Tuesday, June 17, 2008

Day 1 Learnings

ERP is a software links each business unit and operations.
Aim of the ERP is to send data to right people,at right time.

ERP connects business practices. I also learned what MRP is
MRP- Material Requirements Planning
MRP II- Manufacturing Resource Planning

When implementing ERP we should
- analyze business processes first and learn bottlenecks

It is better to check the best practices.
ERP is a new increased connection to suppliers.
ERP become a huge part in supply chain management.
ERP is also an increased connection to customers.

When selecting ERP among different ERP providers we should check the advantages and disadvantages.

3 type of firms provide ERP
Major players, small players and open source players
Majors' advantages are
Strong support, many consultants, well known and trusted, high variety of applications, easy upgrades, high competition driver for better products for the customer.
They have also disadvantages,
Very expensive, the support might be weak and late, and you may wait for the long upgrade time.

Smalller firm properties are;
Easier to adjust and customize, focused on specific sectors, language preference is key and they are more flexible since they focus on specific sectors, and cheaper.
Disadvantages are
Customers do not want to pay for a company which is small because in the long term they have the suspicion that small firms will bankcrupt.

Open source advantages are,
They are free, easy to customize, support is cheaper, they are usually better coded without thinking in marketing perspective, and you can develop your program while using open source ERP.
you do not know when the support comes

SAP models
FI: Financials, CO:Controlling,
PLM: Production Lifecycle management
PLM is terminology for integration

When implementing ERP
there should be a core team,
Knows the whole workflow
Top management should be included
IT manager of the company should be included

About 70% of the IT implementation has failure, because of the following reasons
1- Works 2- Budget 3- Time 4-Use (Resistance of Users)

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