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ERP Presentation Slides

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  • 1. Overheard in a computer shop: Customer: "I'd like a mouse mat, please." Salesperson: "Certainly sir, we've got a large variety." Customer: "But will they be compatible with my computer?"
  • 2. D ata P rocessing & D ecision Network presents: Enterprise Resource Planning · D avidson, Paul, · P aterson, Jennifer · D yrud, Brian, · N eal, Lindsay
  • 3.
    • The ERP acronym is erroneous; resource and planning are not involved in ERP.
    • Enterprise is the true ambition of ERP.
  • 4. How can ERP increase business performance?
    • Improve the order fulfillment process
    • Cross link business departments
  • 5. Why ERP?
    • Companies can compete at the same level
    • Increases customer and B2B relationship
  • 6. Benefits of ERP Systems
    • Offers a single depot of information
    • Real time Management capabilities
  • 7. So what can ERP do?
    • Automate tasks
    • Standardize company information
  • 8.                                                                                                                                                        
  • 9. ERP Solutions (a few front runners in the industry)
  • 10.
    • Software provider for service industries
    • Lawson and integration
  • 11.
    • Manages critical information in the most cost effective way
    • The vision of Oracle…
  • 12.
    • Real Time Enterprise uses no intermediaries
    • People Soft has implemented Pure Internet Architecture
  • 13.
    • Helps businesses of all sizes
    • SAP’s Business One Software uses current IT programs
  • 14. ERP Logistics
    • ERP efforts usually run between one and three years.
    • To do ERP right, the ways you do business will need to change and the ways people do their jobs will need to change too. This takes time and money.
  • 15. Five major reasons for ERP.
    • Integrate financial information
    • Integrate customer order information
    • Standardize and speed up manufacturing processes
    • Reduce inventory
    • Standardize HR information
  • 16. Will ERP fit the way We do Business?
    • The most common reason companies walk away from ERP projects is that they discover the software does not support one of their important business processes.
      • change the business process to accommodate the software
      • modify the software to fit the process
  • 17. What does ERP really cost?
    • Meta Group recently did a study looking at the total cost of ownership (TCO) of ERP, including hardware, software, professional services and internal staff costs.
    • The TCO numbers include getting the software installed and the two years afterward.
    • Among the 63 companies surveyed—including small, medium and large companies in a range of industries—the average TCO was $15 million (the highest was $300 million and lowest was $400,000).
  • 18. When will I get payback from ERP —and how much will it be?
    • A Meta Group study of 63 companies found that it took eight months after the new system was in (31 months total) to see any benefits.
    • Median annual savings from the new ERP system were $1.6 million.
  • 19. What are the hidden costs of ERP?
    • Training
    • Integration and testing
    • Customization
    • Data conversion
    • Data analysis
  • 20. What are the hidden costs of ERP? (Cont.)
    • Consultants and infinitum
    • Replacing your best and brightest
    • Implementation teams can never stop
    • Waiting for ROI
    • Post-ERP depression
  • 21. Why do ERP projects fail so often?
    • Disagreement among departments
    • Resistance to change
    • Inability to see the big picture
    • This is where ERP projects break down
  • 22. How do companies organize their ERP projects?
    • The Big Bang
    • Franchising strategy
    • Slam dunk
  • 23. How does ERP fit with e-commerce?
    • E-commerce means IT departments need to build two new channels of access in to ERP systems.
      • B2C
      • B2B
  • 24. ERP success stories
    • EarthGrains
    • Indian Motorcycle Company
    • A&P
    • Office Depot
  • 25. EarthGrains (The Problem)
    • $1.9 billion bakery products company.
    • The division had no integration:
      • order-to-cash
      • picking
      • delivery
      • accounts receivable
    • Management lacked detailed understanding of business operations
  • 26. EarthGrains (The Solution)
    • Implemented SAP's R/3 in 1999
    • They were able to analyze customer profitability
    • 180 low-margin retailers were unwilling to change their purchasing patterns, therefore, they were no longer serviced
    • Eliminated the 20 percent of the product line, that was unprofitable
    • In the first year, the division's earnings jumped by more than 70 percent
  • 27. Tips for Implementing ERP
    • Define what it is you expect from ERP
    • Assess risk
    • Maintain control and outsource when possible
    • Monitor outsourcer performance
    • Make changes early concerning the control structure
  • 28. Tips for Implementing ERP, cont.
    • Designate a manager
    • Break it up
    • Plan and implement quickly
    • Ensure appropriate resources
    • Install only what you need
    • Monitor all systems
  • 29. Outsourcing
    • Why should you outsource?
      • Concentrate more on core competencies
      • Increase in number and capabilities of external suppliers
      • Keep up with the latest technology
      • Money saving
  • 30. Avoiding Problems
    • Install the right thing
    • Take one step at a time
    • Prioritize
    • Test for problems before installation
  • 31. 1 st Time Success
    • ERP is not magic; it takes careful planning
    • Technology can’t fix a flawed business strategy
    • Define your business strategy
    • Be flexible
    • Designate a capable leader
  • 32. Challenges and Hard Lessons Learned
    • Some companies have spent fortunes on an ERP software and implementation only to find that their business performance has not improved at all.
      • Nestle
      • Hershey
  • 33. Why do ERP projects fail so often?
    • It’s the process !!
  • 34. Demo of Live ERP System
    • Lawson Software
    • MD Anderson Cancer Center
      • Procurement
      • Accounts Payable
      • Inventory Control
      • Asset Management
  • 35.  
  • 36. ERP for Everyone
    • ERP to the Rescue
    • Your ERP Package Guide
    • The Showstoppers
    • Before you Buy
  • 37.  
  • 38. “ Gib’s law:
    • “ Computers are unreliable, but humans are even more unreliable”
  • 39. Any Questions?