ENTERPRISE RESOURCE

PLANNING - ERP
Definition:
ERP is a cross functional enterprise system driven by an
integrated suite of software modules that support the basic
internal business processes of an entity.

Key Points:
• ERP automates the tasks involved in performing a business process.
• Combines all databases across departments into a single database that can be accessed by
everyone.
• In General, it is the practice of consolidating an enterprise's planning, manufacturing, sales,
marketing efforts and accounts in one management system.
 ERP EVOLUTION

Extended
Enterprise ERP in the
Cloud
Manufacturing Resource
Resource Planning
Planning (ERP)
Material
Requirements
Inventory and Planning
Control and
Packages
ERP APPLICATION COMPONENTS

Supply Chain
and Vendor
Management

Customer Projects and

Relationship HR
Management Management
ENTERPRISE RESOURCE
PLANNING

Finance and Manufacturing,

Accounting Production and
Services
Management
 TOP ERP COMPANIES
1. MICROSOFT
2. SAP SE
3. ORACLE CORP.

Following table contains their products information:

MICROSOFT ORACLE CORP SAP SE

Latest product is Microsoft Latest version of Oracle The latest version, SAP S/4
Dynamics Application HANA and earlier version
365 for Finance and is Oracle Fusion of SAP ERP 6.0, was
Operation re branded in Application. Earlier it was released in 2006. SAP ERP
2017 and release in Oracle E-Business Suit 6.0 has since then been
2016Earlier product is R12. updated through SAP
Microsoft Dynamics enhancement packs, the
AX 2012 R3 most recent: SAP
enhancement package 8
for SAP ERP 6.0 in 2016
 MAIN FEATURES
Features Dynamics 365 Oracle Fusion SAP S/4 Hana
Available modules • Account Payable • Cash • Production Planning
and Functions • Cash & Bank management • Quality
Management • Oracle Project Management
• Sales & Marketing • Sale Management
• Fixed Asset
Portfolio • Financial Accounting
Management Management • Human Capital
• General Ledger • Payables Management
• Expense • Sales • Real-Estate
Management • Customer Management
• Product Information Relationship • Payroll Management
Management Management • E-Recruiting
• Warehouse • Healthcare
Management
• Business Management
• Human Resource Intelligence • Supply Chain
Management • Advance Planning Management
• Service Management & Scheduling • Business Warehouse
• Payroll Management • Landed Cost • Business Investment
• Retail Management Management Management
• Transportation • Process • Extensive Customer
Management Services
• Production Control
Manufacturing • Advance Planning &
• Security & • Payroll Optimization
Administration • General Ledger • Human Resource
Management Management
 MAIN FEATURES
Features Dynamics 365 Oracle Fusion SAP S/4 Hana
External Functions • Employee portal • Employee portal • Employee portal
• Customer Portal • Customer Portal • Customer Portal
• Vendor portal • Self-Service Portal • Vendor portal

In Built Integration • Enterprise Portal • Third Party • Third Party

Function for Dynamics AX Integration Tools Integration Tools
• Microsoft SQL
Reporting and
Analysis Services
integration
• MS Project Server
Integration
• Workflow
• Application
Integration
Framework
• Microsoft
Project Client
• Microsoft Office
Deployment • On Premises • On Premises • On Premises
and Cloud and Cloud and Cloud
 PROS & CONS
Dynamics 365 Oracle Fusion SAP S/4 Hana
Pros As part of their application Oracle ERP gets high marks SAP has numerous modules
suite, the Microsoft Dynamics for its flexibility and wide and can easily support simple
ERP systems have consistent range of narrow-focus and complex business
intuitive point-and-click user components that make it a processes. Clients can choose
interfaces. They should be favorite in niche markets. This to implement as many as they
familiar to users of other flexibility means that most need, all in one integrated
Microsoft products. Although customers can implement solution.
users may require some only the functionalities they
training on using these need to avoid deploying
applications for day-to-day sprawling modules that go
operations, they don’t have unused. This option
to learn new user interface represents a clear advantage
conventions and terminology. for Oracle vs. SAP and
Microsoft Dynamics.
Cons Enterprises with complex or The flip side of the catalog of SAP is challenging because it
extended business processes components is that the relies on “transaction codes”
may find that the Microsoft choices can be bewildering. to access various software
Dynamics ERP products are Sometimes it’s unclear which functions. Although this has
not complete solutions ones a particular business improved with the latest
without extensive needs. That said, a good version, S4, SAP is still highly
customizations or complex implementation partner with complex software that
integrations with existing deep knowledge of the Oracle requires extensive training for
systems. Those considering ERP products can guide you users to become proficient.
Microsoft Dynamics must to the right product mix.
factor these elements into
the deployment cost.
 SELECTING AN ERP SYSTEM
Some things to keep in mind when evaluating ERP vendors, including Microsoft
Dynamics vs. SAP ERP vs. Oracle ERP include:
• Understanding your current and future needs.
• If you have non-standard business processes, investigate whether they can be
optimized using best practices that ERP software supports without
customization.
• Look at each vendor’s cloud offerings and determine the best mix of on-premise
and cloud components for your business.
• Don’t overlook reporting. All ERP systems are good at gathering data, but the
best ones provide meaningful reports for making informed tactical and strategic
decisions.
Regardless of the ERP system you select, make sure you choose a reliable
implementation partner as it requires detailed expertise in the product and how to set it
up and optimize it.
 CHARACTERISTICS OF GOOD ERP SYSTEM
• Improving Integration and Flexibility.
• Fewer Errors.
• Improved Efficiency.
• More complete access to information.
• Lower total cost incomplete supply chain.
• Sustained involvement of Top Management.
• Reduce stock to minimum.
• Enlarge product assortment.
• Improve product quality.
• Reliable delivery dates and better customer service.
• Co-ordinate global demand, supply and production.
 ERP IMPLEMENTATION PHASES

1. Concept / Initiation.

2. Development.

3. Implementation.

4. Closeout / Operation and Maintenance.

 RISKS WITH ERP IMPLEMENTATION

• Expensive.

• Time Consuming.

• Great risk for organization.

• Transfer of data.

• Acceptance with the company.

• Resistance to change.
 CAUSES OF ERP FAILURES

• Business managers and IT professionals under

estimate the complexity of planning, development
and training needed.
• Failure to involve affected employees in the
planning and development phases.
• Failure to do enough data conversion and testing.
• Non- compatibility of new system with entity’s
business processes.
 BEST PRACTICES OF ERP IMPLEMENTATION
Change Management:
• Changes in business procedure, responsibilities and work load.
• ERP implementation are times of high stress, long hours and uncertainty. Mid
level management must facilitate continual feedback from employees and
resolve their queries.
Extensive Education and Training:
• General education about ERP systems for everyone.
• Massive amount of end users training before and during implementation.
• 10 to 15% budget for ERP implementation for training will give an organization
80% chances of a successful implementation.
Data Cleanup and Data Integrity:
• Ensure proper cut off and sufficient & accurate data is available in new system.
• Eliminate old systems including all informal systems.
Implementation is viewed as an-going process:
• On-going need for training and software support after implementation.
• On-going need to keep in contact with all system users and monitor the use of
system.
• On-going process of learning and adaptation that continually evolves over time
THANK YOU!
QASIM ALI ZAFAR

SMILE, IT’S A FREE THERAPY.