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Enterprise Resource Planning. ERP PROJECTS. OutLine of Presentation. Definition of ERP & examples Effects of ERP projects on performance of a firm Applications of ERP projects to real life Relation between ERP & MRP. What is ERP ??.
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Enterprise Resource Planning ERP PROJECTS
OutLine of Presentation • Definition of ERP & examples • Effects of ERP projects on performance of a firm • Applications of ERP projects to real life • Relation between ERP & MRP
What is ERP ?? The term ERP originally implied systems designed to plan the use of enterprise-wide resources Most ERP systems is the use of a unified database to store data for the various system modules.
Examples of ERP • SAP • ORACLE • IFS • AXAPTA
Effects of ERP projects POSTIVE EFFECTS NEGATIVE EFFECTS
Positive Effects(+) • Scalerity • Functionality • Service & Support
Negative Effects(-) • ERP systems can be very expensive to install often ranging from 30,000 US Dollars to 500,000,000 US Dollars for multinational companies.. • Systems can be difficult to use. • Systems are too restrictive and do not allow much flexibility in implementation and usage • Customization of the ERP software is limited. Some customization may involve changing of the ERP software structure which is usually not allowed.
Application of ERP projects toReal Life • Big Bang • Switching step by step • New System
ERP & MRP & MRP II • MRP is a software based production planning and inventory control system used to manage manufacturing processes • MRP II is a method for the effective planning of all resources of a manufacturing company.
ERP & MRP RELATIONSHIP • If a firm using ERP projects they have to know the status of stock,orders,production of goods , selling & buying • In order to do it , ERP projects are partly based on MRP II method..