HOW DOES ERP

CREATE VALUE
BIKASH CHANDRA JHA
XAVIER INSTITUTE OF SOCIAL
SERVICE
CAMIL BULKE PATH,
RANCHI
INTEGRATES THE ORGANISATION”S ACTIVITIES

•ERP CONNECTS VARIOUS

FUNCTIONS OF
ORGANISATION
•CROSS FUNCTIONAL
•DATA WERE INTEGRATED
ON DIFFERENT
HETEROGENEOUS SYSTEM
ARE INTEGRATED INTO A
SINGLE SYSTEM
FORCES THE USE OF “BEST PRACTICES”

E RP s y st ems have
ed
•An Integrat b e s t b u s iness
g r a te d w i thin them
inte
ctices. system,
process pra g a n E R P
h u s b y im plementin a nge the
•T c ed t o c h
n is for
organisatio e bu siness.
d o n w a y to
way it has e f fic ie n t
o p t n e w and more
•Ad
task. e more
accomplish t o b e c o m
h e lp o r g a nisation
•It
e.
competitiv
ENABLE ORGANISATIONAL STANDERDIZATIONS

it s o rg an isational
•ERP Perm c ro s s d if f erent
tion a
standerdiza
locations. a s in gle image to
show
•A firm can
rld.
outside wo
ELIMINATE INFORMATION ASYMMETRIES

a s e d c o ntrol.
•It allows in
c r e
r m a t io n to those
e ns a c c e s s to info
•It op
who need i
t.
a v a ila b le both up
rm at io n b ecomes
•Info r ga n isation.
t he o ecause
and down rk f or c e . B
u c e s the IS wo
•It re d
w ide ly a vailable.
is
information
PROVIDE ON LINE AND REAL TIME INFORMATION

y s y s t e m where
c o n t r a st to legac o n paper
•IN t u r e d
n is first cap
info r m a t io
a n o th e r part of
assed to aged to
and then p t is r e p a ck
a n is a t io n where i E R P m uch
or g t , in
p u t e r b a s ed forma d placed
com t h e r e d a n
f in fo r m a t ion is ga
o
ec t ly in to comp. le o n-line in
dir a i la b
s in f o r m a tion is av
•Thu
real time.
ALLOW SIMULTANEOUS ACCESS TO TO SAME DATA
FOR PLANNING AND CONTROL

in g le d a ta bases.
•ERP uses s la b le o n -lin e all
is avai
Since data h av e a c ces s to
r ga ni sa t io nal user
o
. planning
same data o n s ist e n t
ore c
•Facilitates m
l.
and contro
FACILITATE INTRA-ORGANISATION COMMUNICATION

in tr a o rg a nisation
tes
•ERP facilita a n d c o lla boration.
tion nctions
communica br in g s f u
er lo c k i ng process- ation and
•Int o m m u n ic
n d lo ca t io ns into c
a
c es co lla boration.
fo r
ENABLE INTER-ORGANISATION COLLABORATION

h e in f or m ation
provides t
•ER P sy s t e m tion and
o m m u n ic a
or c isation.
backbone f h e r o r g a n
lla b o r a tio n with ot e n in g there
co r e o p
a s in g ly , firms a
•Inc r e
e ir da t a b a ses to
to th ent and
databases p r oc u re m
r tn e rs t o facilitate
pa
ions.
other funct
Thank
Thank
You…
You…