ERP Software

[kaotik]

Has anyone had any experience working with ERP software? If so, what was it like?

[wheelman]

Whats ERP Software again?

[kaotik]

ERP - Enterprise Resource Planning

Integrate all business units as one. That HR, Finance, Warehouse department all share info for better management of the business.

[igodit]

My Company is looking it implement a ERP system for their manufacturing, inventory, accounting ...etc.

C&A Systems, Inc has a product that is very good called Formulations.

[kaotik]

Are you trained in customizing ERP software or they are looking to train you and your co-workers?

[matronyx]

What about building a website to do this?

Benefits:

Cheap, (browsers are free)
Multi-platform compatible
Connectivity virtually unlimited (you could be in china)


What do you think?

[jamrock]

My company implements and maintains ERP software. We work with Great Plains and Accpac products. What do you need to know?

[igodit]

Wouldn't really call ACCPAC a ERP application still.

The providing company usually and should offer training with the application and developer training. The developer training is not a must only with some applications.

Most ERP applications today are built on platforms that allow for extesive customisation and development

[jamrock]

Hmmm,

A couple of interesting changes have been taking place in recent years.

The traditional ERP market is becoming more mature. The traditional players SAP, Oracle and others have developed products for the small and medium business (SMB) market. Two months ago, SAP (www.sap.com) did a few web demonstrations of its new SMB product. I expect more of this kind of stuff from them.

At the same time, the traditional SMB players have been adding functionality to meet the challenge. There has been quite a bit of consolidation in the market. Great Plains Software purchased Navision, Real World and Solomon and then it was purchased by Microsoft.

The smaller players have added functionality such as:

Customer resource management (CRM)
Warehouse management
eCommerce

These features and others were once only found in the higher end products such as Oracle Financials and SAP's R/3. The primary advantage of the SMB products such as Great Plains is the fact that they are less expensive and can be implemented in shorter time frames.

In addition the SMB market has embraced MS SQL as the database of choice. This has allowed them to add features such as:

Backing up data when the users are using the database

Rolling back transactions that have not been posted properly.

Native SQL tools that allow DBA's to fix errors in the databases.

MS SQL has allowed Great Plains to scale to a few hundred users and many GB of data.

Accpac has also started to use IBM's DB2 database running on Linux. DB2 is also a powerful/scalable database. From what I have read, DB2 running on Linux is a pretty stable solution. It remains to be seen if other players start to run their products on DB2/Linux.

http://www.accpac.com/products/finance/accwin/futurecommunications.asp

http://www.accpac.com/success/globecast.asp

I must admit that I give Great Plains the edge over Accpac Enterprise, however. It has superior reporting capabilities and is more flexible. There are a couple of limitations in Accpac that drive me crazy.

What is ERP? I am no longer sure. The market distinctions are becoming blurred.

[jamrock]

Most ERP applications today are built on platforms that allow for extesive customisation and development
Please explain.

[kaotik]

I was wondering if customizing an ERP software is really a big risk?

[jamrock]

I was wondering if customizing an ERP software is really a big risk?

There is customization and then there is customization.

Some products have add-on tools that allow customization of screens, menus and stuff like that. This kind of customization is a part of the product and information re: these changes are stored somewhere.

Secondly, some products allow one to extend the functionality of certain screens using VBA. You don't change the programmes code, you add features (kind of like a macro).

I wouldn't recommend modification of the ERP's code. When it is time to upgrade, your changes can cause conflicts with the new versions. Sometimes the upgrade will overwrite your changes.

Perhaps it is a better idea to clearly define your requirements and search for a product that meets as many as possible.

A second approach is to purchase an industry specific programme and look at interfacing that with your ERP. This is often done via ODBC or the import of text/Excel files. For example, an insurance company may purchase a package that handles insurance claims etc. They would then set up an interface so that these transactions can be imported into the accounting backend.

Most importantly, any customizations must be documented properly. Far too often, people leave jobs and take all the knowledge with them. After a while no-one knows anything about the changes that have been made. At that point, no-one can support or upgrade the software.

[kaotik]

Ah point taken. I hear that to customize these packages, you have to learn languages such as X++ and MorphX. Have you ever heard of these?

[jamrock]

No.

[kevster]

I am an SAP administrator in Jamaica for the past 5 1/2 years... Prior to that, I was working with another somewhat ERP software called Stratis out of Trinidad.

What exactly are looking to learn about ERP software??

[kaotik]

I've got a job that requires me to customise ERP software using those languages I've specified above, so I was wondering if anyone knew of these and the experiences they've had in customising these packages.

[kevster]

It all depends on the type of customization that you are doing.

When my company decided to go with SAP, we had customizations to do to allow for the business practices and procedures that we already had in place...such as, how many plants existed, number of storage locations, types of materials. Those kinds of customizations doesn't require a knowledge of any programming languages, just a knowledge of the business practices being used.

But, when you start thinking about building reports, changing the way a transaction should operate or even just creating a new transaction that is not incorporated by the ERP that you are using then you might need to know certain languages like SQL.

[kaotik]

Zeen. Well I have a little knowledge of SQL when I was working with SQL Server 2000. The ERP shouldn't pose any real problem since all the modules are there. The real task is just going throught the documentation and modules thoroughly before making any changes as such.

[kevster]

Which ERP are you using by the way??

[kaotik]

They haven't stated yet.

[jamrock]

Hi Kevster,

Welcome to the forum.


When my company decided to go with SAP, we had customizations to do to allow for the business practices and procedures that we already had in place...such as, how many plants existed, number of storage locations, types of materials. Those kinds of customizations doesn't require a knowledge of any programming languages, just a knowledge of the business practices being used.

I would make a distinction between configuration and customization.

Configuration would be choosing from the various options that the programme has. For example, you would set up receivables to age outstanding invoices by 30 days, 60 days, 90 days, etc. You could also decide whether or not to print statements for your customers.

In inventory, you could set up your warehouses, items, etc. With configuration, no changes are being made to the programme's logic.

Customization refers to making changes to the programme's code or screens. It will no longer be the same product that left the manufacturer.


then you might need to know certain languages like SQL.

MS SQL has become the database of choice for small to midsize companies. We recommend that all our customers send a few people on a SQL course.

In recent years IBM has been making a strong play with DB2. I am watching how that one turns out.


Zeen. Well I have a little knowledge of SQL when I was working with SQL Server 2000. The ERP shouldn't pose any real problem since all the modules are there. The real task is just going throught the documentation and modules thoroughly before making any changes as such.

You should expect to lean heavily on the vendor or certified consultant during the installation and configuration stages. They should be able to train in house people to gradually take over the system once it has been set up.

It is a bad idea to try and install and implement the software on your own. These systems tend to be very complex. I have heard of some horror stories.

[jamrock]

By the way Kevster...

What O/S and database are you running SAP on? Are your servers Intel based?

Are you using any kind of clustering technology? Are you using any kind of replication or data warehousing?

What is the largest amount of users you have on-line at any one time?

I don't need any confidential information.

I am meeting some interesting people in this forum. It is all good.

[kevster]

Hey jamrock,

Thanks for the welcome and yes, you are correct...that distinction between customization and configuration really should be made.

My company is kind of small in comparison to the companies that run SAP. We only have 38 concurrent users. Our servers are intel based and we running Windows NT 4.0 with Oracle 8.0.5.

At present, no clustering is being done but looking to upgrade our hardware infrastructure sometime this year or early next year.

[kaotik]

Have you ever heard of an ERP called Axapta?

[jamrock]

Have you ever heard of an ERP called Axapta?

Yes. It is produced by a European company called Navision. Microsoft purchased them two or so years ago. They are part of the Microsoft Business Solutions product line along with Solomon and Great Plains.

I have a good idea who will be implementing but I am not at liberty to say.

Let us know how it goes.

[kaotik]

Why not ? ;D. Where you working? :P The JIA? ("CIA")

[jamrock]

I don't think your employers or the vendor would want details of their business all over a public forum.

We can always discuss general information about the product or the industry. All of this general information is readily available.

[kaotik]

I was kidding earlier. Ofcourse I don't want to know who you working for. I'm not saying who I am gonna work for but I just wanted to know about these products. After all isn't this a software dicussion. They exist, no harm in not talking about them.

[igodit]

What is the real life senario for the implimentation of this ERP Applications, Kaotik? Maybe I can recommend a ERP Application for you based on the senario.

[kaotik]

I guess Accounting, Warehousing, CRM, Finance.

[igodit]

Well, you should take a look at Formulations ERP (http://formulations-erp.net/)

They gave my company a demonstration of the application, so far I can say it is much better than any application that Microsoft has bought or developed. The backend database can be anything from :
- IBM DB2
- Microsoft SQL Server
- Oracle
- Informix

Highly customisable and does allow for extensive development.

Contact this guy Daren Allwood daren at formulations-erp dot net

You know me Kaotik, it is worth the look.

[kaotik]

Thanks for the info ;D

[jamrock]

Kevster,

I have read that SAP is hard to set up and that SAP implementations can take years.

I agree that your user base is relatively small as these things go internationally. Still, how did you find the entire process?

Have you worked with MS SQL? How does Oracle compare with it?

What made you decide to go with SAP? There are a number of MS SQL based products for the small and medium business market. Were these products mature enough for you when you were looking for a solution? I know that they have added lots of functionality in the last few years.

[kevster]

Jamrock,

Our entire installation process took 4 months which is one of the very few quickest installations done in the SAP industry.

It can be difficult to set up SAP, however, from the get go, the company I work for had decided to adopt all of SAP best practices rather than to try and fit SAP into our existing practices. So at the end of the day, we changed some of our business processes in order to get SAP up and running.

I think that is a very key essential for a small or mid-size company in order to get SAP or any other ERP to fit in with the company. Do not try to "bend" the ERP into how you want it if you don't really have to. One other key ingredient is to have 100% backing from management. The project is doomed to fail if management has not bought into the concept of acquiring ERP software.

I haven't worked with Oracle Financials or MSSQL. My only experience is with the Oracle database side.

Before choosing SAP, we had used a third party company to map out our RFP which was then sent out to different vendors. SAP as well as a number of other vendors responded and initially we never even looked at SAP because we were under the preconceived idea that it would be overkill for a company our size. We decided on SAP because we realised the pricing was coming in the same "ballpark" as the other vendors, SAP had already established a great track record, SAP as a company was one which could grow with us as we expanded. Their software was always expanded and we could take advantage of the new functionality as our company grew as well.

SAP has come a very long way since we initially implemented, e.g. CRM and SCM weren't part of SAP functionality when we went live.

[jamrock]

Before choosing SAP, we had used a third party company to map out our RFP which was then sent out to different vendors.

This is the most important part of any ERP project. Too often people implement the software and then realize that it cannot do something essential.

There is another benefit to having a clearly defined set of requirements. You can insist that the vendors structure their presentations around your requirements. You can eliminate many of them this way.


It can be difficult to set up SAP, however, from the get go, the company I work for had decided to adopt all of SAP best practices rather than to try and fit SAP into our existing practices.

Do not try to "bend" the ERP into how you want it if you don't really have to.

I agree. There is always some level of process re-design in ERP implementations. I have done one or two projects where the demands of the industry meant some minor bending. Those are always a pain.


One other key ingredient is to have 100% backing from management. The project is doomed to fail if management has not bought into the concept of acquiring ERP software.

Not only that. There needs to be someone on the project who is senior enough to authorize changes to certain processes.

Three to four months is fast for SAP, Oracle Financials, JD Edwards or People Soft. That is normally the time it takes to implement the SMB products.

SAP has a new product for the SMB market. Have you heard about it? They have been promoting it on their website.

[kevster]

you're talking about SAP business one ?? i have heard about it...never seen it though.

we implemented what is known as SAP Pre-Configured Client which is a quick way of getting SAP up and running. Basically, SAP took all the best practices of some of the fortune 500 companies and put them in this pre-configured client which SMB can use to get going.