Chapter 12 :Integrating the Organizational from End to End- Enterprise Resource Planning

ENTERPRISE RESOURCE PLANNING (ERP)

- Serve as the organization's backbone in providing fundamental decision-making support.

- At the heart of all ERP systems is a database, when a user enters or updates information in one module, it is immediately and automatically updated throughout the entire system

Bringing the Organization Together

- ERP enables employees across the organization to share information across a single,centralized database.

The Evolution of ERP

- to deliver automation across multiple units of an organization 

- to help facilitate the manufacturing process and address issues such as raw materials, inventory, order entry and distribution

Integrating SCM, CRM, and ERP

- SCM, CRM, and ERP are the backbone of e-business

- Allows the unlocking of information to make it available to any user, anywhere, anytime

- Integration of these applications is the key to success for many companies

Integration Tools

- Many companies purchase modules from an ERP vendor, an SCM vendor, and a CRM vendor and must integrate the different modules together

• Middleware – several different types of software which sit in the middle of and provide connectivity between two or more software applications 
• Enterprise application integration (EAI) middleware – packages together commonly used functionality which reduced the time necessary to develop solutions that integrate applications from multiple vendors

Enterprise Resources Planning (ERP)

• ·         Flexible – must be able to quickly respond to the changing needs of the organization
• ·         Modular and open – must have an open system architecture, meaning that any module can be interface, with or detached whenever required without affecting the other modules.
• ·         Comprehensive – must be able to support a variety of organizational functions for a wide range of business
• ·         Beyond the company – must be support external partnerships and collaboration efforts

ENTERPRISE RESOURCE PLANNING’S EXPLOSIVE GROWTH

• ·         SAP boast 20,000 installations and 10 million users worldwide
• ·         ERP solution are growing because:

-          ERP is a logically solution to the mess incomplete applications that had sprung up in most business

-          ERP addresses the need for global information sharing and reporting

-          ERP is used to avoid the pain and expense of fixing legacy systems