RESOURCE PLANNING 1. Define Enterprise Resource Planning (ERP). Briefly explain the major benefits of an ERP system. Enterprise Resource Planning ERP is an information system that controls and integrates all the business functions of an organisation. It is a multi-module application that integrates the activities of different departments, such as production, finance, human resource and marketing. According to Deloitte Consulting, ERP is a packaged business software system that enables a company to automate and integrate the majority of its business processes; share common data and practices across the enterprise; and produces and access information in a real-time environment.
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2. Write short notes on the following:
a. Decision Support System (DSS)
b. Executive Information System (EIS)
c. Customer Relationship Management (CRM) d. Management Information System (MIS) Decision Support System (DSS) You make a number of decisions in your everyday life; for example, what to cook for breakfast? What to wear for office? Similarly, organisations also need to make certain decisions to carry out their operations smoothly. The decisions made by organisations usually involve huge cost. One right decision can lead to the remarkable growth of an organisation, while a wrong decision can ruin the business completely. Therefore, business decisions are considered to be highly critical. In order to make effective decisions, an organisation requires timely and accurate information. DSS is an interactive information system that provides substantial support to managers while taking critical business decisions. It is a
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3. Explain the different implementation life cycle. The different phases of follows:
the
phases
of
an
ERP
ERP implementation lifecycle are as
1. Pre-evaluation screening: - Pre-evaluation screening is the first
phase of the ERP implementation lifecycle. It includes examining all the available ERP systems. Among these systems, those that are able to meet the organisations requirements are selected.
2. Package evaluation: - The package evaluation phase involves a deep
analysis of all the shortlisted ERP systems in order to select the final system. It is the most important phase as the success of ERP implementation highly depends on the selection of the right
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4. Explain the role of manufacturing and
production planning module of an ERP system. Briefly explain the sub-modules of the manufacturing module. Role of Manufacturing and Production Planning Module of an ERP system An ERP system integrates the activities of different departments of an organisation such as manufacturing, marketing, accounting, and human resource. The manufacturing and production planning module of an ERP system helps an organisation plan and perform its production activities effectively by providing accurate and timely information. Some of these activities include MRP, shop-floor control, inventory management, and capacity planning. The manufacturing and production planning module of an ERP system integrates all the software and hardware used for performing manufacturing activities. Moreover, the module helps in reducing paperwork, design cost, lead time,
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5. Explain the role of ERP in sales and distribution.
Briefly explain the sub-modules of the sales and distribution module. Role of ERP in Sales and Distribution These products and services are passed through an extensive distribution network before they reach the end users. This distribution network involves wholesalers, retailers, and commission agents. An effective distribution network helps in delivering the right product to the right customer at the right time. This ultimately helps in increasing the sales and profit of an organisation. To achieve higher sales volume and profit margins, most organisations implement an ERP system with sales and distribution functionality. The sales and distribution module of an
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6. Define the role of vendors and consultants in
ERP implementation. Role of a vendor A vendor provides ERP systems to client organisations as per their requirements at a mutually agreed price. Generally, a contractual agreement is signed between a vendor and a client organisation. This agreement states all the terms and conditions related to the systems functions, level of quality, price, and performance. After an ERP system is purchased by an organisation, a team of experts (vendor) need to install the system and ensure its operational efficiency. Most of the vendors appoint a liaison officer to keep track on the activities of this team of experts. Apart from this, the team is responsible for providing training to the organisations employees, so that they can learn about the functionality of the ERP system. Generally, this training is provided to the key users of
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