ENTERPRISE

RESOURCE
PLANNING (ERP)
What is ERP?
 Enterprise resources planning, integrates all the aspects of any business
(enterprise).
 Consider yourself an owner of firm, you have installed one software's for
each department. For inventory management, human resources, and
accounting at a minimum.
 Now, all these aspects are connected to one another, won’t it be good f all
these software are connected to one another?
That is what ERP is all about!

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Purpose of ERP?
 To produce real time information.
 By connecting all possible data bases together.
 By integrating many of the processes present in an enterprise.

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Purpose of ERP?
 To produce real time information.
 By connecting all possible data bases together.
 By integrating many of the processes present in an enterprise.

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Before ERP! (Decentralized System)

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Problems with Decentralized System
 Numerous disparate information system are developed individually over
the time.
 Integrating the data becomes time and money consuming.
 Inconsistences and duplication of data.
 High inventory, material and human resource cost.

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After ERP! (Centralized System)

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Cost of ERP

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Hidden Cost!
 Training
 Integration and testing
 Data conversion
 Data analysis
 Consultants
 Replacing best and brightest staff after implementation
 Implementation teams can never stop
 Waiting for ROI
 Post-ERP depression
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Benefits of ERP Systems
 Improving integration, flexibility
 Fewer errors
 Improved speed and efficiency
 More complete access to information
 Lower total costs in the complete supply chain
 Shorten throughput times

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Benefits of ERP Systems
 Visual presentation of performance measures
 Improving integration, flexibility
 Fewer errors
 Improved speed and efficiency
 More complete access to information
 Lower total costs in the complete supply chain
 Shorten throughput times
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