An ERP system integrates all departments and functions across an organization into a single system. It aims to get, keep, and grow customers by enabling collaborative processes. Implementing an ERP system is a complex process requiring over a year and $10 million on average. It involves defining requirements, designing the system, building it, testing transactions, and putting the system into production. An ERP system provides modules for key functions like finance, production, sales, marketing, HR, and more. The benefits are integration, efficiency, cost reduction, and accuracy, but disadvantages include time spent on implementation and potential security issues.

1. ERP Features and Its
Implementation

2. Agenda
•Full definition of ERP system
•Goal of ERP
•Why ERP?
•Steps to implement an ERP system
•Difficulty of implementation
•Offices before and after ERP
•The ERP Modules
•Advantages & disadvantages of ERP
•Costs of ERP
•Conclusion

4. What is
ERP ?
..E..
An Enterprise is a group of people with a common goal,
which has certain resources at its disposal to achieve
that goal.
..R..
Resources included are money, and all other things
that are required to run the enterprise.
..P..
Planning is done to ensure that nothing goes wrong.

5. In general ERP is :
“a business strategy and set of industry-
domain-specific applications that build customer
and shareholder communities value network
system by enabling and optimizing enterprise
and inter-enterprise collaborative operational
and financial processes”(Source: Gartner’s Research Note
SPA-12-0420)
.

6. Goal of
ERP
The goal of our enterprise is simply to get, keep, and grow
customers.
GET
• Acquire profitable customers
KEEP
•
•
•
Retain profitable customers
longer. Win back profitable
customers Eliminate
unprofitable customers
GRO
W
•
•
•
Up sell additional products in a
solution Cross sell other products
to customers Reduce service and
operations cost.

7. Why ERP?
•ERP offers solutions for all
business functions
•Packages available for
organizations of all sizes and
types
•Global nature (multi
currency)

8. Steps to implement an ERP
system :
Definitio
n and
analysis
desig
n
buil
d
transactio
n
productio
n

9. •Very complex
•Extremely costly and time intensive
Typical: over $10,000,000 and over a
year to implement
•Company may implement only certain
modules of entire ERP system
•You will need an outside consultant
Difficulty of implementation

10. Offices b ef o r e ERP

11. Offices a f t e r ERP

12. • Financials
• Production
Management
• HR Management
• Sales & Marketing
• Asset Management
• Quality Management
• Material Management
The ERP
Modules

13. Asset
Management
ERP modules

14. Quality
Management
ERP modules

15. • FINANCIAL
ACCOUNTING
• CONTROLLING
• INVESTMENT
MANAGEMENT
• CASH MANAGEMENT
Financia
ls
ERP modules

16. Production
Management
ERP modules

17. Sales &
Marketing
•Developing strategies for market penetration for new products
as well asincreasing the share of the existing products.
• Reviewing & interpreting the competition&
market information to fine-tunestrategies.
• Selecting & deciding the right distribution channel for the
product& implementing the right pricing & promotionalpolicies.
• Coordinating marketing activities, obtainingleads
for new projects
ERP modules

18. HR
Management
ERP modules

19. Advantages of
ERP
•
•
•
•
•
Integratio
n
Efficiency
Cost
reduction
Less
personnel
Accuracy
Disadvantag
es
•
•
Take time to
implement Security
issues

20. Costs of
ERP
• Direct costs
..hardware
.. Software
..and people on the project
• Indirect costs
..the total cycle life of ERP
..maintenance and upgrades
..increasing salaries and the on going production

21. Conclusion
•To successfully implement; a proper
mix of people, processes and
technology should be maintained
•Technology is an enabler, not the
driver (it is there to assist the
organization to achieve business
goals)