The document discusses enterprise resource planning (ERP) systems and SAP, a popular ERP software. It notes that companies often have many disconnected software systems for different departments that make sharing information difficult. An ERP system integrates these systems to provide a single source of information. SAP is highlighted as the most widely used global ERP due to its comprehensive functionality, scalability, and proven track record of successful implementations. However, the document cautions that SAP projects can fail due to issues like improper implementation strategy, change management problems, or inadequate resources and expertise.

1. Abhijit Pradhan www.bigbangconsultancy.com

2. Talley SAP ERP

3. Impact on economy Slowing GDP growth Collapsed share market Currency devaluation Impact on industries Slow demand Lower production Higher raw material cost

4. Answer is YES……… & this tool is called as ERP

5. What is ERP? Improve organization efficiency and profitability using ERP? Various ERP products and budget SAP information Why SAP is so popular globally? Is SAP useful for small and medium companies? Can SAP projects fail?

7. Finance department decides to implement IT software….calls IT expert….develops IT solution for Finance department Purchase Department decides to implement IT software….calls IT expert….develops IT solution for Purchase department Sales team decides to implement IT software ….……….do…….………………. Develops Sales Software Production Planning team decides to implement IT software ….……….do…….………………. Develops Planning Software Result Too many home grown , independent, standalone and non-integrated software systems in the organization

8. How much worth of faulty car batteries returned back from the market till now? Reasons of failure? Financial loss? Product Engineering Finance Costing Plant Maintenance xxxxx Purchase Quality Production Stores Sales Marketing Service Warranty

9. Getting quick and accurate information is almost impossible Product Engineering Finance Costing Plant Maintenance xxxxx Purchase Quality Production Stores Sales Marketing Service Warranty

10. Data in too many systems and hence manual compilation Duplication of data entry Non Standard procedures Variations in information formats Only few people has access to key information

11. Integration of existing system is technically very complex and expensive Need dedicated IT team System can become very unstable after addition of new functionalities Maintenance of system is expensive Solution Readymade Software with built-in integration called as ERP PP GL HR FA AP AR Payroll Mg

12. ERP with built-in integration between various departments E.g. For every good despatched, Finance and inventory data automatically gets updated Single software can be used across the organization and from any part of the world Instant availability of information E.g. material received at factory gate is immediately visible to all concern depart across the organization Information captured at source

14. Using various features in ERP, Organization efficiency can be improved – e.g. Reduce procurement lead time Improve customer response time Reduce production cost Faster communication with customer and supplier Profitability can be improved – e.g. Reduced inventory carrying cost Reduced production losses Reduced production cost Minimize wastages

17. SAP is a German company SAP is the most popular ERP software globally and in India Almost all top companies are using SAP Tata Motors, Mahindra, Reliance, Birla group, BMC, CIDCO Microsoft, GM, Chevron, Toyota, German Goverment

18. Sales & Distribution Materials Management Production Planning Quality Management Plant Maintenance Finance Costing Project System R/3 Client / Server ABAP/4 CO PS WF IS MM HR SD PM PP QM FI More than 20 modules

19. Product is proven globally with almost zero bugs It has most number of features as compared to other ERPs Scalable solution - can be extended as per business requirement SAP is not implemented by IT team but by people from business e.g. Consultant with CA or ICWA qualification is responsible for implementation of Finance module

20. Yes…..SAP Project Can fail……… ………………… but not because of product problem

21. Wrong implementation strategy Too many modules implemented together Too many sites implemented simultaneously No supported from top management Proper infrastructure not available in time Inadequate implementation partner knowledge & experience If change management issues are not addressed

22. ERP selection -Which ERP is suitable? Deciding strategy - Which modules to be implemented and at what stage? Finding out investment budget Helping customer in deciding infrastructure Helping in selection of implementation partner Help customer in timely completion of project? Ensuring successful SAP Implementation