105987116 a project report on erp

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A PROJECT REPORT ONENTERPRISE RESOURCE PLANNING (ERP)

By:-

Manish Ranjan SinghMBA GeneralDivision BRoll No- 65


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ACKNOWLEDGEMENT

The submission of project report is a veryhard work and it is not possible under improper

guidance and suggestions and this project report

itself is an acknowledgement to the sincere

efforts of all individuals who have contributed to

it for its completion. I would like to acknowledge

our sincere thanks towards our institute, and itsfaculties for their valuable guidance and

suggestions that have resulted in the successful

completion of the project.

I want to give my deep

appreciation and regards to all those who havedirectly or indirectly helped me in completion of

the project.

Manish Ranjan Singh

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CONTENTS

1.Introduction

..4

2.What Is

ERP?.......................................................................

....6

Advantages of

ERP.....................8 Disadvantagesof ERP.

9

3.Structure of the ERP

System..........11

4.Need Of

ERP

12

5.Features Of

ERP

.12

6.Components Of

ERP.........14

7.Benefits Of

ERP......

.14

8.Microsoft Dynamics

ERP17

Competitors.......18

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Microsoft Dynamic

NAV.19

9. Why Choose Microsoft Dynamics

NAV..2910. System Requirements for Microsoft Dynamics

NAV..32

11.

Screenshots

33

12. Microsoft Dynamics NAV

Customers.39

o Sharda

Motors

40

o Career

Launcher

..44

o Other

Clients

..4813.

References

..49

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INTRODUCTION

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ERP (Enterprise Resource Planning)

Introduction

Information technology offers many options to opti

mize business processes. To succeed in todays highly c

ompetitive environment, there is a

need to manage business processes as efficiently as possible. ERP

Systems are integrated business transaction. Processin

g and reporting

system that focuses on business processes. They are m

odular application software related to areas of custome

rorder management, manufacturing, planning and exec

ution, purchasing and financial management and accounting. Which enable business to increase their producti

vity of critical component?

ERP is a structured

approach to optimizing a companys internal value

chain. The goal of ERP is to support one

time entry of informationat the point of creation and to make available to all the

participants within organization.

It was significantly complex since no system was

originally

designed to share information with other system.

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ERP systems are becoming a fact of business life

considering that even

small organizations are increasingly installing

them. The adoptions of such a system contribute to a

more efficient operation ofthe company and to the removal of faults from multiple

registrat-ions supporting all intra and inter business pr

ocesses. There is no longer any distinction between an

IT project and a business initiative.

IT is a key component of the products and services

provided by different companies. So even topexecutives and managers must learn how to apply

information system and technologies to their unique

business situations. The field of information systems

encompasses many complex technologies, abstract

behavioral concepts and specializes applications in

countless business and no business areas. Business

professionals rely on many types of informationsystems that use a variety of technologies. For example

some information systems use simple manual hardware

devices and informal communications channels but

some are complex. The business applications of

information systems have expanded significantly over

years. Until the 1960s, the role of most information

system was simple. Then another role was added, i.e. atrial to develop an integrated management of business

as a whole, from the view point of the effective use of

management resources, to improve the efficiency of an

enterprise. There came ERP as a solution.

Originally, ERP packages were targeted at the

manufacturing industry and consisted mainly of

functions for planning and managing core business

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such as sales management, production management,

accounting and financial affairs. However, in recent

years, adaptation not only to manufacturing industry,

but also to diverse type of industry has become

possible and the expansion of implementation and usehas been progressing on a global level .ERP software is

designed to model and automate many of the basic

processes of a company, from finance to shop floor,

with the goal of integrating information across the

company and eliminating complex, expensive links

between computer system that were never meant to

talk each other.

What is ERP?

The initials ERP originated as an extension of

MRP (material requirements planning

then manufacturing resource planning). ERP

systems now attempt to cover all basic functions of

an enterprise, regardless of the organizations

business or charter. Nonmanufacturing

businesses, nonprofit organizations andgovernments now all utilize ERP systems.

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The term ERP is typically reserved for larger

broadly based applications. The introduction of an

ERP system to replace two or more independent

applications eliminates the need for external

interfaces previously required between systems,and provides additional benefits that range from

standardization and lower maintenance (one

system instead of two or more) to easier and for

greater reporting capabilities (as all data is

typically kept in one database).

ERP acts as the central nervous system. As a

fully integrated system, ERP automates all

departmental information in to a single relational

database. As the entire quotation through shipping

process uses the same information from a single

dataflow, data is entered only once which

improves accuracy and reduces cycle time.

Information is retrieved quickly and easily for real

handson decision making. ERP breaks the

information bottleneck and provides uptothe

minute information to the right person at the right

time.

Examples of modules in an ERP, which formerly

would have been standalone applications,

include: Manufacturing, Supply Chain,Financial, Customer Relationship Management

(CRM), Human Resources, Warehouse Management

and Decision Support System. (Source: Wikipedia)

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Advantages of ERP

In the absence of an ERP system, a large manufacturer

may find itself with many software applications that

cannot communicate or interface effectively with one

another. Tasks that need to interface with one another

may involve:

Integration among different functional areas to

ensure proper communication, productivity andefficiency

Design engineering (how to best make the

product)

Order tracking, from acceptance through

fulfillment

The revenue cycle, from invoice through cash

receipt

Managing inter-dependencies of complex

processes bill of materials

Tracking the three-way match between purchase

orders (what was ordered), inventory receipts

(what arrived), and costing (what the vendor

invoiced) The accounting for all of these tasks: tracking the

revenue, cost and profit at a granular level.

ERP Systems centralize the data in one place. Benefits

of this include:

Eliminates the problem of synchronizing changes

between multiple systems

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Permits control of business processes that cross

functional boundaries

Provides top-down view of the enterprise (no

"islands of information")

Reduces the risk of loss of sensitive data byconsolidating multiple permissions and security

models into a single structure.

Some security features are included within an ERP

system to protect against both outsider crime, such as

industrial espionage, and insider crime, such as

embezzlement. A data-tampering scenario, for

example, might involve a disgruntled employeeintentionally modifying prices to below-the-breakeven

point in order to attempt to interfere with the

company's profit or other sabotage. ERP systems

typically provide functionality for implementing internal

controls to prevent actions of this kind. ERP vendors are

also moving toward better integration with other kinds

of information security tools.

Disadvantages of ERP

Problems with ERP systems are mainly due to

inadequate investment in ongoing training for the

involved IT personnel - including those implementing

and testing changes - as well as a lack of corporate

policy protecting the integrity of the data in the ERP

systems and the ways in which it is used.

Disadvantages

Customization of the ERP software is limited.

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consolidation into a single enterprise may yield

limited benefits.

The system may be too complex measured against

the actual needs of the customers.

ERP Systems centralize the data in one place. This

can increase the risk of loss of sensitive

information in the event of a security breach.

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Structure of the ERP system

Ideally, ERP delivers a single database thatcontains all data for the software modules, which

would include:

Manufacturing

Engineering, Bills of Material, Scheduling, Capacity,

Work flow Management, guality Control, Cost

Management, Manufacturing Process,

Manufacturing Projects, Manufacturing Flow

Supply Chain Management

Inventory, Order Entry, Purchasing, Product

Configurator, Supply Chain Planning, Supplier

Scheduling, Inspection of goods, Claim

Processing, Commission Calculation

Financial

General Ledger, Cash Management, Accounts

Payable, Accounts Receivable, Fixed Assets

Projects

Costing, Billing, Time and Expense, Activity

Management

Human Resources

Human Resources, Payroll, Training, Time &

Attendance, Rostering, Benefits

Customer Relationship Management

Sales and Marketing, Commissions, Service,

Customer Contact and Call Center support

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Data Warehouse

Various SelfService interfaces for Customers,

Suppliers, and Employees.

Figure 2:ERP Structure

Need for ERP

Most organizations across the world have realized that

in a rapidly changing environment, it is impossible tocreate and maintain a custom designed software

package which will cater to all their requirements and

also be completely up-to-date. Realizing the

requirement of user organizations some of the leading

software companies have designed Enterprise Resource

Planning software which will offer an integrated

software solution to all the functions of an organisation.

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Features of ERP

Some of the major features of ERP and what ERP can do

for the business system are as below:

o

ERP facilitates company-wide IntegratedInformation System covering all functional areas

like Manufacturing, Selling and distribution,

Payables, Receivables, Inventory, Accounts,

Human resources, Purchases etc.,

o ERP performs core Corporate activities and

increases customer service and thereby

augmenting the Corporate Image.

o ERP bridges the information gap across the

organisation.

o ERP provides for complete integration of

Systems not only across the departments in a

company but also across the companies under the

same management.o ERP is the only solution for better Project

Management.

o ERP allows automatic introduction of latest

technologies like Electronic Fund Transfer(EFT),

Electronic Data Interchange(EDI), Internet,

Intranet, Video conferencing, E-Commerce etc.

o ERP eliminates the most of the business

problems like Material shortages, Productivity

enhancements, Customer service, Cash

Management, Inventory problems, Quality

problems, Prompt delivery etc.,

o ERP not only addresses the current

requirements of the company but also provides the

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opportunity of continually improving and refining

business processes.

o ERP provides business intelligence tools like

Decision Support Systems (DSS), Executive

Information System (EIS), Reporting, Data Miningand Early Warning Systems (Robots) for enabling

people to make better decisions and thus improve

their business processes

Components of ERP

To enable the easy handling of the system the ERP has

been divided into the following Core subsystems:

o Sales and Marketing

o Master Scheduling

o Material Requirement Planning

o Capacity Requirement Planning

o Bill of Materials

o Purchasing

o

Shop floor controlo Accounts Payable/Receivable

o Logistics

o Asset Management

o Financial Accounting

Benefits of ERP

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The benefits accruing to any business enterprise on

account of implementing are unlimited. According to

the companies like NIKE, DHL, Tektronix, Fujitsu,

Millipore, Sun Microsystems, following are some of the

benefits they achieved by implementing ERP packages:

o Gives Accounts Payable personnel increased

control of invoicing and payment processing and

thereby boosting their productivity and

eliminating their reliance on computer personnel

for these operations.

o

Reduce paper documents by providing on-lineformats for quickly entering and retrieving

information.

o Improves timeliness of information by

permitting, posting daily instead of monthly.

o Greater accuracy of information with detailed

content, better presentation, fully satisfactory for

the Auditors.

o Improved Cost Control

o Faster response and follow up on customers

o More efficient cash collection, say, material

reduction in delay in payments by customers.

o Better monitoring and quicker resolution of

queries.

o Enables quick response to change in business

operations and market conditions.

o Helps to achieve competitive advantage by

improving its business process.

o Improves supply-demand linkage with remote

locations and branches in different countries.

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o Provides a unified customer database usable

by all applications.

o Improves International operations by

supporting a variety of tax structures, invoicing

schemes, multiple currencies, multiple periodaccounting and languages.

o Improves information access and management

throughout the enterprise.

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MICROSOFT

DYNAMICS

ENTERPRISE RESOURCE

PLANNING(ERP)

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Microsoft Dynamics is a line of enterprise

resource planning (ERP) and customer relationship

management (CRM) software applications developed by

Microsoft. Microsoft Dynamics applications are

delivered through a network of reselling partners whoprovide specialized services. There are 300,000

businesses that use Microsoft Dynamics applications

and 10,000 Microsoft Dynamics reselling partners

worldwide. Microsoft Dynamics is a line of enterprise

resource planning (ERP) and customer relationship

management (CRM) applications.

Microsoft Dynamics offers ERP and CRM solutions for arange of industries. Solution providers build on thestandard functionality in Microsoft Dynamics ERP andMicrosoft Dynamics CRM applications to deliverindustry-specific solutions through a network of channelpartners. Industry solutions for Microsoft Dynamics ERPaddress needs for the following industries:

Construction Distribution

Education

Financial services

Government

Healthcare

Manufacturing

Not for profit

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Professional services

Retail

Microsoft Dynamics ERP is an enterprise resource

planning application primarily geared toward midsize

organizations as well as subsidiaries and divisions of

larger organizations. Microsoft Dynamics ERP includes

five primary products:

Microsoft Dynamics AX (formerly Axapta)

Microsoft Dynamics GP (formerly Great Plains

Software)

Microsoft Dynamics NAV (formerly Navision)

Microsoft Dynamics SL (formerly Solomon IV)

Microsoft Dynamics C5 (formerly Concorde C5)

Also included are retail solutions: Microsoft Dynamics

CRM is a multi-lingual customer relationship

management application from Microsoft that provides

sales, service, and marketing capabilities, and includes

Microsoft Dynamics CRM Online.

Competitors

SAP Business One is integrated ERP software thattargets the business requirements of small and midsizeenterprises; it competes with Microsoft Dynamicsglobally.

SAP Business ByDesign is a hosted solution which isbased on the SAP R/3 core. It is marketed towards small

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to medium enterprises (SME) who require an ERP andCRM solution that can grow with the business. Pricesstart from $149 USD per user per month.

Sage Business Solutions provides end-to-end financial

accounting software, ERP software, CRM software, andbusiness intelligence (BI) software solutions to small,midsize, and large businesses.

NetSuite is a vendor of on-demand, integrated businessmanagement software suites for mid-market enterprisesand divisions of large companies.

Epicor develops enterprise software targeted at mid-market companies primarily in the manufacturing,distribution, retail, hospitality, and services industries.

Blackbaud develops a suite of financial managementproducts designed towards higher education and non-profit organizations.

MICROSOFT DYNAMICS NAVISION

Microsoft Dynamics NAV is an enterprise resourceplanning (ERP) software product from Microsoft.

The product is part of the Microsoft Dynamics family,

and intended to assist with finance, manufacturing,

customer relationship management, supply chains,

analytics and electronic commerce for small and

medium-sized enterprises. Value-added resellers (VAR)s

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can have full access to the business logic source code,

and it has a reputation as being easy to customize.

Microsoft Dynamics NAV delivers powerful

comprehensive business management capabilities that

provide the increased control, streamlined operations,and insight you need to improve profitability and,

ultimately, support your business as it grows.

Comprehensive business managementcapabilities

Microsoft Dynamics NAV delivers powerful core business

management capabilities for:

Financial management

Manufacturing

Business intelligence and reporting

Supply chain management

Sales and marketing

Human resource management

Purchase and payables Service management

Integration with System

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Figure 3:A comprehensive cost-effective ERP solution from Microsoft

FINANCIAL MANAGEMENT

Microsoft Dynamics NAV ERP System providesAccounting and Finance solutions to help you track andanalyze your business information. With end-to-end

integration, you can efficiently manage:

General Ledger Payables Receivables Inventory Analytical Accounting Fixed Assets

Cash Flow Bank Reconciliations and collections

You can also manage your financial processes acrossmultiple currencies, locations, or companies. The keybenefits of using Microsoft Dynamics NAV ERP System -Financial Management module are:

Gives comprehensive, up-to-date financial

information makes it easier to spot trends and gaininsight into your business activities, so you can

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capitalize on your knowledge and identify newopportunities.

Provides control to manage a broad range of otherbusiness areas according to your particular needs.

You can add functionality as you need it and grow

at your own pace. Helps reduce the time and effort your people

spend on accounting tasks, monitor fiscalperformance, and meet business and regulatoryrequirements.

Facilitates to control and manage the entire lifecycle of your fixed assets - from acquisition todisposal - to maximize the value of your business

investments. Assists to drive efficiency and maximize cash

resources with flexible, integrated accountspayable capabilities.

Optimizes cash flow by streamlining accountsreceivable processes and tracking customerpayments.

Gives multicurrency support to help expand into

international markets with confidence and reducethe complexity of global transactions.

MANUFACTURING

Microsoft Dynamics NAV ERP System - ManufacturingModule provides tools to help businesses plan, manage,

and execute a world-class manufacturing operation.Organizations can boost operational efficiency andeffectively manage production, including productionorders, bills of material, supply planning and capacityrequirements planning. It helps to manage entiremanufacturing process from product configuration,supply, and capacity requirements planning toscheduling and running the shop floor. Microsoft

Dynamics NAV - Manufacturing Module also facilitatesto manage a broad range of other business areas

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according to organization's particular needs. You canadd functionality as and when required and grow atyour own pace. The key benefits of using MicrosoftDynamics NAV - Manufacturing Module are:

Streamlines your manufacturing processes andadapt quickly to changing demands.

Satisfies demand with multiple planning optionsand tracking of utilization and materials costs.Microsoft Dynamics NAV ERP System can help youimplement production decisions quickly, make last-minute order changes, and offer customerssatisfactory exceptions.

Helps you integrate kits and kit resources into yoursales, inventory, accounting, and pick-and-packoperations.

BUSINESS INTELLIGENCE

Direct access to real-time, business-critical informationand a wide range of analytical tools can help manage

budgets, create and consolidate reports, and look fortrends and relationships. Microsoft Dynamics NAV -Business Intelligence Module helps organizations makesmart business decisions quickly and with confidence.With Microsoft Dynamics NAV - Business IntelligenceModule organizations get a good overview of theirbusiness with the ability to dig into details. It is built onindustry-standard Microsoft technology and easily

integrates with other Microsoft business intelligenceproducts and technologies. Therefore, businesses canstart with the basic modules and Microsoft Office Exceland then add functionality and tools as and whenrequired by them. It also delivers meaningful insightacross your organization with powerful businessintelligence capabilities.

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SALES AND MARKETING

Microsoft Dynamics NAV - Sales & Marketing Modulealso helps organizations in managing a broad range ofother business areas according to their respective

particular needs. Businesses can add functionality asand when required and grow at their own pace. The keybenefits of using Microsoft Dynamics NAV - Sales &Marketing Module are:

Equips people in organization to manage contacts,opportunities, and campaigns efficiently whilebuilding customer relationships that help drive

sales and encourage loyalty. Facilitates people in organization to respond

quickly to customer service requests and useinformation from across your business to makeprofitable decisions about the costs, inventories,workloads, and financial returns of your serviceoperation.

Assists people in organizations to manage contactinformation, organize sales campaigns, identifysales opportunities, automate sales tasks, set upautomatic reminders and document approval.

SUPPLY CHAIN MANAGEMENT

With Microsoft Dynamics NAV - Supply ChainManagement Module businesses get the tools theyneed to respond quickly to customers, rapidly pursuenew market opportunities, and improve profitability byworking efficiently with trade partners. You can tightendistribution processes and improve inventorymanagement for single- or multi-site warehouses, aswell as handle order processing and demand planning.

The key benefits of using Microsoft Dynamics NAV -Supply Chain Management Module are:

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Assists in managing a broad range of otherbusiness areas according to particular needs.Organization can add functionality as and whenrequired and grow at its own pace.

Optimizes cash flow by streamlining accounts

receivable processes and tracking customerpayments.

Helps drive efficiency and maximize cashresources with flexible, integrated accountspayable capabilities.

Matches the goods organization has on hand withcustomer demand while reducing inventory and

distribution costs.

Integrates Warehouse processes with the rest ofthe business to manage goods and space moreeffectively and reduce costs and waste.

Satisfies demand with multiple planning optionsand tracking of utilization and materials costs.

Helps to implement production decisions quickly,make last-minute order changes, and offercustomers satisfactory exceptions.

Ensures fuel productivity throughout organization'ssupply chain and responds quickly to shipmentdelays, order changes, and low inventory.

Increases the speed of critical documents through

sales and purchasing, standardize approvalworkflows, and enforce approval limits.

PURCHASE AND PAYABLES

Using Microsoft Dynamics NAV- Purchase and PayablesModule organizations can:

Apply a payment to as many invoices and creditmemos as they like. For greater control,

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organizations can choose how to apply customer orvendor transactions by specifying the amounts toapply to individual documents. This can beespecially helpful when customers make partialpayments. If you choose the "Apply-to-Oldest"

method, the system can automatically applyreceipts to the oldest invoices for specificcustomers

View detailed information about the amounts thatwill be posted to the general ledger prior toposting, such as payment discounts and roundingamounts

Un-apply or "reverse" all postings and changesrelated to an application of customer and vendortransactions so they can be applied correctly

Set a tolerance level (in local or other currency) onan invoice in order to apply and fully close theinvoice and payment entries, even if the paymentamount is less or more than the invoice. Tolerancecan be automatically allowed or decided on a case-by-case basis

Set a tolerance level of several days to apply andclose an invoice and payment, even if you receivethe discounted payment later than the discountdate specified by the payment terms. Discounttolerance can be automatically allowed or decidedon a case-by-case basis.

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INTEGRATION WITH SYSTEMS

Microsoft Dynamics NAV ERP System is designed to

work smoothly with other Microsoft products such asMicrosoft Office 2003, Microsoft SQL Server 2005 andMicrosoft Windows Vista and XP. For example,documents written with Microsoft Word can take datafrom the Microsoft Dynamics NAV database andincorporate that information into a customer letter.Workers can use Microsoft Excel to create reports withup-to-date figures imported from Microsoft Dynamics

NAV ERP System. Commerce portal capabilities alsoallow a company to create a Web site to work easierwith customers and partners. In addition, MicrosoftDynamics NAV can also be integrated with a wide rangeof other software products, so even if a small businessthat already has substantial IT infrastructure, it can beused with Microsoft Dynamics NAV ERP so that abusiness makes the most of its IT investment.

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Figure 4:INTEGRATE MULTI-SITES WITH MICROSOFT DYNAMICS NAV ERPSystem

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Figure 5: Microsoft Dynamics NAV - Technologie

Microsoft Dynamics NAV is fully integrated and easy-to-

use business software that enables you to connect all

areas in your mid-sized company, such as financial

management, marketing and sales management,

purchasing, sales, warehouse and logistics, production

planning and control. Microsoft Dynamics NAV is

modular. The modules are fully integrated with each

other and provide the capabilities for all business

processes of SMEs. Your advantage: The software

provides all aspects of your business - working in

different systems and the laborious search for data

belonging to the past.

Microsoft Dynamics NAV gives the freedom to focus onyour business by providing an efficient way tostreamline your business and increase productivity.Microsoft Dynamics NAV lets you replace your existingsystem with a single fully integrated solution thatconnects everyone in your organization to your

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customers, suppliers, and partners through the Internetany time, anywhere.

Key Benefits:

Increase your productivity Sharpen your competitive edge

Grow your business

Connect with your employees, customers, andpartners

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Figure 6:Microsoft Dynamics NV Architecture

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Figure 7:MS Dynamics NAV Architecture

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Why choose Microsoft Dynamics NAV?

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Product availability and localization

Microsoft Dynamics NAV is localized, translated, and

supported by Microsoft and made generally available inselect countries and languages.

In addition, Microsoft channel partners may makepartner-created localizations and/or translations ofMicrosoft Dynamics NAV available in countries whereMicrosoft does not provide a localized or translatedversion.

Figure 8:MS Dynamics mobile-server Components

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In addition to using Application Server, Microsoft

Dynamics Mobile - Server Components can also use

Web services integration to handle the integration

between Microsoft Dynamics NAV 2009 and mobile

devices.

System Requirements for Microsoft

Dynamics NAV

Operating system Microsoft Dynamics NAV 2009 SP1 runs on 32-bit and 64-bit

operating system editions. On 64-bit (x64) editions,

Microsoft Dynamics NAV runs in WOW64 emulation mode.

Windows 7 Professional, Ultimate, or Enterprise

Windows Server 2008

Windows Server 2008 R2

Windows Vista Business, Enterprise, or Ultimate with

SP1 or SP2

Windows Server 2003 SP2

Windows Server 2003 R2 SP2

Windows XP Professional SP3

Hardware resources Hard disk space:

Minimum 30 MBMemory:

Minimum 1 GB

Additional software Microsoft .NET Framework 3.5 SP1, which is

automatically installed by Microsoft Dynamics NAV2009 Setup if it is not already present.

Microsoft Office Communicator 2007 is required for

instant messaging and TAPI.

Microsoft Office 2007 or 2003 is required for e-maillogging, Outlook client integration, budget importing,

Office XML, SharePoint links, and budgets in Excel. Collaboration Data Objects (CDO) are required for

mail merge and e-mail logging.

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SCREENSHOTS

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Figure 9: NAV Screenshot 1

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Figure 12: NAV screenshot 4

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MICROSOFTDYNAMICS NAV

CUSTOMERS

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SHARDA MOTORSSharda Motor Industries Limited is a fast

growing automotive manufacturing company. With multipledisparate systems running across 12 manufacturing plants, it

was becoming increasingly difficult for Sharda Motor to

effectively manage its business. Time and resources were

wasted duplicating data entry efforts, which often resulted in

inaccurate data. Additionally, inventory was kept high to ensure

complete orders. The company needed a flexible enterprise

resource planning system that could handle complex

manufacturing requirements and scale to meet growing

demand. After a thorough search, Sharda Motor opted to

migrate to Microsoft Dynamics NAV 4.0 with SP3 to

enhance its business processes. Microsoft Certified Partner,

Trident Information Systems assisted the company in

implementing the same. Today, the company is using Dynamics

NAV to standardize its operations on a common technology

platform, helping to improve inventory tracking and make more

informed business decisions in real-time.

SITUATION

Sharda Motor, a diversified, multi-product group of companies,

believes in satisfying its customers by meeting their needs

promptly and accurately. The company maintains the highest

quality standards with state of the art manufacturing facilities

with continuous focus on new product, innovation and

technology up gradation. Under the dynamic leadership andvision of Shri N.D.Relan, Chairman and Shri Ajay Relan, the

Managing Director, Sharda Motor has a successful track record

and today is an industrial force to reckon within the automotive

supplier industry.

With presence spread from Haridwar to Chennai, Sanand to

Pune via Nashik, the company is in the process of expanding its

manufacturing capabilities and technology to become the

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leader in automotive exhaust systems and independent front

suspensions by 2010.

Sharda Motors was using Tally to manage all its core

accounting and financial tasks. This legacy system was

however, inept to cope with the inventory, manufacturing, andjob work processes; and control them at the same time to

maintain a record. It also lacked the ability to integrate and

compile data in real time. Another dreary job at Sharda Motors

was to maintain the detailed data from all its 12 plants spread

across the country. Again, the legacy system was unable to do

so. Nitin Vishnoi, Company Secretary, Sharda Motor explains,

Until now, all our plants were using different applications for

managing their operations. With these disconnected systems,we had no control over the plants leading to lack of visibility to

real time information. We needed to exert more control over

these so that real time updated information was always

available instantly.

The company foresaw that these issues were posing a threat to

its expansion plans. It recognized the need for a single

integrated system that could be cost-effectively tailored to

streamline core business functions - a system that would

manage not only accounts and finance but overall business

processes.

To overcome all the existing issues and enable smooth and

efficient working of the company, we decided to streamline our

workflow with a reliable Enterprise Resource Planning (ERP)

solution that will tighten workflow integration, and also

enhance information flow across business functions, says NitinVishnoi.

SOLUTION

After a thorough research and a detailed analysis of all the

technology options available in the market, Sharda Motor

decided to focus its software development on the Microsoft

Dynamics NAV platform. We wanted a system that was

reliable, affordable, easy to use and most importantly, easily

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scalable to our future computing requirements, says Nitin

Vishnoi. Microsoft Dynamics NAV 4.0 with SP3 matched all

these requirements. It was an integrated solution and could be

customized to fulfill all our requirements. Thus with the help of

Microsoft Certified Partner, Trident Information Systems,

Sharda Motor implemented Microsoft Dynamics NAV 4.0 SP3.

Apart from being rich in functionality, Microsoft Dynamics NAV

4.0 with SP3 is flexible enough to adapt to the companys

changing business needs. It integrates all locations by

delivering a single, real-time view into all information. This

easy-to-access information provides employees with greater

insight into business processes.

The solution was implemented across all locations in April 2009.

The modules implemented were Finance, Sales, Purchase,

Inventory, and Manufacturing.

All the standard features of the ERP system were implemented

along with some unique customizations applicable to the

automotive manufacturing industry. One of the main

customization done was the Job Work module. Niranjan Kumar,

Technical Head ERP, Sharda Motor explains, The biggestasset in implementing Dynamics NAV is its ability to adapt the

system to our specific processes and this has been vital to our

continued growth. Earlier we could see only one item per bill.

Now with the new solution, we can see 4-5 items per bill.

Material is send to vendors through Delivery Challan. The

consumption is based on Delivery Challan against which vendor

has sent the material and their consumption is based on actual

quantity. All this activity is captured in the Job Work module.

After implementing the new business solution, various unique

features are functional in the organization. Inventory planning

and control are some of the most important functions that have

reduced the cost.

Additionally, auto manufacturing reports are being created

based on daily sales log. This automatically creates Released

Production Order and their consumption for regular items thus

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reducing booking output times. Gate Entry and RGP module are

separately developed to capture moving in and out of material.

This results in smooth activity as per the companys needs.

The new environment resulting in a centrally managed

solution that spans the entire company has strengthened us,says Nitin Vishnoi. The flexible technology platform prepares

us to scale for future computing standards. We are now better

positioned to increase operational efficiencies and ensure

sustained business growth.

Looking ahead, Sharda Motor wants to further enhance its

effectiveness by using the solution for MIS report generation.

BENEFITS

With Microsoft Dynamics NAV, Sharda Motor enjoys new

business efficiencies. The solution provides real time visibility

into the companys operations resulting in greater operational

efficiency. The greatest benefit of the new system is the

consolidation of data across its manufacturing plants.

Allows Inventory Planning, Reduces Inventory Costs

The new ERP solution plans and controls inventory such that

inventory pileups are reduced. This improves stock

management as the right stock is always available whenever

needed. Tight inventory management helps to increase

operational efficiency across the organization and also improve

customer service.

Because Microsoft Dynamics NAV provides instant access to

inventory levels, vendors, customer balances, and chart of

accounts at any instance, were able to plan our purchasing,

profit loss statement, find lost making components for analysis,

and keep inventory to minimum, says Nitin Vishnoi. With

access to real time information and increased visibility about

inventory levels, we have reduced the total cost of its inventory

by 3 percent in the 1st year of complete implementation.

Enhances Visibility, Enables Faster Decision Making

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A key advantage of the solution is the availability of more

detailed, real-time information that is accessible to all users.

With a centralized repository for all business information, the

company is able to make quick decisions in a fast-paced

business environment.

Niranjan Kumar explains, With real-time access to accurate

information, our management is now assured of making

smarter and better-informed decisions. The centralized

database also helps us make faster decisions to better control

our costs.

Bestows Cost-Effective and Easy to Use Solution

Sharda Motor wanted a simple solution that would be easilyaccepted and learnt within the organization, without adding

huge capital expenditure on software and services. Microsoft

Dynamics NAV provides a simple, familiar, and intuitive

interface that is user friendly and is easy to train users. The

system is so easy to use that with just one day of training, our

employees were ready to use it, says Nitin Vishnoi.

Exerts Greater Control Over all LocationsThe new business solution integrates all the 12 manufacturing

plants. This helps the company to have total control and

monitor everything from the head office. It helps to analyze and

conduct sound business planning.

Nitin Vishnoi, Sharda Motor states, With the legacy system, we

were not able to exert full control over our manufacturing

plants. By the time, information reached the head office, it wasold. But with the deployment of new solution, working

atmosphere of the company has improved. It connects

processes and information with people. The integrated and

centrally controlled robust database and automated inter-

company processes help employees to accomplish any task

from any location.

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CAREER LAUNCHEREstablished in 1995, Career Launcher India

Limited (CL) offers focused career-oriented

training and preparatory education to school and college

students for different entrance examinations.Administrationofall the divisions across centersand consolidating the financial

data had traditionally been time consuming manual activities at

CL. To overcome the challenges, Tectura, a Microsoft

Certified Partner, implemented Microsoft Dynamics NAV

5.0. With Dynamics NAV, CL hasstandardizedits accounting

and financial environment, that is also easy-to-use.

Besides it improves administrative and operational

efficiency and reduces overhead, and thus cost by INR10,00,000 (U.S.$ 20,000).

SITUATION

Established in 1995, Career Launcher India Limited

(CL)provides educational services in over 195 locations

acrossIndia, Middle East, and United States. It offers guidance

and test-preparation services for school and college students togain admission to professional courses. It publishes magazines

and academic material, offers career advisory services, tutoring

and training services.

CL is actively involved in mainstream education through its

chain ofplay schools,secondary and K12 schools. It also

operates formal vocational and skill education schools. It is

based in New Delhi, India. With more than 400 academicians

and professionals around the world, CL grooms over 100,000

students annually.By acquiring POWERMath in the United

States, CL has entered the math tutoring and SAT Test Prep

market in the country. It generated the revenue of U.S.

$20million in financial year 2009-10.

The IT infrastructure at CL consisted of Tally to manage

accountingrequirements. An in-house developed Oracle based

application was installed at each of the 195centers to manage

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students enrollment, receipts and outstanding information.

Both being standalone applications,couldnt be linked for data

transfer. Lack of common financial management system posed

issues in consolidating data and reports, and share information

across 20divisions.Hence on time availability of financial data

was a major limitation in the existing system.

CL database consists of approximately five million entries. The

existing system could neither cope with the growing volumes of

data, nor hold the detailed information about its students and

customers. Thus there were multiple storage locations which

often resulted in ambiguity.

Each school and center managed its individual financials which

barred information sharing and resulted in multiple versions of

same information. Ithindered standardized reporting and

slowed processing times. As a result, there was ineffective

decision-making, lack of flexibility and inefficient use of

resources.

With increasing number of schools and training centers, CL

identified the need of a standardized enterprise resource

planning (ERP) solutionthat could be simultaneouslyimplementedat all the locations.The Oracle based application

used at CL was developed over years to define the unique

features and functionalities. Thus its seamless integration with

the new ERP was one of the prime requirements of the

organization.

High cost incurred to implement and maintain standalone

applications at multiple locations; disparate budgeting,

analysis, and reporting that didnt integrate prompted CL to

adopt a globally acceptedERPsolution. We wanted one

common integrated solution to serve the needs of all our

divisions. It also had to be quick to deploy in various

geographical locations, states Abhishek Sapra, AssistantVice

President (Finance), Career Launcher.

SOLUTION

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We chose Microsoft Dynamics NAV because of its versatility,

scalability and flexibility, says Abhishek Sapra, Assistant Vice

President (Finance), Career Launcher.We can tailor it to

develop new features to meet the requirements of

oureducational institution and help streamline our accounting

procedures.

CL used the expertise of Microsoft Certified Partner Tectura

for the implementation. After the successful deployment of NAV

4.0, NAV 5.0 was released and Tectura assisted CL in smooth

With all the essential features present in the solution, Tectura

minimally customized the solution to include the integration

with the Oracle-based application that manages students

enrollment, receipts and outstanding information.Theapplication is used at more than 195 centers of CL. 2.5 lakh

(2,50,000) students data and transactions were migrated to

Dynamics NAV. During this migration, it was business as usual

for CL as the environment wasnt affected. The solution is

alsotailored to enable online banking. It facilitates CL to use the

Commodity Broking Services (CBS) account and electronically

transfer funds through National Electronic Funds Transfer

(NEFT) and Real Time Gross Settlement Systems (RTGS). Oncetransactions are completed, system generated emails are sent

to vendors to update the status via this new system. Hence lots

of time, administrative cost and paper work is spared.

BENEFITS

The new ERP solution enables users to share information and

work collaboratively. In addition, managers now enjoy

enhanced business insight, with quick access to up-to-datemanagement information.

Reduces Administrative Costs by INR 10,00,000

Microsoft Dynamics NAV supports the entire business at all the

locations with a single, integrated solution. It reduces barriers

between admin and finance departments.Transparent

operating cost, automatic billing and reporting features have

reduced the number of administrative tasks performed by

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staff.We now operate with 30 percent fewer employees in

finance, reducing the administrative cost by INR 10,00,000

(U.S.$ 20,000),commentsAbhishek Sapra, Assistant Vice

President (Finance), CL. Manual planning and reporting using

spreadsheets is a thing of past.

The solution not only reduces the administrative cost but also

supports and improves e-business requirements. Online

banking transactions have made life easier for the accounts

team.Quick online paperless transactions save100hours every

month.

Increases Operation Efficiency by 70 Percent

Abhishek states, With centralized information such EnrollmentDetails, Outstanding Balance, Fixed Assets available, processes

are accelerated. This has enhanced our operational procedures

and increased efficiency by 70 percent.

Allows Seamless Integration

It is also seamlessly integrated with the organizations Oracle

based application that is accessed over web at multiple

locations. Data flows freely between the two. We had put lotsof efforts into developing an application to meet our specific

requirements and we want to continue using it, says Abhishek.

Since NAV is smoothly integrated to it, we need not spend

time, energy and money in re-developing and customizing the

application to define our needs.

Consolidates, Analyzes Data for Decision Making

Earlier each centre or school managed its own set of accountswhich made it impossible to compare expenditures and derive

profitability, says Abhishek. It used to take us 15 days to

consolidate financial information from all the locations; we can

now do it in 2 hours. Without Dynamics NAV, it would have

been impossible to close the accounts in desired time

frame.Now file balance, individual accounts, consolidated

data, budgets etc. are all updated and timely available in head

office for review.

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Enhanced efficiency with reduced expenditures allows us to

focus our time, energy, effortsand money on providing the best

options in education. We need not worry about administration

and financials,concludes Abhishek. In addition, it presents us

with the option to scale up with future growth, thus providing a

better performing and reliable solution for the businessapplications.

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Federation of Indian

Chambers of Commerce

and Industry

(FICCI)

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REFERENCES

www.microsoft.com/casestudies

www.wikipedia.org

www.scribbd.com

www.realsoft.net
http://www.microsoft.com/casestudieshttp://www.wikipedia.org/http://www.scribbd.com/http://www.realsoft.net/http://www.microsoft.com/casestudieshttp://www.wikipedia.org/http://www.scribbd.com/http://www.realsoft.net/

105987116 a project report on erp

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