Description
This is a presentation describes SAP implementation at Tractor Engineers Limited (TENGL) a joint venture between Caterpillar USA and Larsen & Toubro Limited (L&T).
Presented By: Awanish Chandra 210 Ashish Kr Chaudhury 211 Shweta Gupta 238 Mayank Rai 240 Siddhartha Shekhar 247 Gaurav Singh 248
An ERP Systems implementation is not just another application development project. It is a business
transformation project.
2
? TRACTOR ENGINEERS LIMITED(TENGL) was established in 1963 as a Joint venture between CATERPILLAR INC U.S.A. and LARSEN & TOUBRO LIMITED
3
? Caterpillar and L&T had equal (50%each ) shareholding in TENGL
? TENGL started manufacturing at POWAI in a new factory in
1965 and initially made spares for CAT Machines (primarily DOZERS) in INDIA and sold them through CAT Dealers in India. ? TENGL manufactures Crawler Undercarriage parts, Apron Feeders, Centrifugal Pumps and Fluid End Pump Parts at its modern factory at Powai, Mumbai ? TENGL, is now a wholly owned subsidiary of LARSEN & TOUBRO LIMITED ? It is ISO 9001 - 2000 & ISO 14001 certified.
4
Why Undertake ERP?
1) Integrate Financial Information: ERP ensures that there is a consist and credible set of financial information since all of the functional areas use the same integrated system. 2) Integrate Customer Order Information: ERP provides a single environment from the time the customer places an order until the customer receives the order – instead of having order information spread across a number of distinct systems. 3) Standardize and Speed Up Manufacturing Processes: Many organizations have found it difficult to manage production in the current “merger and acquisition” business environment. ERP ensures that a single standardized process is employed resulting in: increased productivity and reduced head count.
5
Why Undertake ERP?
4)Reduce Inventory: ERP – along with new IT technologies – has made it possible to better manage both supplier side inventory and retailer side inventories through real-time information sharing with the firm’s value chain trading partners.
5)Standardize HR Information: ERP allows the firm to better estimate and track what resources are required to support their business processes – thus optimizes the firm’s needed workforce.
6
BEFORE ERP
Problems: Delays, Lost Orders, Keying into different computer systems invites errors
7
AFTER ERP
8
The General ERP Process
1) Product Analysis
2) Module Selection
3) Process Analysis
4) Data Analysis
5) Applications Integration
6) Testing and Installation
7) Employee Training
9
Why SAP?
Basic business demands from L&T: ? Fit for purpose for our Industry ? More than only transaction processing ? Supplier with multinational presence ? Supplier with continuity ? Supplier with both Completeness of vision + Ability to execute
10
ERP Implementation Partner
? The ERP implementation was performed with support
from L&T InfoTech who acted as the facilitators for the project. ? In technical terms they were referred to as the ‘Implementing partners’. ? Any SAP implementation at TENGL was initiated under the auspices of L&T InfoTech who are the implementers of the project and a cross functional team consisting of the InfoTech BPR team as well a team from TENGL.
11
SAP R/3 Modules
SAP R/3 Approach
SD (Sales & Distribution) FI (Financial Accounting) CO (Controlling) AM ( Fixed Assets Mgt)
MM (Materials Management)
PP (Production Planning)
Client / Server
QM (Quality Mgt) PM (Plan Maintenance) HR (Human Resources) PS (Project System) WF (Work Flow) IS (Industry Solutions)
R/3
12
ERP Implementation Schedule
Date April 1999 May 2004 SAP version SAP Version 3.1 H SAP Version 4.7 E Modules implemented MM, PP, SD, FICO Technical upgrade+ Quality module added
Post 2007
mySAP
To be implemented
13
SAP 3.1 H TO SAP R/3 4.6
? TENGL went for a technical upgrade as the SAP 3.1 H
version was not supported by SAP. The maintenance activities as well as the knowledge transfer activities were taking place only for the latest versions like SAP R/3 4.6 and 4.7. Hence technical upgrade was a necessity rather than a choice given to the company.
14
Project Organization
15
Business Challenge
16
Integration Objective
Across function Across departments Across sites
17
Core Team Structure
18
SAP R/3 4.7
? This module implemented after other success like TVS.
? Contains customization for Asian Countries. ? India version including a complete package to calculate
excise and taxes for the transactions ? All-India Tax Configuration.
19
Major Modules of SAP R/3
FINANCIAL ACCOUNTING FI
SALES AND DISTRIBUTION - SD WAREHOUSE MANAGEMEN WMT CONTROLLING - CO
MATERIALS MANAGEMENT - MM
QUALITY MANAGEMENTQM
PRODUCTION PLANNING – PP
HUMAN RESOURCES HR PLANT MAINTENANCE – PM
PROJECT SYSTEMS - PS
20
SAP 3 tier Architecture (R/3)
21
Implementation methods
Stage 1, Organization Mapping: – Map the management structure of the company organization onto an organization hierarchy. – Include all functions of the company. – The organization hierarchy must match the SAP/R3 organizational model. – This information is used to define the appropriate codes for organizational units, and set up the chart of accounts (the legal responsibility structure
22
– Stage 2, Business Process Mapping: • Map the company’s business processes and identify where they fit in the organization hierarchy. • Reconcile the company’s business process map with the SAP R/3 reference model. • Using the R/3 Process Selection Matrix in the R/3 Reference Model identify the SAP business processes that will be implemented
23
• Stage 3, Requirements Mapping: – For each business process that will be implemented develop a process scenario. – A process scenario describes the activities of the business process and their relationships, order of execution and information flow. – The business scenario is later mapped to the SAP Business Workflow Engine.
24
• Stage 4, Define Task-Process Matrix: – Using the scenarios identify the tasks and the role responsible for each task – For each business process/task • group and define the user the profiles
25
Change Management and ERP
The project name for SAP implementation at TENGL was called ‘SWIFT’. The operational characteristics : ? Single piece flow in the assembly line
? Batch production ? Transition sale: Selling from vendor’s depot directly to
customer Profit center
? Accounting for the mother plant and this plant at Talegoan
26
Problems while implementing the SAP modules and the upgrades
? Going beyond the e-mail.
? Comparisons with legacy tools like Excel. ? Data Migration for Integration. ? This led to inconsistency in data entry and data retrieval
which led to a lot confusion in the company
27
? The employees felt that the processes in SAP was very
slow and were not user friendly. ? Data entry in the SAP system: User Profile Creation ? Data Confidentiality issues. ? The employees felt that SAP was coming out with newer versions of SAP and every time they need to adapt to their business processes according to the version change which questioned their ‘Comfort zone’. ? The need to attend constant training classes in the company to keep themselves updated on the various SAP modules
28
Meeting the Challenges
? Constant training of employees in the various SAP modules
? Garnering top management support for the SAP
implementations and technical upgrades.
? Associating the SAP implementations with a strong
implementation partner namely L&T InfoTech
? Cross functional training of the employees in the various
modules of SAP
? Change management in terms of training was focused on two
primary aspects: Technology related as well as Process related.
29
Meeting the Challenges
? To maintain confidentiality, certain areas of the system were
made concealed to only a restricted number of employees who were working in that area. ? Including SAP familiarity as a parameter in the Appraisal System.
30
MATERIAL MANAGEMNT Modules in Operations
Material Requirements Planning
Capacity Requirements Planning
Inventory Management
31
Materials Requirements Planning (MRP)
? MRP is to propose order for material so that they will
be in the right place at the right time in the right quantity ? MRP is run on a monthly basis and then weekly reruns for the dynamic changes in the production schedule ? During an MRP run, the number of products needed is fed into the system and the BOM is exploded ? The part-wise requirement from each supplier is generated after the BOM is exploded depending on the Share of Business (SOB)
32
Input/output - MRP Process
33
An Overview of MRP
? MRP uses the concept of backward scheduling to determine ? ? ? ?
?
how much and when to order and replenish The CRP module checks to make sure the scheduled work load profile is feasible The MPS module contains the authorized schedule The BOM module contains the product structure for each unique product The Inventory Record module keeps track of the inventory status for each item in the database MRP output includes schedules for all internal activities and parts as well as orders for all supply chain items
34
MRP – Flow chart
35
MRP Documents and Reports
Business Document – Supplier Schedule of receipts MIS – Buyer wise schedule EIS – Line stopper data and trend
36
MRP – Business Document
37
MRP – MIS – Buyer wise Schedule
38
MRP- EIS – Line Stoppers
39
Line Stopper trend
No.of vehicles lost
200 150 100 50 0 0 Nov'06 Dec'06 Jan'07 Month 120 95
167
150
Feb'07
Mar'07
40
Sample Flow of Data – Step 1
Initiate a Marketing Campaign
Receivables Billing Order Management Order Capture Order Capture Self-Service Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface
Payables
Purchasing
Support
Asset Management
Enterprise Warehouse
Support Self-Service
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 41
Sample Flow of Data – Step 2
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
Campaign generates General Ledger Volume
Sales
Inventory
CTI Interface
handled by the Sales Channels directly, or Payables Purchasing through Telemarketing
Enterprise Warehouse
Support
Asset Management
Support Self-Service
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 42
Sample Flow of Data – Step 3
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface
Sales Order is captured Purchasing Payables and processed by the Asset Order Capture Management module
Expenses Enterprise Scorecard
Support
Enterprise Warehouse
Support Self-Service
Customer Behavior Modeling
Customer Scorecard 43
Sample Flow of Data – Step 4
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface
CRM, through an interface, sends the Sales Payables Purchasing Order to the Supply-Chain Asset Order Management Management module
Expenses Enterprise Scorecard
Support
Enterprise Warehouse
Support Self-Service
Customer Behavior Modeling
Customer Scorecard 44
Sample Flow of Data – Step 5
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Through Interface integration,
Payables
Purchasing
Inventory is asked to pick/pack/ship Support the Order to the Customer
Support Self-Service
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 45
Sample Flow of Data – Step 6
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
Inventory generate a sourcing request for Support Product more as needed
Support Self-Service
CTI Interface will automatically
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 46
Sample Flow of Data – Step 7
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
Asset Management
Enterprise Warehouse
Additional Product processing (PO, receipt, adjustments) will be Support controlled by Purchasing, Paying for Product is handled Support by AP Self-Service
CTI Interface
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 47
Sample Flow of Data – Step 8
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface Shipped Orders
Payables
Purchasing
will be invoiced through the Support Billing module
Support Self-Service
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 48
Sample Flow of Data – Step 9
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
on invoices, past due balances, and fees Support will be controlled by Receivables (AR)
Support Self-Service
CTI CollectingInterface payments
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 49
Sample Flow of Data – Step 10
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
Many send financial transactions through to the General Support Ledger for reporting
Support Self-Service
CTI Interface modules
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 50
Sample Flow of Data – Step 11
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
After Order Management will keep CRM Support updated to reflect Customer activity
Support Self-Service
CTI Interface shipping,
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 51
Sample Flow of Data – Step 12
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
(perhaps Monthly) data fromSupport all systems is transferred to the Data Warehouse
Enterprise Warehouse Support Self-Service
CTI Interface Periodically
Asset Management
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 52
Master Data
53
Material Management
54
Material Management
55
Material Management-Contract
56
Request for Quotation
57
Goods Issue and Reciept
58
Invoice Verification
59
Physical Inventory
60
Goods Receipt and Invoice Receipt
61
The Big “IF”
If the following exist…
? ? ? ? ?
…then ERP may pay off big for an organization.
Efficiency problems that are solvable by ERP Commitment of upper management Commitment of middle management Solid strategy and thorough design Financial, technological and human resources
62
ERP – The Good
? Integration = Better operations ? Processes run more smoothly ? Single view of data ? Business rule enforcement ? Reduce costs ? Manufacturing ? Inventory carrying costs ? Standardization ? Data & Processes
63
ERP – The Bad
? Huge investment in:
? Time ? Money
? Effort
? Failed implementations aren’t uncommon ? Sometimes too rigid (this is a +/-)
? Integration with existing systems
? Very complex!
64
ERP – The Ugly
? Have to change your processes to match “best
practices”
? Customization is difficult
? Cost overruns are common
? Training ? Change management
? Difficult to find experienced
? IT professionals & users
65
Beyond ERP:MySAP
Supplier Collaboration
Supply Chain Management
Key Process Integration via ERP
Product Lifecycle Management
Customer Management
Design Partners
Consumers and Channels
66
Why Upgrade to MySAP
? To take the benefits of the e-commerce and web enabled
?
?
? ?
module of the ERP. Making the ERP system more robust to cater to the industrial competition. Addition of more functionalities to the existing system to make it more flexible and more customized to the plant Need for Increased user friendliness of the modules. SAP was more user friendly in terms of clubbing of most of the screens into single screens and a more user-friendly purchase order screen for handling indents and Purchase order requests.
67
Reference:
? www.tenglindia.com
? www.lntinfotech.com
? www.sap.com
68
THANK YOU & Questions??
69
doc_519557332.pptx
This is a presentation describes SAP implementation at Tractor Engineers Limited (TENGL) a joint venture between Caterpillar USA and Larsen & Toubro Limited (L&T).
Presented By: Awanish Chandra 210 Ashish Kr Chaudhury 211 Shweta Gupta 238 Mayank Rai 240 Siddhartha Shekhar 247 Gaurav Singh 248
An ERP Systems implementation is not just another application development project. It is a business
transformation project.
2
? TRACTOR ENGINEERS LIMITED(TENGL) was established in 1963 as a Joint venture between CATERPILLAR INC U.S.A. and LARSEN & TOUBRO LIMITED
3
? Caterpillar and L&T had equal (50%each ) shareholding in TENGL
? TENGL started manufacturing at POWAI in a new factory in
1965 and initially made spares for CAT Machines (primarily DOZERS) in INDIA and sold them through CAT Dealers in India. ? TENGL manufactures Crawler Undercarriage parts, Apron Feeders, Centrifugal Pumps and Fluid End Pump Parts at its modern factory at Powai, Mumbai ? TENGL, is now a wholly owned subsidiary of LARSEN & TOUBRO LIMITED ? It is ISO 9001 - 2000 & ISO 14001 certified.
4
Why Undertake ERP?
1) Integrate Financial Information: ERP ensures that there is a consist and credible set of financial information since all of the functional areas use the same integrated system. 2) Integrate Customer Order Information: ERP provides a single environment from the time the customer places an order until the customer receives the order – instead of having order information spread across a number of distinct systems. 3) Standardize and Speed Up Manufacturing Processes: Many organizations have found it difficult to manage production in the current “merger and acquisition” business environment. ERP ensures that a single standardized process is employed resulting in: increased productivity and reduced head count.
5
Why Undertake ERP?
4)Reduce Inventory: ERP – along with new IT technologies – has made it possible to better manage both supplier side inventory and retailer side inventories through real-time information sharing with the firm’s value chain trading partners.
5)Standardize HR Information: ERP allows the firm to better estimate and track what resources are required to support their business processes – thus optimizes the firm’s needed workforce.
6
BEFORE ERP
Problems: Delays, Lost Orders, Keying into different computer systems invites errors
7
AFTER ERP
8
The General ERP Process
1) Product Analysis
2) Module Selection
3) Process Analysis
4) Data Analysis
5) Applications Integration
6) Testing and Installation
7) Employee Training
9
Why SAP?
Basic business demands from L&T: ? Fit for purpose for our Industry ? More than only transaction processing ? Supplier with multinational presence ? Supplier with continuity ? Supplier with both Completeness of vision + Ability to execute
10
ERP Implementation Partner
? The ERP implementation was performed with support
from L&T InfoTech who acted as the facilitators for the project. ? In technical terms they were referred to as the ‘Implementing partners’. ? Any SAP implementation at TENGL was initiated under the auspices of L&T InfoTech who are the implementers of the project and a cross functional team consisting of the InfoTech BPR team as well a team from TENGL.
11
SAP R/3 Modules
SAP R/3 Approach
SD (Sales & Distribution) FI (Financial Accounting) CO (Controlling) AM ( Fixed Assets Mgt)
MM (Materials Management)
PP (Production Planning)
Client / Server
QM (Quality Mgt) PM (Plan Maintenance) HR (Human Resources) PS (Project System) WF (Work Flow) IS (Industry Solutions)
R/3
12
ERP Implementation Schedule
Date April 1999 May 2004 SAP version SAP Version 3.1 H SAP Version 4.7 E Modules implemented MM, PP, SD, FICO Technical upgrade+ Quality module added
Post 2007
mySAP
To be implemented
13
SAP 3.1 H TO SAP R/3 4.6
? TENGL went for a technical upgrade as the SAP 3.1 H
version was not supported by SAP. The maintenance activities as well as the knowledge transfer activities were taking place only for the latest versions like SAP R/3 4.6 and 4.7. Hence technical upgrade was a necessity rather than a choice given to the company.
14
Project Organization
15
Business Challenge
16
Integration Objective
Across function Across departments Across sites
17
Core Team Structure
18
SAP R/3 4.7
? This module implemented after other success like TVS.
? Contains customization for Asian Countries. ? India version including a complete package to calculate
excise and taxes for the transactions ? All-India Tax Configuration.
19
Major Modules of SAP R/3
FINANCIAL ACCOUNTING FI
SALES AND DISTRIBUTION - SD WAREHOUSE MANAGEMEN WMT CONTROLLING - CO
MATERIALS MANAGEMENT - MM
QUALITY MANAGEMENTQM
PRODUCTION PLANNING – PP
HUMAN RESOURCES HR PLANT MAINTENANCE – PM
PROJECT SYSTEMS - PS
20
SAP 3 tier Architecture (R/3)
21
Implementation methods
Stage 1, Organization Mapping: – Map the management structure of the company organization onto an organization hierarchy. – Include all functions of the company. – The organization hierarchy must match the SAP/R3 organizational model. – This information is used to define the appropriate codes for organizational units, and set up the chart of accounts (the legal responsibility structure
22
– Stage 2, Business Process Mapping: • Map the company’s business processes and identify where they fit in the organization hierarchy. • Reconcile the company’s business process map with the SAP R/3 reference model. • Using the R/3 Process Selection Matrix in the R/3 Reference Model identify the SAP business processes that will be implemented
23
• Stage 3, Requirements Mapping: – For each business process that will be implemented develop a process scenario. – A process scenario describes the activities of the business process and their relationships, order of execution and information flow. – The business scenario is later mapped to the SAP Business Workflow Engine.
24
• Stage 4, Define Task-Process Matrix: – Using the scenarios identify the tasks and the role responsible for each task – For each business process/task • group and define the user the profiles
25
Change Management and ERP
The project name for SAP implementation at TENGL was called ‘SWIFT’. The operational characteristics : ? Single piece flow in the assembly line
? Batch production ? Transition sale: Selling from vendor’s depot directly to
customer Profit center
? Accounting for the mother plant and this plant at Talegoan
26
Problems while implementing the SAP modules and the upgrades
? Going beyond the e-mail.
? Comparisons with legacy tools like Excel. ? Data Migration for Integration. ? This led to inconsistency in data entry and data retrieval
which led to a lot confusion in the company
27
? The employees felt that the processes in SAP was very
slow and were not user friendly. ? Data entry in the SAP system: User Profile Creation ? Data Confidentiality issues. ? The employees felt that SAP was coming out with newer versions of SAP and every time they need to adapt to their business processes according to the version change which questioned their ‘Comfort zone’. ? The need to attend constant training classes in the company to keep themselves updated on the various SAP modules
28
Meeting the Challenges
? Constant training of employees in the various SAP modules
? Garnering top management support for the SAP
implementations and technical upgrades.
? Associating the SAP implementations with a strong
implementation partner namely L&T InfoTech
? Cross functional training of the employees in the various
modules of SAP
? Change management in terms of training was focused on two
primary aspects: Technology related as well as Process related.
29
Meeting the Challenges
? To maintain confidentiality, certain areas of the system were
made concealed to only a restricted number of employees who were working in that area. ? Including SAP familiarity as a parameter in the Appraisal System.
30
MATERIAL MANAGEMNT Modules in Operations
Material Requirements Planning
Capacity Requirements Planning
Inventory Management
31
Materials Requirements Planning (MRP)
? MRP is to propose order for material so that they will
be in the right place at the right time in the right quantity ? MRP is run on a monthly basis and then weekly reruns for the dynamic changes in the production schedule ? During an MRP run, the number of products needed is fed into the system and the BOM is exploded ? The part-wise requirement from each supplier is generated after the BOM is exploded depending on the Share of Business (SOB)
32
Input/output - MRP Process
33
An Overview of MRP
? MRP uses the concept of backward scheduling to determine ? ? ? ?
?
how much and when to order and replenish The CRP module checks to make sure the scheduled work load profile is feasible The MPS module contains the authorized schedule The BOM module contains the product structure for each unique product The Inventory Record module keeps track of the inventory status for each item in the database MRP output includes schedules for all internal activities and parts as well as orders for all supply chain items
34
MRP – Flow chart
35
MRP Documents and Reports
Business Document – Supplier Schedule of receipts MIS – Buyer wise schedule EIS – Line stopper data and trend
36
MRP – Business Document
37
MRP – MIS – Buyer wise Schedule
38
MRP- EIS – Line Stoppers
39
Line Stopper trend
No.of vehicles lost
200 150 100 50 0 0 Nov'06 Dec'06 Jan'07 Month 120 95
167
150
Feb'07
Mar'07
40
Sample Flow of Data – Step 1
Initiate a Marketing Campaign
Receivables Billing Order Management Order Capture Order Capture Self-Service Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface
Payables
Purchasing
Support
Asset Management
Enterprise Warehouse
Support Self-Service
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 41
Sample Flow of Data – Step 2
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
Campaign generates General Ledger Volume
Sales
Inventory
CTI Interface
handled by the Sales Channels directly, or Payables Purchasing through Telemarketing
Enterprise Warehouse
Support
Asset Management
Support Self-Service
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 42
Sample Flow of Data – Step 3
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface
Sales Order is captured Purchasing Payables and processed by the Asset Order Capture Management module
Expenses Enterprise Scorecard
Support
Enterprise Warehouse
Support Self-Service
Customer Behavior Modeling
Customer Scorecard 43
Sample Flow of Data – Step 4
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface
CRM, through an interface, sends the Sales Payables Purchasing Order to the Supply-Chain Asset Order Management Management module
Expenses Enterprise Scorecard
Support
Enterprise Warehouse
Support Self-Service
Customer Behavior Modeling
Customer Scorecard 44
Sample Flow of Data – Step 5
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Through Interface integration,
Payables
Purchasing
Inventory is asked to pick/pack/ship Support the Order to the Customer
Support Self-Service
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 45
Sample Flow of Data – Step 6
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
Inventory generate a sourcing request for Support Product more as needed
Support Self-Service
CTI Interface will automatically
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 46
Sample Flow of Data – Step 7
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
Asset Management
Enterprise Warehouse
Additional Product processing (PO, receipt, adjustments) will be Support controlled by Purchasing, Paying for Product is handled Support by AP Self-Service
CTI Interface
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 47
Sample Flow of Data – Step 8
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
CTI Interface Shipped Orders
Payables
Purchasing
will be invoiced through the Support Billing module
Support Self-Service
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 48
Sample Flow of Data – Step 9
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
on invoices, past due balances, and fees Support will be controlled by Receivables (AR)
Support Self-Service
CTI CollectingInterface payments
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 49
Sample Flow of Data – Step 10
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
Many send financial transactions through to the General Support Ledger for reporting
Support Self-Service
CTI Interface modules
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 50
Sample Flow of Data – Step 11
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
After Order Management will keep CRM Support updated to reflect Customer activity
Support Self-Service
CTI Interface shipping,
Asset Management
Enterprise Warehouse
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 51
Sample Flow of Data – Step 12
Order Capture Self-Service Receivables Billing Order Management Order Capture Sales
On-Line Marketing
Marketing
Telemarketing
General Ledger
Inventory
Payables
Purchasing
(perhaps Monthly) data fromSupport all systems is transferred to the Data Warehouse
Enterprise Warehouse Support Self-Service
CTI Interface Periodically
Asset Management
Expenses
Enterprise Scorecard
Customer Behavior Modeling
Customer Scorecard 52
Master Data
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Material Management
54
Material Management
55
Material Management-Contract
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Request for Quotation
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Goods Issue and Reciept
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Invoice Verification
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Physical Inventory
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Goods Receipt and Invoice Receipt
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The Big “IF”
If the following exist…
? ? ? ? ?
…then ERP may pay off big for an organization.
Efficiency problems that are solvable by ERP Commitment of upper management Commitment of middle management Solid strategy and thorough design Financial, technological and human resources
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ERP – The Good
? Integration = Better operations ? Processes run more smoothly ? Single view of data ? Business rule enforcement ? Reduce costs ? Manufacturing ? Inventory carrying costs ? Standardization ? Data & Processes
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ERP – The Bad
? Huge investment in:
? Time ? Money
? Effort
? Failed implementations aren’t uncommon ? Sometimes too rigid (this is a +/-)
? Integration with existing systems
? Very complex!
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ERP – The Ugly
? Have to change your processes to match “best
practices”
? Customization is difficult
? Cost overruns are common
? Training ? Change management
? Difficult to find experienced
? IT professionals & users
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Beyond ERP:MySAP
Supplier Collaboration
Supply Chain Management
Key Process Integration via ERP
Product Lifecycle Management
Customer Management
Design Partners
Consumers and Channels
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Why Upgrade to MySAP
? To take the benefits of the e-commerce and web enabled
?
?
? ?
module of the ERP. Making the ERP system more robust to cater to the industrial competition. Addition of more functionalities to the existing system to make it more flexible and more customized to the plant Need for Increased user friendliness of the modules. SAP was more user friendly in terms of clubbing of most of the screens into single screens and a more user-friendly purchase order screen for handling indents and Purchase order requests.
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Reference:
? www.tenglindia.com
? www.lntinfotech.com
? www.sap.com
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THANK YOU & Questions??
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doc_519557332.pptx