1 / 16

Understanding Enterprise Resource Planning (ERP)

Learn about ERP systems - an integrated database management system that streamlines organizational processes, providing advantages and disadvantages compared to MIS. Explore the history, costs, and benefits of ERP through the example of Green Mountain Coffee Roasters.

pilar
Download Presentation

Understanding Enterprise Resource Planning (ERP)

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Shalagh Rigney, Tara Nolan, Kristen Sibilia March 26, 2008

  2. What is Enterprise Resource Planning? • Database management system that integrates all data and processes of an organization into a unified system. • Integrates accounting, strategic planning, sales order management, quality control, manufacturing, marketing, logistics and warehousing.

  3. History of ERP Systems • ERP began in 1960 as systems designed to help control inventory. • Originated in the manufacturing industry by scheduling manufacturing processes, although today it is a system used globally and give companies a competitive edge.

  4. ERP ADVANTAGES • Complete orders faster • Fewer errors • Security features to protect against outside crime • Better customer service • Improved efficiency and productivity • Easier to share data across departments • Complete revenue cycle faster

  5. ERP DISADVANTAGES • Possible inadequate investment • Difficult for users • Ability to customize software is limited • Expensive to install and maintain • Limited technical support • Prevents ability for business process to change • Risky for large companies

  6. How is ERP different from MIS? MIS: Provides information about the performance of an organization. Provides management with feedback.

  7. How is ERP different from MIS? ERP: Integrates ALL functions of a business into a unified system including information you would get from a MIS. The MIS is a part of the ERP system as a whole.

  8. Enterprise 21: A Complete ERP Solution http://www.youtube.com/watch?v=w_9Eq2nfv1c

  9. COST OF ERP $$ Average Total Cost of Ownership of ERP is about $15 million

  10. Developing In House ERP Systems • Companies can integrate portions of an ERP system to meet their specific needs. • Why? Costs substantially less

  11. One ERP System:Peoplesoft • Peoplesoft by ORACLE • Helps Companies with: • Customer Relationship Management • Financial Management • Supply Chain Management • Project Management • Asset Lifecyle Management • Sales and Other Application

  12. PeopleSoft Website • http://www.oracle.com/applications/peoplesoft-enterprise.html

  13. Green Mountain Coffee Roaster • One Company to Implement PeopleSoft ERP • Green Mountain Coffee Roaster • Started Implementation 1997 • Supply Chain Management, Financial Management • Enterprise Performance Management • Customer Relationship Management

  14. Results • Implemented Green Mountain Website • Helped to Manage Coffee Production, Its Distribution Process, and Drive Growth • Grown from small company, to leader of specialty coffee industry • Helped to design Website- brought in Consumer Market • http://www.greenmountaincoffee.com/

  15. Performance Results • More timely Order Management and Billing • Great Analytic Ability of Accounts, Balance, Receivables • Reduction of Losses of Raw Materials • Better Targeted Marketing, Customization of e-mails • Customer Direct doubled sales in 2 years

More Related