pilot project presentation 6

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    Pilot Project

    On

    ERP For SME An Empirical Study

    On Punes Auto Component Sector

    By:

    Aditi Nawani (10030241002)

    Pallavi Mitra (10030241022)

    Rajdeep Biswas (10030241027)

    Varun Sreedharan (10030241042)Varun Kumar Maurya (10030241044)

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    Aim : An empirical study of 5 key decision areas

    affecting the ERP adoption by SMEs

    Planning

    Acquisition

    Implementation

    Usage and Percolation

    Extension

    Methodology : Market survey of auto

    component sector in Pune with a structured

    questionnaire.

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    The Automotive Industry in India is estimated to

    be a 145 billion dollars segment in the year

    2016 and will contribute to about 10% of Indias

    GDP. The global auto component outsourcing

    market is expected to be worth around 700

    billion dollars by 2015.

    By 2010, India is expected to witness 30,000

    crores of investment in the automotive segmentalone.

    Microsoft Office

    Word Document

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    Defining the research objective

    Defining the research Scope

    Designing questionnaire Data Collection

    Interviews

    Data Analysis

    Comparison Interpretation of results

    Recommendations

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    Company Industry Revenue

    (Crores)

    Vendor Estimated

    Duration

    Project

    Status

    A Manufacturing 125 SAP 2 yrs Delayed. Stillto

    implementinterlocks

    betweenmodules

    B Manufacturing 180 SAP 1.5 Years Just Started

    C Manufacturing 220 SAP - Planning toImplement

    D Manufacturing 150 SAP 1.5Years Mid Way

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    Company Industry Revenue(Crores)

    Vendor EstimatedDuration

    Project Status

    E Manufacturing 200 In-house No immediateplans

    F Manufacturing 250 In-house Next 2 yrs Planning toMigrate

    G Manufacturing 120 Tally ERP 6 months Implemented

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    Increase operational efficiency

    Increase labour productivity

    Increase capital productivity

    Reduced fixed and variable cost

    Better integration with the meta-market

    Streamlining of supply chains

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    The need to set up a unified technological

    platform for improving customer order

    processing

    The need to consolidate diverse IT pieces under

    a central backbone to share common data and

    practices in order to reduce errors

    The need to manage business information tomake it available anywhere, anytime and to

    make the information accessible in real time to

    facilitate better decisions

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    The need to establish a flexible infrastructure

    that allows organizations to adapt to the ever-

    changing environment. Multi capabilities

    (multi-currency, multi-language, multi-companies) are required to operate effectively

    in the global environment.

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    Functional fit with companys business processes

    Flexibility and scalability of software

    User friendliness

    Support multi-site planning

    Necessity of regular upgrades

    Customizations required

    Local support infrastructure present

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    Hardware

    Software

    Customizations

    Data conversion

    Integration of data sources

    User training

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    Category Lessons Learnt Recommendations

    User Involvement - include the rightbusiness users at thebeginning- identify power users

    -create a team offunctional area experts- get business unitsinvolved and keep theminvolved

    Data Management dont move bad datafrom one system toanother

    Communications need to improvecommunications

    better coordinationbetween the PM and user

    Top managementleadership

    executive sponsorshipneeds to be defined

    obtain top managementcommitment

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    Category Lessons Learnt Recommendations

    Training training dont addressexceptions

    to processes

    -dont skimp on training-enhance training

    Time slow to implementnewprocesses

    recognize time toimplement new practices

    Personnel Shortfalls inexperienced

    personnel causedproblems

    -obtain an experienced

    project manager &team-building activities

    Supplier Management Inadequate vendorcommitment

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    Avoid customization

    Adequate ERP version

    Legacy systems knowledge

    Good project scope management(pm)

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    QuestionnaireMicrosoft

    ffice

    ord

    ocument