treat information with
mathematical precision and transmit it with accuracy. In business, today, the most important
aspect is managing information. To provide real-time information about all aspects of the
business and a foundation for sound planning, the need for a system was felt among the
business circles of the world for long. Efforts in this direction resulted in the early systems
like MRP (Material Resource Planning), which evolved in stages to MRPII (Manufacturing
Resource Planning) to ERP (Enterprise Resource Planning). ERP covers the techniques
employed for integrated management of business as a whole and the design of ERP software
is based to model and automate many of the basic processes of a company from finance to
shop the shop floor. The basic goal is integration and integrity of data.
2. Brief Description of the Course:
This three credit hours course is designed for Technical/Business Managers who intend to
work for services and manufacturing sectors. The course is basically meant for introducing
the real meaning of Enterprise Resource Planning, which provides for integrating planning
throughout the business cycle from raw-materials, shop floor control to the related human-
resource and finance processes. This provides the ways to enhance productivity and
efficiency of all the processes in an organization through integrating planning. The course
will discuss the role of ERP and ERP-Soft-ware to reduce inventories, waste, scrap, and
rework and how to utilize resources efficiently in different environment with emphasis on
reduced cycle time. The resulted reduction in the non-value added activities and accelerating
Enterprise Resource Planning, Turab Ali Khan, EMBA, Spring 2011 2
the value-added process reduces the cash-to-cash cycle time. In pursuit of the process
improvement journey, this course will provide the students with basic but comprehensive
solutions and the step by step approach to transform their enterprises into future oriented
organizations.
This course systematically presents several conceptual and pragmatic methodologies, tools
and techniques for various phases of the integrated planning process in an enterprise.
The materials in this course have been tested and evaluated in three-credit courses at graduate
and undergraduate levels, short courses, etc. The seminars and presentation in the course are
from real-life experiences covering both manufacturing and service organizations.
The course attempts to serve the practical needs of consultants, training personnel, industrial
engineers, Supply Chain Planning managers, Finance managers, Shop floor managers (first
line managers), Human Resource Planning Mangers, accountants, corporate planners, and
administrators.
Thus, the main emphasis of this course is on the organizational level. We do, however
analyze the environment of the organization from the point of view of how it could
contribute to or hamper process improvements. The second emphasize in this course is on
shifting the balance a little from the academic to the practical world of integrated planning
and its effects on the bottom line of the financial statements. It is well known that many
failures occur when company’s main objective is only to maximize sales or profit and
minimize costs. However, only an effective implementation of an ERP system, when it is the
main objective of the company, can integrate and balance the areas of marketing, profits
production costs, return on investments, sales and output.
Since its main emphasis is on the organization level, management practitioners, whether in
market economy or in centrally planned economy, will find some useful hints for practical
implementation.
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3. Organization of the Course:
Industrial organizations can be of various sizes: small, medium and large scale. Requirements
of resources to implement an effective ERP system will differ accordingly. For a large
organization, ERP system’s implementation will require a lot of resources to alter its
processes according to the need of the ERP-modules, will require a lot of resources and time.
An organization-wide training and development program will also require resources and
consume time. This might necessitate the appointment of a full time implementation manager
assisted by a team who is responsible for all the implementation phases. For a smaller
organization, this level of resource commitment might not be needed in relatively smaller
organizations but appointment of an experience consultant is helpful in all the cases.
Successful implementation is always a result of top management commitment. So the course
will cover from the initial introduction of ERP soft ware to the detail integrating planning
from DRP (Demand Resource Planning) to MRP (Raw-material Planning) with detail
discussion on the role of BoM (Bill of Materials) and MPS (Master Production Scheduling)
in the overall integrated planning. The theme advocated in this Course will focus on this
dimension as well as to develop suitable methodology. The discussions on ERP concepts
within the scope of this Course are designed to enhance understanding of the role of
integrated planning in the successful and profitable running of an organization and the
support for this process from appropriate ERP software..
The Course will adopt a practical, problem solving approach and students will actually
experience the effective implementation of change through integrated planning in their
respective professional areas. You will learn issues related to material, employee, production,
logistics and financial planning modules and how all of these are connected through an
integrating planning process producing single figures throughout the organization.. With the
help of applied projects students will design, plan and implement changes to improve the
business process and the financial outcome of the operations through effective use of the
ERP software.
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4. Aims and Objectives of the Course:
Today most organizations world-wide are implementing ERP software with the help of
consultants and software vendors. The main objective is to improve the profitability of the
organizations through more consolidated and integrated planning. The results are not
encouraging for all. Some firms have extremely benefited from the implementation of the
ERP systems, for others it has proved to be just an acquisition of costly and sophisticated
software. One of the main differences between the two types of organizations is the
awareness of their staff about the usefulness of the systems. Overall objectives of this Course
is to present a more appropriate review of the ERP concepts applicable to almost all types of
organizations with a special focus on Technical enterprises.
Main aims and objectives of Course:
a. To prepare the business graduates to satisfy dynamic, and market-driven organizations
that want to challenge the status quo and to build competitive edge in the market by
adopting the latest techniques.
b. To provide a clear perception of concept of ERP in its broader perspective.c. To promote understanding and awareness of the organizational level before launching
the implementation of an ERP system.d. To provide some basic knowledge about the main processes covered and different
modules of ERP software.e. To demonstrate the applicability of the techniques designed in the context of the small,
medium and large sized business organizations. f. To make the participants aware of the integrated planning process and its benefits. g. To give a feel, to the students, of the ERP market and leading vendors and consultants.
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5. Distribution of Course Contents:
Lecture 1/220th Feb. 2011
Introduction to ERPa. Introductionb. Evolution of ERP c. What is ERP? (Advantages, Market ed. Why many ERP implementations fail?
Enterprise – An Overview.a) Integrated management informationb) Business Modelingc) Integrated data modeld) Project discussion (1/2 hour)
.Lecture 3/4.
6th March 2011.
ERP Implementationa) Catch 22b) Ways to implementc) The proven Pathd) Softwaree) Benefits of proper ERP implementationf) Project discussion (1/2 hours).
Lecture 5/620th March
2011.
ERP Implementation – The proven Path Part 1 & 2 a) Audit Assessment 1b) First cut educationc) Project Launchd) Audit Assessment 2e) Performance Goalsf) Project discussion (1/2 hour)
Lecture 3rd April
Mid term exam – 1 hourBasic Education
a) Why Education?b) Whom to educate?c) CSFs for implementing ERPd) Understanding the supply chaine) Project discussion (1/2 hour)
. Lecture 17th April
Basic Educationa) Strategic Planning Processb) People and Teamsc) Total Quality and continuous improvementd) New product developmente) Planning and controlf) Project discussion (1/2 hours)
Lecture 1st May
Sales and Operation Planninga) Planning and Control Process Overview
Enterprise Resource Planning, Turab Ali Khan, EMBA, Spring 2011 6
b) Sales & Operations Planningc) Master Production Schedulingd) Project Discussion (1/2 hour)
Lecture.15th May
ERP- A manufacturing Perspectivea) Material Requirements Planningb) Capacity Requirements Planningc) Production Reporting and Controld) Project Discussion
. Lecture 829th May
a. project presentations – 3 hoursb. Final Exam – 3 hours
Assignments: No. Assignment Submission date1 Search through Internet and write a three page note on the evolu-
tion of Enterprise Resource Planning.6th March 2011
2 What do you understand by CAD/CAM? Write in detail and give references of the internet sites surfed.
20th March 2011
3 Search through the internet and make a list of different leading ERP software used by businesses around the world. Write a brief note on each.
17th April 2001
4 What is BoM? How does it help in material planning? Give exam-ples from real life.
1st May 2011
6. Grade Distribution:
Mid Term Exam 20 PercentFinal Exam 30 PercentClass Participation/ Presentations 10 PercentAssignments 10 PercentQuizzes 10 PercentGroup Project/Folder 20 Percent
Total Marks 100
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7. Misc. Instructions:
o All classes are Smoke and Mobile Free. o Timely submission of Home Assignments is mandatory. For an assignment submitted one week
after the due date, 50% marks will be deducted. Any assignment submitted later than a week of the due date will be considered not submitted. All Assignments will be uploaded in the specified folder of group created for this course’s participants. No hard copies or submission through email address.
o Please keep on reading your emails daily to find any new instructions. o No one is allowed to copy Homework. Copying can cause a student to dropped from the course.
This is minimum punishment. o Latecomers may be considered/ marked as absent in the class.o Break timing will be strictly observed. o Class sanctity is top most in our agenda while class is in session.o All volunteers who present new ideas in the class will be highly encouraged.o Students are not allowed to approach the Instructor on his mobile phone except in
emergency.o Date and Time for Presentation is final. Those who not attend will be graded F.
8. Project & Research Paper Instruction:
The main thrust of this course is to learn the practical aspect of ERP. Students need to focus on various important issues and must deliberate a lot and should have in depth discussion before they finalize the project and team members. Project must be related to ERP issues. It could be a study of an organization which has implemented ERP and the problems they faced and overcame during the process.. You may choose organization in public or private sector (service or mfg). Project must be from real life or may be from your own background/work environment / parent dept but it must be related with ERP implementation. More groups are encouraged to do applied project.
9. What is due within next Two weeks?
1. A preliminary draft proposal of one page (along with the name of the participants) for the approval of the instructor. Upon approval a comprehensive proposal will be required. Instructor will be available after class or during the rest of week to assist students about various ideas and how to attack the problem.
Project Group will be consisting of four to five students of heterogeneous & diversified background.
In order to create a reasonable balance in a group, No group will be consisting of students with similar background/profession. Only in extreme exceptions, permission of Instructor may be granted after careful evaluation of circumstances.
10. Requirement of Presentation:
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Professional presentation by the Group on approved topic.One hard copy of Final Project Report and one electronic copy must reach course instructor positively on the same day of presentation. Project Report /Research Paper must be typed in MS Word in a professional way and should not be more than 30 pages double space, font size will be 12 with proper references etc.
All reports should be error free and spell checked with proper format. 25 percent academic penalty will be imposed on all late submissions.
There will be Four Project Presentations in one session. Each group will be given 30 minutes with 10 minutes Q & A Session. It is believed that after undergoing this academic exercise, you will be able to contribute more effectively in your parent department /future assignments.
About the Instructor
Turab Ali Khan is a graduate mechanical engineer from UET, Peshawer. He has done his
Masters in Engineering Management from CASE, Islamabad and Diploma and training
management from COSMO Japan. He has completed ISO-9000 Certified Lead Auditor and
supply chain SCOR model course. He has about 25 years of industrial experience in the
fields of power generation, Steel making, petrochemical industry and fast Moving
Consumer’s Goods manufacturing industry. Has worked in establishment of the NFC
Technical Training Center Multan and has been a visiting faculty in NUST for the certified
professional courses on Quality and Environment, Health and Safety. Has also been an active
member of the team arranging a certified course on “Production Management” at PAC
Kamra. Has conducted various EHS audits at local and international levels and had been
involved in major productivity improvement as well as supplier’s development projects to
improve the effectiveness of supply chain. He is also a visiting faculty member at IBM UET
Lahore.
E-mail: [email protected]
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