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Mis jaiswal-chapter-07


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  • 1. Enabling Innovation and Change ERP II ERP MRP II MRP Inventory Control 1960 1970 1980 1990 2000 2010
  • 2. Functional Information Systems (Financial Accounting) Database Systems A/R G/L A/P
  • 3. ERP Systems • An integrated systems that allow information to enter at a single point in the process (e.g., at the materials receiving stage of a manufacturing process) and update a single, shared database for all functions that directly or indirectly depend on this information • This integration should take place in real-time, not through interfaces or programs that transfer information to one or more modules only after the information has already been processed and updated in the module through which it entered the system •Once placed into the system, the information should be available in all the necessary forms through which it may be accessed, throughout the system
  • 4. IS Industry Solutions CO FI AA Costing & controlling Financial Accounting Asset Accounting MM HR Materials Management Human Resources PP Production Planning Central Enterprise Database RM Reports Management QM SM Quality Management Service Management PM Plants Maintenance SD Sales & Distribution PS Project Systems CS Country Specific Solutions ERP: Functional View
  • 5. What does ERP do for an Enterprise?  Work as a transactional Information Systems to - enable enterprise wide shared and integrated database i. improved decision making ii. improved MIS reporting - enable enterprise wide cross functional work flow automation for: i. improving intra-organizational transactions ii. reducing in business processes lead times iii. improved inventory and working capital managem iv. improved financial reconciliation
  • 6. ERP enables improving Business Process Performance •Automation of business processes • Simplification of business processes • Elimination of non-value adding business processes • Reengineering of business processes
  • 7. Getting to ERP II Industry Class A Industry Sector Q ERP Declared “Dead” Industry X ERP II Industry Segment Z Extended ERP Functionality Deepens ERP MRP II MRP Source : Gartner Group Functionality Broadens Technology Infrastructure Increasing External Connectivity
  • 8. e-Business Scope At Macro Level, Organizations can be viewed to have following four environments Buy side (Supplier, Service Providers e.g. transporters) Inside (Employee) Sale side (Customers, Dealers, Distributors) Marketing side (Customers, R&D Partners) As you move up beyond “Publish stage”- you need to deepen your Electronic interaction with customers, suppliers & business partners on a 24x7 basis
  • 9. e-Business Scope with examples e-Business Models Buy Side Inside HLL, M&M, BPCL, HPCL IOC, TATA, BHEL, ONGC Reliance, etc. Sale side Marketing ICICI, HLL Samsung, LG, HLL, MUL, Hundai ICI, Sony Enabler Model BPCL, BHEL, TELCO, SAIL, TISCO, ICI, MUL, Creator Model Dell, Amazon, Fedex, eSteel, eBay, Expedia Destroyer Model CISCO, Intel, British Petroleum, …
  • 10. How does e-Procurement function?
  • 11. E-Procurement • Reverse Auction - companies are experimenting and tasted success with Reverse Auction using B2B Portals: FreeMarkets, Commerce One, Trade2Gain, 01 Markets, IndiaMarkets, MatexNet etc - reverse auction comes at the end of the procurement cycle and easy to implement - speeds up slow negotiation price process - entry cost low, low risk of exposing internal supply chain processes to the security concern of the Web. - effective in markets which are buyer led and supplier base is fragmented - transparent price setting mechanism - market making / new supplier validation process
  • 12. CRM „Customer Relationship Management is the practice of identifying, attracting and retaining the best customers to generate profitable revenue growth‟ Why CRM ? 1. Customer loyalty is the key differentiating factor as other factors like product quality, price, distribution, features, technology etc. are no more unfathomable. 2. It costs 10 times as much to bring in a new customer than it is retain one. 3. The need for accurate and timely information to the sales team is really important. With sales representative’s mobility increasing by the day, it is difficult to expect the same person to come in contact with the customer all the time.
  • 13. … IS infrastructure for e-CRM Home/Office PC Internet ATMs & Enterprise Kiosks Intranet RemoteBranch Agents Offices Host Mainframe Extranet Network Corporate Channel Integration Systems Customer s  CTI applications  Channel integration middleware  Contact management software  Messaging applications  Security services  Intelligent agents PSTN Contact Center