ENTERPRISE

RESOURCE
PLANNING

Template

Presented by:
Luisa Gloria, Karol Simsuangco,
& Thea Sanchez

WHAT IS ERP?
Enterprise Resource Planning (ERP)
isbusiness process management software
that allows an organization to use a
system ofintegratedapplications to
manage the business and automate
manyback officefunctions related to
technology, services and human
resources.
ERP software integrates all facets of an
operation, including product planning,
development, manufacturing, sales and

WHAT IS ERP?
ERP software is considered
anenterprise applicationas it is
designed to be used by larger businesses
and often requires dedicated teams to
customize and analyze the data and to
handle upgrades and deployment.
In contrast,Small business
ERPapplications are lightweight
business management software
solutions, customized for the business
industry you work in.

ILLUSTRATION:

HISTORY
OF
ERP

HISTORY OF ERP
FIRST COINED: EARLY 1960S
WHO: JOINT EFFORT BETWEEN J.I. CASE AND IBM
1960s MRP is the initial effort
(Material Requirements
Planning)

1970s - Companies such as

Oracle, JD Edwards and SAP
was formed
- Oracle presented the
original commercialized
structured query language (SQL)

1980s to 1990s - MRP II was

developed
- explosive growth for technology
- ERP software systems for
business processes are
prioritized

Early 2000s - major software

vendors began to merge
-HR and supply chain business
process software suites grew in
functionality
--Extended ERP

PROS AND CONS

OF
ERP

PROS
1. Complete visibility into all the important
processes, across various departments of an
organization (especially for senior management
personnel).
2. Automatic and coherent workflow from one
department/function to another, to ensure a
smooth transition and quicker completion of
processes. This also ensures that all the interdepartmental activities are properly tracked and
none of them is missed out.
3. A unified and single reporting system to
analyze the statistics/status etc. in real-time,
across all functions/departments.

PROS
4. Since same (ERP) software is now used across
all departments, individual departments having
to buy and maintain their own software systems
are no longer necessary.
5. Certain ERP vendors can extend their ERP
systems to provide Business Intelligence
functionalities that can give overall insights on
business processes and identify potential areas
of problems/improvements.
6. Advanced e-commerce integration is possible
with ERP systems most of them can handle
web-based order tracking/ processing.

PROS
7. There are various modules in an ERP system
like Finance/Accounts, Human Resource
Management, Manufacturing, Marketing/Sales,
Supply Chain/Warehouse Management, CRM,
Project Management, etc.
8. Since ERP is a modular software system, its
possible to implement either a few modules (or)
many modules based on the requirements of an
organization. If more modules implemented, the
integration between various departments may
be better.
9. Since a Database system is implemented on
the backend to store all the information required
by the ERP system, it enables centralized

PROS
10. ERP systems are more secure as centralized
security policies can be applied to them. All the
transactions happening via the ERP systems can be
tracked.
11. ERP systems provide better company-wide visibility
and hence enable better/faster collaboration across all
the departments.
12. It is possible to integrate other systems (like barcode reader, for example) to the ERP system through
an API (Application Programming Interface).
13. ERP systems make it easier for order tracking,
inventory tracking, revenue tracking, sales forecasting
and related activities.
14. ERP systems are especially helpful for managing
globally dispersed enterprise companies, better.

CONS
1. Thecostof ERP Software, planning,
customization, configuration, testing,
implementation, etc. is too high.
2. ERP deployments are highly time-consuming
projects may take1-3 years(or more) to get
completed and fully functional.
3. Too littlecustomizationmay not integrate
the ERP system with the business process & too
much customization may slow down the project
and make it difficult to upgrade.
4. Thecost savings/paybackmay not be
realized immediately after the ERP
implementation & it is quite difficult to measure

CONS
5. Theparticipationof users is very important for
successful implementation of ERP projects hence,
exhaustive user training and simple user interface
might be critical. But ERP systems are generally
difficult to learn (and use).
6. There may be additionalindirect costsdue to
ERP implementation like new IT infrastructure,
upgrading the WAN link, etc.
7.Migrationof existing data to the new ERP
systems is difficult (or impossible) to achieve.
Integrating ERP systems with other stand alone
software systems is equally difficult (if possible).
These activities may consume a lot of time, money &
resources, if attempted.

CONS
8. ERP implementations are difficult to achieve
indecentralized organizationswith disparate
business processes and systems.
9. Once an ERP system is implemented it becomes
asingle vendor lock-infor further upgrades,
customizations etc. Companies are at the discretion
of a single vendor and may not be able to negotiate
effectively for their services.
10.Evaluationprior to implementation of ERP
system is critical. If this step is not done properly and
experienced technical/business resources are not
available while evaluating, ERP implementations can
(and have) become a failure.

BUSINESS VALUES &

SOCIAL VALUES
OF
ERP

BUSINESS VALUES
Gives a global, real-time view of data that can
enable companies to address concerns
proactively and drive improvements
Improves financial compliance with regulatory
standards and reduces risk
Automates core business operations such as
lead-to-cash, order-to-fulfillment, and procureto-pay processes
Enhances customer service by providing one
source for billing and relationship tracking.

SOCIAL VALUES
MAIN IDEA AND CONCEPT:
Existing ERP applications may be the
perfect place to add extensions to help
manage voluntary CSR guidelines that
are being drafted and finalized by the
International Organization for
Standardization (ISO) under its fledgling
ISO 26000 standards.

TOP AND LATEST

ERP
SOFTWARES

ERP SOFTWARES

SAP Business All-in-One Analytics

ERP SOFTWARES

JD Edwards EnterpriseOne Software

ERP SOFTWARES

Microsoft Dynamics GP (Great Plains) Software

ERP SOFTWARES

Infor VISUAL ERP Software

ERP SOFTWARES

Intacct Software

Cloud ERP
Cloud ERPisEnterprise
Resource Planningsoftware
that is hosted in a platform over
the Internet. The use of the term
Cloud includes a broad set of
applications and software
deployment models, namely
Software-as-a-Service or SaaS.

RECOMMENDATION
It is best to use ERP in a business when:
1.The business have lots of different
software for different processes
2.The business doesnt have easy access
to information about itself
3.Accounting takes longer and is much
difficult
4.Sales and the customer experience are
suffering
5.The business IT is too complex and
time-consuming

REFERENCES:
http://www.investopedia.com/terms/e/erp.asp
http://www.netsuite.com/portal/resource/articles/erp/what-is-erp.shtml
http://www.resgroup.com/accounting-software-history-enterprise-resourceplanning-glance
http://www.celeritech.biz/
http://www.excitingip.com/2010/advantages-disadvantages-of-erp-enterpriseresource-planning-systems/
http://www.netsuite.com/portal/resource/articles/erp/what-is-erp.shtml
http://www.erpblogger.com/erp-csr.htm
http://www.cio.com/article/2381419/enterprise-resource-planning/erp-comes-tothe-cloud-and--finally--smaller-businesses.html
http://www.erpsoftware360.com/erp-software.htm
http://www.msstech.com/perspectives/top-5-guidelines-for-a-successful-erpimplementation.html