mis session 12 erp
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Management Information Systems
Enterprise Application
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Management Information SystemsWhy disparate Systems inOrganization?
Diferent Systems or Diferent unctions
Sale and Marketing Systems
Manufacturing and Production Systems
Accounting SystemHR System
Develop independently through normal
organic growth
Develop independently throughacquisition o smaller rms.
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Management Information Systems
Every School has their own Systems
Registration System
Program Management(Course management, Fee)
Examination System
hese Systems developed independentlyaccording to individual school needs
Problems?
Diferent Systems at !"S
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Management Information Systems
$hallenge o diferent SystemsCan not sare information !it eac oter
"ery ex#ensi$e to maintain tese Systems
%i&cult to manage and coordinate !ork
%ne Solution to the a&ovechallenges isEnter#rise A##lications
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Why disparate Systems in
Organization?
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Management Information Systems
%nly %ne System or students acrossuniversity
'egistration System
(rogram )anagement*$oursemanagement+ ,ee-
Eamination System
BENEFITS?
Student%ne System at )acquarie "niversity+ Sydney
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Management Information Systems
Span functional areasExecute business processes across
firm
Include all levels of management
Coordination and Integration of
all related business processes
!ork togeter as one cor#orate system'
automate te o! of information across
organiational *oundaries
Enterprise Applications
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Management Information Systems
%rder ,ulllment (rocess
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Management Information Systems
egacy Systems3 %rder ullment (rocess Eecution
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Management Information Systems
Enterprise System3 %rder ,ullment (rocess Eecution
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E!E'('7SE 8((7$87%! 8'$97E$"'E
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Management Information Systems
Enterprise Resource Planning(ERPorEnterprise systems
Supply chain management systems
!ustomer relationship management systems
"no#ledge management systems
$ypes of Enterprise Applications
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Management Information Systems
Enterprise systems or ERPSystems
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+
8n Eample3 ;eore E'(
Customers
Customer
Demographic
FilesSales Dept.
Vendor
Orders
Parts
Accounting
Accounting
Files
Purchasing
Purchasing
Files
Order is placed
with Vendor
Invoices
accounting
Inventory
Files
Warehouse
Checs !or Parts
Calls "ac #$ot in stoc%
#We ordered the parts%
#We $eed parts &''%
#We ordered the parts%
Sends report
Sends report
Sends report
Ships parts
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+-
8n Eample3 8ter E'(
Data"ase
Customers Sales Dept.
Purchasing
Warehouse
Accounting
Vendor
Inventory Data
I! no parts(
order is placed
through D)
Orders
Parts
Order is su"mitted
to Purchasing.
Purchasing record
order in D)
Order is placed
with Vendor
And invoices accounting
Financial Data e*change+
)oos invoice against PO
)oos inventory
against PO
Ships parts
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Management Information Systems
E'( System wor< together as %ne$orporate System
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Management Information Systems
=hat is E'( >Suite of integrated soft!are modules and a Common central
data*ase
.usiness #rocesses (*ased on *est /ndustry #ractices) are
#re0de1ned and em*edded in te soft!are
%ata collected mostly from all de#artments
/nformation entered *y one #rocess is readily a$aila*le to
oter *usiness #rocesses
2enerate enter#rise0!ide re#orts for management decision
making
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+3
Evolution o E'(
Source3 http3??www.intelligententerprise.com?62646:?@5#eat2A5.shtml, $ie!ed Se#tem*er +4,5665'
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E'( B Cey $haracteristics
7ntegrationSeamless integration of all te informationo!ing troug a com#any 7 1nancial andaccounting, uman resource information,
su##ly cain information, and customerinformation'
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E'( B Cey $haracteristics
56
Integration
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(ac
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;est (racticesERP $endors talk to many di:erent *usinesses
!itin a gi$en industry as !ell as academics todetermine te *est and most e&cient .usiness#rocesses, called ;industry *est #ractices
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Management Information Systems
E'( )odules and their &usiness processes
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M t I f ti S t
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Management Information Systems
E'( Solution (roviders
SAP
9racle(ac8uired Sie*el, Peo#leSoft)
Microsoft
.aan (use of ;*est0of0class< a##lications)
E'( Solution &ased on
=ousands of #rede1ned *usiness #rocessestat reect *est industry #ractices
.usiness #rocesses are em*edded in tesoft!are module
E'( Sotware
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M t I f ti S t
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Management Information Systems
E'( 7mplementation (rocess)odel asisF state
(erorm indepth analysis o eisting process$apture &usiness requirements
)odel highlevel to &eF process
$apture detailed requirements
'equirement 8pproval
)ap to&eF processes to the standard processes in
E'(
)a
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Potential .ene1ts of ERP
/nternal .ene1ts
/ntegration of a single source of data
Common data de1nition
A real0time system
/ncreased #roducti$ity
Reduced o#erating costs
/m#ro$ed internal communicationFoundation for future im#ro$ement
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Potential .ene1ts of ERP
External .ene1ts
/m#ro$ed customer ser$ice and order
ful1llment/m#ro$ed communication !it su##liers
and customers
Enanced com#etiti$e #osition/ncreased sales and #ro1ts
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Management Information Systems
8 step&ystep implementation3/m#lementation of a fe! related modules at one time
;ig ;ang implementation
A *ig *ang de#loyment of R>? re#laces all or most critical
existing systems in a single o#eration !it te ne! soft!are''ollout
Roll0out refers to region or *usiness s#eci1c extensionsof an im#lementation after a model is created at one
site or *usiness unit, !ic is ten used to im#lementto te oter sites or *usiness units'
(PIFRA Project, SAP Implementation at Abbottabad)
E'( )aHor 7mplementation Strategies
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Management Information Systems
8dvantages
I $ompleity or coordinating and organiingte #ro@ect and resources is reduced
=e 8uality of te #ro@ects im#ro$es *ecause te
#ro@ect mem&ers increase their
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Management Information Systems
Disadvantages
=ere is a longer proHect throughput time
7ntegration advantages of te #ro@ect can only*e used ste# *y ste#
'eturn on investment is generally delayed
8 step&ystep implementation
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Management Information Systems
8dvantages !o interaces &etween legacy systems and
te ne! a##lication are needed *ecause allmodules go li$e at te same time
=ere is a short throughput time
/t is igly eJcient, *ecause redundantcustomiing is a$oided
=ere is optimal integration of all com#onentsunder consideration of te integrated *usiness#rocesses
;ig ;ang implementation
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Management Information Systems
Disadvantages
I he implementation is comple due to teincreased need for coordination and integration
/t is resource intensiveo$er a sort #eriod oftime
Em#loyees are su*@ect to higher stress le$els atte same time
A ig degree of consulting support is re8uired 9igh resistance from sta: and oter
stakeolders
;ig ;ang implementation
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Management Information Systems
8dvantages
I=ere is valua&le eperience gained *y #ro@ectmem*ers
Epertise is availa&le for a fast im#lementation
$osts are
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IST 600 ERP Systems: Key Implementation
IssuesU. Yeliz Eseryel
8ccelerated S8( *8S8(- 7mplementation )ethodology
R d f ASAP
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IST 600 ERP Systems: Key Implementation
IssuesU. Yeliz Eseryel
Roadma# of ASAPMetodology
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Pase0+ Pro@ect Pre#aration
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Pase0 5 .usiness .lue#rint
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Pase0? Realiation
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Pro@ect Plan 9utline for Realiation
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Pase0 Final Pre#aration
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Pase0- 2o i$e D Su##ort
Management Information Systems
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Management Information Systems
In 2010, 3M adopted
SAPs Busness SuteAppl!atons
to repla!e all o" ts
le#a!$ so"t%arearound t&e %orld'
$8SE S"DK3
:)3 S7$CK ,7) 8!D S$'8$9K 97!LS 98 SE 8'%"!D9E =%'D
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Management Information Systems
$8SE S"DK3
:)3 S7$CK ,7) 8!D S$'8$9K 97!LS 98 SE 8'%"!D 9E =%'D
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REMEM.ER
ERP IS NOT THE ONLY TYPE OF ENTERPRISE
SYSTEM
COMPANIES OR FIRMS CAN DEVELOP IN-HOUSE
ENTERPRISE SYSTEMS OR ENTERPRISEAPPLICATIONS TO MEET THEIR SPECIFIC AND
UNIQUE NEEDS .
USING J2EE OR .NET ENTERPRISE DEVELOPMENTFRAMEWORK AND TOOLS
SAP IS BASED ON ORACLE AND ABAP/J2EE