signs that erp is helping you save money

8/8/2019 Signs That ERP is Helping You Save Money

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ERP (Enterprise Resource Planning)

A set of applications that help manage and automate a business involving best practices, thereby improving the

performance.ERP incorporates all elements of a business ² finance, materials, maintenance, production, projects and

marketing activities etc into a unified system that operates more effectively and efficiently.

Global integration

Consolidate all workforce-related processes & data onto a single

global platform

Leverage country-specific legal compliance guidelines & best

practices



Reduce operational costs

Ensure better insight into workforce deployment

3.2

ERP involves change

1) Change in processes

2) Change in roles & responsibilities

3) Change in organization·s working culture- Department to Process perspective

4) Change in attitude & mindset of peopleChange Management Strategy would focus on bringing about above changes in NTPC

smoothlyJUST LIKE THE ICEBER GWHAT IS VISIBLE IS THE PRODUCT

3.2.1 Advantages of ERP



Uniform Application Across the enterprise

Availability of Integrated Information System

Adoption of Best Practices & Procedures

Access to real time information for effective decision making

More productive time for managerial & strategic decision making

Well tested & proven system

Up gradation of Package is taken care

Reduction of paper reports

Effective Cost Budgetary control

Improved planning and support for future business needs

Reduction in inventory

Reduction in Procurement cycle time Better Maintenance practices, leading to improved equipment availability

Linkage with extranet applications

Extensive information warehousing

Reduction in time and effort for reconciliation , closing of accounts & monthly reporting

Issues in ERP Head of Project(HOP) ,Head of Department( HOD) & Section heads must act asChange

Agents in their areas and mobilize the people for this big change.

Functional people have a major role to play in the success of ERP.

ERP is business initiative ± NOT IT initiative ± and everybody's responsibility , IT is

only the support backbone.

Implementation of ERP is project and requires considerable time management and effort.

NON Compliance / Deviation from ERP¶s Best Practices should be avoided.

To successfully take an ERP system, Orgn. needs to change its ³Working Culture ́

3.2.3 Depending Factors for Success of ERP Implementation



Figure 3.3: Factors for success of ERP Implementation

3.2.4 Challenges in ERP Implementation



Figure 3.4: Challenges in ERP Implementation

3.3 Roles & Responsibilities of Change Management1). Change Agents

Bring clarity on the purpose of ERP implementation

Create ownership in the locations for the SAP implementation

Bring awareness about positive aspects of change

Facilitate acceptance of the SAP system

Facilitate the benefit realization workshops

Ensure maintenance of the desired change

Key link between end users and project team

Help to address the concerns, apprehensions, issues of people at the locations

Update self on ERP Implementation2). Process Owner

Take ownership of the improved processes and give approval



Head of Projects

Act as driver to ensure effective implementation of ERP at their location.

Motivate all location people to adopt to the new way of working.

To ensure availability of infrastructure facilities in time.

To ensure completion of codification exercise well in time at their location.

To expedite data migration activities at their location.4). Process Anchors

To finalize the ³To Be´ processes to be implemented across the organization

To get involved with the integration testing of processes configured for

implementation To get trained in the processes in their respective functions and train others

3.3.1 Forces for Successful Change ManagementSuccessful management of change needs four forces to drive the change. These are:



Change Management in ERP Implementation

Today, people are the most important assets in by any business, and managing employees with SAP HR properly isimportant for growing the top and bottom line, becoming more productive, and achieving competitive advantage in themarketplace. Information technology alone can't achieve those goals, but it can set you on the path to proper assetmanagement in the human resources arena.

3.3.2

signs that erp is helping you save money

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