erp final 11

8/8/2019 ERP FINAL 11

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8/8/2019 ERP FINAL 11


Enterprise resource planning (ERP) is an Integratedcomputer-based system used to manage internal andexternal resources, including tangible assets, financialresources, materials, and human resources.

It is a software architecture whose purpose is to facilitatethe flow of information between all business functionsinside the boundaries of the organization and manage the

connections to outside stakeholders.

Built on a centralized database and normally utilizing acommon computing platform, ERP systems consolidate allbusiness operations into a uniform and enterprise-wide

system environment.[1]

WHAT IS ERP?

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WHY

ERP?

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WHAT DRIVES ERP?

BUSINESS CUSTOMER SATISFACTION

BUSINESS DEVELOPMENT-NEW A RE AS,PR ODUCTS,SERVICES

A BILITY TO FACE COMPETITION .

EFFICIENT PR OCESSESS REQURIED TO PUSH THE COMP ANY TO TOP GE A R.

IT PRESENT SOFT W A RE DOES NOT MEET BUSINESS NEEDS.

LEG ACY SYSTEM DIFFICULT TO MA INTA IN.

OBSOLETEHA RDW A RE /SOFT W A RE TO MA INTA IN.

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Z ERO DOWNTIME

SUPPL Y GLOB A L CUSTOMER S WITH W ORLD WIDEOPER ATIONS.

MO VE TO W A RDS 24X7 HR S SYSTEM A V A IL A BILITY .

INCORPOR ATED LE A DING EDGE TECHNOLOGIES.

REDUCED PL ANNED DO W NTIME.

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ADVANTAGES OF ERP PACKAGE

RE A D YMA DE SOLUTIONS FOR MOST OF THE PR OBLEMS.

ONL Y CUSTOMIZ ATIONSREQUIRED.

DEPENDENCY ON HUMAN RESOR CE ELIMINATED.

KNO WLEDGETR ANSFER BET WEEN INDUSTRIESGUA R ANTEES

INNO V ATION.

AUTOMATIC A D A PTATION TO NEW TECHNOLOG Y .

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MKT LEADERS IN ERP

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SYSTEM A PPLICATION AND PR ODUCTS.

OR ACLE.

MICR OSOFT.

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More than 35,000 customers, 120 countries .

CR M market share leader.

Built the client/server ERP market .

Very impressive distribution/SCM .

Several industry solutions.

Built the client/server ERP market.

SYSTEM APPLICATION AND

PRODUCTS(SAP)

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ERP WORKING

Since, the lions share in erp market is shared by SA P, so we will try discussthe SA P working to understand ERP. Founded in Germany in 1972

Market Leader in Industrial Enterprise Application (IEA)

About 56% market share in the ERP market

Worldwide presence in over 50 countries

18,000+ employees

Trained consultants doubled since 1996 (40,000)

About 20,000 companies in 120 countries

Around 64,500 installations of SAP

Strength lies in its high degree of integration, mainly for large, global

corporate enterprises

Significant presence in Global Fortune 500 companies

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SAP R/3 : 3 Tier Architecture

Those SAP R/3 software components that

specialize in the management , storage and

retrieval of data form the Database Layer

The Database Layer


specialize in processing business

applications form the Application Layer.

The Application Layer


specialize in interacting with end-users

form the Presentation Layer.

The Presentation Layer

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SAP R/3 : 3 Tier Architecture

The Database Layer

components are installe on

hi h-en atabase server .

The Application Layer

components are installe

across one or more hi h-

en servers.

Presentation Layer components are installe across many PCs

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DISADVANTAGES

OF ERP

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It involves huge capital , so it is difficult for medium and

small scale industries to implement it.

Even in large companies, it requires large amount of time, to

become full flagged.

It demands the involvement of each and every department of

an organization, so overhead of work increases.

If the organization is already using some similar system like

SCM,CR M, then complexity increases.

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STEPS TO PREVENT IT

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A ssurance of R OI from ERP if they properly follow the procedures andimplement the right practices.

One common blunder committed by the company is following the age oldmethodologies and thereby the ERP process will not add any value to thecompany and business process & this should be prevented.

There implementation process should take place in a smooth manner andin accordance with the set standards .

.There should be no compromise or controversy in the funds allocated. Onemistake which is normally done by companies is that they tend to cut downthe expenditures on some areas in order to be monetarily benefited.

There are some elements that are unseen but still impact the organizationin a large manner & these welfare measures of ERP shouldnt be overlooked.

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FUTURE PROSPECTS

Prospects and potentials: The software industry is growing at an

alarming pace and so the growths of ERP packages are definitely positive

and promise a strong future.

Intervention in small markets: With the advent of open source and web

ERP ,ERP companies started intervening in medium and small scale

industries too.

Employment and Education : ERP professionals are in high demand inacademics and employment. Their salaries and remuneration are at par in

the industry and are also whooping day after day.

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erp final 11

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