Professional Documents
Culture Documents
ERP Implementation - Session-1
ERP Implementation - Session-1
Strategic Planning
(C) Strategy (B) Vision
The Change
How do you plan to get to where you want to be?
(C)
(B)
(A) Situation
(A)
How will you know when you What will help & hinder get to where you want to be? you getting to where you want to be?
(D)
(E)
Pain Point
a level of difficulty sufficient to motivate someone to seek a solution or an alternative.
Integrating Business & IT Strategy - Where the Business and IT Objectives align
Purpose of an IT Strategy
Integrate IT with the current and future needs of the business. Enable business to meet its objectives in an efficient and effective manner. Provide quality service to customers and employees. Leverage best practices in Information Technology (IT).
Processes
Customers
Business Needs Drive Technology Technology Enables Business Capability
IT Strategy
Applications
Technology
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business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service and speed.
BPR means not only change but radical change within a short period. This change is achieved by complete revamp of organizational structure, business process workflow, job description, performance measurement and adoption of information technology.
Risks OF BPR
Unreasonable expectations Lack of sustained executive commitment Resistance to change Technology performance failures
Critical list of Business Processes to be assessed Method to assess the Business Process and what would be assessed and how it is evaluated (maturity models like BPMM, CMMI)
*Characterize
Organizational Unit Implementation
*Characterize
Instance Implementation
* Where possible
Flow Charts
Flow Chart: A diagram that uses graphic symbols to depict the nature and flow of the steps in a process Advantages of Flow Charts Promotes a very good understanding of a process Identifies problem areas and opportunities for process improvement Provides a way of training Depicts relationships
Start/End
Process Step
Decision
Connector
Drawing Flowchart
Define the process to be flowcharted, and the purpose for flowcharting it. Assemble the right people to develop the who are actually involved in the process. Establish process boundariesthe starting and ending points.
Identify the major activities or sub processes that are included in the process. Determine what is not included in the scope of the process to remove any Doubt or confusion about the boundaries. This may also help establish the scope of related processes.
List the steps, activities, and decisions to be charted. If your team is not sure about a step, mark it to be investigated later. Put the steps in chronological sequence. Assign Flowchart symbols such as boxes, diamonds, and triangles. Review flow
Major Flowcharts
Linear Flow Chart
A Linear Flowchart is a diagram that displays the sequence of work steps that make up a process. This tool can help identify rework and redundant or unnecessary steps within a process.
Gap Analysis
Assigning Levels of Maturity - based on
Review of artifacts that are produced by performing a process Review of artifacts that support performing a process Interviews with individuals or groups who perform a process Interviews with individuals who manage or oversee the performance of a process Interviews with individuals who support the performance of the process Quantitative data used to characterize the state of the organization and/or the attitudes and behaviors of those in it Quantitative data describing the performance of a process, its outcomes, and business results
Flowchart Example
Start Process Repository PM Check Process Repository for similar projects PM Identify appropriate SDLC Method PM PM Estimation Process
PM
Identify dependencies
Perform Estimates
PM
Identify Budget
PM Create Project Org Structure and Develop Roles and Responsibilities BUH PM PM Plan Prepare all plans and consolidate into PM Plan Review Process Project Closure Process
Yes PM Communicate the Plan to all stake-holders PM and Stake-holders Any Defects? No PM Send the Plan for Approval Any Strategic issues? No CCB OR CC Defect Handling Process End Baseline the PM Plan
Review PM Plan
Yes
CM Process
Process Maturity
Process maturity is the extent to which processes are explicitly defined, managed, measured, controlled, and effective. Maturing processes implies a growth in capability and indicates both the richness of an organizations processes and the consistency with which they are applied throughout the organization. Process maturation implies that process capability is improved over time
4-Predictable
Focus
Organization establishes standard processes and assets for performing the product and service work
Process Areas
Organizational Process Management Organizational Competency Development Organizational Resource Management Organizational Configuration Management Product and Service Business Management Product and Service Work Management Product and Service Preparation Product and Service Deployment Product and Service Operations Product and Service Support Organizational Process Leadership Organizational Business Governance Work Unit Requirements Management Work Unit Planning and Commitment Work Unit Monitoring and Control Work Unit Performance Work Unit Configuration Management Sourcing Management Process and Product Assurance
2- Managed
Generic Goals (GG) Specific Practice (SP) Generic Practice (GP) Sub practices Generic Practice Elaboration
Legends :
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Required
Expected
Informative
Indirect Artifacts
Artifacts that are a secondary consequence of performing a specific or generic practice; something that is not a primary intended product of the practice (e.g., meeting minutes, reviews, logs, and reports)
Affirmations
Oral or written statements confirming or supporting implementation of the practice (e.g., interviews, questionnaires, presentations)
Eg: For SP 1: List of objectives are available but they are not very specific
AND the aggregation of weaknesses does not have a significant negative impact on goal achievement
For a goal to be rated unsatisfied (U), the team must be able to describe how the weakness(es) led to this rating
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Findings
global findings PA findings non-model findings
Ratings (optional)
definitions Process area (PA) profile
Next steps
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Send Costing to Sales Receipt of acknowledgement Periodically and updates To sales & records From courier next day Provide courier Details to customer Provide list of items Dispatched to customers Next day to sales
Inform shipping Inform customer Expected lead time Send sales order to Update the Inventory next day Send the Package to Shipping
Recommendations
Need to understand the kind of interaction needed among departments and establish the connection through information flow. Instead of setting SLAs for each department, SLAs need to be set up for each Business process and the responsibilities and accountabilities need to be articulated Look for the ERP solution which would provide appropriate integration among different functions and online updation resulting in better service to the customer and improvement in bottom line for the organization by removing the redundancy and improving the cycle time
Case study
customer
Requests the bank balance
Bank clerk
Requests the account number
Bank clerk
Identifies and browses The ledger
Bank clerk
Computes the balance
Teller
Counts the currency Denomination and notes
Bank officer
Verify the ledger and approve the cheque
Bank clerk
Enters in register and Passes cheque to the officer along with ledger
Yes
Is balance Available?
no
Teller
Enters the details in to the register
Teller
Pays the money to the customer
Customer
Receipt of Money
Customer
Indicates sufficient/no balance
End
customer
Swipes the ATM card
System (ATM)
Validates if the card is valid Is card valid? no no
Yes
System (ATM)
Prompts to provide the PIN number
System (ATM)
Provide Message Invalid vard no
System (ATM)
Are sufficient funds available?
Yes
Customer
Is PIN Valid? Provide the PIN number
Yes
Teller
System checks the availability of the currency
denomination available?
Yes
Customer
Receipt of Money
System
Updates the account
Teller
System error message
no
End