PAUL COLLEGE RIZALJOHN TECHNOLOGICAL UNIVERSITY

G R AD U AT E S C H O O L - M S I T

MG Andaya Compound, Odiong, Roxas, Oriental Mindoro

ENTERPRISE RESOURCE PLANNING AND E-COMMERCE

GOOD MORNING !!!

Comp 3 IT Concepts and Analysis Design

ENTERPRISE RESOURCE RIZAL TECHNOLOGICAL UNIVERSITY G R AD U AT E S C H O O L - M S I T PLANNING

Comp 3 IT Concepts and Analysis Design

ENTERPRISE RESOURCE PLANNING Enterprise resource planning (ERP) is business process management software that allows an organization to use a system of integrated applications to manage the business and automate back office functions. ERP software integrates all facets of an operation, including product planning, development, manufacturing processes, sales and marketing.

ERP systems track business resourcescash, raw materials, production capacityand the status of business commitments: orders, purchase orders, and payroll. The applications that make up the system share data across the various departments (manufacturing, purchasing, sales, accounting, etc.) that entered the data.
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ERP VENDORS
Depending on your organization's size and needs there are a number of enterprise resource planning software vendors to choose from in the large enterprise, mid-market and the small business ERP market. 1. 2. 3. Large Enterprise ERP (ERP Tier I) SAP Oracle Microsoft.
1. 2. 3. 4. 5. 6. 7. Small Business ERP (ERP Tier III) Exact Globe Syspro NetSuite Visibility Consona CDC Software Activant Solutions

Mid Market ERP (ERP Tier II) 1. Infor 2. QAD 3. Lawson 4. Epicor 5. Sage 6. IFS.

Comp 3 IT Concepts and Analysis Design

RIZAL TECHNOLOGICAL UNIVERSITY

G R AD U AT E S C H O O L - M S I T

E-COMMERCE

Comp 3 IT Concepts and Analysis Design

E-COMMERCE

E-commerce or electronic commerce is defined as the complete set of processes that support commercial or business activities on a network. They help in carrying out commercial transactions electronically.

Comp 3 IT Concepts and Analysis Design

MAIN CATEGORIES OF E-COMMERCE

1. B2B (Business-to-Business) Companies doing business with each other such as manufacturers selling to distributors and wholesalers selling to retailers. 2. B2C (Business-to-Consumer) Businesses selling to the general public typically through catalogs utilizing shopping cart software. 3. C2B (Consumer-to-Business) A consumer posts his project with a set budget online and within hours companies review the consumer's requirements and bid on the project. The consumer reviews the bids and selects the company that will complete the project. 4. C2C (Consumer-to-Consumer) There are many sites offering free classifieds, auctions, and forums where individuals can buy and sell thanks to online payment systems like PayPal where people can send and receive money online with ease.
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RIZAL TECHNOLOGICAL UNIVERSITY

G R AD U AT E S C H O O L - M S I T

ERP CONFIGURATION

Comp 3 IT Concepts and Analysis Design

ERP CONFIGURATION

Configuring an ERP system is largely a matter of balancing the way the organization wants the system to work with the way it was designed to work. ERP systems typically include many settings that modify system operation. For example, an organization can select the type of inventory accountingFIFO or LIFOto use; whether to recognize revenue by geographical unit, product line, or distribution channel; and whether to pay for shipping costs on customer returns.

Comp 3 IT Concepts and Analysis Design

RIZAL TECHNOLOGICAL UNIVERSITY

G R AD U AT E S C H O O L - M S I T

DATA WAREHOUSING

Comp 3 IT Concepts and Analysis Design

DATA WAREHOUSING

Data warehousing allows a company or organization to create a consolidated view of its enterprise data, optimized for reporting and analysis. Basically, a data warehouse is an aggregated, sometimes summarized copy of transaction and non-transaction data specifically structured for dynamic queries and fast, efficient business analytics. In data warehousing, data and information are extracted from heterogeneous production data sources as they are generated, or in periodic stages, making it simpler and more efficient to run queries over data that originally came from different sources. Data is turned into high-quality information to meet all enterprise reporting requirements for all levels of users.
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RIZAL

G R AD U AT E S C H O O L - M S I T

RISKS ASSOCIATED WITH ERP TECHNOLOGICAL UNIVERSITY IMPLEMENTATION

Comp 3 IT Concepts and Analysis Design

RISK ASSOCIATED WITH ERP IMPLEMENTATION

Enterprise Resource Planning (ERP) system implementation is typically a massive undertaking for an enterprise. Due to the magnitude of an ERP implementation and the frequency of ERP failures, companies have greater incentives to proactively identify and mitigate the various risks associated with the implementation process. A Protiviti whitepaper addresses these ERM implementation issues and offers guidance on how to manage ERP implementation risk. ERP systems are designed to integrate internal and external information that enhances the flow of communication and decision-making across an enterprise, and focuses on business processes and functions. As a result of the vast nature of the ERP implementation process, the related risks are commensurate with the scale of the ERP system project. Risks range from broad to narrow and pervasively affect the outcome of business processes after the go-live date when the ERP system is fully operational and available to end users (employees, lower level managers, etc.). The scope of this Protiviti whitepaper explores both pre and post go-live issues.
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RIZAL TECHNOLOGICAL UNIVERSITY

G R AD U AT E S C H O O L - M S I T

NETWORK TOPOLOGY

Comp 3 IT Concepts and Analysis Design

TYPES OF NETWORK TOPOLOGY

Network Topology refers to layout of a network and how different nodes in a network are connected to each other and how they communicate. 1. Mesh Topology In a mesh network, devices are connected with many redundant interconnections between network nodes. In a true mesh topology every node has a connection to every other node in the network. There are two types of mesh topologies: a. Full mesh topology: occurs when every node has a circuit connecting it to every other node in a network. b. Partial mesh topology: is less expensive to implement and yields less redundancy than full mesh topology. 2. Star Topology In a star network devices are connected to a central computer, called a hub. Nodes communicate across the network by passing data through the hub.

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TYPES OF NETWORK TOPOLOGY

3. Bus Topology In networking a bus is the central cable -- the main wire -- that connects all devices on a local-area network (LAN). It is also called the backbone. This is often used to describe the main network connections composing the Internet. Bus networks are relatively inexpensive and easy to install for small networks. Ethernet systems use a bus topology. 4. Ring Topology A local-area network (LAN) whose topology is a ring. That is, all of the nodes are connected in a closed loop. Messages travel around the ring, with each node reading those messages addressed to it. One main advantage to a ring network is that it can span larger distances than other types of networks, such as bus networks, because each node regenerates messages as they pass through it. 5. Tree Topology This is a "hybrid" topology that combines characteristics of linear bus and star topologies. In a tree network, groups of star-configured networks are connected to a linear bus backbone cable.
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RIZAL

G R AD U AT E S C H O O L - M S I T

ELECTRONIC DATA TECHNOLOGICAL UNIVERSITY INTERCHANGE

Comp 3 IT Concepts and Analysis Design

ELECTRONIC DATA INTERCHANGE

Electronic Data Interchange (EDI) is the electronic interchange of business information using a standardized format. In other words, EDI is a process which allows one company to send information to another company electronically rather than with paper. Business entities which conduct business electronically are called trading partners. Many business documents can be exchanged using EDI, but the two most common are purchase orders and invoices. At a minimum, EDI replaces the mail preparation and handling associated with traditional business communication. However, the real power of EDI is that it standardizes the information communication communicated in business documents, which makes possible a "paperless" exchange.
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RIZAL

G R AD U AT E S C H O O L - M S I T

RISKS ASSOCIATED TECHNOLOGICAL UNIVERSITY WITH E-COMMERCE

Comp 3 IT Concepts and Analysis Design

CATEGORIES OF RISKS ASSOCIATED WITH E-COMMERCE 1. Business Practices E-Commerce often involves transactions between strangers. With the anonymity of E-Commerce, the unscrupulous can establish (and abandon) electronic identities with relative ease. This makes it crucial that people know that those companies with which they are doing business, disclose and follow certain business practices. Without such information, and theassurance that the company has a history of following such practices, consumers could face an increased risk of loss, fraud, inconvenience, or unsatisfied expectations. 2. Information Protection It is important for consumers to have confidence that they have reached a properly identified WWW site, and that the company takes appropriate steps to protect private consumer information. Although it is relatively easy to establish a WWW site on the Internet, the underlying technology can entail a multitude of information protection and related security issues. As a result, the confidentiality of sensitive information transmitted over the Internet can be compromised.
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CATEGORIES OF RISKS ASSOCIATED WITH E-COMMERCE 3. Transaction Integrity Without proper controls, electronic transactions and documents can be easily changed, lost, duplicated and incorrectly processed. These attributes may cause the integrity of electronic transactions and documents to be questioned, causing disputes regarding the terms of a transaction and the related billing. Potential consumers involved in ECommerce may seek assurance that the company has effective transaction integrity controls and a history of processing its transactions accurately, completely, and promptly, and of appropriately billing its consumers. 4. Privacy and Trust : The Consumer Viewpoint According to the GVU Center's 10th WWW User Survey (October 1998), very high number of users value their privacy on the Internet (Privacy of Communications). Privacy is also currently the most important issue facing Internet users. and a major reason for people not purchasing. However, security (or the lost thereof) in E-Commerce is a reason of serious concern for Internet users and is a primary reason for people not purchasing
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CATEGORIES OF RISKS ASSOCIATED WITH E-COMMERCE

5. "Local" Efforts Towards Retaining Privacy and Building There are various issues related to privacy and transaction security that can arise during business transactions. This section outlines such problems and suggests some solutions. By taking appropriate steps on your WWW site, you can increase consumer confidence.
Most WWW servers log every access to them. The log usually includes the IP/DNS address, the time of the download, the user's name (if known by user authentication or obtained by the indented protocol), the URL requested, the status of the request, and the size of the data transmitted. Some browsers also provide the client used by the reader, the URL that the client came from, and the user's e-mail address. Revealing any of these data could be potentially damaging to a user.
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IMPLICATIONS FOR THE RIZAL TECHNOLOGICAL UNIVERSITY ACCOUNTING PROFESSION

G R AD U AT E S C H O O L - M S I T

Comp 3 IT Concepts and Analysis Design

IMPLICATIONS FOR THE ACCOUNTING PROFESSION

The advent of ERP systems has affected the role of accountants, and it is a role for which accountants need to be prepared. ERP systems are definitely changing the work environment of accountants today. Implementing an ERP system requires a reengineering of prior business structure and changes in general operating methods. A CPA mentality is necessary to understand and communicate the value added by ERP systems, and it requires significant technological knowledge to implement them.20 Accountants have a solid understanding of business, but today they must also embrace the efficient technology available from ERP systems. If accountants learn about ERP software and how it works they can greatly assist companies in improving the management of their operations. For example, in many cases, older styles of internal controls no longer apply and the accountant can greatly assist a company in developing new controls to work with an ERP system.
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IMPLICATIONS FOR THE ACCOUNTING PROFESSION

Switching to continuous, real-time reporting using an ERP system is a tremendous change compared to issuing financial statements annually, quarterly or monthly. Many CPAs welcome this transition, but some are hesitant to adapt. It is obvious that accountants must invest much time and energy to become proficient in working with ERP systems. When working with companies that use ERP systems, innovative auditing techniques and advanced consulting skills will become the norm, particularly where collaborative efforts are essential within a firm.21 Many auditors use independence as a reason to avoid involvement in ERP, but auditors can maintain their independence and be actively involved in the implementation and operation of a clients ERP system.
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JOHN PAUL COLLEGE RIZAL TECHNOLOGICAL UNIVERSITY

G R AD U AT E S C H O O L - M S I T

MG Andaya Compound, Odiong, Roxas, Oriental Mindoro

THANK YOU FOR LISTENING!!!

Krisselle Jane F. Solangon

BSA-III