presentation erp final
TRANSCRIPT
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An Insight of ERP SystemsWhy is it important for Engineers to
understand
Date March 28, 2011
Presenters Mr. Hassan Aziz (B.E. IM-019)
Mr. Saad Yousuf (B.E. IM-065)
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AGENDA
What is ERP?
What can be the Resources of different
Enterprises?
What happens when Enterprises dont have ERPSystem?
What are Pros of implementing ERP System?
What are different ERP Software?
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Components of Enterprises Customers => Customer Relationship Dept.
Employee => Human Resource Dept.
Suppliers => SupplyChain Dept.
Finance => Finance Dept.
Machinery => Maintenance Dept.
Investors => Investor Relationship Dept.
Raw Material => Material Requirement Dept.
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PROS of ERP
1. Integration
2. Better Database Management
3. Portability
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2) Better Database ManagementBefore ERP
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2) Better Database ManagementBefore ERP
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2) Better Database ManagementAfter ERP
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3) PortabilityTOYOTA President without ERP
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MODULES OF ERP
The generic ERP package
represents the commonly
operated business model
of the organization. It isbuild with function model
like :
Finance
Materials
Production
Marketing
Sales & Distribution
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ERP FINANCE MODULE
All kind of organizations small scale, large scale
organizations benefit from the implementation
of ERP financial module. The financial module is
the core of many ERP software systems. It can
gather financial data from various functional
departments, and generates valuable financialreports such general ledger, trail balance, as
balance sheet and quarterly financial
statements.
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ERP HR MODULE
Human Resources is another widely implemented ERPmodule. HR module streamlines the management ofhuman resources and human capitals. HR modulesroutinely maintain a complete employee database
including contact information, salary details,attendance, performance evaluation and promotionof all employees. Advanced HR module is integratedwith knowledge management systems to optimallyutilize the expertise of all employees.
Produce pay checks and payroll reports; Maintain personnel records;
Pursue Talent Management,
Training,
Time and attendance benefit
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ERP PRODUCTION
MODULEProduction planning module optimizes theutilization of manufacturing capacity,
parts, components and material resources
using historical production data and salesforecasting.
Process definition with inputs, outputs,
byproducts and overheads
Definition of Bill of Material for allproducts up to any number of levels
Planning based on customer wise
production advice and sales forecast.
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ERP PURCHASE MODULE
Purchase module streamline procurement of required raw
materials. It automates the processes of identifying
potential suppliers, negotiating price, awarding purchase
order to the supplier, and billing processes. Purchase
module is tightly integrated with the inventory control
and production planning modules. Purchasing module is
often integrated with supply chain management software.
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ERP INVENTORY MODULE
Purchase module streamline procurement of required raw
materials. It automates the processes of identifyingpotential suppliers, negotiating price, awarding purchase
order to the supplier, and billing processes. Purchase
module is tightly integrated with the inventory control
and production planning modules. Purchasing module is
often integrated with supply chain management software.
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ERP SALES &
MARKETING MODULESales module implements functions of order placement,
order scheduling, shipping and invoicing. Sales module is
closely integrated with organizations' ecommerce
websites. Many ERP vendors offer online store front as
part of the sales module. ERP marketing module along with
CRP supports lead generation, direct mailing campaign and
other marketing works. Scheduling of the promotion is
possible using this.
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CHARACTERISTICS OF ERP
SYSTEMSAn ERP system is not only the integration of various
organization processes. Any system has to possess few key
characteristics to qualify for a true solution. These
feature are:
Flexibility: An ERP system should be flexible to respond to
the changing needs of an enterprise. The client server
technology enables ERP to turn across various data base
back ends through Open Data Base Connectivity (ODBC)
Comprehensive: It should be also to support variety of
organizational function and must be suitable for a wide
range of business organizations
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CHARACTERISTICS OF ERP
SYSTEMSModular & Open: ERP system has to have an open system
architecture. This means that any module can be
interfaced or detached whenever required without
affecting the other modules. It should support multiplehardware platforms for the companies having
heterogeneous collection of systems. It must support some
third party addons also.
Best Business Practices: It must have a collection of the
best business processes applicable world
wide.Simulation of Reality: Last but not the least, it must
simulate the reality of business processes on the
computers. In no way it should have the control beyond
the business processes and it must be able to assign
accountabilities to the users controlling the system.
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FEATURES OF ERP
SYSTEMS ERP provide business intelligence tools like Decision
Support Systems (DSS), Executive Information Systems
(EIS), Reporting, Data Mining and Early Warning Systems
for enabling people to make better decisions and thus
improve their business processes.
ERP bridges the information gap across the organization.
ERP provides for complete integration of systems not only
across the department in a company but also across the
companies under the same management.
ERP is an effective solution for better Project
Management.
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WIDELY USED ERP
SOFTWARESSome widely used ERP softwares are: SAP
Oracle
MS Dynamics Baan
J D Edwards
WebERP
Scoopsoft
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ADVANTAGES OF ERP
SYSTEMS ERP can also be responsible for altering how a product ismanufactured. It allows the products themselves to be
produced with a higher level of quality.
Can protect a company against crimes such as embezzlementor industrial espionage
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DISADVANTAGES OF ERP
SYSTEMSWhile advantages usually outweigh disadvantages formost organizations implementing an ERP system, here are
some of the most common obstacles experienced:
The scope of customization is limited in several
circumstances
The present business processes have to be rethought to
make them synchronize with the ERP
ERP systems are hard to customize.
ERP systems can be extremely expensive to implement. At
present, only large corporations can truly take advantage
of the benefits that are offered by this technology
There could be lack of continuous technical support
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THANK YOUTHANK YOU