1. Enterprise Resource Planning (ERP)
Amanda Randall
Bridgette Walker

2. Overview What is ERP? Costs Things to Consider Major ERP Suppliers
Trends
Questions

3. What is ERP? Enterprise Resource Planning systems-
(ERPs) integrate all data and processes of an organization into a unified system. A typical ERP system will use multiple components of computer software and hardware to achieve the integration.

4. What can ERP do for my business
There are five major reasons why companies use ERP:
Integrate financial information
Integrate customer order information
Standardize and speed up manufacturing processes
Reduce inventory
Standardize HR information

5. What does ERP Cost? Total Cost of Operation Hidden Costs
the average TCO was $15 million
Hidden Costs
Training
Integration and Testing
Customization
Data Conversion

6. Things to Consider
1. Cost of the ERP system, both upfront and on-going
2. Solution's expandability and flexibility
3. Software oriented architecture or not
4. Whether to use internal, vendor or third-party provider for implementation and support
5. Solution's ability to integrate with upcoming technologies, such as manufacturing execution systems (MES)
6. Calculate the ROI, generally reaped through reduced errors, improved collaboration and enhanced real-time visibility
7. Number of locations, warehouses and manufacturing plants the solution should support
8. The number and type of modules a software developer offers - and which ones are most applicable
9. The ERP vendor's viability and reputation for technological innovation, customer support and ongoing software development
10. Past experience with the vendor, as well as referrals

7. Things to Consider (Cont.)
How long will an ERP Project take?
Implementation time: 3-6 months
Total Transformation time: 1-3 years
Why do ERP systems Fail?
Employee resistance
Customization efforts

8. Advantages and Disadvantages
Integration
Efficiency
Cost Reductions
Less Personnel
Accuracy
Disadvantages
Expensive
Inflexible
Can be difficult to use
Compatibility problems
High switching costs

9. Major ERP Suppliers Top 5 Suppliers: SAP Oracle Applications
SSA Global Technologies
Sage Group
Microsoft Dynamics

10. Trends E-Commerce Not intended for public consumption
Customers and Suppliers want access to ERP information
Two Channels of access needed
B2C
B2B
Integration Difficulties

11. Sources