CHAPTER 12 Integrating the Organization from End-to-End – Enterprise Resource Planning McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
LEARNING OUTCOMES Describe the role information plays in enterprise resource planning systems. Explain the business value of integrating supply chain management, customer relationship management, and enterprise resource planning systems. 12-2
ENTERPRISE RESOURCE PLANNING Enterprise Resource Planning systems serve as the organization’s backbone in providing fundamental decision-making support At the heart of all ERP systems is a database; when a user enters or updates information in one module, it is immediately and automatically updated throughout the entire system 12-3
ENTERPRISE RESOURCE PLANNING 12-4
ENTERPRISE RESOURCE PLANNING ERP systems automate business processes 12-5
BRINGING THE ORGANIZATION TOGETHER The organization before ERP 12-6
BRINGING THE ORGANIZATION TOGETHER ERP—bringing the organization together 12-7
THE EVOLUTION OF ERP 12-8
INTEGRATING SCM, CRM, AND ERP SCM, CRM, and ERP are the backbone of e-business Integration of these applications is the key to success for many companies Integration allows the unlocking of information to make it available to any user, anywhere, anytime 12-9
INTEGRATING SCM, CRM, AND ERP General audience and purpose of SCM, CRM and ERP 12-10
INTEGRATION TOOLS Many companies purchase modules from an ERP vendor, an SCM vendor, and a CRM vendor and must integrate the different modules together Middleware—Several different types of software that sit in the middle of, and provide connectivity between, two or more software applications Enterprise Application Integration (EAI) Middleware—Packages together commonly used functionality, which reduces the time necessary to develop solutions that integrate applications from multiple vendors 12-11
INTEGRATION TOOLS Data points where SCM, CRM, and ERP integrate 12-12
ENTEPRISE RESOURCE PLANNING ERP systems must integrate various organization processes and be: Flexible Modular and open Comprehensive Beyond the company 12-13