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It’s Implementation
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Objective
To know about ERP and its
relevant importance
To know about the ERP
implementation and its likely
outcomes if not implemented
properly.
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ERP
Serves as a cross-functional enterprise backbone
that integrates & automates many internal business
processes and information systems
Helps companies gain the efficiency, agility, &
responsiveness needed to succeed today
Gives a company an integrated real-time view
of its core business processes
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ERP software suites typically consist of integrated modules of…
Manufacturing
Distribution
Sales
Accounting
Human Resource Management
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Benefits of ERP
Decision support
Provides cross-functional information on business performance
to assist managers in making better decisions
Enterprise agility
Results in more flexible organizational structures, managerial
responsibilities, and work roles
Resource Integration
Helps in integrating resources in an efficient and effective
manner.
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Processes in ERP
Implementation
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ERP Packages
On the basis of application
Customized Package
Readymade Package
On the basis of implementation
Big Bang
Franchising option
Slam dunk
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Top 10 ERP Vendors
share 2006
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Different Phases of ERP
Implementation
Pre evaluation Screening
Evaluation Package
Project Planning
Gap analysis
Reengineering
Team training
Testing
Going Live
Post implementation
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Major ERP Vendors
SAP AG
Microsoft
Oracle
Baan
J D Edwards
Peoplesoft
Infor
Exact
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Facts about SAP AG
SAP is founded by five former IBM employees in 1972.
SAP is situated in Walldorf, Germany.
Number one vendor of standard business application software,
with a worldwide market share of 41%.
Fourth-largest independent software supplier in the world.
Available in more than 14 languages.
10 out of 10 largest US companies with the highest market value
use SAP software.
8 out of 10 largest US corporations use SAP software.
More than 7500 customers in over 90 countries have chosen SAP.
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mySAP Modules
mySAP PLM
Life-Cycle-Data, Project-,
Quality- and Asset Management
mySAP ERP
Purchase Order
Requisitioning
Internet Sales
Sales Order
mySAP Analytics
Financials
mySAP
SRM Human Resources CRM
Corporate Services
Operations
Inventory & Warehouse Mgmt.
Manufacturing & Transportation
mySAP SCM
1993 - 1995
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Interval Description
1990 2010
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SAP R/3 Modules
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Causes of ERP Failure
Underestimating the complexity of the
planning, development, and training required
Failure to involve affected employees in the
planning & development phases and change
management programs
Trying to do too much, too fast
Insufficient training
Believing everything the software vendors
and/or consultants say
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SAP ERP Solutions in
TISCO
Decided to implement SAP ERP 3
Forecasted for future operations
Took a long span of one year
Never bogged down by repeated failures
Brought about substantial increase in profits
Focus on implementation and timely
completion.
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Solution and
Implementation
Study was conducted related to
functionality, esteem, operability, support
& future requirements.
Idea is to strengthen its position in market.
Challenge is not implementation but to
build a conducive environment for it.
Identified branches with huge transactions
as HUB and smaller branches as SPOKES
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In Jan. 1999, “TERM ASSET “ is
devised which is Achieve Success
Through SAP enabled Transformation
It has two axioms- “go live date- 1st
Nov.,1999” and “ there are only 24
hours a day”.
Planned a big bang approach of
going live with all modules.
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Benefits
Spent 40 crores and saved 33 crores
in first two years.
Man power cost reduced from $200
per ton to $140 per ton in two years.
Inventory cost deflated from Rs. 190
per ton to Rs. 155 per ton in one
year.
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THANKS
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