project report erp success

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1 PROJECT REPORT ON ERP SUCCESS SUBMITTED BY: - SUBMITTED TO:- SURAJEET SINGH Prof- Kapil Mohan Garg SESSION: 2011-2013 INSTITUTE OF TECHNOLOGY &SCIENCES GHAZIABAD U.P.

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Page 1: Project report erp success

1

PROJECT REPORT

ON ERP SUCCESS

SUBMITTED BY: - SUBMITTED TO:-

SURAJEET SINGH Prof- Kapil Mohan Garg

SESSION: 2011-2013

INSTITUTE OF TECHNOLOGY &SCIENCES

GHAZIABAD U.P.

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Abstract

ERP (Enterprise Resource Planning ) comprises of a commercial software package that promises

the seamless integration of all the information flowing through the company–financial,

accounting, human resources, supply chain and customer information” (Davenport, 1998). Much

has been written on implementation of Enterprise Resource Planning (ERP) in organizations of

various sizes. The literature is replete with many cases studies of both successful and

unsuccessful ERP implementations. Research on the implementation of ERP in certain European

countries shows that, the job of implementing an ERP is a riskier business for Small and

medium-size enterprises (SMEs) than for Large Enterprises (LEs), still SMEs have been

receiving lesser focus from the software vendors and consultants than LEs (Shanks et al.,2000).

There have been very few empirical studies that attempt to delineate the critical success and

failure factors that drive the success and failure of ERP implementation at Indian SMEs. Much of

the time, ERP software vendors and consultants are the targets for blame when anticipated

results do not materialize. Are the ERP vendors and consultants that sold the software the real

culprits for the lack of business performance improvement

Enterprise solutions provide a centralized framework for all data and processes of an

organization. It integrates all aspects of a business from planning to inventory control,

manufacturing, sales, marketing, finance, customer service and human resources. A significant

part of our service portfolio is our customized ERP solutions. The SAP business and MS

dynamics NAV services provided by us include: software licensing, data migration,

implementation, support, consultancy and training. We deploy resources on integrated teams that

work with our clients to undertake complex enterprise transformation efforts. Selection of the

three organizations is based on the need to collect detailed data about the ERP implementation

process in each organization. In all the three industries, questionnaires were sent to 600 end-

users. A total of 202 questionnaires taken for analysis have shown that the first three dominant

success factors of TI InfoTech, BPCL and ITTI are related to the quality dimensions, suggesting

that the success of implementing ERP system is largely determined by the quality dimensions.

Thus the technological newness was the most important factor in determining the quality of the

system.

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Introduction

Enterprise resource planning (ERP), client/server applications for managing accounting,

manufacturing, distribution, and human resources, are the de facto backbone of business

intelligence. However, while many organizations consider the introduction or enhancement of an

ERP solution, the significant and well publicized challenges associated with ERP

implementations often daunt them. According to Gartner Group, "…for 40 percent of enterprises

deploying ERP or ERP II systems through 2004, the actual time and money they spend on these

implementations will exceed their original estimates by at least 50 percent (.07 probability).

Many enterprises have suffered spectacular project failures due to unplanned or under planned

implementation projects."

Reliably predicting implementation costs and the time required for implementation are two key

outcomes of successfully planning an ERP initiative. Organizations must be able to accurately

predict costs, resources, and requirements, and develop a plan of attack both before the

implementation begins and throughout the project.

While ERP implementation horror stories highlight serious business consequences and criticize

leading ERP vendors for botched deployments, often the software giants are not to blame.

Companies must realize that ERP systems are not a standalone solution, but instead an enabling

technology to support a broad corporate change and the key to a successful deployment is in the

process.

Organizations must broaden their perspective in order to put their ERP efforts back on a

successful path. Too many overlook a critical stage: New business processes must be established,

thought through, and implemented before the selection, purchase, and deployment of a software

solution. As more organizations worldwide choose to build their corporate knowledge base

around complex infrastructure solutions, the need to understand how to successfully implement

an ERP system has become increasingly important.

Organizations today are constantly in search for ways to achieve better business performance and

sustain competitive advantages through effective deployment of resources and business

processes. To improve business performance, organizations require an efficient planning and

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control system that synchronizes planning of all processes across the organization. The key to

competitiveness lies in a solid information system (IS) infrastructure seamlessly aligned with

core business processes developed for the delivery of high quality products and services to

customers within the optimal time. These demands have prompted more firms to shift their IS

strategies from developing in-house information systems to purchasing application software,

such as ERP systems, to generate synergies and enhance operating efficiency (Hong & Kim,

2002). However, scarce work exists on measuring success for an ERP system. Although it is very

important to evaluate the success offer implementation projects since a lot of financial and

human resources are invested (Bradford andSandy,2002) reported that 57% of the interviewed

companies launched no assessments on the performance of ERP systems owing to lack of

empirically effective evaluation models. Information systems (IS) success is one of the most

widely used dependent variables in information systems research. Not surprisingly, much

attention has been given to how best to measure it (De Lone & McLean, 1992). This research

accordingly attempts to propose success model former systems and to empirically investigate the

multidimensional relationships among the success measures. Additionally, three case firms

among the success measures are also empirically tested. Enterprise solutions provide a

centralized framework for all data and processes of an organization. It integrates all aspects of

business from planning to inventory control, manufacturing, sales, marketing, finance, customer

service and human resources. A significant part of our services portfolio is our customized ERP

solutions (Debone & McLean, 2003). At Irion, we provide cost-effective enterprise solutions that

are developed and customized keeping in mind the individual requirements of clients and their

areas of operation. Our process experts will evaluate every detail and thoroughly assess each

option that they draw for your organization. Our enterprise solutions enable the integration of all

business activities of an organization thereby improving operational efficiency. The SAP

business one and MS dynamics NAVservices provided by us include: software licensing, data

migration, implementation, support, consultancy and training. We deploy resources on integrated

teams that work with our clients to undertake complex enterprise transformation efforts.

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ERP market growth in India

ERP market in India steadily growing for the last few years and the main reason for this

enormous growth can be attributed to the inability of order system to manage the conversion to

year 2000. There are also other factors such as industry best practices, easy and faster

implementation and good cost predictions.

Another factor behind the growth is that already existing clients acquire more licenses and

modules. The number of employees using the ERP system is increasing and the ERP clients who

have started with the basic modules are going for subsequent applications. There is also a trend

to replace customized system with standard application packages, like an ERP system.

India is expected to present ERP suppliers an important marketplace as manufacturing

companies are significantly investing in technology solutions to improve their manufacturing

operations.

According to observation made by some experts in the field, the ERP market started showing

solid organic growth since 2004 as IT spending improved.

The Indian ERP market experienced CAGR (compounded annual growth rate) of 25.2 during the

period of 2004-2009. The market was $83 million in 2004, and is projected to be over $250

million in 2009, according to a research report.

The report further clarifies that manufacturers in India are increasingly implementing ERP

solutions to ensure that decision makers have the required information visibility across the value

chain.

Majority of Indian manufacturers are small by global standards, requiring easy-to-use ERP

solutions to meet their specific process requirements, including localization needs to address the

continually evolving tax and statutory requirements. Small and medium enterprises across

industry verticals and micro verticals, such as automotive, pharmaceuticals, and textiles, are

leveraging ERP solutions to gain sustainable competitive advantages.

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BARRIERS TO SUCCESS

Typically, there are three process barriers that prevent many ERP implementations from being

successful. These barriers result in an elongated development cycle with poorly defined and

managed requirements and, as a result, poorly defined measures of success. The implementation

team often is tasked with chasing a series of fluid requirements, no process for managing

changes to the project scope, and a false belief that technology alone will prevail. These

teams are, without fail, disappointed with the results.

Specifically, the three most common mistakes of ERP implementations are the following:

Focusing on technology: The technology "silver bullet" approach is one sometimes sold by

vendors. However, there is no evidence anywhere in the history of IT that software alone will

solve a business problem.

Ignoring the importance of requirements definition: Organizations too often ignore the need

to define an optimal process and then use the technology as an enabler for the process. In too

many instances, organizations either try to adopt a process that is inherent in the ERP

solution, even if it does not fit their business requirements, or they try to shoehorn their

legacy processes into a software package that is not designed to support their processes. In

both cases, they sub optimize the capabilities in the technology and don't take advantage of

the opportunity to streamline their business process the entire point of technology implemen-

tations.

Jumping from the requirements definition to the development phase: Pressed to deliver

systems against predefined timelines that don't take into account all of the necessary

implementation steps, organizations often rush the process, neglecting to build both a solid

implementation plan and solid agreement across the organization as to what it will take to

develop and implement the solution before implementing the technology.

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THE IMPORTANCE OF ENTERPRISE RESOURCE PLANNING

ERP is a Rising Need of Enterprises. is a strategic tool helping an organization to gain and edge

over its competitors by helping in successfully integrating its key business operations,

synchronizing, planning and optimizing the resources available in the existing extremely

competitive environment.

Its use has a much broader scope in today's world rather than of just planning the use of the

enterprise resources. Organizations (especially those which are borderless) face many difficulties

in quickly making out the information required. The integration of the business processes

improves coordination between bodies, streamlines workflows and processes and benefits them

in terms of retaining and satisfying customers by delivering their orders "just-in-time" and

keeping them well informed about their orders' current status rather than keeping them waiting

for just a small piece of information. ERP has the effect of making an enterprise more time-

sensitive. Another benefit is of better marketing opportunities. ERP penetrates one segment after

the other and addresses solutions to many debacles existing in an enterprise.

Different ERP systems have been made to facilitate organizations in Enterprise Resource

Planning. Leading ERP giants making ERP systems are Microsoft, Oracle, PeopleSoft and JD

Edwards, SAP AG etc. These systems link the order, inventory, sales, purchase, manufacturing,

supply chain and warehouse management modules in an enterprise for better, fast and accurate

information availability to every single person which is its 'primary objective' because every

single operation and action taken at any place by any person depends on consistent and updated

information availability. Whatever a person needs can be immediately accessed by him subject to

the delegated authority. ERP function has thus helped individuals.

They also enhance management decision making by making future projections about sales during

a certain period of a certain product. Management would then be able to make decisions whether

to increase/decrease production of that particular product which in turn would help save

resources from being wasted which could be used for other purposes e.g for making other

products. They also help managers make decisions about introducing some new value added

features to an existing 'hot-demand' product to enhance sales further. This is how product quality

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is also enhanced. Inventory costs reduction must be given a great importance in every

organization. ERP helps reduce inventory costs by better planning and forecasting of

requirements. ERP system helps getting higher return on investments (ROI) in a fast manner.

While there are absolute benefits, an ERP system also poses significant challenges in the areas of

information security and business continuity planning. Above mentioned things point to a very

critical step, the right choice of an ERP for your enterprise! Off all the ERP systems exiting in

the market, all seem to be performing the same function but the one best suiting your

requirements needs to be picked up in order to achieve required results. The choice depends upon

the structure and type of the organization e.g financial, manufacturing etc. This is why some

organizations experience higher benefits as compared to others because they've made the right

choice and are able to make the right use of their system.

One of the most powerful advantages to ERP is the implementation of software. Even though

Y2K didn't become the disaster that many people expected, it gave rise to the concept of making

sure software was properly implemented. In addition to dealing with software issues, ERP can

also help companies integrate their operations. At the same time, it is important to realize that

there are a number of challenges involved with utilizing ERP. Perhaps one of the greatest of

these challenges is cost. Enterprise Resource Planning tools are outside the price range of many

organizations.

It is important to understand that ERP tools must be customized to meet the needs of the

company. In most cases, it will not be useful when it first purchased. Each company has unique

needs, and ERP tools must be able to meet them. A number of companies run into problems

when they attempt to customize the software.

To summarize, ERP has a great importance and ERP systems have become the biggest need of

today's organizations to survive. They provide tremendous benefits provided the Critical Success

Factors of ERP system implementation are kept in mind.

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Indian ERP system best suited for Indian industries

Enterprise Resource Planning (ERP) Solution software should address all the needs of an

enterprise within the social context of the country in which the enterprise operates. This would

imply that the local accounting practices, locally applicable taxation laws are fully adhered to in

implementing the various business processes.

Many imported ERP software systems must incorporate India specific features before

implementation as per the specifications of its client, where as an Indian ERP solution has

already been programmed to take care of the national industry's interest.

Another feature of an India-made ERP like resource ERP software system is its design. It has

been designed to cater the need of the Indian users with fully knowing their working

environment and requirements.

Industries also consider easy accessibility to their solution providers while choosing the right

ERP for their enterprises. It also to be noted that eresourceInfotech serves all our customers

equally, unlike some overseas vendors who have a strategy to serve only large clients.

Cost factor also stands as one of the reasons why Indian ERP solution is best suited for Indian

industries. Many a time the huge cost involved in it scares away industries from implementing

ERP solution, depriving the benefits the system could offer. To overcome this precarious

scenario, e-resource ERP has introduced an affordable ERP, keeping in mind the Indian

industries, specially the small and medium scale enterprises.

TI InfoTech: TI InfoTech is an information technology company in Noida, New Delhi, India. It

specializes in Reimplementation for SAP B1 and oracle E-business suite. For tour and travel

companies we have ERP "travel assist" and XML integrated online booking engine. This

industry offer offshore custom software development for websites, portals, SEO activity, IT

infrastructure consultancy and hosting solutions for websites and emails. It has expertise in

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industry like travel tour, trading, manufacturing, wholesale distributions, logistic service

providers, FMCG, chemical, automotive and pharmaceuticals.

BPCL: In November 2001, Bharat Petroleum Corporation Limited (BPCL), a leading player in

the Indian petroleum industry, successfully implemented an enterprise resource planning (ERP).

Implementation began in April2000 after the company decided to integrate all

itsactivitiesthrough the ERP package SAP R/3 the Company hoped to speed up its decision-

making and respond faster to customer needs through ERP. The intention was to show the

differentiation in service, retain customers and help increase the business of its industrial and

commercial (I&C) customers BPCL also wanted to increase its retail thrust by exploiting IT

initiatives to them maximum.

ITTI: (formerly, Innovation Technology Transfer India) is system integrator and software

services company with core competence in the areas of enterprise business solutions (ERP

implementation & support, business intelligence solutions and business integration

projects);application development & maintenance services and infrastructure management

services. ITTI have significant domain expertise in the manufacturing vertical (discrete &process

industries), as well as CPG, retail, automotive, Parma, cement and engineering industry verticals.

ITTI Project teams provide world-class consulting and software services with the objective of

building enduring relationships with our customers. Based on the leading edge CMMI

(Capability maturity model integration)SW model and ISO 9001:2008 standards, our multi-

shore delivery capabilities have further enhanced the value add that our customer’s experience,

in their engagements with ITTI.

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Exclusive for Indian manufacturers

An affordable ERP for SMEs

In a move to assure small business customer in India implements ERP solution, e-resource ERP

has come out with an ERP exclusively for Indian manufacturers. E-resource ERP iSE, an ERP

for Small and Medium Enterprises is affordable, quick to implement and enabling the SME to

focus on growth and improving their business rather than worrying about software.

E-resource ERP for SME is designed to provide the small and medium enterprises to implement

a suitable resource planning which will guarantee a return on investment, thus making it to grow

their business beyond their expectations and margins.

EresourceInfotech so far implemented ere source ERP for SME module nearly in 25 customer

locations and our client list is growing more and more by day, which indicates the growing

popularity of this software.

The key operational factor for SME is to increase operation efficiency, reduce cost of production,

supply chain management and deliver product to customer. The major obstacle for the SMEs is

the cost element associated with ERP implementation, which are usually very expensive. Ere

source ERP is priced at cheaper and be afforded by even very small industrial units.

Moreover, the differentiating factor is that ere source ERP is modular with regard to pricing.

Resources ERP comprises of modules, such as:

Sales and Distribution module

Purchase and Supplier Module

Inventory and Material Management Module

Production and Shop Floor Management Module

Total Quality management

Excise management

Accounts and Finance Management

Human Resource Management

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Ere source ERP benefits Gain Business Visibility, Get accurate, timely information, Make

better business decisions

Increase Operational efficiency

Gain Business Visibility

Improve Customer Relationship

Streamline Production and Planning

Optimize IT Investments

Comply with Regulations

Cut Costs

Bring product to market sooner

Monitor and control and expenses

Reduce errors

Get accurate, timely information

Support your changing needs

Get a complete view of your business

Make better business decisions

Deliver the right product at the right time

Keep customer promises

Ability to modify/configure statutory changes

Reduced product cost, reduced expediting

Improved closure rates, Increased market share

Improved sales and opportunity visibility better customer relationships, lower customer

service costs

Global reach, better inventory visibility, reduced distribution costs, higher

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The 'flexible' attitude of users hampering ERP success in India

Success of ERP performance is directly proportional to the adherence to standard operating

procedures. However, we find that very common complaint against ERP is its rigid structure and

disciplined standard operating procedures. Often there are ridiculous demands and expectations

from users, which are conflicting with standard operating procedures. Hence ERP is either

blamed or made to fail. When the user says he wants flexibility in ERP, actually he wants the

official allowance to deviate from standards set for value generation. The repercussions of such

flexibility are tremendous, including the loss of value.

For example, here goes a typical style of customer negotiations. The sales people of a

manufacturing company arbitrarily fixed unit price and raised sales orders against customers.

After physical material dispatches, suddenly the customer started negotiating with sales and the

rates were changed. The sales person then wanted to pass these entries in ERP. No good system

will support such incongruous requirements. Here, the user wants flexibility in addressing these

issues from ERP and also expected that everything should happen automatically. To settle and

account for such changes, one has to pass a number of reverse entries in ERP.

Unfortunately, some consulting companies charge extra from clients for automating such absurd

provisions. The same thing happened with the above company also and they landed up with 'auto

reverse entry module' supporting the existing system. More ironically, this feature of ERP soon

became so popular that the company asked a similar module for purchase transactions. The

ultimate chaos is always observed in finance and costing modules where multiple figures of

profits, inventory values, sales income, taxes, etc. linked to the same transaction are found.

Nobody could really gather any meaningful information from such sets of data over a period of

time. At the end the user gets flexibility and the organization gets punishment.

There are also some cases where flexibility going to the extent of unethical business practices

and in such cases illegal transactions can also be carried out.

Here is one peculiar requirement that once observed from a user. He asked for various options of

selecting report sizes (A3 or A4) to use with different printers for printing the same reports. ERP

was expected to be flexible enough to accommodate multiple report sizes based on printer

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selection. The same user never used in his earlier tenure any computerized output and did not

even know how to load paper into printer.

The major flexibility expected by Indian ERP users can be summarized as "I want to do

transactions any way, later on it should get corrected." Hence we find demand of provisional

entries, temporary databases, notional requirements, etc. The fundamental principle of ERP is

doing right things right at first time is not understood and deviations are expected to be

regularized. We find many of such cases, ultimately making ERP as unused ornament lying in

the bank locker.

Familiar Interfaces

It is important that systems are easy to navigate for people who may use them only occasionally

as well as for power users. Information workers today spend a large portion of their workday

using their e-mail applications, probably the most widely deployed applications in the world.

Messages from co-workers, customers and suppliers constantly flow through e-mail inboxes.

Rather than jump from an ERP system to e-mail, it’s simpler if business applications not only

look and feel like e-mail but are actually integrated with it. A familiar interface enables workers

to feel comfortable with an application immediately. And since industry analysts agree that one

of the biggest costs involved in implementing new ERP systems is training, which often equals

or exceeds the cost of the actual software purchase, eliminating the need for some training can

speed up the implementation time frame dramatically, leading to faster ROI and time to benefit

from the ERP investment.

Confident Decision Making:

One of the lesser-known disadvantages of earlier generations of ERP is that software rarely

communicated information to users about upcoming problems, unless the user was savvy enough

to ask the right question at the right time. If the user was lucky or smart enough to stumble on a

problem, deciding how to solve it was more often a matter of intuition than data analysis. The

tools available were simply too slow and cumbersome, especially as the pace of business got

faster and faster. Data warehouses and other analytical tools usually rely on periodic updates,

forcing users to work with less-than-current data. Disparate systems often yield conflicting

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information. No wonder most manufacturers ran by the seat of their pants. They simply had no

tools.

Today it’s possible for analytics engines to be embedded in applications or in the IT stack.

Engines can access information from multiple disparate systems instantly and present the user

with up-to-date information in a graphical format. Some engines and search tools can combine

both structured data, like that found in ERP databases, and unstructured data, like that found in

documents like contracts or RFPs (requests for proposal), to present the user with an immediate

and complete picture.

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ERP systems improve company's business performance

Enterprises Resource Planning (ERP) solution enables the task involved in performing a business

process quickly and efficiently.

With ERP, when a customer service representative takes an order from a customer, he or she has

all the necessary information to complete the order. Everyone else in the company sees the same

computer screen and has access to the single database that holds the customer's new order. As

and when a department completes their work with the order, it is automatically routed via the

ERP system to the next department for the next process.

The order can be tracked any time of point by any department by logging into the system.

The order process moves so quickly through the organization, and customers get their orders

faster and with fewer errors than before. ERP can extent that application to the other major

business process, such as employees' benefits or financial reporting.

The entire gamut of ERP activities are summarized below:

ERP facilitates a company-wide integrated Information Systems covering all functional

areas such as manufacturing, sales and distribution, accounts, payables, receivables,

inventory, human resources. Etc.

ERP integrates and automates most business processes and share information enterprise-

wide in real-time, thereby improving customer service and the corporate image.

ERP provides complete integration of the system not only across departments but also

across companies under the same management.

ERP bridges information gaps across a company and focuses on key issues such as

productivity enhancement, customer service, cash management, inventory, quality control

and prompt delivery. Etc.

ERP is the solution for better project management.

ERP provides business intelligence tools like decision support system, executive

information system, reporting, data-mining, early-warning system, enabling people to

make better decisions and improve business processes.

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ERP not only addresses the current requirements of the company but also provides an

opportunity for improvement and refinement in the business process on a continuous

process

BPR plays a critical role in ERP implementation

Processes, organization, structure and information technologies are the key components of BPR,

which automates business processes across the enterprise and provides an organization with a

well-designed and well-managed information system. While implementing ERP, the

organizations have two options to consider.

Either the organization must reengineer business processes before implementing ERP or directly

implement ERP and avoid reengineering.

In the first option of reengineering business processes, before implementing ERP, the

organization needs to analyze current processes, identify non-value adding activities and

redesign the process to create value for the customer, and then develop in-house applications or

modify an ERP system package to suit the organizations requirements. In this case, employees

will develop a good sense of process orientation and ownership.This would also be a customized

solution keeping with line of the organization's structure, culture, existing IT resources,

employee needs and disruption to routine work during the change programmer likely to be the

least. It could have a high probability of implementation. The drawback of this option is that the

reengineered process may not be the best in the class, as the organization may not have access to

world-class release and best practices. Moreover, this may be the only chance to radically

improve in the near future and most attention should be paid while choosing the right ERP. Also,

developing an in-house application or implementing a modified ERP is not advisable.

The second option of implementing ERP package is to adopt ERP with minimum deviation from

the standard settings. All the processes in a company should conform to the ERP model and the

organization has to change its current work practices and switch over to what the ERP system

offers. This approach of implementation offers a world-class efficient and effective process with

built-in measures and controls, and is likely to be quickly installed. But if the employees do not

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have good understanding of their internal customer needs or current processes, or if these

processes are not well defined and documented, then it is quite possible that while selecting the

standard process from the ERP package, employees may not be able to perceive the difficulties

likely to be encountered during the implementation stage. Employees would lack process

ownership and orientation. Other than technical issues, issues like organization structure, culture,

lack of involvement of people etc. can lead to major implementation difficulties, and full benefits

of standard ERP package may not be achieved. It may lead to a situation where the organization

may have to again reengineer its processes. This could be a very costly mistake.

There is also a third option of reengineering business process during implementation of ERP. But

it does not considered to be a practical option and is likely to cause maximum disruption to

existing work. It should not be forgotten that during BPR and ERP initiatives, routine work is

still to be carried out and customers need to be served.

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Difference between MRP software and MRP module of ERP

Material Requirement Planning, popularly known as MRP, was developed during 1960s. This

was a proactive manner of inventory management. This technique fundamentally explodes the

end product demand obtained from the 'Master Production Schedule' (MPS) for a specified

product structure (which is taken from Bill of Material) into a detailed schedule of purchase

order or production orders, taking into account the inventory on hand.

MRP is a simple logic but the magnitude of data involved in a realistic situation makes it

computationally cumbersome. If undertaken manually, the entire process is highly time

consuming. It therefore becomes essential to use a computer to carry out the exercise.

MRP successfully demonstrated its effectiveness in reduction of inventory; production and

delivery lead times by improving coordination and avoiding delays, thus making commitment

more realistic. MRP proved to be a very good technique for managing inventory, but it did not

take into account of other resources of an organization. Due to this shortcoming a modified MRP

logic, popularly known as 'closed loop MRP' has been developed. A new module called Capacity

Requirement Planning (CRP) has been incorporated in this. This module manages the capacity of

the organization to produce a particular product. A feedback loop is provided from the CRP

module to MPS if there is not enough capacity available to produce.

Later the need was felt to integrate the financial resource with the manufacturing activities. From

this evolved an integrated manufacturing management system called Manufacturing Resources

Planning (MRP II).

The shortcomings MRP-II and the need to integrate these new techniques, led to the

development of a total integrated solution called Enterprise Resource Planning (ERP), which

attempts to integrate the transactions of suppliers and customers with the manufacturing and

service environment of the organization to produce the best possible plan. Today there are

further development in the ERP concept and evolution of Web-enabled ERP.

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Why should choose e-resource for ERP solution?

E-resource ERP solutions are designed to seamlessly integrate personnel, processes, applications,

and data across an enterprise, enabling the organization to streamline its operations and support

business growth. Our integration solutions help organizations place information in the hands of

those who need it, ensuring optimal relations with customers, partners, employees, and suppliers.

Ere source offers range of ERP services with respect to enterprise solution to organization.

Irrespective of ERP brand, be it, ere source OR SAP or Oracle or any other ERP brands in the

world, ere source renders services for complete Enterprise implementation life cycle,

Selection of ERP vendor

Risk Analysis & Mitigation Plan

Pre Implementation Approach

Project Management and Monitoring

ERP Training and Implementation

Operational Audit

Post Implementation Audit

Measuring Range compatibility and ROI

We work with you jointly to deliver the most favorable ERP solution for your organization, to

help you further maximize your return on the investment.

Ere source ERP, India's leading ERP solution provider offers a centralized framework to

integrate and automate all business processes of an establishment with the aim of increasing

operational efficiency and improving the accessibility and flow of information across all

departments. Availability of timely information combined with a flexible framework enable

organizations to respond and adapt quickly to the changing marketplace and business

environment in a more efficient manner, which obviously results in good ROI (Return on

Investment).

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Our list of services also includes training of employees on the use of the system and post

implementation support and maintenance services.

The five main reasons to choose ere source ERP solution are:

1. OPERATIONAL EFFICIENCY:

Automates all business and functional processes thereby increasing overall operational

efficiency.

2. CUSTOMER SATISFACTION:

E-resource ERP solution help in enhancing internal business processes and enables organizations

to improve customer satisfaction.

3. EASY ACCESS:

Our web-based ERP solution enables easy accessibility and availability of timely information,

which results in better decision making and forecasting.

4. FLEXIBILITY:

E-resource ERP packages have a flexible and scalable structure thereby enabling organizations to

adapt and cater to future business expansions and requirements.

5. COST-EFFECTIVE:

E-resource ERP for Small and Medium Enterprises is affordable, quick to implement thus

enabling the SMEs to focus on growth and improvement of their business rather than worrying

about software. And over and above, eresourceInfotech work with you jointly to deliver the most

favorable ERP solution for your organization, to help you further maximize your return on the

investment.

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Business benefit from ere source ERP

We are sure that the impact of implementation of ere source ERP would be visible in your

business within a short period. One of our objectives is to provide the Indians SMEs with a

home-grown ERP solution which they could afford and bring the desired benefit in their business

quickly. ere source ERP software has been designed and developed accordingly.

The added feature of ere source ERP is its quick implementation process. It is race against time

and money for many of Indian SMEs and by fully understanding this situation, ere source ERP

has introduced our Guaranteed On-Time Implementation offer.

Ere source offers a full refund for any implementation fees where the agreed-upon ERP go live

date is delayed, provided the customer meets all defined milestone deliverables on time. Ere

source is the only ERP solution provider that has earned extremely high marks from all their

existing customers for its customer support.

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Customer Relationship Management

For accomplishing desired success, organizations continuously strive for increased sales

performance, superior customer service and enhanced customer relationship management.

To achieve these objectives you need solutions that provide rapid access to centralized customer

information. You should also be able to access detailed and up-to-date communication history to

foster customer and prospect relationships, close sales and streamline all customer contact

activities.

Ere source ERP offers consistent and readily available customer and prospect data, allowing you

to manage pre-sales activities, perform automated sales processes, deliver consistent customer

service, evaluate sales and service successes and identify trends, problems and opportunities.

Benefits at a glance

Interaction with other areas of the system, gives you a 'clear' view of the customer

Maximizing opportunities and retaining high value customers enhances revenue and

profit.

Provides value-added services enable you to stay ahead of your competitors.

Improves product development and service delivery processes

Prepare your personnel with in-depth knowledge of the customer's needs

Organizes the customer experience through quick problem resolution

Easy re-run of customer information over and over again

Successful customer interaction

The ere source ERP CRM module helps you know your customer better and includes many

features such as activities, history, related contacts, addresses of your customers and their

relations with your competitors. The flexible database structures enables you whatever

information you would like to keep on your customer and maintains such information for your

future reference.

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The e-resource ERP CRM module also facilitates control and organization of entire sales

process, from offer to invoice. It empowers your sales staff by providing details such as

inventory status, estimated costs and delivery time, risk status, habits and special demands, and

previous trades during offer stage.

The e-resource ERP CRM module offers an effective customer complaint management tool

which also includes repairs processing and document management.

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The key to manufacturing ERP success

The enterprise applications space in India has been in a state of flux since it first made its

presence felt. Over the last only some years there has been a clearer understanding of the critical

business advantage it can provide. A recent Gartner report that delved into the relevance and

utility of enterprise applications stated that such applications can no longer be providing mere

expediency in existing business process, but rather, they need to have an inherent analytic

capability to effect business change. Obviously, USEFULNESS or USABILITY is driving the

adoption of ERP solutions. Today, the Rs 321 crore Indian enterprise solutions market is

undergoing a fundamental change in terms of the value proposition it represents and also in the

vendors’ approach toward selling these solutions. This change is reflected in increasing adoption

not just by large IT savvy companies, but also those in the SMB segment.

To begin to define usability, it is best to start with the anticipated benefits such software

solutions can deliver. A software solution that scores high in usability will shorten

implementation time frames and reduce the amount of training required to go live, in turn

enabling a faster return on investment and delivering benefits more quickly. Such a system will

result in a lower total cost of ownership, is likely to change and grow with your company, allows

for easy upgrades and interoperability, and makes it much less likely that it will need to be

replaced to enable future business processes.

Software vendors are adept at making their ERP look user-friendly. Carefully scripted and well-

prepared demos can mask the more cumbersome aspects of day-to-day business processes.

Selection committees are not usually made up of people who process transactions all day, so

extra screens, background processes or required keystrokes may go unnoticed. And matching up

the software business flows with your in-house business processes doesn’t really tell you

anything about the system’s ability to support your future needs. Even a hands-on session won’t

help you make the right choice in this crucial decision.

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Conclusion

The first three dominant success factors of TI InfoTech, BPCL and ITTI are related to the quality

dimensions, suggesting that the success of implementing ERP system is largely determined by

the quality dimensions. The results indicated that technological newness was the most important

factor in determining the quality of the system. System quality, such as performance, flexibility

of changes, response time and ease of use, is a technical issue. This result confirmed

conventional wisdom that the pursuit of state of-heart technology is a risky proposition. In

addition, different aspects of system quality, such as response time, ease of use, system

reliability, and flexibility of the system have been examined by IS researchers. Most of these

measures are fairly straightforward, reflecting the more engineering (technical) oriented

performance characteristics of the system. Researchers found that these engineering-oriented

performance measures were significantly related to technical-related issues of the proposed

projects. This paper proposed a success model and empirically tested the relationships between

variables. In summary, this research discovered that system quality and service quality are

important dimensions for measuring post-implementation ERP success. Service quality and

system quality dimensions play more important roles than their information quality counterpart

in terms of influencing ERP benefit of use and user satisfaction.

It’s rare today that a company has no IT systems in place, so it’s important to select applications

that run on industry-standard platforms so that applications can easily interoperate. Investigating

the technology that surrounds required business functionality can be even more important than

the functionality itself. After all, it’s relatively easy to add new features to a system.

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Bibliography

Bradford M and Sandy R (2002) Realizing value in ERP. J. Cost Management. 13–19.

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72E488574AC6/archive/vol.3.issue.9-10/oct10seetharam-9.pdf

http://www.eresourceerp.com/ERP-success-in-India.html

http://www.academictutorials.com/erp/erp-analysis.asp