The Little Geeni

India’s only web-based ERP solution provider

Web-based eresource ERP solution, simplifies back-office process automation for mid-sized and growing business. It provides real-time information about finance, order management, purchase, inventory, employee management, e-commerce and much more. With web-based eresoure ERP solution, you can accelerate business cycles, improve productivity and reliability, and provide higher levels of service to customers, suppliers and partners.

Web-based ERP solution improve business among customers, suppliers and partners through self-service portals, providing for lead management, shipment tracking, bill payment and more. Highlights of web-based eresource ERP solution

Reduce IT costs and maintenance

As a web-based hosted solution, eresource Infotech’s web-based ERP solution or eresource ERP significantly reduces your overhead expenses. There is no software to install, no hardware to purchase and maintain, and no up-gradation requiring complex re-implementation over time. Our team of IT professionals manages your maintenance, support, and up-gradation at our world-class data center. As a result, you can focus on running your business, while our web-based ERP solution takes care of your business plans with the backend software.

Use our real-time master controls (dashboards) for better decision making. Master control gives you a real-time snapshot of your business, enabling you to make better, faster decisions. You can view leads, commissions, sales revenue and forecasts, new cases and more.

Read the overview of our various web-based ERP products, select any component from the list below. We encourage you to speak with us to find the product that best fits your needs.

Benefits of web-based ERP Solution:

No Client Installation = Easy Remote Maintenance
Platform & Device Dependent = Scalability
Time and Location free = Access from Anywhere
E-Business Ready = Customers, Employees, Supplier
Easy to Use = Everybody knows browsers & Internet

Advantage of web-based ERP solution:

A clear advantage of the web-based ERP solution is that remote users like executives and sales reps can access the company system with any browser, which is much more convenient than going through a laptop configured for Terminal Services. A quick and on-time implementation of the solution can be done on your existing configuration set up. That means you do not need to upgrade your network for Windows/Exchange Server and SQL Server database. As you would have come across more suggestions on ERP, selecting the right one is crucial. The term “Hosted Solution” is rapidly catching up, on account of its own benefits. A web-hosted solution ensures a lower outlay and predictive spread of cost over time. You have a substantial saving in cost (on both the software and hardware, licensing) that can be better invested in your business process. Web-based ERP removes your headache from the Investment made towards Time and Cost in the maintenance of the server & other hardware. Web-based ERP also removes your worry about the new functions and features (service packs and fixes). When you go in for a web-based ERP, you can start using it from day one (avoids the worry towards implementation time, which has been cited as one major reason for ERP failure). Optimized performance & Support Most of the hosted applications are like off-the-shelf software. The web-based ERP application is available to you anywhere and at anytime from a simple browser. Access through hand-held devices made easy.

Low cost web-based ERP solution

Unlike the other ERP solutions web-based ERP solution like eresource ERP can be purchased in individual modules and a section-wise implementation can be carried out. So it becomes easy for the companies to purchase and implement them without having to worry about the huge initial investment.

Being a web-based ERP solution, it is easy to carry out the maintenance, which is most of the time performed online by the vendor. It saves a lot of time and there will be no place for complaint as online help will be provided by eresource ERP help desk any time the customers needed. So it becomes more effective and best service is guaranteed to all customers. The yearly maintenance also won’t cost the customers much.

Web-based ERP is both offline and accessible online. Hence in a globalized market, the CEO of an organization is given the convenience of making even his hotel room, or the living home desk his convenient office table just by hooking up his laptop to the net.

In making the choices of an ideal platform on which to run the business, organizations of all sizes are being attracted by the many advantages and economies that web-based eresource ERP has to offer. Besides being more cost effective, easier to install and maintain, eresource’s web-based ERP solution offers easier access across geographical boundaries without needing additional investment for connectivity.

editor ERP Based

Since early 1990s, many firms around the world have shifted their information technology (IT) strategy from developing information systems in-house to purchasing application software such as enterprise resource planning (ERP) systems.

As more and more enterprises move from functional to process-based IT infrastructure, ERP system becomes one of today’s most widely used IT solutions in many large enterprises. IT managers responsible for managing their organization’s ERP implementation view their ERP systems as their organizations’ most strategic computing platform.   In spite of the widely used IT solutions, many ERP implementations are not successful. It takes longer time and costs more money than expected. Given the large investment that an ERP project requires and the potential benefits it can offer if successfully implemented, it is important to understand what is needed to ensure a successful ERP Implementation , during a whole process of ERP implementation, i.e.: pre implementation phase, implementation phase and post-implementation phase.

Serving as a company’s central nervous system, ERP systems orchestrate many functions, including  order management, materials planning, warehouse management, payables, receivables, and general ledger. Because these systems touch so many aspects of a company’s internal and external operations their successful deployment and use are critical to organizational performance and survival. In reality, ERP implementation is costly and complex. In many cases, ERP is the largest single investment in any corporate-wide project. The software is expensive, and the consulting costs even more

Here is what works and what you need to do to reap the benefits of a fully integrated business.

A critical success factor is something that the organization must do well to succeed. In

terms of information system projects, a critical success factor is what a system must do

to accomplish what it was designed to do. Three factors consistently appear as critical success factors for information systems projects: top management support, client consultation (user involvement), and clear project objectives

The critical success factors can be categorized as strategic factors, tactical factors, and operational factors.

Strategic factors:

Top management support – In any  ERP implementation  a top-down decision, approach needs to be taken for ERP adoption .The commitment of top management should be emphasized throughout an organization. In particular, no more important factor than the support of the management is critical in the project’s life. The roles of top management in IT implementation include developing an understanding of the capabilities and limitations of IT, establishing reasonable goals for IT systems, exhibiting strong commitment to the successful introduction of IT, and communicating the corporate IT strategy to all employees Senior management must be involved, including the required people and appropriate time to finish and allocate valuable resources to the implementation effort.

Tactical factors:

Effective project management – in order to successfully accomplish the decision

to implement an ERP system, the effective project management comes into play

to plan, coordinate and control such an intricate project. In order for the ERP system to progress it is critical to clarify the ERP project’s and every participators’ scope and ensure

consideration of all the required work

Re-engineering business processes –To gain full benefit of ERP systems, it is imperative that business processes are aligned with the ERP systems, It is a proven fact  that the ERP itself can not improve the firm’s performance unless the firm reengineers the business process per ERP systems. Modification of the software causes problems, such as code errors and difficulty upgrading to new versions. Each company needs customized software, but the organization must keep customization to a minimum, since any modification will lead to higher related cost . It is very important to consider the extent to which the company needs to re-engineer its current business processes in order to be compatible with the ERP software

Suitability of software and hardware – management must make a careful choice of an ERP package that best matches the legacy systems, e.g. the hardware platform, databases and operating systems.

Operational factors:

Education and training – when the ERP system is up and running it is very important that the users be capable to use it, hence they should be aware of the ERP logic and concepts and should be familiar with the system’s features. ERP systems involve big change for people, and the system will not do you any good if people do not understand how to use it effectively. Therefore, spending time on money on training, change management, job design, etc. is crucial to any ERP project.

User involvement – participating in the system development and implementation, the users go through a transition period that gives them time to better understand the project’s consequences.

By ensuring  these  critical success factors in place, your organization will be much more likely to maximize the business benefits of ERP.

editor ERP Critical, Factors, Implementation, India, Success

                                                     BRIEF ON ERP-SAP

                                                       Rana Basu, Utech

                                                    rbasu004@gmail.com

SAP R/3 is the former name of the main ENTERPRISE RESOURCE PLANNING software produced by SAP AG. It is an enterprise-wide information system designed to coordinate all the resources, information, and activities needed to complete business processes such as order fulfillment or billing.

Implementing enterprise resource-planning systems can be extremely painful, and once you have them up and running they may seem to interfere with the speed and agility needed for electronic business. Are they a waste? No, but the real advantages aren’t always noticeable.

Throughout the 1990s, the majority of large industrial companies installed enterprise resource-planning (ERP) systems–that is, enormous computer applications allowing a business to handle all of its operations (finance, requirements planning, human resources, and order fulfillment) on the basis of a single, integrated set of corporate data. Enterprise resource-planning systems assures massive improvements in efficiency–for example, shorter interval between orders and payments, lower back-office staff necessities, cheap inventory, and enhanced customer service. Encouraged by ERP’s potential, businesses around the world invested some $ 300 billion in it during the decade.

SAP, one of the leading providers of ERP solutions, has thrown its hat into the ERP application rental ring. SAP ERP applications are available on an outsourced, hosted basis. For a fixed monthly rental fee, small to midsize companies can now reap the benefits of a top ERP package without the capital investment and infrastructure needed to implement such a setup in-house.

With the emergence of application rentals, however, any size company can have a top-notch ERP system even though they don’t have the IT resources or capital traditionally needed. This is because the hardware and software is maintained at the vendor’s site and you merely access the system via the Internet or other connection.

Survey.com reports that recent surveys of the enterprise resource planning (ERP) market have revealed poor market knowledge or acceptance of the business-to-business e-commerce portal offered by SAP.

Of respondents at companies currently using or planning to use an SAP ERP system, 31.5 percent have “no knowledge”, less than 14 percent are currently evaluating it, and only less than 2 percent are in fact using it.

These results clearly give us an idea about the damage done to SAP ERP’s market position by its reluctance to identify the Internet as an inflection point in the ERP market. SAP ERP is trying hard to catch up, but these surveys shows that the delay in delivering and uncertainty caused by changes in the marketing message, may have pushed many customers to choose instead for third-party solutions to access and make data from SAP ERP transactional databases more extensively accessible.

Typically, an ERP vendor has established a fixed software rental fee and partners with other firms that provide processing and implementation service. The ERP vendors also offer a choice of implementation and customer services options. This means that a single public agency can acquire the same ERP software from a variety of providers with multiple pricing formats.

Implementation of SAP Oracle ERP Systems is often approached in a Big Bang, let’s-do-it-all-at-once style of approach. Another approach to SAP Oracle ERP system implementation hosting has agencies replacing existing modules one at a time until the full ERP system is in place. The underlying theme is to plan long term and select an ERP vendor for a number of years. At the same time, act short term by implementing financials, or HR/payroll, or maintenance management, or utility billing one module at a time, as the older systems become obsolete. Implementations are now being completed in nine months and often can take less time. Four-month implementations are even possible in smaller agencies.

Implementing erp vendor selection one module at a time has the disadvantage of having to build interfaces to the remaining legacy systems that will eventually be discarded. On the other hand, the potential of having to maintain a single technology and work with a single vendor to obtain a truly integrated system is considered worth the cost in the long run.

The major advantage to SAP Oracle ERP Systems application hosting is that medium and smaller public entities can obtain the functionality and power of comprehensive administrative and financial systems at a fraction of the costs of installing and maintaining these systems on their own.

The most important of these advantages are the following: the opportunity costs associated with software ownership, its zero residual value, and reduced useful life expectancy. In addition, with the difficulty that local governments have in attracting and retaining IT staff, application hosting becomes an even more attractive alternative and one that local government financial managers should seriously consider.

 SAP  ERP  OPERATIONS

To best serve customers, organizations are focusing more on the agility and speed of delivering products and services. The efficiency of the entire operational process chain impacts an organization’s ability to serve its customers well. Operational excellence is the ability of an organization to achieve a high level of customer service, while reducing operating costs. An organization can then run its business at the speed of change with more agility, from its suppliers to its customers, no matter which changes occur in the market and in demand.

For many organizations, the SAP ERP Operations solution has become the software backbone that contributes to excellent performance supporting end-to-end operational processes in all key areas: procurement and logistics execution, product development and manufacturing, and sales and service. This excellence is a culmination of SAP’s experience over more than 30 years, with thousands of successful customers in more than 25 industries.

With SAP ERP Operations, your organization can realize its full efficiency and cost-effectiveness potential. With smoother day-to-day operations, you can maximize your profitability, free up resources and budget so that you can invest more in innovation. Gaining competitive advantage, you can look toward the future, and operate as a best-run business over the long term.

Some of the issues deserving attention in SAP ERP Market are as follows:

Corporate move and reactions to SAP ERP

SAP has been constantly improving its products and flushing them in the market. Any advanced version from the company will witness a vast improvement from the predecessor. This practice has been constantly encouraged in the company. However the users are adopting another plan of action. They choose to integrate the applications by purchasing software programs from some other company .Such a software will meet the requirements of the particular function in the latest version of SAP) in the place of the advanced SAP version. This saves them money without having to make any compromise on the functions covered.

Awareness

While the earlier paragraph presents the steps executed by companies in reaction to SAP and ERP in response to the latest version it ought to be understood that the awareness among companies regarding the same are not upto the mark. The decision of the companies to go for third party software programs cannot always be justified. There are instances wherein the companies won’t be able to capitalize on the added features if they don’t move to SAP ERP for the selected functions. This factor is not understood by a vast majority of companies. They select to stick to their own practices. Even in that case they fail to understand that the troubles (if any) are the consequences of not implementing SAP ERP. It is not the question of who is to be blamed for not creating the required awareness but the question of when is it going to be created and how. The sooner they are created greater are the chances for better results. This calls for lots of efforts from everyone in realizing the dreams of sap erp enterprise.

SAP becomes the savior of computer associates International

Computer associates International a victim of a scam involving huge amounts of money has chosen to implement SAP in order to put the systems in proper place and establish practices to ensure accountability. Their choice of SAP in replacing the enterprise operations is backed by the fact that SAP has provided exemplary services and that there is not a single enterprise operation that has remains untouched by the company. The special features of SAP ERP enterprise are believed to help the companies in tracking down valuable information and as well monitor the performance in a concise manner.

Strategic alliance with Microsoft Corporation

Mendocino is ERP software developed by SAP in collaboration with Microsoft. This product aims to make use of Microsoft’s presence in computers viz through non ERP applications like Windows and others. Needless to mention the special features of SAP has been given due coverage and duly compiled. Another advantage of this common software is that it brings together some applications which would not have otherwise been possible. This is believed to ease SAP ERP enterprise operations.

SAP continues to be the leader in Indian Market

SAP and ERP remains the favorite choice of Enterprises in India a nation with full promises for IT education, skills and manpower. This remains true irrespective of the fact whether IT experiences an upward or downward trend in the country. They are poised to penetrate many segments and attract more customers given the increasing awareness and demands and competition to thrive at par with the market standards. SAP ERP market is also competitive.

SAP unearths flaws in accounting

SAP and ERP also hit the headlines when it was implemented in a shipping company. SAP not only helped the company in rectifying the accounting practices but also helped to do away with procedural delays and other inherent errors that remained unnoticed for a considerable period of time. The software initially pointed out the discrepancies in data transfer from departments which affected one another and the final accounting figure.

SAP chosen for back office operations

SAP ERP integration is not solely restricted to process mechanizations and error rectifications. It can as well handle many or little small process/processes in a routine manner. This has become evident on its implementation in the systems of Jet Blue Airlines for the sake of managing the back office operations. The depth of operations undertaken by SAP ERP and its strength become the judging factors when it comes to the question of performing functions like this.

On Southcorp’s choice from SAP to Oracle

This company suddenly moved to the software provided by oracle and JDEdwards from SAP. However sources reveal that the decision had nothing wrong to point on SAP. They had to restructure and hence they accepted the offer to move to a new solution. Moreover their functions did not require to be dealt only by particular software.

editor ERP Brief, ERPSAP

The last great boom for ERP was at the end of the 1990s, as large numbers of organisations around the world replaced their legacy applications in response to the potential doomsday scenario that was looming as a result of the Y2K bug. There were literally dozens of ERP vendors in the market, most of which prospered and grew at an impressive rate in a buoyant market.

Since those heady days, the ERP vendor landscape has changed dramatically. Today, as shown below, six vendors account for almost two thirds of global ERP sales and SAP and Oracle alone own 50% of the global market by revenue. Two of the top six vendors, Infor and Microsoft, did not have an ERP presence at all at the start of the last decade.

 Fig 1: Percentage of Global ERP Revenue by Vendor (2008)

This has come about largely as a result of significant rationalisation as vendors sought to ward off static or declining revenues by acquiring other ERP products that provided access to new markets in different business sectors, geographies or client market segments.

While the rationalisation process has reduced the number of ERP vendors, it has not done much to reduce the number of ERP products – since the majority of the products gained by acquisition are still being sold by their new owners. The range of products tends to reflect the nature of competition in the ERP market.

Typically, ERP products compete either horizontally by market segment or vertically by industry segment. SAP and Oracle dominate the ERP market in large organisations. Occasionally, Infor, Lawson or Microsoft will win projects in this segment, particularly if the customer is close to the lower boundary, but for really large organisations the choice almost always comes down to either SAP or Oracle.

At the small enterprise end of the market, Sage, Microsoft, SAP, Infor and to a lesser extent Lawson, compete with a number of smaller vendors of ERP systems, as well as a myriad of accounting packages and Best-of-Breed systems that offer elements of ERP functionality. It is noteworthy that of the top six vendors, only SAP and Sage have specific ERP products designed for the small enterprise market – the other vendors compete in this segment with products that they also use for the mid-market.

The mid-market segment is the only one in which all of the top six vendors compete, along with a range of vendors of other ERP products. Many of these products have been designed specifically for particular industry segments e.g. process manufacturing, project-oriented services, pharmaceutical distribution, etc. In order to compete successfully against these, the leading ERP vendors have had to add sector-specific focus to their product offerings. This has been approached in a number of ways: 

Development by the ERP vendor of industry-specific, pre-configured templates using a standard ERP product (e.g. Oracle’s Business Accelerators or SAP’s Best Practice Templates). The templates are fully supported by the ERP vendor and are intended to provide a lower cost implementation by removing the need to configure the system from scratch.
Addition of new vertical-specific functionality to a standard ERP product by a value-added reseller (VAR) (e.g. VAR-modified versions of the different Microsoft Dynamics or Sage products). The enhanced versions of the product are primarily supported by the VAR rather than the ERP vendor.
Acquisition of ERP products that have been designed specifically for industry verticals (e.g. Microsoft’s acquisition of the Fullscope Process Manufacturing solution for AX, Infor’s acquisition of SX.e for Distribution or Lawson’s of M3 for Manufacturing). Once the product has been acquired, the buyer provides product support.

One important point to make about the competitive landscape for ERP products is that the neat delineations suggested by the market segments and verticals just described do not always translate into a logical choice of ERP product. For example, most ERP vendors will be able to point to customers outside of their primary target market segment who are successfully using one of their products. Sometimes, organisations will choose a generic ERP product rather than one tailored for their industry vertical, often because of concerns about the longevity of the tailored product or of the organisation that supports it.

Finally, many larger organisations do not choose a single ERP product. The hub-spoke model is becoming more common, where a single ERP product (usually SAP or Oracle) is used to drive group financials and the larger divisions, with a mid-market or even small enterprise ERP system deployed in some of the smaller parts of the organisation.

This is an extract from a much more detailed article, which is available for download free of charge from www.bsmconsulting.co.uk/publications.

BSM is an independent ERP consulting organisation and works with organisations worldwide to provide client-side services across all stages of the ERP life cycle.

For further information on ERP, please contact Sean Jackson on Tel: + 353 (0) 91 746900 or by e-mail info@bsm.ie

editor ERP 2010, Marketplace

ERP System

The main aim of ERP system is obtain the optimum utilization of its resources. This can be archived by standardization and integration of business operation. ERP systems have the following characteristics:

1. ERP systems are packaged software designed for a client server environment,

2. ERP systems integrate the majority of a business’s process.

3. ERP systems process a large majority of an organization’s transactions.

4. ERP systems use an enterprise-wide database that typically stores each piece of data

5. ERP systems allow access to the data in real time.

In some cases, ERP calls for an integration of transaction processing and planning activities (e.g., production planning) Support for multiple currencies and languages (critical for multinational companies) Support for specific industries (e.g., SAP supports a wide range of industries, including oil and gas, health care, chemicals, and banking) Ability to customize without programming

Why EPR implementation’s success is critical

The definition and measurement of success are thorny matters. First, success depends on the point of view from which one measures it. Even within a single company people will have different ideas.

For example, implementation specialists often define success in terms of completing the project plan on time and within budget while the user and adopter tend to focus on the transition from old systems and stable operation.

ERP systems are commercial software packages that enable the integration of transactions-oriented data and business process throughout an organization. Beginning with the manufacturing and financial systems, ERP systems may eventually allow for integration of inter-organizational supply chains. Because these systems touch so many aspects of a company’s internal and external operations their successful deployment and use are critical to organizational performance and survival.

Implementing an ERP system is not an inexpensive or risk-free venture. In fact, 65% of executives believe that ERP systems have at least a moderate chance of hurting their business because of the potential for implementation problems. Most organizations have extensive experience managing traditional MIS projects but these new ERP projects may represent new challenges and present new risk factors that must be handled differently.

Critical success factors in ERP implementation

A critical success factor is something that the organization must do well to succeed. In terms of information system projects, a critical success factor is what a system must do to accomplish what it was designed to do. The  methodology of studying CSFs behind ERP implementations is very similar to the approach used in a variety of studies in Information Technology (IT) implementation research. Some of these factors are the one that have been found to be significant in other IT implementations.

Three factors consistently appear as critical success factors for information systems projects:

Top management support, Client consultation (user involvement) Clear project objectives.

1. Strategic factors:

Top management supports have shown that the ERP implementation was in general a top-down decision and the success of such an implementation depended on the alignment of the ERP adoption with strategic business goals.

2. Tactical factors:

Effective project management – in order to successfully accomplish the decision to implement an ERP system, the effective project management comes into play to plan, coordinate and control such an intricate project Re-engineering business processes – it is very important to consider the extent to which the company needs to re-engineer its current business processes in order to be compatible with the ERP software. Suitability of software and hardware – management must make a careful choice of an ERP package that best matches the legacy systems, e.g. the hardware platform, databases and operating systems.

3. Operational factors:

Education and training – when the ERP system is up and running it is very important that the users be capable to use it, hence they should be aware of the ERP logic and concepts and should be familiar with the system’s features. User involvement – participating in the system development and implementation, the users go through a transition period that gives them time to better understand the project’s consequences.

Critical success factors in ERP implementation are as follow:

?Project Champion ?Project Management ?Business Plan and Vision ?Top Management Support and Executive Commitment ?ERP Team and Composition ?Project Support and Effective Communication ?Legacy Systems and Informaion Technology ?Business Processes ?System Integration ?System Testing ?A Vanilla ERP Approach ?Software Selection and Support ?Strategic Initiatives ?Human Resources ?Training ?Data Quality ?Vendor Resources ?Organizational Culture ?Competitive Analysis of Enterprise Integration Strategies ?Organizational Knowledge Management ?Risk Management ?Readiness

Core Modules Of ERP:

ERP software is made up of many software modules. Each ERP software module mimics a major functional area of an organization. Common ERP modules include modules for product planning, parts and material purchasing, inventory control, product distribution, order tracking, finance, accounting, marketing, and HR. Organizations often selectively implement the ERP modules that are both economically and technically feasible.

Different ERP Vendors provide ERP system with some degree of speciality……………..

But the core modules are almost the same for all of them. Some of the core modules found in the successful ERP system are the following:

Accounting management Financial management Manufacturing management Production management Transportation management Sales & distribution management Human resources management Supply chain management Customer relationship management E-Business

Literature Review:

Critical Success factors have been cited in IT research. There are a great number of articles on CSF. In this literature review section the only focus is on the CSF in ERP implementation. The difficulties and high failure rate in implementing ERP systems have been widely cited in the literature, but research on critical success factors (CSFs) in ERP implementation efficiency is still fragmented. Most literature combines the CSFs with different ERP characteristics. Here I choose some classic literature examples and review them by chronology.

Larsen and Myers (1997) found that an ERP experience could be an early success and a later failure. This result is supported by a case study – a BPR project involved redesigning the main accounting process within one organization in the New Zealand financial services industry.

The following two factors would lead to failure:

1. Inappropriately cutting project scope

2. Cutting end-user training

Their finding show the different measures of success are appropriate at different points in the ERP experience cycle and that the outcomes measured at one point in time are only loosely related to outcomes measured later. This occurs because the experience cycle is a process (actually a set of processes) and not a mechanical connection between starting conditions and final results. Some suggestions on implementation are proposed such as the decomposition of the project into manageable parts, the level of budget to be allocated to the project and shakedown phases of each part, an appropriate project leader and/or implementation partner, and so forth.Bancroft et al. (1998) provided critical success factors for ERP implementation including top management support, the presence of a champion, good communication with shareholders, and effective project management. This is derived from discussions with 20 practitioners and from studies of three multinational company implementation projects. Before implementing ERP it is important to develop key IT capabilities.

Willcocks and Sykes (2000) propose several scenarios and use cases to prove these scenarios. Unlike the development of new simple software applications the main target of ERP is to fulfill BPR (business process reengineering). Many companies failed on this aspect of ERP implementation. This failure was driven by the need for major change in human, culture, and organization relationships.

Willcocks and Sykes emphasize Feeny and Willcocks (1998) nine core IT capabilities and believe these nine core IT capacities must be retained in-house, since in come cases the companies have to outsource human resources to work closely with the in-house team and ensure that a transfer of learning takes place.

In order to obtain necessary IT capabilities, Willcocks and Sykes suggested some strategies to manage the ERP implementation:

1. User versus technology

With business requirements changing rapidly, further learning and innovation is required. As IT becomes more organizationally pervasive, development will not rely on IT specialists or external IT suppliers. Users themselves will approach IT through multifunctional teamwork, personal relationship, and business goals.

2. Governance and staffing

Effective business innovation requires high-level support and a project champion. An efficient team combination is recommended including: Full-time, high-performing users In-house IT specialists People with bridge-building interpersonal skills Fill-in external IT staff and knowledgeable users/managers

3. Time-box philosophy

They recommend decomposing implementation into smaller projects. This approach can help reduce project risk. This is also known as converting “whales” (large unmanageable projects) into “dolphins” (smaller and more manageable projects).

4. Supplier/ consultant role in ERP

First, consultants fill in the in-house shortage of skills. Secondly, the company may choose to outsource the entire IT project to decrease the risks. Nah, Fiona Fui-Hoon, et al. (2001) propose 11 factors as being critical to ERP implementation success: ERP teamwork and composition, a change in management program and culture, top management support, business plan and vision, business process reengineering with minimum customization, project management, monitoring and evaluation of performance, effective communication, software development, testing and troubleshooting, project champion, appropriate business and IT legacy systems

Elisabeth J. Umble, et al (2003) point out that commercially available software packages promise seamless integration of all information flows in the company-financial and accounting information, human resource information, supply chain information, and customer information. However, managers have struggled, at great expense and with great frustration, with incompatible information systems and inconsistent operating practices.

They divide CSFs into 10 categories:

1. Clear understanding of strategic goals.

2. Commitment by top management

3. Excellent implementation project management

4. Great implementation team

5. Successfully coping with technical issues

6. Organizational commitment to change

7. Extensive education and training

8. Data accuracy

9. Focused performance measures

10. Multisided issues resol

Among them some are already pointed in past literatures”. But some factors were new…..

1) Data accuracy.

2) Focused performance measures.

3) Successfully cope up with technical issues.

4) Extensive education & training.

According to Majed Al-Mashari(2003), et al the measuring and evaluation of performance are very critical factors in ensuring the success of any organization. It is suggested in the taxonomy that measurement take place in a balanced perspective and for the purpose of proving useful information that can facilitate the decision making process, deliver the corporate objectives and forward the business competitively. To obtain this system, the authors advise that regular auditing and benchmarking should be considered for optimization of the potential available to all aspects of business. Furthermore, external benchmarking may bring new ideas, knowledge and better practices on dealing with deficiencies in ERP systems, de-bottlenecking, streamlining the processes, optimizing and redesigning for more extensive benefits.

After extensive research on CSF (Critical Success Factors) , generally factors are divided into 3 main categories:

1. Strategic factors:

Top management supports have shown that the ERP implementation was in general a top-down        decision and the success of such an implementation depended on the alignment of the ERP adoption with strategic business goals.

2. Tactical factors:

Effective project management – in order to successfully accomplish the decision to implement an ERP system, the effective project management comes into play to plan, coordinate and control such an intricate project Re-engineering business processes – it is very important to consider the extent to which the company needs to re-engineer its current business processes in order to be compatible with the ERP software. Suitability of software and hardware – management must make a careful choice of an ERP package that best matches the legacy systems, e.g. the hardware platform, databases and operating systems.

3. Operational factors:

Education and training – when the ERP system is up and running it is very important that the users be capable to use it, hence they should be aware of the ERP logic and concepts and should be familiar with the system’s features. User involvement – participating in the system development and implementation, the users go through a transition period that gives them time to better understand the project’s consequences.

editor ERP Critical, Factors, projects, Success

PlanERP knows what it takes to successfully choose and implement the right ERP software solution.

With years of implementing and selecting computer based solutions, PlanERP knows the critical questions to ask. This process allows clients to save time and resources and streamline the selection process. In addition to performing a non-bias questionnaire targeted to client company needs, PlanERP can also help by attending vendor demonstrations to help keep focused on critical areas, assuring that clients get the results that pay back on their investment.

PlanERP’s services are beneficial to companies just beginning an ERP project as well as those requiring assistance during the implementation or customization process. PlanERP understands and has expertise with all major ERP packages and this expertise can be applied to any ERP engagement.

To effectively meet and manage Company’s needs, PlanERP is made up of ERP experts who are trained and certified through major ERP providers, such as: Oracle, SAP, IBM, and Microsoft.  PlanERP selects the top minded professionals of each ERP product line to join their team and work with clients engaging in ERP solutions.  These top minds have extensive experience and training in helping companies manage successful ERP software projects.

Successful implementation of ERP software is achieved following a business system implementation plan, risk management plan, streamlining business process, training management and the development of a “roadmap” outlining the tactical activities necessary to make the project successful.

Regardless of whether you are buying new Enterprise Resource Planning, CRM software, Business Intelligence Tool or not, one of the biggest benefits that PlanERP clients get is reviewing and changing business processes to conform to best practice. When it comes to best practice PlanERP is recognized for their skills and quality in getting clients incomparable results.

Most organizations are turning to Business intelligence as one of the key components of corporate performance management for visibility in to their organization’s performance. BI tools gather critical data in a company and allow the management team to measure and manage the performance of their organization. This way, they can make crucial business decisions.

PlanERP, the top ERP [Enterprise Resource Planning] consulting and management company in Canada, is able to provide and offer support for all business intelligence products to clients across Canada.

PlanERP has become a selected service provider of SAP and IBM Cognos. PlanERP is also a tier one service provider for Oracle Canada and USA.

Companies in Canada searching for experienced providers of professional ERP consulting and management, use Plan ERP.  PlanERP consults and manages projects such as ERPs, CRMs, BI Tools or any technological system that helps company’s streamline best processes which increase profits.

The experts at PlanERP, the leading ERP management company in Canada, know that successful ERP implementation is not entirely dependent on the latest technology. Proper management of the process is required to ensure that everyone within the corporate structure is working towards the same goal and has a strong understanding of the undertaking involved in the implementation and management of an ERP solution in Canada.

PlanERP is now offering companies across Canada, ERP consulting /management services that enable efficient practices.  As part of ERP implementation processes, specialists from PlanERP will help clients in Canada with ERP project management tools, performance analysis, business process management and post implementation training and support to ensure that every stage of the transition is managed effectively. PlanERP has the necessary experience and expertise to provide clients in Canada with ERP management techniques to help them achieve a smooth adoption and implementation of their selected ERP solution.

About PlanERP:

Since 1999, PlanERP has become of the leading providers of ERP management and consulting in Canada. They have years of experience in delivering technological and business solutions to a range of industries. For more information about PlanERP, please visit planerp.com.

editor ERP Canada, Consulting, Experienced, Management, Planerp, Professional, Providers

THE process of ERP implementation is referred as “ERP Implementation Life Cycle”. The following are the steps involved in completing the lifecycle.

Shortlist on the basis of observation
Selecting an ERP package for the company can nevertheless be compared with the process of “Selecting the right Person for the Right Job”. This exercise will involve choosing few applications suitable for the company from the whole many.

Assessing the chosen packages
A team of Experts with specialized knowledge in their respective field will be asked to make the study on the basis of various parameters. Each expert will not only test and certify if the package is apt for the range of application in their field but also confirm the level of coordination that the software will help to achieve in working with other departments. In simple terms they will verify if the synergy of the various departments due to the advent of ERP will lead to an increased output. A choice is to be made from ERP implementation models.

Preparing for the venture
This stage is aimed at defining the implementation of ERP in all measures. It will lay down the stipulations and criteria to be met. A team of officers will take care of this, who will report to the person of the highest hierarchy in the organization.

Gap Analysis
This stage helps the company to identify the gaps that has to be bridged, so that the company practice becomes akin to ERP environment. This has been reported as an expensive procedure but it is inevitable. The conglomerate will decide to restructure the business or make any other alterations as suggested by GAP analysis in order to make ERP user friendly. Click here for a detailed study on GAP analysis. A choice is to be made from ERP implementation models.

Business process reengineering
Changes in employee rolls, business process and technical details find place in this phase of restructuring most popularly referred as business process engineering. For more details on BPR click here.

Designing the System
This step requires lot of meticulous planning and deliberate action. This step helps to decide and conclude the areas where restructuring have to be carried on. A choice is to be made from ERP implementation models.

In-house Guidance
This is regarded as a very important step in ERP implementation. The employees in the company are trained to face crisis and make minor corrections as well because the company can neither be at liberty nor afford the bounty to avail the services of an ERP vendor at all times.

Checking
This stage observes and tests the authenticity of the use. The system is subjected to the wildest tests possible so that it ensures proper usage and justifies the costs incurred. This is seen as a test for ERP implementation.

Preparing the employees to use ERP
The employees in the organization will be taught to make use of the system in the day to day and regular basis so as to make sure that it becomes a part of the system in the organization.

Post Implementation
The process of implementation will find meaning only when there is regular follow up and proper instruction flow thereafter and through the lifetime of ERP. This will include all efforts and steps taken to update and attain better benefits once the system is implemented. Hence an organization has to perform ERP implementation safely and correctly.

Errors in ERP implementation
ERP implementation failure is a major concern for companies. ERP implementation needs to be done without allowing any scope for limitations and mistakes. If it is not done perfectly then the success of ERP system will remain a question mark. The first and foremost factor that discourages ERP in an organization is the exorbitant costs and investment. The second one is the drafting of an ERP implementation plan to ensure ERP implementation success.

For more information Contact us at:

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Tel: +91 22 25827692/+91 22 25828775.

editor ERP Cycle, Implementation, Life

Historically, ERP software solutions and ERP vendors were targeted at very large Fortune 500 companies. The “Little Guys” or SMBs, small and medium sized businesses, were left out in the cold not able to afford the complex and costly enterprise solutions of the early years. However, Software as a Service, or SaaS ERP vendors, and ERP modules are developing enterprise applications for smaller businesses (the “little guys”) and are growing dramatically in popularity. Key benefits of SaaS ERP software is its affordable price, user friendliness and fast implementation and deployment. These critical benefits, in tandem with the typical long list of benefits that ERP software applications deliver with respect to efficiency and optimization, are making SaaS ERP modules and full enterprise applications incredibly popular with businesses of all walks of life world wide as these companies battle with each other to compete in today’s tough business climate.

SMBs and midsized business have to be flexible and while adhering to growing regulatory constraints, competition pressures and internal growth initiatives associated with growing an organization. Growing companies are faced with multiple challenges that SaaS ERP vendors can be instrumental in resolving such as meeting corporate strategic goals dealing with expansion, new locations, new markets, economic downturn recovery, optimizing supply chain, financial targets, and enhanced customer support and service.

Each one of these operational activities and business processes are a significant initiatives in their own right selves, and an ERP solution that can deliver positive results in all of these areas cost effectively is critical to the success of any organization. SaaS ERP vendors provide a cost effective enterprise application to deliver these benefits. SaaS ERP applications are installed faster and integrated into the workforce more quickly than traditional on-premise applications. And the web based delivery system allows companies to try the solution before they buy to ensure that the SaaS ERP app will meet expectations.

SaaS ERP modules and other web based applications don’t require the upfront capital investments required by on-premise ERP software solutions. The pay as you go business model is quite appealing and affordable to even the smallest companies but accommodates for room to grow as the “little guys” start down the path of becoming “big guys”.

Going beyond the affordability, SaaS applications deliver the latest technologies and upgrades in real time fashion which is a key benefit of web based applications. The ongoing learning, refinements and product innovations are incorporated into the application for all subscribers of every organization to share. A major negative for on-premise ERP systems and ERP vendors is that a large percentage of companies do not have the most current version of the ERP software installed. Not utilizing all the latest features available of an on-premise ERP software solutions is one of the top cause of companies not achieving a return on their ERP software investment.

For organization looking at upgrading or implementing an ERP software application, SaaS ERP vendors should be considered, particularly for small and mid sized companies, Organizations installing SaaS ERP software applications are finding that compared to on-premise ERP software alternatives, web based ERP applications in conclusion have; significantly lower capital and operating cost requirements, faster ERP implementation timelines, easier to use apps, improved employee usage and service support from the vendor and lastly faster deployment.

editor ERP Businesses, Increase, Sales, Small, Software, Ways

ERP software training holds the key

It was discussed earlier how an ERP implementation could turn success or failure depend upon the user. There are different views expressed by Indian users towards ERP, but mostly it is based on organizational culture. The word ‘culture’ is used here to connote the average IT acquaintance of the overall users. In India, normally four different cultural transformations prevailed during ERP implementation.

1) From no system to ERP system; 2) From manual system to ERP system; 3) From computerized system to ERP system; 4) From ERP system to ERP system

In the normal circumstances at least two scenarios do exist in most of the Indian companies and sometimes all the four types exist in one organization itself. As the characteristics of the users differ in all the four cases the situation must be managed accordingly.

An assessment of ERP by the users is that ERP is a ‘job killer’; hence attempts are made to kill ERP first. Most of the users of this school of thought found successful in their mission but unsuccessful in retaining their job. ERP has nothing to do with the downsizing of employment, but it may possibility recommend redeployment of people in appropriate areas. We have to agree on certain issues like so many years the organization had built a mentality of not owning responsibility in the employees, which immediately cannot be changed within a year or so.

ERP expects boundary-less flat organization structure where every employee is a decision maker and not a mere follower. Secondly, the decision-making must be scientific than based on ‘gut feel’. Thirdly, ERP assumes that the user has an in-depth knowledge of the process he is associated with. He has to work in a team as a key resource element. The objective of the user is to pass maximum value to the customer than to create his own convenience. The user must be analytical in his thinking and be able to use information generated through data iterations for more effective and informed decisions.

ERP training part is the other important factor where eresource ERP played successfully.

The solution provider must pay attention while providing training to the user in the right manner. To become a good user, one has to get trained and trained well, and later self trained. But what is the disappointing factor is, unlike eresource ERP, most of the ERP training in India is more of software training rather than going deeply into the functionality and technicality of the ERP system. Normally the user is shown various screens of the ERP system and taught how to enter what he was doing previously.

Actually the trainer must explain to the user why he should enter there, what are the repercussions of his entries in other modules, how to use the best out of multiple settings, why a particular setting is made like that, etc. In fact, the reality that every entry is the financial entry and ultimately gets posted into General Ledger and posted in turn into Profit & Loss Account or Balance Sheet is never realized by the user during training or even after implementation. This feel of responsibility is extremely essential for the user to become a mature ERP user.

To enhance the interest of users Indian companies must make a point of user training, focusing on ERP functionalities and not merely on tools for ERP. Ideally, the training programme should be designed to cater to individual needs and hence carefully planned.

Secondly, the empowerment has to be planned slowly but positively over a period. This should include removing ridiculous and conflicting targets, thus helping the users to participate in making ERP a success.

FOR MORE INFORMATION LOG ON TO:-http://www.eresourceerp.com/ERP-software-training-holds-key.html

editor ERP India, Software, TRANING

ERP 2.0 is Helping ERP Program Initiatives Get the Spotlight

Just as Web 2.0 has been getting a lot of buzz over the past few years, ERP 2.0 is also getting its share of the spotlight particularly with ERP programs and ERP companies offering the latest enterprise systems technologies. For many IT managers responsible for ERP management and their company’s ERP program, ERP 2.0 is being described by some as being a much more advanced ERP solution while others claim that it’s just an add-on to current ERP software.

The features of ERP 2.0 are in large a revamp of ERP program applications and systems to talk to the latest technologies and delivery channels on the market (ie. wireless and web based). Keep in mind that ERP companies and ERP applications were discovered and created for the most part in the 1980s and the 1990s. These earlier systems were not easy to use nor did they have seamless connectivity with IT systems and technologies available even back then. Compounded by the fact that advancements in technology over the last years have excelled at exponential proportions, the gap to connect ERP systems with current IT, wireless, mobile, social networks, internet and computers has widened.

With the pace of the first wave of ERP solutions ignited by the Y2K frenzy, new ERP innovations seemed to stabilize somewhat entering 2000. However, 2000 was just the beginning of the intense developments in wireless mobility, internet development and hardware innovations such as the iPod and more. ERP 2.0 are enterprise solutions focused on filling this gap and making ERP solutions current with today’s technologies.

ERP 2.0 solutions are more nimble and modular than its large and bulky predecessors. ERP solutions have had a tendency to be built and the companies tended to form their operations and organizations around the ERP solution. Enterprise solutions did not vary among the different industries. ERP 2.0 solutions are industry specific with a full array of features and components.

A key to the flexibility of ERP 2.0 solutions is that they are more modular in design that allow customers to focus on components that are aligned with their specific business as well as allow for even more customization and compatibility. The innovations in ASP (application service providers), SOD (software on demand), and now SaaS (software as a service) gaining massive market share in the last few years are getting users accustomed to easy deployment and virtually zero implementation standards.

ERP 2.0 solutions are focusing on features and current technologies to help companies get up and running at unprecedented speeds and on features and solutions that help companies maximize their resources and ERP management capabilities. The new wave of solutions are enabling companies from all walks of life to focus their human and capital resources increasing sales and profits rather than spending their shrinking budgets on implementing, training, and maintaining their ERP program initiatives and software.

editor ERP Program