Mi0038 Unit 13 SLM

Enterprise Resource Planning
Unit 13
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Structure: 13.1 Introduction Objectives 13.2 ERP Market 13.3 SAP AG Products and Technology R/3 Overview SAP Advantage 13.4 BAAN Company Products and Technology Baan ERP Modules Global Support, Education, and Consulting 13.5 Oracle Corporation Products and Technology Oracle Applications Vertical Solution 13.6 People Soft Business Management Solutions Commercial Solutions Industry Solutions Applications 13.7 J D Edwards World Solutions Company Products and Technology Modules 13.8 Systems Software Associates Inc (SSA) Products and Technology BPCS Applications 13.9 QAD Application MFG/PRO Modules 13.10 Summary 13.11 Terminal Questions 13.12 Answers 13.13 Case Study 13.14 Glossary
ERP Market
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13.1 Introduction
By now you must be familiar with the concept of ERP, its essence in an organisation, its market and application in a wide variety of industries. This unit familiarises you with some of the vendors and the market space that various vendors have occupied with respect to ERP. The ERP market is fast growing and very competitive. AMR Research Inc. is a leading industry and market analysis firm specialising in enterprise applications and enabling technologies. They had analysed in 2002 that Enterprise Resource Planning (ERP) software market will grow at a compound annual growth rate of 3.7% over the next five years. During 2007 this revenue growth reached double figures. The findings of the AMR report indicate the continued growth of three primary factors. These are: ERP vendors are expanding market presence continuously by offering new applications such as supply chain management, sales force automation, customer support and human resources. ERP vendors to sustain their rapid growth will try to sell more licenses into their installed base. Currently, ERP vendors have a 10-20% penetration (i.e. %age of total employees currently using the ERP system). This will grow to 40-60% within the next five years. ERP originated in the manufacturing industry. Today ERP usage has spread to nearly every type of enterprise including retail, utilities, public sector, and healthcare organisations. Most will purchase new ERP systems over the next five years, often for the first time.
In this unit, we will study some of the top vendors in the ERP market, their profile, their product offerings, and product features. The companies featured here are SAP AG, Baan Company, Oracle Corporation, People Soft, J.D. Edwards, SSA and QAD. Learning Objectives: After studying this unit you will be able to: Describe the ERP market. Explain the major players in ERP and their respective market share. Assess the various market trends in ERP. Recognise the target market of ERP.
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Analyse and know how to potentially use ERP in the market driven economy. Assess the seven major ERP vendors SAPAG, Baan, PeopleSoft, JD Edwards, Oracle, QAD and SSA.
13.2 ERP Market

The vendors in the ERP market are segmented into two levels. They are focusing on expanding product functionality, new market targets and higher penetration rates. The top level consists of five vendors (1998) SAP AG, Baan PeopleSoft, Oracle Applications, and J.D. Edwards. These companies, account for 64 % of the ERP market revenue and have grown over the past year at a furious pace of 61 %. In addition, Oracle, People Soft J.D Edwards, and Baan are each expected to approach or exceed $1 billion in total revenue in 1998, while SAP will approach $5 billion. In the survey conducted by ARM during the year 2005 the list had few changes with new players entering into the huge market of ERP. Some of the companies were not able keep up with the technology and lost their market like Baan. Some even went for merger like PeopleSoft and J.D. Edwards. The figure 1 13.1 shows the total revenue of the top five ERP vendors of 2005 survey. The graph in the figure 13.1 shows the total revenue in millions of the top five companies in ERP market (2005). The graph also shows the strength of each company in terms of revenue and the monopoly they have in the ERP market.
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Figure 13.1: Top Five ERP Vendors
The efforts these companies (SAP AG, Baan PeopleSoft, Oracle Applications, and J.D. Edwards) made as start-ups, created a new market for ERP. Although ERP was considered only for manufacturing large scale industries, they penetrated into new smaller markets during 90s. AMR Research had predicted that the ERP market will reach $14.8 billion in total company revenue in 1998. In addition, when third party services like hardware, databases, and networking are considered, AMR Research estimated that the ERP infrastructure was worth over $ 42 billion. It was obvious that the market for ERP would continue to be one of the largest, fastest growing and most influential in the applications industry. It was poised for steady growth into the new millennium. It is evident from the figure2 13.2 that the SAP had conquered the major portion of the market with 29% of the total global market. This showcased the efficiency and the strength of the company in handling customers and technology. Oracle stood next to SAP followed by JD Edwards and PeopleSoft. The most important aspect noticed is that 27% of the markets occupied by other vendors were local vendors. They had a better picture of their local conditions and benefited from it.
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Baan 5%
SSA 5%
JBA 4%
Marcam 3%
Intentia 2%
QAD 2%
Others 27%
PeopleSoft 6% JD Edwards 7% Oracle Applications 10% SAP AG 29%
Figure 13.2: Shows the global market share of the major ERP vendors.
Compared to the global market the scenario in India is slightly different. The Indian ERP package Ramco's Marshal accounted for 9% of the market share as shown in Figure3 13.3. This proved the capability of Indian companies to penetrate the Indian market in spite of the presence of some global giants. According to the Dataquest survey (Dataquest, April 15, 1999), of the Indian ERP market, SAP is the market leader with 20% market share. The survey also showed that ERP does not appear to be new to the Indian market. This is indicated by the large number of solutions, which have been implemented. While SAPs R/3 and QADs MFG/PRO continued to dominate the Indian market, the presence of some of the lesser-known brands like J.D. Edward and SSAs BPCS cannot be ignored. Other familiar and strong competitors like Oracles Financials, Ramcos Marshal, and Baan also dominate the second and third level of the domestic ERP market.
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Oracle 7% Ramco 9%
Baan 7%
MAMIS 4%
Others 23%
SSA 10%
JD Edwards 10%
QAD 10%
SAP 20%
Figure 13.3: Indian ERP Market Share
There was also an extensive list of ERP solutions being implemented in much smaller numbers. The ERP awareness in Indian organisations was growing. The survey shows around 35% of organisations are using ERP for more than 24 months. Some of the companies have been using ERP for less than 24 months and the number is growing. Assuming an average implementation process of 18 months, 35% of organisations have therefore, been grappling with ERP issues for close to 4 years and longer. Amongst the organisations planning to implement ERP in the future, the research indicated that SAP still remains the number one preferred solution. This is followed by Oracle Financials, Baan and MFG/PRO. Home-grown solutions like Marshal and MakESS have also been indicated as preferred options.
13.3 SAP AG
Systems, Applications and Products in Data Processing popularly known as SAP or Systemanalyse und Programmentwicklung was founded in the year 1972, in Germany. It is the leading global provider of solutions for client/server business application. SAP has installations in over 107 countries. SAPs ERP package is available in two versions the mainframe version (SAP R/2) and client/server version (SAP R/3). Most prominent among
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SAPs product range is the enterprise application suite R/3 for open client/server systems. With SAP Systems, customers can opt to install the core system and one or more of the functional components. You can even purchase the software as a complete package. SAP customers have chosen to install SAPs client/server suite in more than 19,750 sites worldwide. The System Software is accepted as the standard in key industries such as oil, chemicals, consumer products, and high technology and electronics. SAP has work force strength of over 19,300 and has offices located in more than 50 countries across the world. SAP is the most successful vendor of software on standard business applications. It is also ranked as the fourth largest independent software supplier in the world. During the fiscal year, ending December 31, 1998, SAP AG reported revenues of DM 847 billion, a 41% increase over 1997s revenues. In the same period, sales of R/3 rose by 31%. 13.3.1 Products and Technology SAP products feature a sophistication and robustness unmatched by other business software solutions. SAP has developed a huge library of more than 800 predefined business processes, spanning each functional software requirement. These processes can be selected from the SAP library. It is then included within the installed SAP applications, after modifying the application solution to suit the user's exact requirements. New business processes and technologies become available regularly to the customers. This enables the SAP customers to add state-of-the-art solutions to meet their ever-changing business demands. The power of SAP software lies in real-time integration. It has the ability to link a company's business processes and applications. It also supports immediate response for any change throughout the organisation on a departmental, divisional or global scale. The international strength of the products extend to every aspect of the application, such as the support of multiple currencies simultaneously, and the automatic handling of country-specific import/export, tax, legal, and language requirements. The complete suite of the applications on R/3 is
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available in over 24 languages, including Japanese and other double-byte character languages. 13.3.2 R/3 Overview R/3 employs three-layer client/server architecture. This is widely recognised by SAP customers, technology partners, and industry analysts. They believe it as a winning approach for solving some of the day's most demanding information-management challenges. The three-layered architecture separates a system into three functional layers, each structured to support the demands of its function. The Database layer resides on mainframe or central servers host computers. The Application layer holds the logic of processing for the system, preparing and formatting data for individual offices or departments. The Presentation layer, installed on Personal Computers (PC), handles all the tasks related to the presentation of data. This includes user interfaces that enable easy access to complex applications and data. SAP has also incorporated and integrated intranet and Internet technologies into business solutions for its customers. Both internally and together with its partners, the company is defines, and creates a number of Internet standard-based interfaces, applications, and business processes. This helps in stretching the usefulness of SAP software to entirely new ways and to new classes of customers. Through its Industry Business Units (IBUs) and extensive development network, SAP works closely with its customers to develop new information technology approaches. With the help of this SAP is trying to meet the unique demands of a wide spectrum of industries. With this approach, customers become members of the SAP development team, sharing their best practices, and solutions. R/3 enables react quick reaction and is more flexible, and leveraging on the changes is on added advantage. Everyday business will surge, and this means one can concentrate on strategically expanding to address new products and markets. The R/3 System is ideal for companies of all sizes, and industries and 50% of its users are small scale industries. It gives them
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a forward-looking information management system, and the means to optimise their business processes. R/3 consists of powerful programs for accounting and controlling, production, and materials management, quality management and plant maintenance, sales, and distribution, human resources management and project management. Already, over 2,000,000 users put R/3 business applications to test every day. R/3 also has information and early warning systems which helps in troubleshooting and problem resolution. R/3 brings together individuals who work on shared tasks within the same company, in a network of companies, or in their dealings with customers and business partners. R/3 unlocks ways to optimise organisational structures for a smoother flow of information at all layers and between all parts of the organisation. With integrated workflow management and access to up-to-the-minute information, R/3 lets employees assume greater responsibility, and work more independently. R/3's applications consist of various modules. They can either be used alone or in combination with other solutions. From a process-oriented perspective, greater integration of applications increases the benefits derived. The following are the R/3 modules: Financial Accounting: Collects all relevant company data for accounting, and provides complete documentation and comprehensive information. At the same time it also provides up-to-the-minute basis information for enterprise-wide control and planning. Treasury: A complete solution for efficient financial management across the company worldwide ensures liquidity, proper structuring, financial assets profitability and helps minimise risks. Controlling: A complete array of friendly planning and control in instruments for company-wide controlling systems. Along with a uniform reporting system for coordinating the contents and procedures of the company's internal processes.
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Enterprise Controlling: Continuously monitors company's success factors and performance indicators on the basis of specially prepared management information. Investment Management: Offers integrated management and processing of investment measures and projects from planning to settlement. It also includes pre-investment analysis and depreciation simulation. Production Planning: Provides comprehensive processes for all types of manufacturing, from repetitive, make-to-order and assemble-to-order, production, through process, lot and make-to-stock manufacturing. Also to integrated supply chain management with functions for extended MRP-II and electronic Kanban, plus optional interfaces for PDC, process control systems, CAD and PDM. Materials Management: Optimises all purchasing processes with workflow-driven processing functions, enables automated supplier evaluation, lowers procurement and warehousing costs with accurate inventory and warehouse management and integrates invoice verification. Plant Maintenance and Service Management: Provides planning, control and processing of scheduled maintenance, inspection, damagerelated maintenance and service management to ensure availability of operational systems, including plants and equipment delivered to customers. Quality Management Monitors: captures and manages all processes relevant to your quality assurance along the entire supply chain, coordinates inspection processing, initiates corrective measures and integrates laboratory information systems. Project System: Coordinates and controls all phases of a project, in direct cooperation with Purchasing and Controlling, from quotation to design and approval, to resource management and cost settlement. Sales and Distribution: Actively supports sales and distribution activities with outstanding functions for pricing, prompt order processing and on-time delivery, interactive multilevel variant configuration and a direct interface to Profitability Analysis and Production.
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Human Resources Management: Provides solutions for planning and managing your company's human resources, using integrated applications that cover all personnel management tasks and help simplify and speed the processes.
13.3.3 SAP Advantage SAP has established partnership with hardware manufacturers, database providers and technology and service companies which play a significant role for successful implementation. Client/server architectures, database systems take care of managing enterprise data. They communicate with application servers that coordinate the actual applications and control communication with the database. At the client level, where the end users work, the cycle of tasks is appropriately distributed across various computers. The process ends with a presentation of the results on the desktop for the user to apply across various levels of management For efficient implementation and use of R/3, the Business Engineer application of SAP allows installation and customisation of R/3 quickly and smoothly. This is provided at minimum cost and with maximum reliability. After the Business Engineer is fully integrated into the R/3 System, it helps in analysing, designing and configuring business processes. As a result, considerable time is saved in implementing R/3 and in subsequently customising the system as business needs change, but it also greatly reduces the cost. The Business Engineer delivers a complete tool kit that greatly facilitates the implementation of R/3 and the engineering of the business processes. For example, the R/3 Procedure Model guides through the different project phases step-by-step from project generation to going live. in order to always be on the right track, a wide range of tried and tested, graphically portrayed business scenarios and processes are stored in the R/3 Reference Model. From this wealth of experience, the best possible processes can be chosen. The openness of R/3 sets the pace in the market for client/server software. You can: Link together R/3 systems or loosely couple distributed R/3 applications. Link both third-party software and popular desktop programs such as MS Word, MS Excel, and MS Project to R/3 applications.
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Integrate specialised systems for computer-aided design (CAD), plant data capture (PDC), or mobile data entry. Incorporate specific solutions for industry, such as laboratory systems or geographic information systems (GIS). Include enhancements to R/3 applications, such as systems for production optimisation and transportation planning. Open up new business opportunities with e-commerce, thanks to direct cooperation between R/3 and the Internet. Use Java technology to make R/3 available to users with a familiar GUI on the Internet. Include fax, e-mail, optical archiving systems and multimedia tools in the R/3 System's business applications. Electronically transmit via EDI, receive and process data from R/3 applications. Build cooperating groups of solutions between R/3 applications and SAPs R/2 System. Activity 1 Make a list of the various ERP software or solution providers with their various products available in the market today.
Self Assessment Questions 1. _________________is a, the leading industry and market analysis firm specialising in enterprise applications and enabling technologies. 2. The _______________ is accepted as the standard in key industries such as oil, chemicals, consumer products, and high technology and electronics. 3. R/3 employs three-layer _____________ architecture. 4. The _______________ delivers a complete toolkit that greatly facilitates the implementation of R/3 and the engineering of your business processes. 5. Client/server architectures, ____________ systems take care of managing enterprise data.
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13.4 Baan Company

Baan Company is one of the leading providers of enterprise business software in the global market. Baan was founded in the Netherlands in 1978 by brothers Jan and Paul Baan. Baan Company offers a widespread collection of best-in-class, component-based applications for front office, corporate office and back office automation. These applications are in use at over 7,000 customer sites worldwide. Baan Company products reduce complexity and cost, improve core business processes. They are faster to implement and use, are more flexible in adapting to business changes. They also optimise the management of information throughout the entire value chain. Baan Company's product family offers on-going delivery of open components for enterprise applications. It consists of a comprehensive and flexible suite of year 2000-compliant software solutions and best-in-class business modelling tools. These tools are based on a flexible, multi-level architecture which can scale to meet the needs of small, medium, and large enterprises. Baan Company makes this possible with its open architecture. This enables customers to migrate to new technologies and product releases at their own pace. Referred to within Baan Company as Dynamic Enterprise Modelling Strategy Execution (BaanDEMSE), this unique approach puts business requirements at the heart of the implementation process. Baan Company and its partners work closely with customers to insure the success of every installation. They also enable customers to achieve the highest level of self-reliance desired. The company's most important customer base includes industry leaders such as Boeing, Philips, Mercedes Benz, Nortel, Fujitsu Network Communications and Motorola. Baan Company aims to ensure that every interaction its customers have is in line with its Three I philosophies: Integrity: In its interactions with its customers, colleagues, partners, and shareholders. Innovation: In what it builds and how it delivers. Initiative: In the speed and focus it brings to all aspects of its market opportunity.
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13.4.1 Products and Technology Over the past 14 years, Baan Company has evolved from revolutionising the Enterprise Resource Planning (ERP) software market to now offering the most complete set of single-vendor enterprise business applications. The foundation for Baan's products is differentiated through their open component architecture and through the use of BaanDEM. BaanDEM via a graphical process/model-based view provides a business view of the enterprise. It is modified or templated to the specific needs of industry groups or individual customers. BaanDEM delivers the capability to rapidly configure and re-install Baan. Companys applications from a single view, helping to ensure that the Baan Company enterprise application accurately reflects a company's most current organisational structure, business practices, and operational procedures. Baan's product line features multi-layer architecture for maximum scalability and flexible configuration. Applications are isolated from the systems environment. This enables the support of new hardware, operating systems, databases, networks and user interfaces without any modification to the application code. Baan Company supports popular UNIX platforms as well as Microsoft NT. Baan has the distinction of being the first solution provider in its class to earn the 'Designed for Microsoft BackOffice logo certification. Products also support major relational database systems (Oracle, Informix, DB2, Sybase, and Microsoft SQL Server). Built on a commitment to reduce the complexity of IT solutions, the Baan product collection assembles best-of-class components. They keep them "evergreen" through on-going release cycles. This enables enterprises to update their information infrastructure in manageable and incremental initiatives. Three advantages distinguish each component element within the BaanSeries-based family of products including. They are: 1. Best-in-class components 2. Evergreen delivery;
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3. Version independent integration. The BaanSeries-based product family includes: Baan Enterprise Resource Planning (BaanERP) BaanFrontOffice BaanCorporateOffice Solutions BaanSupply Chain Solutions.Baan offers specific vertical industry solutions for aerospace and defence companies engaging in multi-level projects and contracts. Baan's A&D offering includes BaanProject to enable the effective management of key functional business process areas. Baan also offers specific vertical industry solutions for automotive companies. Many of the world's leading automotive companies use Baan's business applications to support worldwide manufacturing, distribution, and financial operations. Baan's product suite offers automotive companies next-generation information technology across manufacturing, supply chain and front office operations. 13.4.2 BaanERP Modules BaanERP, the successor to Baan IV, is a proven enterprise resource planning software application. It is fully integrated and provides exceptional functionality across the enterprise. BaanERP consists of a number of interdependent components that can be deployed to meet business needs. The flexibility within BaanERP allows customers to maximise the benefits of both best-in-class solutions and a fully integrated, high-performance system. BaanERP includes the following components - manufacturing, finance, project and distribution. Manufacturing Module: It includes Bills of Material, Cost Price Calculation, Engineering Change Control, Engineering Data Management, Hours Accounting, Product Classification, Product Configuration, Production Control, Production Planning, Project Budgeting, Project Control, Repetitive Manufacturing, Routings, Shop Floor Control, Tool Requirements, Planning and Control, Capacity Requirements Planning, Master Production Scheduling, and Material Requirements Planning.
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Finance Module: It includes Accounts Payable, Accounts Receivable, Financial Budgets System, Cash Management, Financial Reporting System, Fixed Assets, General Ledger, Cost Accounting, and Sales Invoicing. Project Module: It includes Project Budget, Project Definition, Project Estimating, Project Invoicing, Project Monitoring, Project Planning, Project Progress, and Project Requirements Planning) Distribution Module: It includes Sales Management, Purchase Management, and Warehouse Management.
13.4.3 Global Support, Education, and Consulting Support: Baan Global Support is a company's best source for fast, consistent problem resolution, as well as preventive technical advice. Baan Global Support offers a broad range of support services. It includes telephone support, Critical Incident Support, an Interactive Support Website, and an Ongoing Subscription to Innovation. Baan has closely linked Implementation Solution Centres around the world. They support internal and third party implementation consultants as well as customers. Baan also assists customers in establishing on-site competence centres to manage all aspects of the implementation and ongoing systems use. Products are available in over 59 countries through both direct and indirect channels, and are translated into more than 20 languages. Baan Education: As a partner in lifetime learning, Baan Education helps maximise the return on investment in people and technology. Baan Education addresses the education needs of everyone in an organisation. It includes newly hired employees to seasoned professionals who are maturing with technology. Baan Education offers new Internet-based learning called Virtual Campus. With Baan Education, a partner can realise the company's goals of profitability, productivity, and competitive advantage. Baan Education's process-based course, addresses not only specific Baan Company's enterprise applications. It also provides an in-depth understanding of the business processes that its applications automate. Thus, Baan Company extends education beyond simple functionality. It takes into account the various conditions within which its applications are used in their manufacturing, sales, financial, and technical environments of
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a company. This lifetime learning approach means that a company's workforce is always side by side with the latest technology and business developments. Baan Consulting: Baan Consulting is dedicated to implement Baan Companys enterprise applications around the globe, along with the thousands of customers served by its consulting partners. Baan Consulting has a successful track record with well over 1,000 customers worldwide, in almost every business environment. Baan Consulting provides a wide range of services, such as Project Management, Business Consulting, Application Consulting, and Technical Consulting. Consultation support is provided throughout the implementation process, and after a company goes live with the project. Baan Consulting works with its client through Internet-based Baan Cyber Consult offering. Self Assessment Questions 6. _________________ product family offers on-going delivery of open components for enterprise applications. 7. These tools are based on a flexible, _____________ architecture which can scale to meet the needs of small, medium, and large enterprises. 8. ______________ are isolated from the systems environment. 9. ________________ helps maximise the return on investment in people and technology. 10. Baan Consulting works with its client through Internet-based _____________________ offering.
13.5 Oracle Corporation

Oracle Corporation (founded in 1977) is the world's second largest software company. It is also the leading supplier of software for Enterprise Information Management (EIM). With annual revenues exceeding $ 8.0 billion, the company offers its tools, database, and applications products, along with related consulting, education and support services. Oracle employs more than 41,000 people in more than 145 countries around the world. Oracle has its headquarters in Redwood Shores, California. It is the first software company to implement the Internet computing model for developing and deploying enterprise software across its entire product. They
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are application development, databases and relational servers, and decision support tools, and enterprise business applications. 13.5.1 Product and Technology Oracle software runs on personal digital assistants, set-top devices, network computers, PCs, workstations, minicomputers, mainframes, and massively parallel computers. Oracle8i, the latest version of Oracle industry's leading database, is the database for Internet Computing. Oracle's family of database, networking, and gateway products enable corporations to access any data, on any server, over any network, from any client device. Oracle's Warehouse Technology Initiative (WTI), one of the fastest growing and most comprehensive alliance programs in the data warehousing industry. It provides customers with a complete solution on data warehousing. This is based on the industry-leading Oracle database, and more than 60 complimentary third-party software products and services. WTI is designed to increase the quantity and quality of Oracle-based data warehousing solutions. This provides customers with greater choice, specialised tools, Oracle-optimised products, and streamlined support as they build their data warehouse system. Oracle's integrated Business Intelligence Solutions deliver powerful capabilities to users anywhere in the enterprise, at any time. End users benefit from sensitive tools that provide easy access to business data and fast answers to any question. Oracle's Business Intelligence family of products including integrated releases of Oracle Reports, Oracle's enterprise reporting tool, Oracle Discoverer, Oracle's award-winning ad-hoc query and analysis tool, Oracle Express, and Oracle's industry-leading enterprise online analytical processing (OLAP) engine. Oracle also offers pre-built OLAP applications like Oracle Financial Analyser and Oracle Sales Analyser which help to further reduce implementation time and costs. 13.5.2 Oracle Application It is a leading provider of packaged and integrated front office and ERP solutions for the enterprise. It is also a division of Oracle Corporation, the world's second-largest software company and the largest supplier of software for information management. Oracle Applications strategy is to offer all the enterprise solution components like proven applications,
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advanced technologies, business expertise and partnerships required to enable customers to execute strategies quickly. It also assists in managing the risk of change, and lead their respective industries in right direction. Oracle Applications is the only collection of enterprise business applications from a major Enterprise Resource Planning (ERP) vendor that follows the Internet Computing (IC) model. Each of the over 45 modules for human resources, financials, manufacturing, supply chain, and front office automation is web-enabled. It also allows the modules to be deployed on corporate intranets with no software, other than a browser, required on users desktops. This architecture allows organisations to shift the complexity of application management, maintenance, and upgrading from users' desktops onto centralised, professionally managed servers. Hence, it significantly reduces the cost of deploying and administrating the software. By minimising network traffic, this approach also makes it economical to deploy the applications over Wide Area Networks (WANs) to hundreds or thousands of users. This system has enabled the company to distribute critical business information much more broadly which is only possible in the client/server model. Oracle Applications further exploit the low-cost and universal access in the Internet Computing model. By providing a set of applications specifically designed for secure, self-service business transactions across the Internet and corporate intranets this is achieved. These applications are integrated with Oracle Workflow to completely automate business processes. Oracle Applications comprise of 45-plus software modules, which are divided into the following categories: Oracle Financials Oracle Human Resources Oracle Projects Oracle Manufacturing Oracle Supply Chain Oracle Front Office More than 6,000 customers in over 76 countries use Oracle Applications. Available in more than 29 languages, Oracle Applications lets companies
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operate in multiple currencies and languages, support local business practices, and legal requirements. It also handles business-critical operations across borders. A brief overview of the Oracle Application categories is given below: Financials: Oracle Financial Applications can transform a finance organisation into a strategic force. In today's fast-moving corporate field, organisations require access to critical financial management functions. With Oracle Financial Applications, companies will be able to work globally, lower their administrative costs, close their books faster, and improve cash management. At the same time they provide the strategic information required for making timely and accurate decisions. Projects: Oracle Projects Applications improve operational efficiency by providing an integrated project management environment. This supports the full lifecycle of every project in your enterprise, increasing top-line revenue growth and bottom-line profitability. It acts as the bridge between operations systems and corporate finance. Oracle Projects Applications provide a central storeroom of certified cost, revenue, billing, and performance data associated with your business activities or projects. Human Resources: Well-managed human resources directly improve the bottom line and contribute to competitive advantage. The ability to hire, motivates, and retains the most capable workforce; engage employees and line managers directly in managing their skills and careers. It also provides comprehensive and up-to-date workforce information for management on a global basis. These are a few of the characteristics important for success of this software. The Oracle Human Resource Management System (HRMS) provides comprehensive facilities for organisations to achieve such goals. Manufacturing: Oracle Manufacturing Applications are the industryleading mixed mode manufacturing solution. It enables companies to achieve market leadership by becoming more customer-responsive and efficient. This product family supports companies from small, singlefacility environments to multi-plant, global manufacturers with complex requirements. Oracle Manufacturing Applications help companies
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increase revenue, profitability, and customer loyalty. It is achieved by universally capturing demand, planning the extended enterprise in one rapid step. Along with these it ensures that the most efficient manufacturing process is used to produce each product in the respective company using it. Supply Chain: Oracle Supply Chain Management Applications simplify supply-chain processes by providing a single, integrated environment for managing the extended enterprise. Oracle enables effective trading partner collaboration and supply-chain optimisation capabilities that are essential to gain and sustain competitive advantage. Oracle Supply Chain Management Applications help in increasing market share while improving customer service. It also helps the company in minimising the costs across the networked supply chain system. Front Office: Oracle Front Office Applications provide a true customercentric approach. Allowing you to better understand your customer relationships, their value and profitability. Oracle Front Office Applications increase revenues, decrease sales and service costs, and maintain customer retention and satisfaction. The sales, marketing, and service solutions provide deep integration with the entire enterprise collection of applications. Hence, enabling you to attract and retain profitable customers through a unified set of channels, including Web, mobile, and call centre.
13.5.3 Vertical Solutions Oracle also provides vertical solutions with a full line of modular product components aimed at the unique requirements of many major industries, including automotive, aviation, aerospace and defence, communications, consumer packaged goods, energy downstream, energy upstream, financial services, high-tech, public sector, and utilities. This uniqueness and versatility of the company not only provides the required solution to the customer but also the support system has made it the most preferred choice of many companies. Their commitment and knowledge over the field has made them the most successful vendors in the ERP market. Their continuous innovation and up gradation in technology
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has provided an edge over other ERP vendors to firmly hold on to the ever changing ERP market.
13.6 People Soft

PeopleSoft Inc. was established in the year 1987 to provide innovative software solutions that meet the changing business demands of enterprises worldwide. It employs more than 7,000 people worldwide. The annual revenue for the year 1998 was $ 1.3 billion. PeopleSoft's objective is to provide innovative software solutions that meet the changing business demands of organisations worldwide. PeopleSoft develops software that supports enterprise wide solutions to handle core business functions. This includes human resources management, accounting and control, project management, treasury 'management, performance measurement, and supply chain management. It provides enterprise solutions which is industry-specific to customers in select markets. Like healthcare, manufacturing, communications, financial services, higher education, public sector, services, retail, transportation, US federal government, and utilities. PeopleSoft Select offered by the company is a complete packaged solution including software, hardware, and services to address the needs of medium sized organisations. Solutions of PeopleSoft run on a variety of leading hardware and database platforms. Like IBM, Sun Microsystems, Compaq, Hewlett-Packard, Informix, Microsoft SQL Server, Sybase, DB2, and others. PeopleSoft delivers Webenabled applications, workflow, OnLine Analytical Processing (OLAP), and so on. 13.6.1 Business Management Solutions PeopleSoft solutions extend across the globe. The applications help in managing a broad set of business processes, from human resources and finance to supply chain management. One can implement a single application, or a complete enterprise wide solution. The flexible design lets you modify the applications to your specific needs. The PeopleSoft's business management solutions are in the areas given below: Human Resources Management Accounting and Control
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Treasury Management Performance Measurement Project Management Sales and Logistics Materials Management Supply Chain Planning Service Revenue Management Procurement
13.6.2 Commercial Solutions Supply Chain Management: PeopleSoft has the industry's only complete enterprise resource planning solution that is built around supply chain optimisation. A Demand Planning module enables sophisticated forecasting, using both real-time and historical information. PeopleSoft's complete suite of Supply Chain Management products provides comprehensive support for any organisation that produces or markets a physical product. Service Industry Solutions: PeopleSoft also provides a complete commercial support solution for service industries. The Service Revenue Management suite features modules supporting the tracking of time and labour, payroll processing, project management, billing, and expense and receivables processing. A suite of Procurement modules is also available supporting purchasing, inventory management, payables and expense processing, and asset management. 13.6.3 Industry Solutions PeopleSoft supports industry-specific market initiatives in many business sectors. The initiatives include industry specific products, customisation of existing applications, and sales and marketing support through direct channels and business alliances. PeopleSoft has 11 distinct business units, which provide software solutions specific to a broad range of public and private sector industries. These Industry partners help in making the solutions widespread and spanning the enterprise from the back office to the front lines. From service and manufacturing to education and government, PeopleSoft solutions are
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global, enterprise-wide, and modified to unique industry requirements. The different business units are: Communications Federal Government Financial Services Healthcare Higher Education Manufacturing Public Sector Retail Service Industries Transportation Utilities 13.6.4 Applications PeopleTools is an integrated set of client/server business application development and customisation tools from PeopleSoft. These tools enable customers to implement, modify, and maintain PeopleSoft applications as well as to extract, analyse and manipulate data. PeopleTools includes several tools for reporting, customisation and workflow. PeopleSoft continually adds and refines technology to optimise their customers information systems. They help customers take advantage of new and emerging technologies, giving them more choices and freedom to develop their own innovative business processes. Some of them are given below: Self-Service Applications: Helps to improve productivity throughout the organisation. PeopleSoft focuses on providing the occasional user with easy access to information and functionality specific to their role. They have developed a set of self-service applications to help companies quickly and cost-effectively distribute functionality throughout the enterprise over the Internet, and intranets. Built with a spontaneous interface based on a standard Web browser such as Netscape Navigator or Microsoft Explorer. These Java-based, cross-platform applications enable employees, customers, suppliers, and other occasional users to perform self-service administrative tasks easily. SelfPage No. 298
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service applications are linked to PeopleSoft core product lines. Such as PeopleSoft Accounting and Control, Human Resources Management, and Materials Management. Web Client: Self-service applications use the PeopleSoft Web Client. The Web Client is downloadable on demand and runs on a Web browser across multiple platforms. Its affordability, open architecture and simplicity provide an ideal framework for delivering enterprise solutions to a large number of people. Applications don't need to be installed at every desktop; they are accessed easily through a browser. In addition to supporting self-service applications, the PeopleSoft Web Client has a Work list and Query interface. This improves the flow of the company's business processes and improves access to information for occasional users. Furthermore, all data transmitted between the Web Client and the application server is coded for added security. Because the Web Client takes advantage of PeopleTools, self-service applications can be deployed across the Internet or existing corporate intranets with common business rules workflow logic and security features. Multi-layer Transaction Processing: The ability to support large numbers of parallel users, while maintaining reliable, and superior performance, is critical to enterprise-wide data processing. PeopleSoft works in a variety of settings over Local Area Networks (LANs) and Wide Area Network (WANs), throughout organisations. In the latter, the application logic runs on an application server instead of the client. The application server is designed to relieve the client from processing intense SQL transactions, thereby reducing LAN traffic and improving performance across WANs. Three layered architecture also provides increased scalability to accommodate high volumes of parallel users while maintaining a consistent and reliable performance level. PeopleSoft continues to support its traditional two layered architecture as well. OnLine Analytical Processing (OLAP): Companies must be able to quickly extract and analyse the information they require for effective decision-making. OLAP, or online analytical processing, is a powerful method for interactively analysing data online. PeopleSoft integrates
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popular OLAP tools including Cognos PowerPlay and Arbor Essbase that enable users to easily share multidimensional data stored in various locations. With the Cube Manager application, users can define the data they want to extract into an OLAP cube. It enables them to quickly view information from all different angles to test conclusions, conduct what-if scenarios and compare alternative strategies. With multidimensional information presented in quick-read formats, managers can make better decisions, react faster to competitive threats and identify inefficiencies. Workflow: An essential part of the solution, PeopleSoft workflow capabilities help communications companies achieve enterprise-wide integration of information, applications, and people. Workflow enables a company to automate many time-consuming clerical tasks, while putting useful data into the hands of users. With workflow, the company's PeopleSoft applications do more of the work. For example, if managerial approval is needed for a work order, the system automatically forwards the request. Workflow can also help the company track projects, by initiating a workflow message to the appropriate person when a project exceeds a predetermined cost. The company can even bring nonPeopleSoft users into the workflow process, using e-mail systems and the Internet for collecting, and distributing data. Activity 2: Visit a nearby departmental store and find out the features as a small business unit what the requirements an ERP package must provide them. Self Assessment Questions 11. Oracle's __________________ one of the fastest growing and most comprehensive alliance programs in the data warehousing industry. 12. Oracle Applications further exploit the low-cost and universal access inherent in the ____________________ model. 13. Oracle Projects Applications improve operational efficiency by providing an integrated _____________________ environment. 14. _____________ focuses on providing the occasional user with easy access to information and functionality specific to their role.
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15. PeopleSoft works in a variety of settings over _____________and ________________.
13.7 JD Edwards World Solutions Company

1977 Denver, Colorado, three men left the accounting world to form a software company that would specialise in midrange computing solutions. Each of the three founders Jack Thompson, Dan Gregory and Ed McVaney lent a small portion of his name for the company name. On March 17, JD Edwards was formed. In the early years, JD Edwards designed software for several small and medium-sized computers. They eventually started focusing on the IBM System/38 in the early 1980s. It was in this effort that JD Edwards pioneered the Computer-Aided Systems Engineering (CASE) software development and design tool. This lend for consistency across the broad range of JD Edwards' integrated applications. As JD Edwards' business continued to grow, it became obvious that servicing a large number of customers was creating challenges. The company could either remain small or serve customers on an individual basis or, with a breakthrough in technology; it could become an industry leader in enterprise software. When McVaney and Thompson began to design and implement Worldsoftware, they provided the pathway to success. By the mid-1980s, JD Edwards was being recognised as an industry-leading supplier of applications software for the highly successful IBM AS/400 computer, a direct successor of the System/38. With the June 1996 introduction of OneWorld, the company once again achieved a technological breakthrough. Building on the CASE technology pioneered in the 1980s, OneWorld combines a full range of platform independent applications with an integrated toolset. OneWorld gives organisations the power to configure their systems and applications as their needs change. Today, JD Edwards is a publicly traded company that has more than 4,700 customers with sites in over 100 countries and more than 4,200 employees. The company attributes much of its success to a corporate culture that
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emphasises quality at all levels. JD Edwards' commitment to its product quality, its corporate culture and a customer centric approach enable the company to deliver and support leading enterprise software solutions that solve business problems. 13.7.1 Product and Technology JD Edwards offers its solutions primarily for the AS/400 platform. JD Edwards's has two application suites, OneWorld and WorldSoftware. WorldVision, provide comprehensive supply chain management functionality across the wide range of technology. Both can run parallel on the same the AS/400 platform, share data and interact with each other as a unified solution. 13.7.1.1 OneWorld JD Edwards OneWorld is flexible enough to support an extended solution by integrating with existing, best-of-breed and other company products. This can be achieved without sacrificing the security, integrity, or consistency of the existing systems or data. OneWorld's own Application Programming Interfaces (APIs) , as well as such industry standards as CORBA, ODBC and other packaged integration solutions ensure that you won't be locked into limited functionality, and any of the future opportunities. OneWorld embraces change with its modular architectural foundation. The information processing is segmented into five functional elements. They are database, data warehouse, business objects, reporting, and GUI. The users can link these elements in a variety of configurations from one level, with every element running on a stand-alone PC, to five levels or more. One can also distribute the elements geographically, departmentally, or administratively. You also can configure and reconfigure in the field, as requirements change. There are provisions to add new servers, even Web servers, without having to rewrite applications for the new machine. OneWorld has the tools and technologies that will quickly bring archived data to light. And you can extend and supplement those technologies with solutions offered by leading industry data warehousing and decision support specialists. The customer has the option to choose the data warehousing
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solution that he wants. OneWorld provides alternatives, so that you can choose the most appropriate solution based upon your own requirements. With OneWorld, you can distribute your enterprise applications to employees, business partners, and customers using web-based technology, without rewriting your applications. OneWorld software version supports client/server and Internet modes. This results in an extended enterprise that works together to support the same business tasks. No matter how well your applications fit, they probably need a little modification to fit precisely to the needs of your organisation. With OneWorld, you get a powerful set of tools to make those alterations. OneWorld's toolset uses business logic, not symbols and syntax, to drive the modification process. Change your business specifications, and the toolset automatically regenerates the appropriate object code. You can modify applications, balance processing loads run reports, and build graphical user interfaces without writing codes. Add hardware and databases without bringing your business to a halt. Since modifications are made with the same toolset used to build OneWorld, it's all integrated. When a new release arrives, your changes will automatically be incorporated you won't have to make them again. The interface is consistent whether you are partitioning applications or replicating data. This will save a lot of time and effort in reprogramming and retraining. OneWorld allows you to build highly flexible workflow solutions and execute, predefined, and unplanned processes in your organisation. With OneWorld, your ability to learn, implement, and maintain workflow at all levels of your organisation is simplified. 13.7.1.2 WorldSoftware and WorldVision In the age of technology change, the popularity of many enterprise software solutions is fleeting. The resulting obsolescence is frustrating and costly. It is better to have a system that has the necessary functionality with built-in longevity. More than 4,000 customers have found this staying power in JD Edwards WorldSoftware. On its strength and the reliability of its host -centric. IBM AS/400 foundation, WorldSoftware's global popularity has endured in the ERP marketplace for over a decade.
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Inherently flexible and easy to use, WorldSoftware readily adapts to your situation, letting you: Selectively mix, match and integrate software applications from among its diverse industry product suites. Easily modify it to ongoing business, local and organisation-specific requirements. Add WorldVision, its advanced graphical user interface, to gain client/server benefits. Optionally run it alongside OneWorld, JD Edwards' network-centric solution, to gradually incorporate other computing platforms into your network. JD Edwards WorldVision provides the Graphical User Interface (GUI) with a look and feel common to the PC. At the same time it protects your investment in WorldSoftware and the AS/400. WorldVision also allows you to: Maximise productivity by shrinking the amount of training users need. Make a safe move to client/server by leveraging your existing hostcentric WorldSoftware applications.
And like WorldSoftware, another bread of software WorldVision is developed and continually enhanced for the future. For example, you can have WorldVision as a Windows 95/NT style GUI for a PC and as a Javabased interface for use across the Internet, or intranets. 13.7.3 Modules The different product modules available from JD Edwards are: Foundation Suite: Consists of Back Office, CASE Foundation, Environment/ Toolkit, Financial Analysis Spreadsheet Tool and Report Writer, WorldVision GUI, Electronic Burst & Bind. Financial Suite: Consists of General Accounting, Accounts Payable, Accounts Receivable, Fixed Assets, Financial Modelling and Budgeting, Multi-Currency Processing, Cash Basis Accounting, Time Accounting) Logistics/Distribution Suite: Consists of Forecasting, Requirements Planning, Enterprise Facilities Planning, Sales Order Management, Advanced Pricing, Procurement, Work Order Management, Inventory
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Management, Bulk Stock Management, Quality Management, and Advanced Warehouse. Management: Consists of Equipment Management, Transportation Management, Job Cost and Service Billing Services Suite: Contract Billing, Subcontract Management, Change Management, and Property Management. Manufacturing Suite: Consists of Configuration Management, Cost Management, Product Data Management, Capacity Planning, Shop Floor Management, and Advanced Maintenance Management) Architecture, Engineering, Construction, Mining and Real Estate Suite: Consists of Procurement, Inventory Management, Equipment Management, Job Cost, Work Order Management, Subcontract Management, Change Management, Contract Management, Contract Billing, Service Billing, Homebuilder Management, and Property Management. Energy and Chemical Suite: Consists of Agreement Management, Advanced Stock Valuation, Sales Order Management, Bulk Stock Management, and Load and Delivery Management. Government, Education, and Not-for-Profit Solutions: Consist of Financial Administration and Reporting, Budget Administration, Fund and Encumbrance Accounting, Grant and Endowment Management, Purchasing and Material Management, Warehousing and Central Stores Management, Human Resources Management, Service and Work Order Management, Capital Project and Construction Management, Contract Management, Plant, Equipment, and Fleet Maintenance. Utility and Energy Solutions: Consists of Customer Information System, Human Resources Management, Work Management, Regulatory Reporting, Supply Chain Management, Project Management, Enterprise Maintenance Management.
JD Edwards offers customers the means of achieving greater ongoing control of their businesses. It is enabled by their ability to define and redefine the way they do business as markets, customers and competitive conditions change. Behind this customer commitment is a twenty-two year
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history of listening to customers, understanding what they ask of business technology. At the same time learning the problems and requirements of their industry and developing solutions accordingly. By emphasising solutions, relationships, and value, JD Edwards maintains its focus on what truly matters to its customers. Self Assessment Questions 16. _____________ combines a full range of platform independent applications with an integrated toolset. 17. Change your business specifications, and the toolset automatically regenerates the appropriate__________. 18. A network of certified service and support providers complements the services directly available from ______________ to ensure timely implementation and ongoing quality of the solution. 19. Through continual enhancements in features and functionality, ____________________ opens to other technologies.
13.8 Systems Software Associates Inc.(SSA)

System Software Associates (SSA), Inc. is one of the leading providers of software for industrial businesses in the world. The company was founded in 1981 by Roger E. Covey. Covey at age 26 was already experienced in selling software manufacturing systems. He had worked previously for Chicago, Illinois-based Professional Computer Resources, Inc before starting his own company. The reason for the company's early growth was its unique distribution system. Covey had determined that selling through retail channels made it difficult to find customers, while selling though a direct sales force and providing extensive servicing made it difficult to turn a profit. Therefore, SSA instead developed a network of local affiliates, trained by SSA, that would sell, install, and service the products for a commission. This enabled the company to expand at an impressive rate while keeping its overhead costs low. Covey and his employees decided to focus on improving the company's specialty, integrated software packages for industry. Instead of searching for the ways to diversify the product line the company had. In 1984, SSAs sales
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reached $3.9 million. This growth continued rapidly through the mid 1980s with the services they offered to medium-sized companies. Since these companies often needed to expand their computer system capacities and software capabilities. However, they wanted to achieve this without hiring programming personnel as a part of their work force. Since hiring program developers was not only costly but also required resources to support it. SSA was able to make use of this opportunity and establish its market is these medium sized companies. SSA by 1989 had a workforce of 400 employees with over 4,000 customers in 30 countries. The company was producing software in eight languages, including French, German, Italian, Chinese, and Japanese. They were offering twenty-six integrated software products for their customers. At a price rang varying from $50,000 to $500,000, depending on the size of the computer on which the applications were to run. Network of associates working for SSAs had grown to 52 by the middle of 1989, penetrating nearly every major market in the world. The competition became tough when IBM's improved integrated software package was released to the market. However, the market for integrated software for medium-sized companies remained somewhat under-penetrated, and SSA was able to sustain its rapid growth rate through the year. The company's sales increased to $95 million, with net income reaching $11.1 million in 1989. SSA had made its presence felt in the ERP market. After Covey's resignation, his place was filled by Larry J. Ford. Larry J. Ford was the vice-president of IBM, in charge of marketing the AS/400. Ford, who had been with IBM for 28 years, had occupied the posts of president, chairman, and chief executive of SSA. Under leadership of Ford, SSA continued to prosper. Increasing stress was placed on the company's CASE products, which assist clients in adapting software for their own purposes as business conditions change. SSA had over 4,000 customers, more than half of them were overseas customers. The company's net income finally began to stabilise during that year, although sales continued to climb, reaching $146 million. SSA concentrated its attention on a new strategy for supporting opensystem client server computing environments. Using its CASE technology, it
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began offering more flexible software than compared to previously available. The company's new version of its most important BPCS series was called Business Planning and Control System/Advanced Solution (BPCS/AS). BPCS/AS consists of over 40 applications integrated in it. These applications can be easily modified to keep up with rapid changes taking place in the hardware on which they are run and the business climates in which they are used. The company announced that its new client/server application products can run on systems based on UNIX as well as on the AS/400. Now SSA is the single largest supplier of software for IBM manufactured AS/400 line of minicomputers. The flexibility of SSAs software products are so flexible that they can be reconfigured to meet specific customer and business demands in any industry. The company through offices and business support system in 67 countries maintains its global presence. It also provides support for clients with the help of a network of over 5,000 professionals working round the clock. 13.8.1 Product and Technology Business Planning and Control System (BPCS) is the main product line of SSAs. This is an integrated group of software products for industry that includes applications for manufacturing, distribution, and financial operations. The company is also a major force in Computer-Aided Systems Engineering (CASE) technology. Its AS/SET line uses CASE technology to allow clients to construct their own applications. Electronic Data Interchange (EDI) enables businesses to communicate electronically with trading partners, is another area in which SSA has developed advanced products. The company's new software line the Main/Tracker automates, maintenance, performs safety inspection, and warranty tracking. Therefore it is one of the leading maintenance management system software in the world. Some of the most popular products of SSA are: Business Planning Control System (BPCS): BPCS consists of processes that monitor various functions of distribution and manufacturing. Business Performance Management: Business performance management (BPM) consists of a set of management and analytic processes, supported by technology, that enable businesses to define
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strategic goals and then measure and manage performance against those goals. Customer Relationship Management (CMR): CMR consists of the processes a company uses to monitor and organise its contacts with its current and future customers. CRM software is used to support processes. Also information about customers and their interactions can be entered, stored, and accessed by employees in different company departments. Typical CRM objective is to improve services provided to customers, and to use customer contact information for targeted marketing. Financial Management (FM): FM is the sub-division of finance that concerns itself with the managerial significance of finance techniques. It is focused on assessment rather than technique. It is an interdepartmental approach that borrows from both managerial accounting and corporate finance. Human Capital Management (HRM): HRM is the strategic and rational approach to the management of an organisation's most valued assets the people working there who individually and collectively contribute to the achievement of the objectives of the business. Product Lifecycle Management (PLM): PLM is the process of managing properly the entire lifecycle of a product from its conception, through design and manufacture, to service and disposal. PLM integrates data, processes, people, and business systems and provides a product information backbone for companies and their extended enterprise. Supply Chain Management (SCM): SCM is the management of a network of businesses that are interconnected, involved in the ultimate provision of product and service packages required by end customers. It monitors the movement and storage of raw materials stock, inventory, work-in-process, and finished goods from point of origin to point of consumption. Supplier Relationship Management (SRM): SRM is a discipline of working in cooperation with the suppliers that are vital to the success of
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your organisation, to maximise the potential value of the relationships of the supplier. Lets us study about SSAs highly popular product the BPCS. Business Planning Control System (BPCS) was developed by System Software Associates (SSA), which later became SSA Global Technologies. This software is used to control the operations of manufacturing companys processes. BPCS consists of MRP logic for manufacturing operations, provided there are high standards of data validity such as engineering specifications and inventory accuracy. It runs on several systems, which includes the IBM System also known as IBM AS/400 or IBM eServer iSeries. It is written in SQL, As/Set, RPG, and other IBM languages somewhat unique to the System. The main strength of BPCS that helps it to compete with other ERP vendor is its manufacturing and planning applications. 13.8.2 BPCS Applications BPCS Applications dependent very much on the BPCS software version of SSA. Since, SSA enters into partnerships with various specialty suppliers of applications such as Data Mining, Bar Coding, and so on, and suppliers that integrated with a particular version. Most planning in BPCS Application suite functions are used in both Distribution and Manufacturing. The BPCS Application suite includes: Financial: It consists of Costing (CST), Accounts Payable (ACP), Accounts Receivable (ACR), Billing BIL, General Ledger GLD, Cash Management (CSH), Multiple Currencies (MLT), Currency Translation (CTR), Financial Assistant (FIN), Fixed Assets (FXA), Payroll (PAY), Business Modeling, and Data Mining. Planning: It consists of Forecasting (FOR), Master Scheduling (MPS), Material Requirements Planning (MRP), Capacity Planning (CAP), Distribution Resource Planning (inter facility) (DRP), Planner's Assistant (PLN), and Simulations.
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Distribution: It consists of Inventory (INV), Purchasing (PUR), Customer Order Processing (ORD), Billing (BIL), Sales Analysis (SAL), Promotions and Deals (PRO), and Performance Measurement (PRF),(such as supplier quality and on-time, your company performance in supplying to the customers, our internal quality control, Multiple Environments, Companies, Divisions, Facilities, Warehouses, and Locations). Manufacturing: It consists of Bill of Material (BOM), Inventory (INV), Shop Floor Control (SFC), Master Scheduling (MPS), Material Requirements Planning (MRP), Capacity planning (CAP), Laboratory Management (LMS), Just In Time (JIT), Quality Control (QMS), Repetitive Manufacturing, CIMPath (Barcoding and Data collection) (CIM), Advanced Process (chemical) Industries (API), and Performance Measurement (factory production) (PRF). Systems Applications: It consists of ASAP Information Retrieval, Misc Reports & Retrievals, System Parameters or Business Rules, Transaction Effects, Documentation, Data Base X-Reference, Interest Area Menus, Sliding Y2K Window, and Data Base upgrade.
13.9 QAD
QAD was founded in 1979 and now has a presence in 21 countries and employs more than 1100 people. The company's products include MFG/PRO, On/Q, Service/Support Management, Decision Support, and Qwizard. The company's flagship product is its ERP solution MFG/PRO. It is available in 26 languages and has more than 4,000 installed sites in over 80 countries. The company got the ISO certification in 1995. QAD offers a variety of supply chain and Enterprise Resource Planning (ERP) software products to manufacturing industries within the automotive, consumer products, electronics, food and beverage, industrial products and medical sectors. QAD software optimises your enterprise by increasing the speed of internal processes and by synchronising distributed operations. QADs flagship product, MFG/PRO software, provides multinational organisations with an integrated Global Supply Chain Management solution. It includes financial, manufacturing, distribution, and service/support
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management applications within an open system environment. InternetEnabled MFG/PRO allows you to share information and conduct commercial transactions over the Internet. QAD's On/Q Extended Supply Chain Applications manage the complex demand and fulfilment transactions of large multinational corporations with dynamic, collaborative relationships spanning multiple enterprises. Service/ Support Management are designed for companies who not only manufacture and sell their products but also offer after-sales service and support. QADs Decision Support is a tool designed to provide manufacturers with access to information necessary for informed decisionmaking. Qwizard, QADs interactive mentor for users of MFG/PRO software, is a value-added tool that provides easy-to-use business modelling, implementation, and interactive learning tools. QAD has currently developed a number of business arrangements with Product Alliance Partners to enhance the effective functionality of QADs products. 13.9.1 Application MFG/PRO software is one of the successful client/server ERP applications as it dramatically increases the internal efficiencies of distributed operations within months of purchase. The software is complete, open, flexible, scalable, interactive, and designed to address the operations requirements of today's manufacturers. It is available in 26 languages, is year-2000 compliant, and supports multiple currencies including the Euro. MFG/PRO includes a large set of solution components for manufacturing, distribution, financial, supply chain, and service /support management. Configurable and interoperable, it is open to best-of-breed components, uses either Oracle or Progress databases, and runs in UNIX, Windows and Windows NT environments. MFG/PRO can be implemented at multiple locations and it easily scales to meet the changing business requirements. MFG/PROs user interface is an ultra-thin Java browser. MFG/PRO is also available with a Windows Character User Interface (CUI).or Graphical User Interface (GUI).
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Manufacturers need a solid strategy for achieving and maintaining competitive advantage. MFG/PRO software quickly synchronises distributed operations within your enterprise, enabling you to balance supply and demand across multiple sites. MFG/PROs supply chain functions include centralised order processing, centralised purchasing, enterprise operations planning, distribution requirements planning, and enterprise materials transfer. By using MFG/PROs enterprise-level supply chain functions, you can manage supplies within your enterprise far more effectively, no matter how widely distributed your sites are. This means you will be able to respond to customer needs much more rapidly. 13.9.2 Modules MFG/PRO of QAD is a fully integrated software package available on a module by module basis. MFG/PRO addresses the entire manufacturing band from repetitive to configure-to-order. It is appropriate for batch process like make-to-stock, configure-to-order, and repetitive manufacturing environments. With world class supply chain management tools, it is particularly useful for multinational companies. The various modules of MFG/PRO are: Distribution: The Distribution Modules (DM) of MFG/PRO are used to monitor inventory balances and manage purchasing and sales order entry activities. Manufacturing: The Manufacturing Modules (MM) are used to regulate all manufacturing activity within the various types of production environments. Financials: The Financial Modules (FM) interface with the Distribution, Planning and Manufacturing modules to report the financial implications of the company's activities. Service/Support: Service/Support Modules (SM) are designed for companies which not only manufacture and sell their products, but also offer after-sales service and support. Supply Chain: Supply Chain Management (SCM) is the control of goods and information from supplier to customer.
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Master Files: Master Files (MFs) functions provide access to a series of foundation modules that are used by the rest of the MFG/PRO applications. These master files include: Inventory Control Settings, Items/Sites, Addresses/Taxes, Physical Inventory, Multiple Database configurations, and Manager Functions. Activity 3 Consider that you are a manager, in a manufacture industry and you are asked by your management to recommend ERP software for one of the supply chain process. What are the criterias that you keep in mind before choosing software or an ERP system?
Self Assessment Questions 20. SSA concentrated its attention on a new strategy for supporting ________________ client server computing environments. 21. ______________________ is the main product line of SSAs. 22. _____________ includes an extensive large set of solution components for manufacturing, distribution, financial, supply chain, and service /support management. 23. MFG/PRO is also available with a Windows graphical user interface______________________.
13.10 Summary
Analysing ERP market share is quiet different when compared with reviewing the market segments for any other product or service. The segmentations in that case will be numerous and in the form of many criteria like physical, geographical, functional, distribution level and many more factors. ERP the segmentation falls in than three main categories namely type of the industry, size of the industry and geographical areas in terms of the nations where the product is demanded. This helps in arriving at ERP market and ERP software market share. (Instead use ERP Market can be segmented into three major segments/Categories). While discussing size of industry it refers to the volume of business transacted and the capacity of the firm in terms of large sized or mid sized or low rung. When it comes to the question of type it refers to the mode of
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business via hospitality or insurance or manufacturing or health and so on. The market for them purely depends on the services offered by the vendor. The question of geographical segmentation involves a detailed study when it comes to ERP markets. The companies SAP, Baan, Oracle, PeopleSoft, JD Edwards, SSA and QAD and their respective products have not only revolutionised the ERP market but also give it a new dimension. With new technologies and the capability to provide solutions to the small scale industries along with the customer support services have enabled them to penetrate into the small and unorganised sectors. Both the vendors and the customers are benefiting form this highly flexible and cost effective solutions.
13.11 Terminal Questions

1. Who are the major players in the global ERP market and what are their market shares? 2. Who are the major ERP players in the Indian market and what are their market shares? 3. What are the modules available in SAP R/3? 4. Write a note on Oracle and its application. 5. What are the functions of Baans Global Support, Education, and Consulting operations? 6. Discuss briefly about JD Edwards and PeopleSofts applications and their various modules.
13.12 Answers
Self Assessment Questions 1. AMR Research Inc. 2. System Software 3. Client/server 4. Business Engineer 5. Database 6. Baan Company's 7. Multi-level 8. Applications 9. Baan Education
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10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23.
Baan Cyber Consult Warehouse Technology Initiative (WTI), Internet Computing Project management PeopleSoft Local Area Networks (LANs), Wide Area Networks (WANs) OneWorld Object code JD Edwards Architecture Open-system Business Planning and Control System (BPCS) MFG/PRO Graphical User Interface (GUI)
Terminal Questions 1. Refer section 13.2 2. Refer Section 13.2 3. Refer Section 13.3 4. Refer Section 13.5 5. Refer Section 13.4 6. Refer Sections 13,6 and 13.7
13.13 Case Study

The new Chief Information Officer's responsibility was to replace the out dated computer systems with new packaged systems. It had to provide a competitive advantage through technology for the company. This meant using sophisticated systems to bring more resources to market (that is, filling jobs faster with their temporary employees), while at the same time slashing prices by reducing operating margins. The objective was to implement improved business processes by configuring and installing packaged ERP systems according to the results of an enterprise-wide reengineering effort.
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The sales and service department will be able to fill jobs faster with temporary employees by using sales support applications. This was supposed to be configured in to the new system based on best practices identified and propagated throughout the organisation's distribution network. New business acquisition and retention of existing customers is going to be enhanced through customer management software and customer information reporting. With the use of the packaged applications the field offices will be able to reduce operating margins. This is meant to support field office functions, such as billing, payroll, time accounting, and collections. The definition of flow of activities, core business processes, and decision support needs will ensure the proper configuration of the packaged software to take advantage of reengineered processes with the latest technologies. The pre-integrated nature of the ERP-packaged software that is going to be implemented will provide a new baseline for all the company's systems. Plans were made to include those that will not be involved in the initial installation. These included systems that were isolated without integration requirements, systems that were not included in the available ERP functions and some special in-house applications and customised applications. Systems will be modified into the new order on a scheduled basis, and new development will target the standards established by the new ERP implementation. Integration will increase as all application of the company move into the new ERP environment. Therefore, the company will begin to develop superior knowledge management at the corporate level to be used for decision-making. But the CIO's main problem was the seemingly overwhelming gap between what he knew (the fragmented puzzle of the company's current systems) and what he needed to know (business requirements for the new systems). The CIO had minor information about how the existing systems were actually being used to conduct business in the company. His field managers, technical managers, and the headquarters staff that supported them all wanted the package installation to succeed. All the managers held a piece of the information needed to make it a success,
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but none could see the whole picture. Without the crucial analysis of the use of current systems as a basis for defining future business requirements, the implementation project risked missing the mark. Questions: 1. Do you think the companys management was clear about the implementation process that it wanted to carry out? Is their any requirement of the companys top manager to take the responsibility of the implementation process? 2. What were the results the company was expecting from the new implementation? 3. How do you think the CIO has to overcome the problem that he is facing in this situation?
13.14 Glossary
Term Attributes Description To regard somebody or something as having particular qualities required or demanded by a particular organisation or group to meet some requirements. In the market of ERP companies performing extremely well when compared to its counterparts is considered to be the best in that group. Power over other people, especially something that gives an advantage but is not referred to openly in an organisation. A fast powerful computer with a large storage capacity that can accommodate several users simultaneously It is the state of being which occurs when an object, service or practice is no longer wanted even though it may still be in good working order. A collection of computer programs, usually application software and programming software of related functionality, often sharing a more-or-less common user interface and some ability to smoothly exchange data with each other.
Best-of-breed
Leverage
Mainframe Obsolescence
Application Suite
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References 1. ERP Demystified 2/E by Alexis Leon. 2. ERP Market by M.H. Lakdawla. 3. www.amrresearch.com.
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Enterprise Resource Planning

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13.2 ERP Market

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Figure 13.1: Top Five ERP Vendors

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PeopleSoft 6% JD Edwards 7% Oracle Applications 10% SAP AG 29%

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Figure 13.3: Indian ERP Market Share

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13.4 Baan Company

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13.5 Oracle Corporation

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13.6 People Soft

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15. PeopleSoft works in a variety of settings over _____________and ________________.

13.7 JD Edwards World Solutions Company

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15. PeopleSoft works in a variety of settings over _and ____.