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A Student Introduction to ERP

Date post: 18-Dec-2014
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An overview for college students of why, and how, ERP is used. Confusing acronyms are presented, as well as how advantageous an ERP system is to a company.
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What is ERP? DPR105: Tom Matys
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  • 1. DPR105: Tom Matys

2. Click Mouse Reveal Next Phase What is ERP? Define an ERP systemWhy Use ERP?How ERP makes companies betterWho makes ERP?Discuss software vendorsWhat are theThe components of an ERP systemattributes of ERP? 3. Enterprise:A unit of economic organization or activity.Resource:An ability to meet and handle a situation.Planning:The establishment of goals, policies, andprocedures for a social or economic unit. Source: Merriam-Webster 4. Information? Production4 5. ERP System:.because it is a company-wide, cross-functional, tool, that helps a business,or a company, tobe successfulin its operations. 6. A set of integratedsoftware modules forsupporting all of anenterprises processesin real-time. Sales, Production,Logistics, Purchasing,Accounting, andHuman Resourcesshare relevantinformation with eachother as needed. 7. Uses programs (modules)are software to manageinfo in every area of thebusiness. Uses common databasesand shared managementreporting tools. Uses integration tostreamline processes thatoccur in real-time. 8. It breaks down the walls andbarriers within a company.Too, it removes the obstacles thatcan be related to a differences ingeographical locations of externalresources. Internally and externally. 9. Expected Sales1st Quarter 201264ERPs information is very visibleand up to the second. 20Examples: Inventory Mgmt.,Financial Status, HiringTraining, Customer Credit 10. Real-Time Processing 11. Transactions areprocessed efficientlyand quickly 12. Enter Shipping transactionThe time that it takes forinformation to bedelivered within anRelational Databaseintegrated system from stores raw datathe resource to thetarget is instant!Data is instantly available 13. Promotes Customer Loyalty 14. I.e.. Consultant Fees,Licensing, Training.Change Management 15. Marketing & SalesM/SAccount & Finance A/FSupply Chain Mgmt.Human Resources SCMHR 16. Marketing & SalesM/S (business processes)Account & FinanceA/F (business processes)Supply Chain Mgmt.Human ResourcesSCM (business processes)HR (business processes) 17. Hardwareservers, fax machines, printers, communication networks, etc. PeopleWho work in M/S, SCM, FI, and HR Software (modules/programs/logic) Business Functions Business Processes Centralized Databases Information/Raw Data 18. SAP Modules are Packaged, Pre-Written, Programs (logic) thatexecute in the background when transactions are performed. Production Planning (PP) Materials Management (MM Sales & Distribution (SD) Financial (FI) Controlling (CO) Human Resources (HR) 19. Modules execute the business processes and can overlapbusiness functionalities and promote integration.1) A Customer Service Representativeworks in the M/S functional area.2) The Customer Rep creates a Sales Order 3) The transaction initiates from the SD Module, and runs in the background 4) Other modules, like MM and FI, are called accordingly if the transaction includes credit checking, and/or allocating inventory.Summary: When a user in a functional arearuns a transaction it could use one or manymodules to process the business transaction. 20. SAP FI Module- FI stands for Financial AccountingSAP CO Module- CO stands for ControllingSAP PS Module and PS is Project SystemsSAP HR Module HR stands for Human ResourcesSAP PM Module where Plant Maintenance is the PMSAP MM Module MM is Materials Management -SAP QM Module - QM stands for Quality ManagementSAP PP Module PP is Production PlanningSAP SD Module SD is Sales and DistributionSAP BW Module where BW stands for Business (Data) WarehouseSAP EC Module where EC stands for Enterprise ControllingSAP TR Module where TR stands for TreasurySAP IM Module where IM stands for Investment ManagementSAP QM Module where QM stands for Quality ManagementSAP IS where IS stands for Industries specific solutionSAP BasisSAP ABAPSAP Cross Application ComponentsSAP CRM where CRM stands for Customer Relationship ManagementSAP SCM where SCM stands for Supply Chain ManagementSAP PLM where PLM stands for Product Lifecycle ManagementSAP SRM where SRM stands for Supplier Relationship ManagementSAP CS where CS stands for Customer ServiceSAP SEM where SEM stands for STRATEGIC ENTERPRISE MANAGEMENTSAP RE where RE stands for Real Estate 21. .two totally different tingsFunctional Areas SAP Modules M/SSDMM SCMFI A/FCOPP HRHCM 22. What are the attributes of an ERP System? 1. SAP 20.4% 2. Microsoft Dynamics 14.9% 3. Oracle eBusiness Suite 9.8% 4. Epicor Software Corporation7.9% 5. Infor Global Solutions4.1% 6. Oracle JD Edwards3.1% 7. Oracle PeopleSoft2.6% 8. IFS North America2.2% 9. Sage North America1.9% 10. Activant Solutions, Inc.1.4% 23. ERP, while expensive to implement, if done correctly has ahigh Return of Investment (ROI) due to its ability toconnect and share information with all parts of a business.


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