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Understanding ERP Systems and Integration

1. ERP stands for Enterprise Resource Planning and is used to optimize a company's resources like money, people, machines to meet objectives in an efficient manner and increase profitability, productivity, and customer satisfaction. 2. As a company grows over time, managing business processes manually becomes inefficient and prone to errors. Computerization and automation through software and hardware improves efficiency. 3. SAP R/3 is an ERP software that was developed based on understanding of business processes of many fortune 500 companies. It has a multi-tier architecture with layers for the database, applications, and user interface.

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0% found this document useful (0 votes)
17 views4 pages

Understanding ERP Systems and Integration

1. ERP stands for Enterprise Resource Planning and is used to optimize a company's resources like money, people, machines to meet objectives in an efficient manner and increase profitability, productivity, and customer satisfaction. 2. As a company grows over time, managing business processes manually becomes inefficient and prone to errors. Computerization and automation through software and hardware improves efficiency. 3. SAP R/3 is an ERP software that was developed based on understanding of business processes of many fortune 500 companies. It has a multi-tier architecture with layers for the database, applications, and user interface.

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SindhuJuturu
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© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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ERP enterprise resource planning

Well man HR
Established material Purchase
Organization money finance
Methods R&D
Machines e.t.c. Engineering
Goals or of any comany cost reduction using the resources to
Profitability !atisfy ob"ecti#es of a
Producti#ity $omany in any otimum
Performance %e#el is ERP.
$ustomer satisfaction


Evolution of ERP:-
E.g. &'( $omany has )* members.
!ay+ business is increase in the ne,t - years and hence demand increase.
.here fore business is done manually and demand increases+ burden and the
emloyees increases+ efficiency decreases+ loses e,isting.
/ut due to some reasons e.g. cometition if 0e lose this demand+ man o0er
becomes 0aste.
.here fore alternati#e solution is to eliminate the manual rocess+ atomization or
comuterization is adoted+ 0hich is increase in efficiency and burden. Here 0e
re1uired soft0are and hard 0are
!o+ the comany &'( has installed comuters. !o+ all the deartments ha#e to
use comuters for their business transactions and functions.
2o0+ they re1uired soft0are to run the business.
.o erform financial acti#ities some soft0are alications soft0are ac3age li3e
W42G!+ .5%%'+ 6O$7! e.t.c.. are a#ailable.
6or !&D soft0are alications M.!. office is used.
Or
5ny customized roduct
89/ as front end and oracle as bac3 end:
soft0are comonents li3e W4PRO+ 4/M customized these roducts;
E.g. rail0ay reser#ation e.t.c..
6or urchasing soft0are alications M.!. office or customer roduct.
6or engineering $5DD<$5M is used.
6or H.R some customer roduct.
!o+ the emloyee &'( is running their business by these indi#idual ac3ages.
Which has no integration=
.here fore outut of the articular alication as not shared by other alications
electronically.
E.g. 0hen sales order is raised+ then if re1uirement should be transferred to
finance+ rocurement+ shiing deartments. 4ntegration should be there.
!o+ the sales eole has to create ) coies and sent these to all the deartments
and customer manually 0hich is ris3y.
e.g. 4f there is a roblem that this re1uirement does not reach the shiing
deartment in time+ customer 0ill not get the roduct in time
/usiness losses customer.
4ntegration is re1uired.
SAP R/3:-
R<>:real time >? tier architecture.
Single- tier- architecture:stand alone system e.g. P.$.
85ll > layers are e,isted in the same system.;

/ac3 end 0here data
/ase is e,isted
$ore comonent
8$ode+ rogram;
6ront end G74
2- TIER ARCTECT!RE: - "#ulti user concept$
%ra& 'ac(: - system erformance is affected.
E.g. 4/M+ siemens+ mainframes.
!ER9ER 80hich is logically connected to clients;
$lients
3- Tier architecture:-
Data base layer
Application layer
Presentation layer
DBL
APL
P.L P.L P.L
@ 6ormer 4/M emloyees has ta3en )** fortune comanies and under stood the
business rocess and de#eloed a #irtual comany called 4DE!. .hey de#eloed
in !5P in 0alldrof.
!5P has > layersA?
Has its o0n D./ called !5P D/
Has its G74
)an* scape:-
One tye
.0o tye
.hree tye
De#eloment ser#er 1uality ser#er roduction ser#er

Production suort
$lient is transorted 0ith the hel

Of basis consultants.
$lients
4mlementation
DBL
APL
PL
Contains
number
of clients
Line
testing
takes
place
Productio
n client

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