Enterprise ApplicationsEnterprise Applications

Systems that can co-ordinate activities, Decisions, & knowledge across many diff. functions, levels & business units in a firm. It includes enterprise systems or ERP, SCM, CRM, & KMS.

Suppliers

SCMSourcing & Procurement

ERPInternal business processes

CRMMarketing, sales & service

EMPLOYEEs

PARTNERs

Customers

Knowle dgeMgtCollaboration&Decisionsupport

PartnersRelationshipMgt

Enterprise Application Architecture

Web User

Enterprise Knowledge Portal

Structured data source Unstructured data source Enterprise knowledge

ERP DB

CRM DB

Other DB

E-mailGroupware

Filesystem

WebNetwork

EnterpriseKnowledgebase

Portal server withKM engine/server

Supply Chain MgtSupply Chain Mgt

SCM; Integrating mgt & IT to optimize information & product flows among the processes & business partners within a supply chain.

Supply Chain; The network of business processes & inter-relationships among business that are needed to build, sell, & deliver a product to its final customer. A successful SCM strategy is base on accurate order processing, just-in-time Inventory mgt, & timely order fulfillment.

Goal of SCM; To create a fast, efficient, & low-cost network of business relationships, to get a company’s products from concept of market. Supply chain processes should add value to the products (or) services a company produces, a supply chain called a value chain.

Objective of SCM; To reduce costs Increase efficiency & improve supply chain cycle times Effective distribution Channel networks among business partners

SCM life cycle; commit schedule make deliver Main Goal of SCM;

Business Value Goals

Rapid demand fulfillmentCollaborative supply chain

Planning & execution

Customer Value Goals

Give customer what they wantWhen & how they want it

At the lowest cost

Inter-enterpriseCo-ordination ofMgt & business

processes

Responsiveness &Accountability

Tocustomers

Effective

Distribution&

Channelpartnership

Customer Relationship Mgt [CRM]Customer Relationship Mgt [CRM]

CRM; Across-functional e-business application that integrates & automates many customer serving processes in sales, direct-marketing, accounting & order mgt & customer service & support, retain loyal customers.

Goal of CRM; To understand & anticipate the needs of current & potential customers to increase retention & loyalty while optimizing the way that products & services are sold.

Benefits to Organization; Improve customer satisfaction Increase customer retention Reduced operating costs Ability to meet customer demand Automate & integrate the function of marketing Data about customer contact of a company CRM system

Customer life cycle; Acquire Enhance Retain

Application of CRM;

ProspectsOr

customers

Fax E-mail

WebTelephone

Marketing &Fulfillment

Customer service & support

Retention &Loyaltyprograms

Contact &A/C mgt

Sales

ENTERPRISE RESOURCE PLANNINGENTERPRISE RESOURCE PLANNING

ERP is a cross functional enterprise systems driven by an integrated suite of S/W modules that supports the basic internal business process of a company. ERP provides a support systems in the transaction processing, updating, & reporting across the functions. ERP is a package encompassing all major Functions of the business. ERP packages build information base & provide knowledge base business function mgt. The ERP is the main system, interfaced (or) assisted by the other systems in the org. These systems provide the DB to the ERP.

Basic features of ERP; 1 Separation of the program code & the data areas 2 Command language 3 Screen based flow control 4 Common service functions 5 Transaction flow control & help functions 6 Word processing, text editing & action message 7 Diagnostic functions

BENEFITS OF THE ERPBENEFITS OF THE ERP Better mgt of resourcesBetter mgt of resources Customer satisfactionCustomer satisfaction Business operation transparency b/w business Business operation transparency b/w business

partnerspartners The process become faster due to work group The process become faster due to work group

technologytechnology The ERP scope enlarged through the The ERP scope enlarged through the

internet/intranet accessinternet/intranet access Due to the client/server, the application of object Due to the client/server, the application of object

technology & use of the front end tools, the process technology & use of the front end tools, the process changes can be easily carried out.changes can be easily carried out.

The ERP design is proactive, it make mgt alert at a The ERP design is proactive, it make mgt alert at a no. of points like demanding the decisions.no. of points like demanding the decisions.

ERP still remain a valid solution with the expansion ERP still remain a valid solution with the expansion of business as it is a scalableof business as it is a scalable architecture. architecture.

Features of ERPFeatures of ERP

Business values embedded in the processBusiness values embedded in the process Extensive use of stored procedures, Extensive use of stored procedures,

triggers & alertstriggers & alerts Stragewise cost data capture for analysis Stragewise cost data capture for analysis

& decision making& decision making Resources planning, scheduling & Resources planning, scheduling &

optimizationoptimization Can run in different network environmentCan run in different network environment

ERP SELECTIONERP SELECTION The market offers a no. of ERP packages, the buyers has a choice to make. Each product has its own USP & differs in a no. of ways in content, scope, in case of implementation etc. The selection can be made on 3 dimensions. It as follows;

1. Vendor Evaluation2. Technology Evaluation3. ERP solution Evaluation

Vendor Evaluation; Business strength of the vendor Product share in total business of the vendor Future plans of the vendor Market reach & resource strength of the vendor Ability to execute the ERP solution Perspective plan of the ERP improvement with technology development Business philosophy of the vendor

TECHNOLOGY EVALUATIONTECHNOLOGY EVALUATION

Client server architecture & its implementation Client server architecture & its implementation 2 tier or 3tire2 tier or 3tire

Object orientation in development & Object orientation in development & methodologymethodology

Interface mechanism: data transfer, real time Interface mechanism: data transfer, real time accessaccess

Support system technology like bar coding, Support system technology like bar coding, EDI, imaging, comm., networkEDI, imaging, comm., network

H/W – S/W configuration mgtH/W – S/W configuration mgt Operating system & its levels of usage in the Operating system & its levels of usage in the

systemsystem Use of case tool, screen generators, report Use of case tool, screen generators, report

writers, screen printers & batch processorwriters, screen printers & batch processor Handling of client/server data & application Handling of client/server data & application

logic logic

ERP Solution EvaluationERP Solution Evaluation

ERP fit for the business of the org in terms of the ERP fit for the business of the org in terms of the functions, features & processesfunctions, features & processes

Degree of deviation from the standard ERP productDegree of deviation from the standard ERP product Ease of use: easy to learn, implement & trainEase of use: easy to learn, implement & train Flexible design & ability to migrate to the ERP Flexible design & ability to migrate to the ERP

environment environment Rating on performance, response & integrationRating on performance, response & integration product quality in terms of security, reliability, & product quality in terms of security, reliability, &

precision in resultsprecision in results Solution architecture & technologySolution architecture & technology Documentation for system handling & Documentation for system handling &

administrationadministration

Issues & Challenges of ERP Issues & Challenges of ERP implementationimplementation

Expensive & time in implementationExpensive & time in implementation Difficulty implementation changeDifficulty implementation change Risks in using one vendorRisks in using one vendor Risk of implementation failureRisk of implementation failure