1、Enterprise Information Systems and ERP systems,Jing Shao,What is ERP System,Letter meaning: Enterprise Resource Planning SystemsResource: All resources in an organization, including: capital, equipment, material, intelligence, and so on.What and how to Plan,Definition : ERP systems is a software sol
2、ution that addresses the enterprise needs. It takes the process view of an organization to meet the organizational goals and tightly integrates all functions in that organization.,1. Data exchange blocks; Software applications built to run on different operating systems cannot be connected to run to
3、gether on the same operating system. We need to re-entry data from one system to another system in order to exchange information, thus leading to data inconsistency;2. Stove-piped operations and stove-piped systems;,Why Enterprise Have to Use ERP Systems -Problems in enterprise information system,Wh
4、y Enterprise Have to Use ERP Systems -Problems in enterprise information system (continue),Authorization; It is not always the cast that the more communication, the better organizational performance business process reengineering. Examine the business process, question the necessity step by step,Ana
5、lyze thepurpose of those processes,Reengineering steps,Old processes,Expect,Optimistic,Pessimistic,P1,P2,P3,Q1,Q2,Q3,Price and demand curve,Solution,Integrated enterprise information systems It is a set of communication channels in a business organization, combined together in such a way as to form
6、one network by which information is gathered and disseminated.=ERP SystemWidely integrated information systems covering all functional areas. It integrates database, applications, interfaces, tools, and business process reengineering ( BPR ).,Departments,Customers,Suppliers,ERP system Server,Network
7、 (data exchange),ERP Working Theory,What ERP Systems Can Offer to an Enterprise? Benefits,ERP creates value through 1. integrating activates across a firm, 2. Implementing best practices for each business process3. Standardizing processes within organizations4. Creating one-source data 5. Providing
8、on-line access to information-facilitate better organizational planning, communication, and collaboration.,Advantages and Disadvantages,ERP Modules,Reasons of designing ERP systems in Modules1. Obtain specific functionality 2. Cost 3. Implement the system in bits rather than bring entire massive sys
9、tem online at one time,M o d u l e s,Market Trend and Vendors,Market: 60 percent of Fortune 500 companies had adopted ERP systems before 2000. The market spending was $13.4Billion in 2003 The predicted market spending is $15.8 Billion in 2008 Vendors: over fifty vendors, such as SAP, Oracle, Baan, a
10、nd J.D. Edwards,Ways to Developing ERP System,ERP System Selection Risks,The cost, time, and risk of an ERP project depends on following factors:,Project management ability; Experience with this type of environment; Experience with the programming environment; Experience with the language or system
11、used; Familiarity with modern programming practices; Availability of critical equipment, software, and programming language; Completeness of project team; Personnel turnover; Relative control of project manager over project team.,Questions from Last Discussion,How the business processes are modeled
12、in ERP systems ? 2. How ERP system installed in an organization? Is it simple replace old separated operation systems or it can be combined with old systems?3. How to combine ERP system with business process?,Measurement of ERP Project, Intangible factorsincreases in market shareimproved customer se
13、rvicebetter corporation imageemployee satisfactionsupply chain integrationability to support e-business operation Hidden outcomeschange how people do their jobs The changing nature of information technologyhigh dynamic technology and long-term project for implementing ERP,ERP Project Management,Cost
14、timeTool Critical Path MethodRight system,Critical Success Factors in ERP,1. Clear understating of strategic goals 2. Commitment by top management 3. Excellent implementation project management 4. Great implementation team 5. Successful coping with technical issues 6. Organizational commitment to ch
15、ange 7. Extensive education and training 8. Data accuracy 9. Focused performance measures 10. Multisite issues resolved,Open Source ERP,Reasons of Choosing open source ERP1. cost2. Free redistribution3. Available source codeAvailable providersThere are about 20 vendors providing open source ERP syst
16、ems. For example: 1. Open MFG2. FISTERRA3. ERP 54. Compiere,Compiere Open Source ERP,Architecture Compiere is a 100% pure Java solution based on Oracle database technology, and it is working on database independence. client application component is written entirely in Java The application server com
17、ponent is implemented in Java based on J2EE technology using the JBoss server infrastructure.,Functionality,Business processes rather than traditional departments drive Compieres design.,quote-to-cash, requisition-to-pay, partner relationship management, supply chain management, performance analysis, web store,Seven Modules:,Quote-to-Cash,Requisition-to-Pay,Customer relations management,Partner Relations Management,Supply Chain Management,Performance Analysis,Web Store,Thank You,
