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Group Members:-Ramneet Kaur Sahota

Ramin Behzad

kye

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ERP is a process of managing all resources

and their use in the entire enterprise in a

coordinated manner

Support business through optimizing,maintaining, and tracking business functions

Can be broken down into businessprocesses/modules HRM

Distribution

Financials

Manufacturing

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Common set of data

Help in integrating applications for decision

making and planning

Allow departments to talk to each other Easy to integrate by using processed built

into ERP software

A way to force Business Process

Reengineering

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One common system less duplication more

efficient

Customer focus-better customer service

Open communications among businesspartners

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High cost

Forced change of processes

Very complex software

Lack of trained people

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Tool Name Company NameSAP R/3 SAPOracle e-Business Suite Oracle CorporationJD Edwards EnterpriseOne & JD Edwards

WorldOracle Corporation

PeopleSoft Oracle CorporationMicroSoft Dynamics MicroSoft CorporationLawson Financials Lawson SoftwareSage MAS 500 Sage GroupNetERP NetSuiteVisual Enterprise Infor Global SolutionsAgresso Business World Unit 4 AgressoEpicor Enterprise EpicorIFS Applications Industrial and Financial SystemsMFG/PRO QADRamco e.Applications Ramco Systems

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SAP, started in 1972 by five former IBM employees in Mannheim, Germany,

states that it is the world's largest inter-enterprise software company and the

world's fourth-largest independent Software supplier, overall.

The original SAP idea was to provide customers with the ability to interact with a

common corporate database for a comprehensive range of applications. Gradually,

the applications have been assembled and today many corporations, including

IBM and Microsoft , are using SAP products to run their own businesses

SAP applications, built around their latest R/3system, provide the capability to

manage financial, asset, and cost accounting, production operations and materials,

personnel, plants, and archived documents. The R/3 system runs on a number of

platforms including Windows 2000and uses the client serve model. The latest

version of R/3 includes a comprehensive Internet-enabled package

As of January 2007, SAP, a publicly traded company, had over 38,4000 employees

in over 50 countries, and more than 36,200 customers around the world.

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Globalization Era

Fierce competition

Market expansion

Rising customer expectations in the dynamic business

environment Competitors continuously upgrade their capabilities to stay

competitive.

This intensifies the firms need to lower total cost and provides

better customer service over their competitors

It is crucial to develop strategies on information systems (IT) inorder to overcome the complexities of global businesses

Root out volatilities and disruptions in the supply chain, so as to

grasp the competitive advantage over other industry players

IT is the main enablers for the firms to achieve competitive edge

by reducing operating costs, increasing productivity, and

improving customer services

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Inter Firm

supportscommunicationbetween firms among

different parties

Intra Firm

Spans internalfunctional boundariesand facilitate the

collaboration ofdifferent activitieswithin a firm eg:- ERP( captures, stores,and transmits

information to theright people at theright time)

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Implementing ERP should not be seen as

purchase decision but moreover a business

investment, much like investing in the

building of a warehouse or new plant.(i.e. Asset creation)

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Let's say that I currently have 10 Lakh Rupees lyingaround doing nothing. What to do with it?

Keep the cash

As I like the smell and texture of my crisp new notes Icould do this. Maybe even stuff it in or under my

mattress. The problem with this, other than the obviously

lumpy matters, is that my 10 Lakh Rupees just willnot be worth the same in lets say a years time.

So why is that?

Well, things tend to get more and more expensive astime goes by this is known as INFLATION. So if we saythat inflation rate currently is at 8% my cash wouldbe worth R80 000(1,000,000 x 8%) less in a yearstime.

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If we are neither optimistic nor pessimistic

and believe that inflation will remain at its

current level for the next few years the

value of my money would decrease like so:

Not a pretty sight

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Now if I use the same money in ERP system lets see the

results

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Streamlining processes and workflows with a single integratedsystem.

Reduce redundant data entry and processes and in other hand itshares information across the department.

Establish uniform processes that are based on recognized bestbusiness practices

Improved workflow and efficiency Improved customer satisfaction based on improved on-time

delivery, increased quality, shortened delivery times

Reduced inventory costs resulting from better planning, trackingand forecasting of requirements

Turn collections faster based on better visibility into accounts

and fewer billing and/or delivery errors Decrease in vendor pricing by taking better advantage of quantity

breaks and tracking vendor performance

Track actual costs of activities and perform activity based costing

Provide a consolidated picture of sales, inventory and receivables

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ERP

CompetitiveAdvantage and longerstaying power in the

business

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Thank You