Download as pdf or txt
Download as pdf or txt
You are on page 1of 10

Enterprise Resource Planning.

1.

Introduction: -
Enterprise Resource Planning popularly known as ERP is an information system,
which enables an organization to manage and automate its business functionalities.
It helps in optimizing the utilization of various resources of the organization by
providing accurate and real time information. The ERP system helps in improved
inventory control, increased flexibility, enhanced productivity, higher efficiency,
reduced lead and cycle terms and enriched transparency. But in spite of its various
advantages the implementation of ERP solutions has its challenges. Survey states
60% of the implementation fails due to various reasons either in the form of whole
system failure or inability to reach its targeted aim. It is essential for the company to
keep in mind the various ERP integration challenges while selecting and adapting
the solution effective for the organization.

Concept and Analysis: -


ERP implementation is always a very complex process as it effects business process
across the organization around the globe. In order to realize the main benefits from
the new system employees have to change their way of working and adapt to the
new system. Getting users and functional groups to change their mode of working
and adapt to the new system is the primary and one of the biggest challenges of the
ERP module. To develop the new system, the organization needs a committed
project team that represents all users of the ERP platform. This ensures the software
will support the needs and business processes of all departments across the company.
ERP implementation involves both the people and the technology. Main ERP
implementation challenges are as follows: -

1|Page
 Stages to be followed- The implementation process should follow its
implementation phases. If not it could result to chaotic situations which will
result to further confusions in the organization.
 Training – It is important to train the employees to the new system as it
enhances cooperation and to build trust among the employees and prevent job
insecurities and functional inefficiencies.
 Lack of proper analysis – It is important for the organization to properly
analyze its requirements for selecting the right module.
 Lack of support from top management – It is essential to gain the support of
the top management otherwise it will result to ineffective implementation of
the ERP module.
 Compatibility issues with ERP module – If there is compatibility issue with
existing system will pose a threat to the proper implementation of the ERP
module.
 Infrastructure investment – It is crucial for the organization to invest in
infrastructure development for proper ERP implementation. It will result in
primary investment.
Inspite of the various challenges it is gainful for the organization in long run to
implement ERP process in the system. As we see Nestle SA, worked in binding the
Nestle SA, Nestle UK & Nestle USA companies by the ERP module. The
affirmation that working with two or three ERP plans would require some
hypothesis, impact, and money influenced the choice to totally work with its ERP
structure. It furthermore upheld the affiliation's advancement in the United
Kingdom. Regardless, the mix required a comprehensive reconsidering of
undertaking progression, improvement, and culture in the United States. The
affiliation was apportioned into three specific and clear parts, each with its own

2|Page
power, methodology, and finding. This approach influences the association getting
contraption, recognizing requirements, and other basic ERP frameworks. The
execution of the ERP structure was an incomprehensibly magnificent triumph for
the whole affiliation. After a concise period, the endeavour should have
incomprehensible administration over the whole affiliation's games. Additionally, it
speaks with the methodology for disengaging all of the association' attempts, in
actuality, guaranteeing that they could figure out the affiliation's longings and targets
in fundamental strong regions for a. There are three kinds of affiliations: business,
procurement, and creation. The fundamental clarification they picked SAP was to
help them with all of their overall association necessities .

Conclusion: -
In spite of various challenges in implementation of the ERP module, it has ultimately
brought tremendous contribution to the success of the business. It helps in reducing
the lead time, i.e the time taken between the starting and ending of a particular
process. It also reduces the costings by preventing the duplication of work and
reducing inventory levels. It also increases transparency as information stored in the
ERP system can be accessed by different departments of the organization. It also
reduces the cycle time of a particular process. The ERP system helps in free flow of
information related to procurement of raw materials, production activities and
supply chain. This system also helps in providing real time data about requirement
of raw materials, criteria for supplier selection and receipt and verification of raw
materials. To have a business structure mix and unmistakable quality that considers
business framework advancement, it is critical to sort out the value as indicated by
the buyer's point of view, i.e., administer what they do and where they get it moving.
Thus it can be said without doubt that in spite of upfront effort and challenges, the
implementation of ERP solution is worth full.
3|Page
2.
Introduction: -
ERP module is one of the most actively used software package in different industrial
sectors ranging from core to non-core based industries. The ERP is defined as an
information system that integrates all the resources of an organization. It provides
complete, accurate and timely information on business process, customers, sales,
suppliers, employees, production, finance etc. to the different departments of the
company. It helps in streamlining the business process, reducing costs and
maintaining a smooth flow of information. By spreading out business prerequisites
using ERP, an association could smooth out its exercises and proceed with its
resources. Most relationship with a couple of business districts have a couple of
desires to control business ascribes. ERP plans could accelerate adventures and make
the affiliation's assets accessible to laborers, engaging them to administer more
responsibilities. An affiliation could use an ERP structure to communicate the
middle components into a singular solid business answer. ERP plans could
consolidate with SCM, CRM, E-business, and other association mechanical
assemblies, making it significantly more straightforward for trailblazers to separate
and facilitate undertaking information in a singular region.

Concept and Analysis: -


In the current age of increasing digital transformation, most companies are adopting
the Enterprise resource planning (ERP) software to streamline their business
process. Currently there are lot of companies who are providing ERP solutions to
their vendors. As per recent study ERP software market is valued to around 35.81
billion dollars and it is continuously rising. Some of the important players in the
ERP software market are as follows: -

4|Page
 Microsoft – Microsoft has been one of the top leaders in the market through
its Dynamic product offerings. These ERP solutions provides a fully
integrated tools for financial, supply chain, operations, reporting,
manufacturing and human resource activities. Still today Microsoft’s
Dynamic GP is one of the main leading on- premise solution.
 SAP – It has been a leader in the business after its first launch of ERP solution
in 1972. SAP’s ERP solution provides the business to access to tools to
simplify the business processes and to gain advantages over the competitors.
This is done by integration of financial management, supply chain
management and CRM tools. All the SAP ERP software are scalable and can
be modified as per the needs of the business structure and requirements.
 Oracle – oracle one of the largest software company is well known for its own
brand of enterprise system handling ERP, human capital management(HCM),
CRM and supply chain management(SCM). Oracle became a leader in the
market after a number of acquisitions with its Oracle Fusion and Oracle E-
business product lines. Oracle also acquired NetSuite in 2016, which provided
one of the best cloud ERP software option in the market.
ERP, or Enterprise Resource Planning, is one of the most widely used IT programs
in enterprises for optimizing processes, introducing cost savings, eliminating data
redundancy, and centrally scaling operations. Thus, ERP can assist commercial
activities such as well extraction and mine extraction, which includes oil and gas
pumps. As a result, the highly manual procedure of third-party contractors sending
bills and repair information has been streamlined. Furthermore, the addition of ERP
components aids in the improvement of a business operations. ERP's solution, which
included an integrated web service order offering as well as the establishment of
invoicing and payment delivery systems, helped to address the deficiencies. As a
result, third-party contractors can enter orders directly into the ERP system via web
5|Page
access from anywhere. Contractor invoices are automatically created annually or
monthly, and the data is directly supplied into the ERP's system unit for account
payable maintenance for initial and final processing. The entire maintenance process
is accelerated, with efficient procedures introduced in operations linked to repair at
wells, refineries, and other locations as needed. Customer relationship management
(CRM) has always been an important aspect of any business. Most businesses have
followed a customer-centric strategy. Any client inquiries about the customer
product, as well as requests for customer process inefficiencies, are entered into the
system at this point, and a prompt resolution is expected. As a result, the presence
of a customer relationship management system becomes critical and urgent. Adding
a layer of customer relationship management to an ERP system can help to
streamline the process and eliminate the data complications that can arise during
ERP deployment. It also helps in reducing the cost as it helps in more accurate
forecasting. Another important aspect of any organization is supply chain
management. At the processing end, retrieving raw materials from numerous
vendors, as well as comprehending various distributors and suppliers at the product
end when it is delivered to consumers from the manufacturer's point of view.
Inventory management is an important part of supply chain management. Inventory
contributes to expenses through holding costs and carrying costs related to
transporting products. Inventory goods are added to the organization's projections as
well as the provision to place orders. It is critical to understand that the introduction
of a real-time monitoring system has eliminated a significant cost component:
inventory. Real-time access is aided by ERP data acquired at multiple points.

Conclusion: -
SCM, ERP, and CRM are the three fundamental foundations that allow the entire
firm to work smoothly. We must understand that when a production company
6|Page
conducts a procedure, it is considered part of supply chain management. The well-
established ERP systems are used to capture detailed information centrally. ERP
methods make data more accessible and easier to manage. Customer demands are
satisfied, and forecasting is accurate, thanks to CRM. As a result of combining all of
the above systems, business is operated with the most efficient procedures. ERP
execution requires an adjustment of the affiliation's not precisely magnificent
business procedure for orchestrating the accomplishment of its targets and
objectives. ERP executions are ordinarily done as a test inside an affiliation. To
genuinely complete ERP, one should be okay with a mix of central explanation
points of view, clearing substitution control, project the board, and experience
process reengineering. They are fundamental for convincing and direct execution.
3.
a>
Introduction: -
While overseeing informational cycles, DBMS employs frameworks that may be
useful to clients. Using a data machine to manage a propelling methodology is
beneficial because it allows clients to thoroughly investigate their data for
unauthorized announcements. In any case, the DBMS has a number of issues that
experts are attempting to resolve.

Concept and Analysis: -


Technology departments operated independently, providing technical support and
maintaining an organization's server equipment. Today, MIS leadership frequently
sits alongside other business leaders, collaborating to ensure that the technology
being used supports the company's overall mission moving forward. Though

7|Page
technology helped in evolving the business, there are many IT issues that need to be
looked for.
Cyber Security issues: - Cybersecurity is becoming increasingly important for a
variety of reasons. Data has become the most valuable commodity for many
businesses, and we are seeing an increase in malicious activity, such as malware. As
attackers seek to exploit vulnerabilities, data breaches and incidents are becoming
more common. Cybersecurity is more than just a commercial concern. Governments
are increasingly being targeted in cyberspace. Dissenters are using information
access as well as misinformation to undermine government initiatives and
sovereignty.
Skill Gap issues: - Technology is a tool that can help us achieve our objectives more
efficiently, but it is only as good as the people who manage and use it. According to
CompTIA research, 93 percent of employers report a skills gap in their IT
professionals, indicating a mismatch between desired and existing skill sets. Before
they can leverage innovation and emerging technology, IT leaders, beginning with
the CIO, must engage the right talent for the IT team to maximize the tools. Indeed,
80 percent of organizations report that their IT skills gap has an impact on at least
one business area, such as staff productivity, customer service/customer
engagement, and security.
Data Protection: - Consumer trust is difficult to obtain and a valuable asset once
obtained. According to an Edelman study, 81% of consumers said they needed to
trust a brand before buying from them. Implementing data protection and
information security policies and procedures to ensure that customer data is kept
private is critical to gaining and maintaining consumer trust. As we emerge from the
pandemic, data protection becomes even more critical.

8|Page
Conclusion: -
A subset of an information structure enables the data framework or unambiguous
methodology components to store and recover data to and from memory. The
primary goal is to create a valuable philosophy association structure that can meet
all rapidly progressing toward illuminating assortment client requirements.

b>
Introduction: -
ERP structures aid in the support of endeavours as well as the methodology of
generally planned evened out development. All test accessories, from data creators
to focus on makers, have a convincing ERP execution. For a profitable ERP
execution, there may be a fundamental for getting organised, authorisation, and cycle
evaluation. Making approaches is the fundamental step in execution, in which a
methodology creates the test arrangement and depicts the compasses and exercises
used in the endeavour. The execution stage is linked to Fragment 2, where the
affiliation begins execution by completing the obligation plan.

Concept and Analysis: -


A mission plan is a strategy for addressing the methodologies for doing business and
the unambiguous requirements. Time and money are two factors that will play an
important role in the project's success. Both the execution second and the execution
cost should be distributed. Collecting such components will assist you in making an
excellent decision. Because ERP execution involves a significant trade, an affiliation
speculation may be necessary. It is critical to first attempt perspective, and then a
short time later to get that perspective rolling. This will assist in forming a mind-
boggling assurance because the motivations driving the execution cycle could

9|Page
solidify clear work areas or gatherings, and they should be given notable length out
of orchestrating. Testing permits a partnership to make a decision based on the
certainty that the ERP framework is functioning properly. Pre-execution, plan
execution, and post-execution testing are the three stages of testing. Throughout the
repairing fragment, there is pre-execution testing. It is used to determine whether the
figuring out frameworks' design has improved and the test plan has been expanded.
The client and shipper agree to collaborate, therefore this review is repeated. The
approach of moving project records (for example, cash related, instructed power,
surface, client, and so on) from another device to the ERP structure is known as
records update. This cycle should be worked with and completed as soon as possible.
A foundation must be created before the alteration can be completed all around. This
can be accomplished by one of two cognitive processes. Prepared or unrestricted
changes are two options. Administered alterations include new programming
releases, new reasoning methods, new vehicles, and so on. Any weight that occurs
during the execution cycle, such as a machine crash or contamination, could be
hardened indefinitely.

Conclusion: -
ERP is a fantastic IT supporting tool, and all degrees of experience should complete
it to assure unmistakable success in executing that affiliation's point of view. ERP
implementation should focus on an organization's long-term cooperation needs and
goals. The association should have a clear vision, objectives, and strategy.

10 | P a g e

You might also like