13162223 ERP Implementation

8/9/2019 13162223 ERP Implementation

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ERP andIts Implementation


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ObjectiveTo know about ERP and itsrelevant importance

To know about the ERPimplementation and its likely

outcomes if not implementedproperly.


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ERPServes as a cross-functional enterprise backbone

that integrates & automates many internal businessprocesses and information systems

Helps companies gain the efficiency, agility, &responsiveness needed to succeed today

Gives a company an integrated real-time viewof its core business processes


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ERP software suites typicallyconsist of integrated modulesof

ManufacturingDistribution

Sales

AccountingHuman Resource Management


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Benefits of ERPDecision 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 IntegrationHelps in integrating resources in an efficient and effective

manner.


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Processes in ERP

Implementation


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ERP PackagesOn the basis of application

Customized Package

Readymade PackageOn the basis of implementation

Big Bang

Franchising option

Slam dunk


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Top 10 ERP Vendors

share 2006

Source: AMR Research, 2007


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Different Phases of ERP

ImplementationPre evaluation Screening

Evaluation Package

Project Planning Gap analysis

Reengineering

Team training

TestingGoing Live

Post implementation


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Major ERP VendorsSAP AG

Microsoft

OracleBaan

J D Edwards

Peoplesoft

Infor

Exact


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Facts about SAP AGSAP 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 valueuse 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 SCM

mySAP PLM

mySAP

SRM

mySAP

CRM

mySAP ERPAnalytics

Financials

Human ResourcesCorporate Services

Operations

Life-Cycle-Data, Project-,

Quality- and Asset Management

Inventory & Warehouse Mgmt.

Manufacturing & Transportation

SalesOrder

Intern

etSale

s

PurchaseOr

der

Requisi

tioni n

g

1990 2010

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 20101993 - 1995

Interval Description


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SAP R/3 Modules


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Causes of ERP FailureUnderestimating the complexity of the

planning, development, and training required

Failure to involve affected employees in theplanning & development phases and changemanagement programs

Trying to do too much, too fast

Insufficient trainingBelieving everything the software vendors

and/or consultants say


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SAP ERP Solutions in

TISCODecided to implement SAP ERP 3

Forecasted for future operations

Took a long span of one yearNever bogged down by repeated failures

Brought about substantial increase in profits

Focus on implementation and timely

completion.


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Solution and

ImplementationStudy was conducted related to

functionality, esteem, operability, support

& future requirements.Idea is to strengthen its position in market.

Challenge is not implementation but tobuild a conducive environment for it.

Identified branches with huge transactionsas HUB and smaller branches as SPOKES


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In Jan. 1999, TERM ASSET isdevised which is Achieve Success

Through SAP enabled Transformation

It has two axioms- go live date- 1

st

Nov.,1999 and there are only 24hours a day.

Planned a big bang approach ofgoing live with all modules.


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BenefitsSpent 40 crores and saved 33 crores

in first two years.

Man power cost reduced from $200per ton to $140 per ton in two years.

Inventory cost deflated from Rs. 190

per ton to Rs. 155 per ton in oneyear.


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THANKS

Documents

13162223 ERP Implementation