Importance Of Enterprise Resource Planning

Adoption of an ERP system enables an organization to eliminate dozens or even hundreds of separate systems and replace them with a single, integrated set of applications for the entire enterprise.

Enterprise resource planning is a term derived from material resource planning. ERP systems typically handle the manufacturing, logistics, distribution, inventory, shipping, invoicing, and accounting for a company. Enterprise Resource Planning or ERP software can aid in the contro of many business activities, like sales, delivery, billing, production, inventory management, and human resources management.

In general, ERP systems are designed to standardize information entry and create data storage for information sharing across the organization. There are numerous advantages of ERP but skeptics argued on the fact that these advantages can be also achieved by simplification and lean production methods. IT systems could be effective and reliable in the long run but at the same time there is an uncertainty about whether it will align with the concerned business process. For instance, the ERP system implemented at the Korey plant to replace MRP system failed. Though it met the requirements of individual unit and enabled employees with wide range of

A. Management must first conduct a complete feasibility study to evaluate the current status and assess the organizations needs by ensuring to determine the readiness of existing hardware, software, databases and expertise internally available to the organization. This survey process will allow for the development of goals and objectives that will need to be met in order for the ERP implementation to be successfully completed. This analysis also is an important stage in determining the break-even point and ultimately the ROI for the ERP implementation.

Due to dramatic changes in organisational management, technology plays an important role in today business environment. According to Groomer & Murthy (1989) incorporation of information technology solutions are becoming increasingly important for all businesses in order to operate successfully. One way that many businesses have implemented information technology on a large scale (Groomer & Murthy, 1989) is by setting up Enterprise Resource Planning (ERP) systems to achieve their business transaction and data processing needs. According to the business need, selecting the appropriate information system such as Enterprise resource planning (ERP) will be appropriate and suitable because it improves efficiency. However it should be borne in mind that every business has its own dimension; therefore, there is the dire need of appropriate selection and need based customizations (Kleiner et al., 1999).

In today’s world companies expanding market. This globalization is important factor in bringing suppliers, partners and customers together for supplying product globally. In this case study we will see how to implement an ERP system. This ERP implementation may be successful or unsuccessful but most of the times the reason behind failure will be due to bad management involved during implementation of ERP package. The management involved in implementation part should have proper management skills. In this case study we will examine key dimensions of implementing ERP system in an organization successfully. In this case study we will see about Rolls-Royce Company implementing an ERP package named SAP R/3 successfully. This case study paper deals with the issues involved in implementation of ERP and concentrates mainly on technical, cultural and business issues involved in implementation and also helps in evaluating project benefits.

integration of all its primary business processes. It should be noted that the ERP concept is a

Before the project went live, the new system was tested to ensure a smooth implementation. However, it revealed that they had done an insufficient depth analysis and information and the ERP system needed to be customized and adjusted to come up to par. Consequently, this was one of the significant factors that made the implementation and launching of the project late.

Regardless of what industry your business is a part of, implementing an ERP system is a crucial venture that must be taken seriously for it necessitates strong commitment by the project team and solid support by the business leaders for guaranteed success. It is a known fact that ERP deployment is among the most costly, labour-intensive, lengthy, and complicated tasks a project team can take on.

ERP builds the level of correspondence in the association in this manner prompting better proficiency of the work. It additionally expands profitability, which wouldn 't have been conceivable with a non-ERP firm where every one of the divisions utilizes their own PC framework and keeps up their own particular database, which is not open to different offices. Yet, with ERP every one of the offices can work in concordance with each other. Today manager 's undertaking is made parcel simpler with the presentation of ERP programming. There is low chance of any error in an association where ERP is introduced. For administrators it empowers abnormal state basic leadership capacity, which they can make easily, and more clarity. It likewise enhances the client experience and keeps up great association with the clients.

ERP is a collection of integrated application which is use for business management by collecting, storing, manage and interpret data obtained from many business activities.

Considering the above introduction and a brief about the implementation of new software on a general basis we shall discuss the matter of ERP implementation at Company

ERP ensures the fundamental of business applications to be automated and reduce the cost and complexity of the business models which leads to a successful business (She & Thuraisingham, 2007). According to Berchet and Habchi (2005), Davenport (1998), among the important modules for ERP system are marketing, sales and distribution, enterprise solution, production planning, quality management, assets accounting, materials management, cost control, human resources, project management, financials , and plant maintenance. It potentially allows company to manage business better with great benefits of improved process flow and decision

Enterprise Resource Planning (ERP) is an enterprise system that serves as the technological backbone of many businesses today. Through a framework of integrated software modules, ERP provides employees and managers with real-time data across business units. For businesses that have successfully implemented ERP, the benefits can be amazing. Significant improvements in quality, efficiency, decision support, along with decreased costs and enterprise agility, are all tremendous benefits to any business. Those benefits don’t come without a price. The implementation of an ERP system is an enormous undertaking that can be extremely expensive. Maybe this is the reason IT managers are reluctant to move

ERP system implementation can be a difficult transition for a company but properly planned, adequately supported and