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... and contact information, even view their photos online. ... 'Enterprise Resource Planning: Global Opportunities and Challenges.' 17 Nov.-Dec. 2007. ... – PowerPoint PPT presentation

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Title: ERP

Enterprise Resource Planning
Presented by Patrick Hanley (Group
Leader) Sharin Crivellaro Bernard Medina Erica
Smith Tony Zogheib
Group 3 IST110L Mr. Curt Day 4 December 2007
Origin of ERP
  • Concept developed by the manufacturing industry
    in 1960
  • The first software developed was called MRP
    (Material Resource Planning)
  • The first version of the software did not
    actually become available until 1975

Origin of ERP
  • Eventually MRP would evolve into ERP,
  • benefiting all industries, not just manufacturing
  • ERP gradually became multifaceted software
    encompassing many areas of business management

ERP Model
  • ERP utilizes the concept of Best Practices
  • Best Practices The idea that a desired outcome
    can be reached with the fewest problems and
    errors with extensive testing, checks and

ERP Model
  • The Before and After of ERP
  • Before -- each function  is supported by
    multiple applications and interfaces
  • After -- each function is supported by a single
    application module within the ERP system itself,
    and all applications leverage a common,
    authoritative data source.

ERP Model and the Object-Process Methodology
  • Object-Process modeling methodology is used to
    generate a detailed ERP system model.
  • Object process methodology helps to synchronize
    the ERP system to the organization (or
  • It is an algorithm that compares like things
    between the ERP system and the enterprise and
    calculates and forms a compatible algorithm
    between the two.

Parts of the ERP Database
  • ERP covers a broad range of activities that are
    supported by a multi-module software application.
  • The different modules allow the business to
    manage the many parts of the business.
  • Some examples of modules
  • Planning Sales
  • Inventory Marketing
  • Parts Purchasing Distribution
  • Maintenance Accounting
  • Manufacturing Finance
  • Human Resources

Parts of the ERP Database
  • To allow for the integration of these varying
    modules, ERP will typically use a relational
  • ERP deployment will often involve considerable
    analysis of business processes, as well as
    employee retraining and the establishment of new

Parts of the ERP Database
  • 7 Sectors of an ideal ERP system
  • Manufacturing Examples are engineering, quality
  • Financial Accounts, money management, etc.
  • Human Resources Attendance, payroll, benefits,
  • Supply Chain Management Inventory, purchasing,
    order entry, etc.
  • Projects Costing, billing
  • Customer Relationship Management Call center
    report, Sales, Market
  • Data Warehouse Accessible by workers, managers
    and customers, like an online store

Maintenance Support
  • Key points of maintenance and support of ERP
  • CMMS (Computerized maintenance management
  • CMMS handle vast quantities of data and are
    creating new opportunities for maintenance.

Maintenance Support
  • CMMS benefits
  • Resource control tighter control of resources
  • Cost management better cost management and
  • Scheduling ability to schedule fast moving
  • Integration better integration with other
    business systems
  • Reduction of breakdowns improved reliability of
    physical assets through the application of an
    effective maintenance program

Advantage of ERP
  • Interface capability
  • A business without an ERP system may have many
    software applications that do not connect and
    interface effectively.
  • Tasks that need to interface with one another
  • design engineering
  • order tracking from acceptance through
  • tracking the 3-way match between purchase orders,
    inventory receipts, and costing

Advantage of ERP
  • ERP allows different business areas and employees
    within an organization to instantly access and
    utilize data
  • Great advantage for global companies
  • Examples
  • Expense reporting done online in various foreign
  • Employees are able to view payroll statements
    and make medical benefit selections themselves
  • Employees can search for information about
    others in the organization, such as department
    and contact information, even view their photos

Disadvantage of ERP
  • Training issues
  • Insufficient levels of investment in ongoing
    training for all personnel involved
  • Personnel must be properly trained in order for
    system to be utilized effectively

Disadvantage of ERP
  • Some limitations of ERP
  • ERP systems can be very expensive to install
  • Systems can be difficult to use
  • System may be over-engineered relative to actual
    customer needs
  • System can suffer due to a weaker link
  • A problem with one department in the system can
    effect the others connected
  • Customization capability is limited
  • Customization is required to change the
    software, but changing ERP software is usually
    not recommended.

Companies organizations that utilize ERP
  • Any type of organization can use some type of ERP
    system, if resources allow.
  • These companies tend be medium to large size.
  • US Army/US Navy Automotive Industry
  • GKN Aerospace Pharmaceutical Companies
  • IBM Hospitals

Companies organizations that utilize ERP
  • Example
  • Nuffield Hospitals, located in the UK
  • 40 hospitals
  • Recently began rolling out enterprise resource
    planning and document management software
  • installing the software at two or three hospitals
    at a time
  • protecting profit margins by increasing
    operational efficiencies
  • creating a central procurement function for the
    entire group
  • establishing a shared services center for certain
    functions, such as finance and HR

4m invested expected to be recouped within 3
years of improved efficiency
Choosing an ERP Provider
  • A difficult and time-consuming process, although
    vital to success of the project
  • A business must assess the users needs and
    identify the expectations for the system before
    starting the search for a provider.
  • There are many providers
  • Providers may specialize in particular areas
  • Must choose provider that sufficiently meets all
    needs of the user at best cost, from start to
    completion of the project

Choosing an ERP Provider
Great Plains Ross Systems SCT Cincom Computer
Associates GEAC Sage Navison Scala Deltek Fourthsh
ift Lilly Software Flexi Int'l Glovia
International Syspro Group
  • SAP
  • Oracle
  • PeopleSoft
  • invensys
  • ABB Automation
  • i2
  • SSA Global Technologies
  • Intentia International
  • Epicor
  • Lawson Software
  • QAD
  • IFS
  • Mapics
  • Mincom
  • American Software

AremisSoft Corp. ProfitKey International Solomon
Software Macola Made2Manage Visibility PowerCerv C
larus Corp Friedman Corp ROI Systems Ramco Intuiti
ve Manufacturing Ceecom, Inc. Technology Group
ERPEnterprise Resource Planning
  • Thank you!

Works Cited
  • "Before After ERP." 03/06/2006. 21 Nov 2007
  • Definitions. Computerweekly. 2007. Reed
    Business Information. 30 Oct. 2007.
  • Definitions. ERP History in Depth. 2007.
    Crewind Technologies Pvt, Ltd. 29 Oct. 2007.
  • Definitions. Find Articles. 2007. HighBeam
    Research, INC. 30 Oct. 2007. lthttp//findarticles
  • Definitions. Industry Week. 2007. Penton
    Media, Inc. 31 Oct. 2007. lthttp//www.industrywee
  • Definitions. TechWeb Tech Encyclopedia. 2007.
    The Computer Language Company. 29 Oct. 2007.
  • "Enterprise Resource Planning - Adempierewiki."
    17 Nov.-Dec. 2007. lthttp//
  • "Enterprise Resource Planning, Maintenance and
    Asset Management Systems - are They a Blessing or
    a Curse?" 17 Nov.-Dec. 2007. ltMaintenance and
  • "Enterprise Resource Planning Global
    Opportunities and Challenges." 17 Nov.-Dec. 2007.
  • Keinert, Elaine S. Personal Interview. 29 Nov.
  • Top ERP Vendors. Online Consultant Software. 2
    Dec. 2007. lthttp//
  • "What is ERP?" The Tech-FAQ. 26 Nov. 2007