ERP Maintenance Fees

Maintenance Fees is a Insurance you actually need for your ERP Software

Just about every software vendor will require you to pay an annual fee based on a percentage of the software list price.

This fee has various aliases such as maintenance fee or enhancement plan.

The percentage can lower after the first year. The plan may not always be required, but it is always strongly recommended.In addition, your Partner may have their own annual maintenance plan for support calls, preventative maintenance checks or other services.

Tips to Save on maintenance fees :
Buy only what you need for Phase 1 of your project. The lower your initial software list price, the less money you will pay for maintenance. If you buy something you dont implement for another year, you just wasted money on the maintenance fee.

Maintenance fees are like insurance. We all wish we didnt have to pay it but when we needed it,we are sure glads it;s there. So, just add the maintenance fee into your annual budget and leave it there

Is the software server-based or web-based?

Is the software server-based or web-based?

Server-based software is installed on a server in your office.

Web-based software is kept in a data center far, far away, and is accessed over the internet. Some web-based systems may appear to have a lower per-user cost, but in many cases you are only getting core functionality and may have to pay extra for additional features/modules.

Be sure to compare the costs over a 10-year period as this is the average amount of time a company keeps their accounting software. A rising trend is to buy software on a subscription model,For some companies, this makes sense. However, be sure to consider all of the costs to determine if it really is less expensive overall.

ERP project Category

Any good Partner should be able to give you a ballpark dollar figure after an initial requirements discussion, but the final quote is usually presented after several conversations and demos.

A complete ERP project has many components and we will break it down into three categories:

Section 1: Software

· Licensing Fees
· Enhancement Fees
· Add On Product Fees
· Discounts

Section 2: Services

· Implementation
· Data Conversion
· Integration
· Customization
· Training
· Support

Section 3: Hardware

· The Server
· SQL Operating System
· Deployment Options

10 signs that you have outgrown your accounting software

I sat in a meeting yesterday and listened to a company tell me how long they have limped along with an outdated accounting software, full of patches and workarounds. I sat there and thought – you don’t realize how easy life could be with a new system! Yet it can be hard to make the leap and know when to say, yes, now it is time to invest in a new system. Here are 10 signs that you have outgrown your accounting software:

1. The level of user complaints has risen significantly.
2. Employees ask to add non-authorized software to the system.
3. You can’t fulfill requests for information from partners or customers in their preferred format and timeframe.
4. You’re still not making full use of the Internet.
5 You have gaps between front-end and back-end systems that are plugged by unsatisfactory customized solutions.
6. The software inhibits users from completing tasks.
7. You have multiple, non-integrated information stores.
8. You find yourself contemplating hiring contractors to write add-ons.
9. Support costs have risen.
10.You don’t have enough support resources

ERP capabilities

Here are some of generic ERP capabilities that can be used in the manufacturing sector:

1.ERP can transform unstructured processes into routine transactions such as electronic approval of purchase orders based on predefined company policies.

2.ERP can replace or reduce the human labour involved in processes, like matching of supplier invoices based on accepted purchase receipts.

3.ERP can transfer information rapidly and with ease over large distances. It is now possible for various offices and factories of an organization to perform transactions and analysis on the same server, reducing geographical distances.

4.ERP can help manufacturing companies in carrying out analysis such as: Forecasting of market demand based on statistical models; Capturing of hidden market trends through multi-dimensional analysis; Identification of potential improvement areas.

5.ERP can bring a vast amount of detailed information into the process.

6.ERP can enable changes in the sequence of task in the process, often allowing multiple tasks to be performed concurrently.

7.ERP allows the capture and dissemination of knowledge and expertise to improve the process.

8.ERP allows detailed tracking of task status, inputs and outputs.

Security and ERP System

The balance between making data available to the users that need it and denying it from those who should not have access is not easy to achieve. To manage this risk your company needs to implement an appropriate access strategy. Do not wait for an embarrassing - and potentially devastating - event to find out that security and controls in your ERP system are inadequate and constitute exposure for your company.

Managing the security of ERP information into and out of your organization has never been more critical - or more challenging. As businesses grow, their information systems support whole communities of users: customers, suppliers, partners and employees, who all count on the secure exchange of a wide variety of information to place orders, pay bills and keep records up to date.

Our ERP security specialists have the expertise, tools and methodologies to make sure that your ERP system includes a tailored, cost-effective security approach that dovetails with your firewall, virus scanner, spam control and backup systems.

Issues in ERP implementation

Issues in ERP implementation

Every organization has its own cultural or organizational structure. In this situation, it is natural for them to be sceptical about ERP, since it is felt that their businesses are unique, organizations varying and cultures different. However, there is no need of such concern as an ERP package has been designed and is being continually upgraded to incorporate the best industry practices to suit most industry segments.

With thorough and dedicated BRP study and adapting those changes in the business process well before implementing the ERP shall help make things smoother. It is therefore recommended that this methodology is followed; otherwise there is chance that most of the time users are left frustrated. This leads to poor participation and costly delays.

It is important to understand that an ERP package not necessarily fit in completely with the existing business practices of most organizations and hence, the onus is on the users to appreciate this fact and to work with the implementation consultants in trying to adapt to the package. In doing so, they don't have to feel that they are compromising on their business effectiveness; rather, by accepting the package, they are adopting the best of breed business practices and ensuring the successful implementation of new system.

The other important factor is that the users do not expect a reduction in their workload immediately after the implementation of ERP and should not look for a miracle to happen. An ERP package is only an enabling tool and improves the flow of information and formalizes all the business processes and workflow that exists in an organization. It helps users to do their jobs better, which may call for additional efforts.

If one has to have more information in a system, it entails more work for more users, but the benefit is that this information is properly stored and can be fruitfully uses by other users in making better decisions. As the flow of information throughout the organization improves, the company starts performing better and this in turn benefits the users who have collectively improved their way of working. The package design and the architecture facilitate the availability of information to all authorized users in a useful way.

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successful implementation of ERP

IT is not only the successful implementation of ERP is the prime objective of Eresource project management team, but also to help achieve a return on investment (ROI) in the shortest possible time. Return on investment does not just imply in terms of financial gain. It can be in terms of the growth in productivity, efficiency, or in terms of overall improvement in the performance of the company or even to the extent of better transparency in the operations being carried out by the firm and of course, the satisfaction of the users.

ERP implementation also results in bringing together various sections of the organization like personnel, material and processes. This may help change the organization's working culture

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ERP benefits

The entire gamut of ERP activities are summarized below:

ERP facilitates a company-wide integrated Information Systems covering all functional areas such as manufacturing, sales and distribution, accounts, payables, receivables, inventory, human resources. Etc.

ERP integrates and automates most business processes and share information enterprise-wide in real-time, thereby improving customer service and the corporate image.

ERP provides complete integration of the system not only across departments but also across companies under the same management.

ERP bridges information gaps across a company and focuses on key issues such as productivity enhancement, customer service, cash management, inventory, quality control and prompt delivery. Etc.

ERP is the solution for better project management.

ERP provides business intelligence tools like decision support system, executive information system, reporting, data-mining, early-warning system, enabling people to make better decisions and improve business processes.

ERP not only addresses the current requirements of the company but also provides an opportunity for improvement and refinement in the business process on a continuous process.

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ERP-Order Processing more efficiently

Enterprises Resource Planning (ERP) solution enables the task involved in performing a business process quickly and efficiently.

With ERP, when a customer service representative takes an order from a customer, he or she has all the necessary information to complete the order. Everyone else in the company sees the same computer screen and has access to the single database that holds the customer's new order. As and when a department completes their work with the order, it is automatically routed via the ERP system to the next department for the next process.

The order can be tracked any time of point by any department by logging into the system. The order process moves so quickly through the organization, and customers get their orders faster and with fewer errors than before. ERP can extent that application to the other major business process, such as financial reporting.

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ERP Software for Manufacturer

Manufacturing is defined as the transformation of raw materials into finished goods or product for sale by using machines and processing systems. In order to manage manufacturing processes, a software based production, purchasing, shipment planning and inventory control system called Manufacturing Requirements Planning (MRP), has been developed. From this system, Manufacturing Resource Planning (MRP II), a method for the effective planning of all resources like men, machine and materials of a manufacturing company, has been derived. And from MRP II, Enterprise Resource Planning (ERP) has evolved.

ERP integrate all the business functions into one database. It supports business organization needs and improves the business processes including strategic planning, management control and operational control. It also operates across functional departments and their particular activities. Cross functional activity is very important part of ERP. It reduces paper work and job completion time with full control.

ERP for Process Manufacturing

If your manufacturing is process based, you must focus on few things before selection of an ERP. ERP must be made for process based manufacturing. Production part should be the strongest part of the ERP. It should be easy to implement and configure with less or no customization. Linking of manufacturing with inventory, subcontracting, purchase and other modules should be good and effective.

After implementing the process based ERP, your manufacturing process will give you the optimum results. You can improve your manufacturing process to make it more effective. It will save your precious time and improve your production capacity with better control on inventory, subcontracting and planning. Organization can take all decisions on the basis of information not on assumptions or predictions. All reports will be online, on a click of button you will get information of raw material, WIP reports, material lying in which process, material required by particular process at what time etc.

ERP stands for Enterprise Resource Planning

ERP stands for Enterprise Resource Planning. ERP is a way to integrate the data and processes of an organization into one single system. Usually ERP systems will have many components including hardware and software, in order to achieve integration, most ERP systems use a unified database to store data for various functions found throughout the organization.

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Keeping ERP Project Management Simple

How do you keep track of what’s going on with your ERP software project on both a day to day and long term basis.

Have a Weekly Team Status Meeting

Like most everyone else, I hate meetings. However, the best way that I have found to manage “next actions” or current tasks is a well run ERP status meeting.

I recommend that the meeting:
• Happens every week without fail.
• Be started on time.
• Occurs early in the week – preferably on Monday morning.
• Be documented in Word or Excel and made easily available to everyone concerned.
• Take no more than one hour – shoot for 30 minutes.

This meeting can hold the team together, allow for efficient communication and keep things moving forward.

Coupled with a periodic project plan update, you can invest a minimal amount of time in project and task management and be confident that you know what’s going on with the project.

Why ERP implementation can be Failed-Part 3

3.No Change Control – Business change is happening at a faster rate than ever before. So it is not realistic to expect no change in requirements while an ERP system is being implemented. Uncontrolled changes will play a havoc to an ERP system and will cause many project failures. So control change and be practical.

Why ERP implementation can be Failed-Part 2

Point 2.Poor Requirements Definition – Too often, ERP projects have high level of users' requirements. This has led to cases where IT developers, having to input requirement from the users, build only what they believe is needed and correct by themself, without having any real knowledge of the logical and actual business processes flow. when the system is up and delivered, users say it does not feed what they want or to support the business need. so, to those user really want a successfull ERP implementation, please understand your business processes and discuss with your team before getting the software developers to build ya. Thank you very much for your co operation. Cheers

Why ERP implementation can be Failed-Part 1

Thru our experiemce there are multiple reasons why ERP implementation can be failed as new systems are deployed into the companies. i see there are poor leadership and lack of project manager experience and also lack of ERP knowledge for certain user.

Point 1.Lack of User Involvement – Without user involvement nobody in the business feels committed to the ERP system, Users need to get themself to be involved from the start of the project , and continuously throughout the development until the end. This requires time and effort which sometimes is not high on an organizations priority. to me 100% user commitment is very important especially in the initially project kick off.

Implements ERP for your enterprise

In order to touch the ERP benefit realization

firstly you need to know the situation of business before implementing ERP system:

Manual business processes.
Long time preparing the analytical reports.
Difficult to get the needed information at the right time.
Lack of financial controls.
Multiple source of data.

Secondly you need to know the situation of business after implementing ERP system:
Automated business processes.
Instant access to the analytical reports.
Get the needed information at the right time.
Effective tool for financial controls.
Single source of data.

Improve management decisions.
Ease of expansion and growth.
Best practices & proven methodologies are included.

Welcome to my erp Blog

Hi my name is vivienne, thank you for visiting my erp Blog. in this blog i m going to share with you how to implement the erp system to your organization.This blog used to give the visitors more information about the ERP history and how's the erp systems works