Enterprise Resource Planning PowerPoint Presentation, PPT - DocSlides

Enterprise Resource PlanningERP Systems

Integrating the Organization from End to End

ERP: Enterprise Resource PlanningERP – integrates all departments and functions throughout an organization into a single IT system

(or integrated set of IT systems)

so that employees can make enterprise wide decisions by viewing enterprise wide information on all business operations (consistent enterprise wide information)

Keyword in ERP is “enterprise”

ERP systems focus on integrating all processes, departments and operations for the entire enterprise

Enterprise Resource PlanningERP systems collect data from across an organization and correlates the data generating an enterprise wide view that is consistent and real-time. Everyone involved in sourcing, producing and delivering a company’s product works with the same information.

Common

database

Complete

Data entryrequired

Real timeConsistentOne truepicture

Components of ERP SoftwareThree most common core components focus on internal operations (accounting/finance, production/materials management and HR)

Extended components typically focus on external operations and require interactions with customers, suppliers and business partners outside of the organization.

Typically

Internet enabled.

Make sure that you know what each component typically handles.

Skipped details slides follow

Enterprise Resource Planning (ERP)At the heart of all ERP systems is a database, when a user enters or updates information in one module, it is immediately and automatically updated throughout the entire

system: ERP systems automate business processes

ERP Benefits Having integrated systems

helps eliminate the mess of incompatible applications that many businesses had previously started to use (also didn’t have to fix those old legacy systems)

Integrate financial information and customer order information

Everyone working with the same information eliminates redundancies, reduces wasted time and removes misinformation

Standardize and speed up manufacturing processes, as well as reduce inventory

ERP addresses the need for global information sharing and reporting.One of the greatest benefits of an ERP system is helping people understand how the organization is performing from an enterprise perspective. Provides organizations with information that was previously difficult (if not impossible) to obtain, allowing the organization to perform more efficiently and effectively.

ERP Risks (Costs)

Costly in terms of money, time, amount of training required, and effort to implement.

One vendor risks: too costly to simply switch to another system. Company essentially held hostage.

Employees resist new way of doing things.

Difficult to integrate new ERP system with existing systems.

ERP VendorsSAP: #1 in market share (leader)Oracle: #2 in market share

Gains in market share through acquisition of smaller competitors

PeopleSoft

The ERP system that powers KSIS (K-State Student Information System)PeopleSoft is owned by Oracle

Microsoft Business Solutions Great Plains Dynamics

#1 market share

Oracle: #2 market share

iSIS

runs PeopleSoft