19-10-2012, 03:19 PM
Enterprise Resource Planning
ERP IMPLEMENTATION.ppt (Size: 704.5 KB / Downloads: 38)
Enterprise Resource Planning (ERP) is defined as an Integrated multi-dimensional system for all functions, based on a business model for Planning, Control and Global resource) Optimization of the entire supply chain, by using state of the art IS/IT technology that supplies value added services to all internal/external parties.
ERP is an integrated system that allows information to enter at single point in the process and updates a single shared database, for all functions that directly or indirectly depend on this information.
This integration takes place in real time.
ERP is a business tool rather than a system tool as it can bring radical changes in an organisation
Business Environment has changed more on the last five years than it did over the previous five decades.
Successful companies to-day recognize that a high level of inter action and coordination along the supply chain will be a key for success.
ERP as an infrastructure fulfills the tomorrow's managers need for a decision making tool.
Evolution of ERP
Earlier generation ERP Packages were based on MRP Concepts
The focus of manufacturing system in 1960’s was on inventory control.
Most of the software packages then were designed to handle inventory based on traditional inventory concepts.
In 1970’s focus shifted to MRP (Material Requirement Planning systems which translated master schedule built for the end items into time phased net requirements for the sub assemblies, components, raw materials planning and Procurement.
Modules of ERP
An ERP system consists of a variety of functions
that are linked together. The various modules of
an ERP system include
Financial Accounting and Control
Asset accounting
Materials Management
Production Planning
Quality Management
Plant Maintenance
Sales and Distribution
Human Resource Manageent
Project Management
ERP Implementation Methodology
Identification of the needs for implementing an ERP package.
Evaluating the “as is “ situation of the business.
Deciding upon the desired “to be “ situation of the business.
Re-engineering of the business processes to achieve the desired results.
Benefits of ERP
Integrated, uniform and up-to-date information – right person to make decisions at right time-entire organization shares the same information and views it in the same perspective.
Integration of work flow which in turn integrates business processes.