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Page 1FEB-2010 Management information System: ERP
What is ERP System
Presented to : Dr. Mahmoud Youssef
Presented By : Omar Khaled
Wael Omar
Sherif Aly
Ismail Shana
Sherif Adallah
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Page 2FEB-2010 Management information System: ERP
A! Introdu"tion
O#er#ie$
B! What is ERP System
%! SPIRIDO& im'lementation ( Siemens
E)y't
*! hat is S'iridon
+! Pro,e"t Plan
-! %han)e hy. hat / 0o$
1! %han)e 2ife"y"le
3! Benefits
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Page 3FEB-2010 Management information System: ERP
Introduction
The initials ERP originated as an extension of MRP (Material Requirements Planning; later
(manufacturing resource planning) and CIM (Computer Integrated Manufacturing). It as
introduced !" research and anal"sis firm #artnerin $%%&. ERP s"stems no attempt toco'er all core functions of an enterprise regardless of the organiation*s !usiness or
charter. These s"stems can no !e found in non+manufacturing !usinesses non+profit
organiations and go'ernments.
ERP s"stems sa a large !oost in sales in the $%%&s as companies faced the ,- pro!lem
(real or imagined) in their /legac"/ s"stems. Man" companies too0 this opportunit" to
replace such information s"stems ith ERP s"stems. This rapid groth in sales as
folloed !" a slump in $%%% at hich time most companies had alread" implemented their
,- solution.
ERP II a term coined in the earl" -&&&s is often used to descri!e hat ould !e the nextgeneration of ERP softare. This ne generation of softare is e!+!ased and allos
!oth emplo"ees and external resources (such as suppliers and customers) real+time
access to the s"stem*s data.
E12 3 Enterprise 1pplication 2uite is a ne name for formerl" de'eloped ERP s"stems
hich include (almost) all segments of !usiness using ordinar" Internet !rosers as thin
clients.
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Page 4FEB-2010 Management information System: ERP
Introduction
4est practices are incorporated into most ERP 'endor*s softare pac0ages. 5hen
implementing an ERP s"stem organiations can choose !eteen customiing the
softare or modif"ing their !usiness processes to the /!est practice/ function deli'ered in
the /out+of+the+!ox/ 'ersion of the softare.
Prior to ERP softare as de'eloped to fit indi'idual processes of an indi'idual !usiness.
6ue to the complexities of most ERP s"stems and the negati'e consequences of a failed
ERP implementation most 'endors ha'e included /4est Practices/ into their softare.These /4est Practices/ are hat the 7endor deems as the most efficient a" to carr" out a
particular !usiness process in an Integrated Enterprise+5ide s"stem. 1 stud" conducted
!" 8ni'ersit" of 1pplied 2cience sur'e"ed $%- companies and concluded that companies
hich implemented industr" !est practices decreased mission+critical pro9ect tas0s such
as configuration documentation testing and training. In addition the use of !est practices
reduced o'er ris0 !" :$ hen compared to other softare implementations.
The use of !est practices can ma0e compl"ing ith requirements such as I
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Page 5FEB-2010 Management information System: ERP
A! Introdu"tion
O#er#ie$
B! What is ERP System
%! SPIRIDO& im'lementation ( Siemens
E)y't
*! hat is S'iridon
+! Pro,e"t Plan
-! %han)e hy. hat / 0o$
1! %han)e 2ife"y"le
3! Benefits
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Page 6FEB-2010 Management information System: ERP
5hat is ERP >
Enterprise Resource Planning(ERP) is a !siness management system t"at integrates a## fa$ets
of t"e !siness% in$#!&ing '#anning% man!fa$t!ring% sa#es an& mareting ERP systems are
originate& to ser*e t"e information nee&s of man!fa$t!ring $om'anies +*er time t"o!g"% t"ey
"a*e gro,n to ser*e ot"er in&!stries% in$#!&ing finan$ia# ser*i$es% $!stomer goo& se$tor% s!''#ier
$"ain management an& "!man reso!r$e se$tor it" t"is gro,t"% ERP systems% ,"i$" first ran
on mainframes efore migrating to $#ient or ser*er systems% are no, migrating to t"e e an&
in$#!&e n!mero!s a''#i$ations ERP is a 'ro&!$t t"at "e#'s a!tomate a $om'any.s !siness
'ro$ess y em'#oying an integrate& !ser interfa$e% an integrate& &ata set% an& an integrate& $o&e
set
ERP !siness soft,are integrates t"e information !se& y an organi/ation.s many &ifferent
&e'artmenta# f!n$tions into an !nifie& $om'!ter system t is &esigne& to mo&e# an& a!tomate
many of t"e asi$ 'ro$esses of a !siness organi/ation% from finan$e to t"e man!fa$t!ring
management% ,it" a goa# of integrating information a$ross t"e $om'any an& e#iminating $om'#e%
e'ensi*e #ins et,een $om'!ter systems t"at ,ere ne*er meant to .ta#. to ea$" ot"er t !ses
,e as a '#atform to ring $!stomers% *en&ors% s!''#iers% man!fa$t!rers an& em'#oyees
toget"er
o e $onsi&ere& an ERP system% a soft,are 'a$age m!st 'ro*i&e t"e f!n$tion of at #east t,o
systems For eam'#e% a soft,are 'a$age t"at 'ro*i&es ot" 'ayro## an& a$$o!nting f!n$tions
$o!#& te$"ni$a##y e $onsi&ere& an ERP soft,are 'a$age
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Page FEB-2010 Management information System: ERP
5hat is ERP >
Eam'#es of mo&!#es in an ERP ,"i$" former#y ,o!#& "a*e een stan&-a#one a''#i$ations in$#!&e:
Pro&!$t #ife$y$#e management% S!''#y $"ain management (eg P!r$"asing% Man!fa$t!ring an&
istri!tion)% are"o!se Management% !stomer Re#ations"i' Management (RM)% Sa#es +r&er
Pro$essing% +n#ine Sa#es% Finan$ia#s% !man Reso!r$es% an& e$ision S!''ort System7citation
needed
&ea##y% ERP &e#i*ers a sing#e &ataase t"at $ontains a## &ata for t"e *ario!s soft,are mo&!#es t"at
ty'i$a##y a&&ress areas s!$" as:
Man!fa$t!ring
Engineering% i##s of materia#% s$"e&!#ing% $a'a$ity% ,orf#o, management% 8!a#ity $ontro#% $ostmanagement% man!fa$t!ring 'ro$ess% man!fa$t!ring 'ro9e$ts% man!fa$t!ring f#o,
+r&er to $as"% in*entory% or&er entry% '!r$"asing% 'ro&!$t $onfig!rator% s!''#y $"ain '#anning%
s!''#ier s$"e&!#ing% ins'e$tion of goo&s% $#aim 'ro$essing% $ommission $a#$!#ation
Finan$ia#s
enera# #e&ger% $as" management% a$$o!nts 'aya#e% a$$o!nts re$ei*a#e% fie& assets
Pro9e$t management
osting% i##ing% time an& e'ense% 'erforman$e !nits
!man reso!r$es
!man reso!r$es% 'ayro##% training% time an& atten&an$e
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Page ;FEB-2010 Management information System: ERP
A! Introdu"tion
O#er#ie$
B! What is ERP System
%! SPIRIDO& im'lementation ( Siemens E)y't
*! hat is S'iridon
+! Pro,e"t Plan
-! %han)e hy. hat / 0o$
1! %han)e 2ife"y"le
3! Benefits
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Page
21P is a m!#tinationa# soft,are &e*e#o'ment an& $ons!#ting $or'oration% ,"i$" 'ro*i&es enter'rise
soft,are a''#i$ations an& s!''ort to !sinesses of a## si/es g#oa##y
2tarte& in 1Systems =''#i$ations an& Pro&!$ts> "e goa# of t"e $om'any
,as to 'ro*i&e #arge enter'rise $!stomers ,it" t"e ai#ity to intera$t ,it" a $or'orate &ataase in rea#-
time o&ay% t"e $om'any states t"at its goa# is >to offer t"e in&!stry.s most $om're"ensi*e 'ortfo#io
of !siness 'erforman$e an& o'timi/ation so#!tions for $om'anies of a## si/es>
2piridon is a g#oa# 'rogram for "armoni/ing 'ro$esses in t"e Siemens ?o$a# om'anies s!''orte&
y a "ig"#y integrate& '#atform on t"e asis of S=P ERP stan&ar& soft,are
Stan&ar&i/ation of 'ro$esses an& information str!$t!res a$ross a## o'erating !nits% $o!ntries an&
!siness systems ens!re *erti$a# o'timi/ation an& "ori/onta# integration% ena#ing Siemens to tae
a&*antage of interna# synergies more 8!i$#y an& minimi/e its g#oa# $osts
Siemens ,as 8!i$ to re$ogni/e t"e $"a##enges an& o''ort!nities 'ro*i&e& y g#oa#i/ation "e
$om'any% ,"i$" is a$ti*e in many &ifferent marets in more t"an 1
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Page 10FEB-2010 Management information System: ERP
May
@!ne
@!#y
=!g!st
Se'temer
ee 1 ee 2 ee 3 ee 4
Pro$ess
ors"o'
3
ntegration
est
4
+ ?AE
='ri#
P
raining
;
P
raining
1113
nitia# ors"o'
14 15
Pro9e$t
Pre'aration
5
+$toerata Migration
1< 26
En&-!ser
raining
2;
est ata
Migration
Co*emer
122 ays to o
Pro9ect Plan
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Page 11FEB-2010 Management information System: ERP
Change 5h" ? 5hat
5h">
Ens!re $om'any an& staff are rea&y for $"anges in t"e ,or sty#e
m'#ementation of a stan&ar&i/e& 'ro$ess or ERP so#!tion ie S'iri&on ,"i$"
is !se& ,i&e#y in ME region
ommon '#atform for a## i*isions for &ai#y !siness to im'ro*e 8!a#ity% f#eii#ity%
integrate& 'ro$ess an& re&!$e& 'ro$essing $ost
+ 5@1T>
or Profi#eD@o es$ri'tion (=&&itionDe#etion))
or F#o,DPro$ess o$!mentation (Re*ision)Signat!re Reg!#ation
+rgani/ationa# Str!$t!re
A 2ignature RegulationB o ens!re t"at t"e $om'anies signat!re reg!#ations are met ,"en !sing
t"e ne, SPR+C system &ifferent met"o&s "a*e to e !se&:
P"ysi$a# Pro$e&!res
Ao!$"ers% Forms an& Stam's
System =!t"ori/ations
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Page 12FEB-2010 Management information System: ERP
Change @o
+ @o>
Communication method
=,areness 'rogram
E&!$ate staff ao!t ,"at is $oming
SeminarDors"o' for fo$!s gro!'
Ce,s#etter (n*o#*ement of #!ster ME= omm!ni$ation eam) enera# information ao!t S=P an& SPR+C
ntranet - information on SPR+C in t"e intranet
=$$ess to S"are 'oint
=*ai#a#e to Pro9e$t eam an& Po,er sers
nformation on $om'#ete 'ro9e$t str!$t!re% '#an% et$
o$!mentation on S'iri&on
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Page 13FEB-2010 Management information System: ERP
Change ifec"cle
Change LifecycleChange Lifecycle
6"namics6"namicsof Change over timeof Change over time6"namics6"namicsof Change over timeof Change over time
2ustaining2ustaining2ustaining2ustainingAcceptanceAcceptanceAcceptanceAcceptanceDuestioningDuestioningDuestioningDuestioning1areness1areness1areness1areness
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Page 14FEB-2010 Management information System: ERP
8nclear on scope rationale and nature of change 8nrealistic expectations Rumors 2ee0ing information
Change announcement Pro9ect 'isiondesired state document
Ensure compelling !usiness reasons are clear to all
emplo"ees 2et expectations and !egin preparing people to change
Response
Tools
Tactics
"e a,areness '"ase is t"e 'erio& people recognie that the change is
going to occur.
1areness Phase
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Page 15FEB-2010 Management information System: ERP
Duestioning Phase
Realiation of the effort and complexit" 8ncertaint" and confusion
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Page 16FEB-2010 Management information System: ERP
1cceptance Phase
Recognition of personal !enefits 7alue to the organiation is understood Comfort achie'ed
5illing to use the technolog"
Performance measures Training Progress reporting
Influence people to tr" to accept the ne a" of doing things Emphasie !enefits 6e'elop s0ill required
Respons
e
Tools
Tactics
"e a$$e'tan$e '"ase is t"e 'erio& in ,"i$" t"e 'eo'#e are !eginning to
support the changey e'erimenting ,it" t"e ne, te$"no#ogy
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Page 1FEB-2010 Management information System: ERP
2ustaining Phase
Change internalied 2upporting !eha'iors demonstrated Impro'ed performance
Reards and recognition Progress reports Performance measures 2uccess stories
Reinforce the desired !eha'ior in the changed organiation Promote the internal rationaliation of ne !eha'iors to
esta!lish ne culture To encourage sustained acceptance and internaliation of the
ne culture
Respons
e
Tools
Tactics
"e s!staining '"ase is t"e 'erio& in ,"i$" 'eo'#e "a*e effecti'el"
adapted to the changean& are ,oring effi$ient#y ,it" t"e ne,te$"no#ogy
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Page 1;FEB-2010 Management information System: ERP
4enefits
Benets
Peo'#e $#ear#y !n&erstan& t"e *ision% an& t"e
ro#e of t"e $"ange in a$"ie*ing t"at *ision
Resistan$e to $"ange is 'roa$ti*e#ymanage&
Performan$e #e*e#sare maintaine& &!ring t"e
transition 'erio&% an& signifi$ant#y en"an$e& after
t"e transition 'erio&
Peo'#e !n&erstan& t"e $"ange a$ti*ities t"at are
!n&er,ay% an& "a*e rea#isti$ e'e$tationsof t"eim'a$t of t"ose $"anges
"e $"ange initiati*e gains moment!m
t"ro!g"o!t a## #e*e#s in t"e organi/ation
"e !siness enefitsof t"e $"ange initiati*e are
rea#i/e&
?ess System maintenan$e ,or
onsistent Stan&ar& an& ontro#
ost time sa*ings
SuccessfulImplementatio
nof ERP system
Result
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Page 1
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Page 20FEB-2010 Management information System: ERP
Than0 for istening . . . .