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© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
 WHAT IS ERP?

(ENTERPRISE RESOURCE PLANNING)

• Standard software package taking care of all needs
of an enterprise.
• ERP integrates all the businesses including
planning, manufacturing, Sales & Marketing across
the company.

• ERP provides and helps enterprise to adopt latest

technology and international business practices
with minimum ease.
© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
 WHY ERP?
• Operating costs can be reduced. 
• Increases the efficiency of operations
• Seamless flow of information across the
organization.
• It makes management reporting and decision
making faster and uniform through out an
organization.
• Enables consolidation of different software in
the organization
• Helps in better customer service  

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 ERP Features

• Security Authorization
• Referencing Responsibility
• Implementation of business rules

These features are provided to safeguard the

business of the organization from illegal practice
and also to protect the valuable information from
misuse.

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

ERP - Enterprise Resource Planning

To manage below 4 M’s of an enterprise

effectively
• Money
• Men
• Machine
• Material

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 ERP Software
• SAP R/3
• BaaN IV
• Oracle Applications
• MFG / Pro
• People Soft
• JD Edwards
• MOVEX

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 SAP R/3

SAP R/3 is an integrated suite of

applications designed to handle data
processing in a large organization.
© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
 ?
© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
 About SAP
• In 1972, five former IBM employees – Dietmar Hopp, Hans-Werner
Hector, Hasso Plattner, Klaus Tschira, and Claus Wellenreuther –
launch a company called Systems Application and Products in Data
Processing in Mannheim, Germany. Their vision: to develop standard
application software for real-time business processing.

• One year later, the first financial accounting software is complete,

forming the basis for the continuous development of other software
components in what later came to be known as the "R/1 system." "R"
stands for real-time data processing.

• By the end of the decade, intensive examination of SAP's IBM

database and dialog control system leads to the birth of SAP R/2.

• In 1990s , SAP R/3 is unleashed on the market. The client-server

concept, uniform appearance of graphical interfaces, consistent use of
relational databases, and the ability to run on computers from different
vendors meets with overwhelming approval.

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 SAP AG

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

Single –Tier Architecture

• Features :
It has a single monolithic executable file.
It has both programs and data on one computer.
• Drawbacks:
Time required to update the application is high.
Cost of redistributing the application is high.
© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
 Two-Tier Architecture

• Client :
• Implement the
user interface.
• Contains
application logic.
• Server:
• Stores Data.
• Contains business
logic.

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 Three-Tier Architecture

• User Services—Provide services such as the user

interface.
• Business Services—Implement business rules.
• Data services—Provide handling and validation of dat

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 SAP Service

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 SAP Encourages

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 Features of SAP
• Incorporates 30 years of experience
• International orientation
• Tight integration across Business functions of
the Enterprise
• Customized Solutions
• Adequate Data Handling Security across
Business Functions
• Global Focus

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 FEATURES CONTINUED........

• Minimum Data redundancy

• Business Practices world wide are
incorporated
• Platform Independent.
• Operating Systems Independent
• Data Base Independent
• Available in 26 languages.
• Extremely Fast Bulk Data Transfers (LSMW)
• State of Art Web Application (Portals)
© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
 SAP Modules
S A P

F U N C T IO N A L T E C H N IC A L

M A T E R IA L M A N A G E M E N T A B A P

H U M A N R E S O U R C E B A S IS

P R O D U C T IO N P L A N N IN G

S A L E S & D IS T R IB U T IO N

F IN A N C E

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 Components of SAP

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 Functional Module Interacts

S&D
F
I
C PP HR

O
MM

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 The Cadbury Experience

Without ERP each purchase order probably goes

through six different departments. At the end of the
year when that company makes its accounts,
every departments accounts have to be put
together or reconciled . But with a system like
ERP , “they can close their ledgers whenever they
want to, they can actually give quarterly results .
The year-end should be no different from any
month-end” exclaims Calverly (In charge ERP
Implementation Cadbury’s India)

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 Tangible Benefits

• 15-25% increase in sales due to timely and faster

shipments
• 11-20% increase in productivity due to availability
of matched sets, reduced follow-up and overtime
• 10-20% reduction in purchase costs due to less
expediting and more time available for sourcing
• 15-35% reduction in inventory due to valid
schedules and matched sets

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21
Every Successful Project Implementation in SAP requires

People: Processes:
Solutions Expertise

Pr
AcceleratedSAP

le
oc
Quality
op
Consistency

es
Pe

se
Products

Products: s
The Business Framework
Strength

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 Implementation

AS-IS
BIG BANG
PHASE WISE

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21

 SAP Project Implementation Methodology

ASAP Roadmap
Continuous
Project Final
Preparation Preparation Improvement
Realization Go Live &
Business Support
Blueprint

Methodology
 Project  Implementation
Management Assistant
Project-
 Change  Q&A db
related Tools
Management
knowledge  Implementation
 Risk analysis Guide
 Review Services  Transport System

Training, Licensing training material,

Support, Project reviews

© 2008 Intelligroup, Inc. Confidential and proprietary 12/08/21