America Soft ERP

7/29/2019 America Soft ERP

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BUSINESS B5

Enterprise Resource

Planning (ERP)


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Learning Outcomes

Compare core ERP components andextended ERP components

Describe the three primary components

found in core ERP Describe the four primary components found

in extended ERP systems

Explain the benefits and risks associatedwith ERP systems

Assess the future of ERP systems


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Introduction

ERP integrates all departments and functionsthroughout an organization into a single IT system sothat employees can make enterprisewide decisionsby viewing enterprisewide information on all business

operations

Core ERP components traditional componentsincluded in most ERP systems and they primarilyfocus on internal operations

Extended ERP components extra componentsthat meet the organizational needs not covered bythe core components and primarily focus on externaloperations


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Accounting and Finance Components

manage accounting data and financialprocesses within the enterprise with functionssuch as general ledger, accounts payable,

accounts receivable, budgeting, and assetmanagement


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Production and Materials

Management Components

handle the variousaspects ofproductionplanning and

execution such asdemandforecasting,production

scheduling, jobcost accounting,and quality control


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Human Resource Components

track employee information including payroll,benefits, compensation, performanceassessment, and assumes compliance with

the legal requirements of multiple jurisdictionsand tax authorities


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Extended ERP Components

Business intelligence - information that people useto support their decision-making efforts

CRM - involves managing all aspects of acustomers relationship with an organization to

increase customer loyalty and retention and anorganizations profitability

SCM - involves the management of informationflows between and among stages in a supply chainto maximize total supply chain effectiveness andprofitability

E-business - means conducting business on theInternet, not only buying and selling, but also servingcustomers and collaborating with business partners


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E-Business Components

E-logistics manages the transportation andstorage of goods

E-procurement the business-to-business(B2B) purchase and sale of supplies andservices over the Internet


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ERP Benefits


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ERP Risks


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The Future of ERP

Lines between SCM, CRM, and ERP will

continue to blur

Internet continue to help organizations

integrate data and process across functionaldepartments

Interface customizable employee browsers

Wireless technology support a mobileworkforce


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Closing Case One:

PepsiAmericas Enterprises

PepsiAmericas generates $2.97 billion inrevenues yearly

The company implemented PeopleSofts ERP

solution to provide complete integrationbetween PepsiAmericas front-office andback-office systems

PepsiAmericas also implementedPeopleSofts supply chain management

component to automate its inventory


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Closing Case Two Questions

1. How have core ERP components helpedPepsiAmericas improve its business?

2. How have extended ERP components helpedPepsiAmericas improve its business?

3. Explain how future ERP systems will helpPepsiAmericas increase revenues4. Assess the impact on PepsiAmericas business if it

failed to implement the CRM component ofPeopleSofts ERP system

5. Review the different PeopleSoft components inFigure B5.5. Which component would yourecommend PepsiAmericas implement if it decidesto purchase an additional PeopleSoft component?


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Closing Case Two: Demanding Chocolate

Ghirardelli is the longest continuouslyoperating chocolate manufacturer in theUntied States

Ghirardelli improved inventory managementand profitability through the implementation ofan ERP system


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Closing Case Two Questions

1. Which additional core ERP componentswould you recommend Ghirardelliimplement?

2. Which additional extended ERP componentswould you recommend Ghirardelliimplement?

3. How can implementing an AdvancedPlanning ERP component help Ghirardellis

business?

America Soft ERP

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