C h a p t e r 1 2
Integration The Organization from End to End
Enterprise Resource Planning.
v At the heart of all ERP systems is a database, when a user
enters or updates
information in one module, it is immediately and
automatically updated
throughout the entire system
v ERP system automate business processes
The organization before ERP
v information
has traditionally been isolated within specific departments,
whether on an
individual database, in a file cabinet,
or on an employee’s PC.
D i s a d v a n t a g e s
Ø Redundancy
Ø
Update issue
Ø
Inaccurate information across databases
Ø
Different customer information in different
databases
ERP bringing the organization together
v ERP enables employees across the organization to share information across
a single, centralize database.
D i s a d v a n t a g e s
Ø Not as flexible and more difficult to change
Ø Multiple access levels increases security issues
Ø
Might not meet all department needs as well as
an individual
specific system
Ø
Ethical dilemmas from accessing different
department information
such as payroll
THE
EVOLUTION OF ERP
Integrating of SCM,
SRM, ERP
Ø
Integration of these applications is the key to
success for many
companies
Ø
Integration allows the unlocking of information
to make it available
to any user, anywhere, anytime
INTEGRATION TOOLS
Many companies purchase modules from an ERP vendor, an SCM vendor,
and a CRM vendor and must integrate the different modules together
MIDDLEWARE
several different types of software which sit in the middle of and provide
MIDDLEWARE
several different types of software which sit in the middle of and provide
connectivity between two or more software applications
ENTERPRISE APPLICATION INTEGRATION (EAI) MIDDLEWARE
packages together
commonly used functionality which reduced the time necessary
to develop
solutions that integrate applications from multiple vendors
ERP systems must integrate various
organization processes and be :
F l e x i b l e
must be able to quickly respond to the changing needs of the organization
M o d u l a r & O p e n
must have an open system architecture, meaning that any module can be
interface, with or detached whenever required without affecting
the other modules.
C o m p r e h e n s i v e
must be able to support a variety of organizational functions for a wide
range of businesses
B e y o n d t h e c o m p a n y
must support external partnerships and collaboration efforts
What is Customer Centric Organization
Customer Supply Management (CSM) enables to :
Ø Provide better customers service
Ø Make call centers more efficient
Ø Cross sell product more effectively
Ø Help sales staff close deals faster
Ø Simplify marketing and sales processes
Ø Discover new customers
Ø Increase customer revenues
Organization can find their most valuable customers through “RFM”
which means Recency, Frequently and Monetary value
The evolution of CRM :
CRM reporting technology
help organizations identify their customers across other applications.
CRM analysis technologies
help organizations segments their customers into categories.
CRM predicting technologies
help organizations make predictions regarding customer behaviour
Operational CRM
support traditional and transactional processing day to day.
Analytical CRM
support back office operations and strategic analysis and includes all
systems that do not deal directly with the customers.
CRM success factors :
· clearly communicate the CRM strategy
· Define information needs and flows
· Build an integrated view of the customer
· Implement in itertions
· Scalibility of organizational growth
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