A SUMMARISED INSIGHT TO WHAT I FEEL

ERP IS AND ITS USE IN GARMENT

INDUSTRY.

Enterprise
Resource
Planning
Assignment 1
Shubhi Srivastava
BFT-6

Shubhi
What is ERP?
(techtarget.com)

ERP, or Enterprise resource planning, is business process management and integration

software that allows an organization to use a disciplined system of integrated applications
to manage the business and automate many back office functions related to technology,
services, financial, supply chain, manufacturing, operations, reporting and human resources
activities and other modules of ERP. Thus, in short, IT FACILITATES FLOW OF INFORMATION.

The main attribute of all ERP systems is a shared database that supports multiple functions
used by different business units and departments. In real time activity, this means that
employees in different divisionsfor example, marketing and salescan rely on the same
information for their specific needs. ERP software systems are built to collect and organize
data from various levels of an organization as well as its departments to provide
management with insight into KPIs during the actual process is going on.

WHY ERP AND ITS USE IN GARMENT

INDUSTRY
(http://technosoftwares.com)

As we just read, ERP is used by an organization to manage the office and automate the
business functions. These system make the data easily accessible and more usable in
terms or organization of files.
Even in the GARMENT INDUSTRY, it is used in many disciples as follows:
o This allows accurate planning by the company and have result oriented approach, to
understand what products or styles would befit the customers.
o The company can also schedule the daily activities with the help of ERP software
solutions. It also helps in managing the finances well, so a garment company can manage
floor activities or sewing line timetables per day as per the styles.
o These software play a very crucial role in the development of a company as it can help
different departments like cutting and sewing.
o They help in managing the records of the employees and allow the employer to plan the
growth accordingly for incentives related to styles or in programs such as per piece
salaries.
o This also allows the company to have fluent communication with the clients making work
easy for the merchandisers and marketing teams.
o It is a very cost effective system and the benefits are always greater than investment. This
helps in long-term planning and management to set the garment company goals, future
ventures etc.
o This eliminates the need of multiple management software. It helps to integrate the
interaction between marketing, sales, quality control, product processes, supply lines,
stocks, human resource module, customer relationship management, information
technology, and many other functions in a single database and thus increases
accessibility.
o It reduces the chances of typing errors and re-entry and gives a proper place for storage
of information.
o Enables the company to use a single software and maintain one database for the whole
company.

For a garment companys inventory management, it is also important to look at materials

maintenance. Enterprise Resource Planning will allow a company to successfully
automate the process of buying materials and maintaining them. There are modules that
track the supplies that are purchased and can also make calculations about how these
materials should be distributed. It also becomes possible for a company to predict the
demand of the market based on history, economic statistics, and data from their
employees. They can even decide when a product should be produced, and they can do
this based on the raw material that is available and what trends are there in the market.

History
(Netsuit.com) and Self made diagram
As a result, companies of all sizes and a wide range of industries are transitioning to cloud
ERP systems. In fact, Forrester predicts that SaaS-based ERP adoption will rise 21 percent
annually through 2017. If you stop to consider the benefits of ERP, it's easy to see why it's
become so popular and why its use will continue to grow so rapidly.

TYPES
(aptean.com)

ERP solutions can be categorized in a number of different waysby the size of the solution
or the market share of the supplier; by the specific vertical industry that the system is
designed to support; or according to the technology platform it runs on.

BY SIZE
The two 800 pound gorillas of ERP system examples are SAP and Oracle, with the most
market sharebetween the two taking in about half of the total dollars spent on ERP. Next
in line, and there are differing opinions about actual revenue and relative position, are
Microsoft (Dynamics GP and Dynamics AX), Infor (SyteLine, VISUAL, and a number of other
solutions), CDC, Epicor, IFS, QAD, Consona, and many more.

BY TECHNOLOGY
In years past, there used to be a significant division in ERP solutions based on the operating
environment (hardware / operating system / database) in which they functioned. Much of
that distinction has disappeared or become irrelevant with the near universal adoption of
web-based architecture and Windows or browser presentation layer and user interface.
Nevertheless, ERP solutions can be categorized by server platform and database, although
many solutions can be implemented in several environments.

For example, there are versions of SAPs products that operate on mainframe systems,
UNIX or Windows/Intel platforms. Many of Infors products use the IBM Systemi (AS/400)
platform and integral DB2 database (Infor XA, Infor LX, Infor Prism, Infor System21) but
other Infor products reside on WinTel platforms (VISUAL, Syteline).

Probably the most significant technology differentiator is database system but here again
many products will work with a choice of databases, most often Oracle or SQLServer
(Microsoft).

BY INDUSTRY
Initially, ERP evolved in support of the side of manufacturing that has companies that deal
with hard goods fabricated and assembled from individual parts. The process side of
manufacturing, working with materials and products that are or contain liquids and powders
(materials and products that pour) felt left out and eventually got their own ERP solutions
specifically designed to support their needs. More recently, discrete-oriented ERP solutions
continue to add process capabilities. Examples of process industry solutions include Infor
Prism and CDC Ross ERP.

Specific industries benefit from ERP solutions designed to support industry-specific needs.
On the basis of basic categorisation level, we have:
Industry Specific ERP
ERP systems for large corporations are often built from the ground up to suit the
organization's specific and unique needs. For a small business like yours, an off-the-shelf
model will work fine. Most are grouped into three categories to service manufacturing,
finance or logistics based companies.
Web-Based ERP
ERP programs tend to be complex, requiring high-end computers to run them. However,
instead of purchasing the software to run on your computer in your office, many suppliers
offer Software as a Service, or SaaS. In this case, you pay a subscription to access the
software and your data over the internet. Because the program is running on a remote
server, you are free to access it from anywhere you have an Internet connection.
Small Business ERP
Although ERP systems can cover everything from supply chain management to accounting
solutions as well as customer relations management, your business may not need to
automate all these functions. Therefore, software developers offer scaled-down models at a
lower, more cost-effective price. For instance, your operation may work fine with a system
that offers sales and order management, but leaves out the module for warehouse
management.

IMPLEMENTATION STRATEGIES
(Dunway-Erp implementations and Strategies)

1. Big Bang: Just as the name implies, big bang can be described as a strategy to
implement all enterprise functionality and ERP modules in a single instance as a
major event (Mabert et al., 2003). All users move to the new system at a determined
date, and are implemented across the entire organization at once during a planned
go-live event. This can be a large implementation across multiple countries, multiple
business divisions or product lines, and generally affects the entire organization.
After implementation activities have been successfully executed, and lights out on
the old system is achieved ; the new ERP system is launched.
2. Mini Big Bang: This entails a series of mini-bangs that affect logical functions of
the business. One example uses the mini-bang methodology to deploy the ERP
system division-by-division, where each division of a company uses a Big Bang to
migrate to the new ERP system for manufacturing plant operations.
3. Phased-Rollout Strategy The phased-rollout strategy encompasses
implementation of the ERP system that occurs in small increments over phases for
longer periods of time. Users move onto the new systems in a series of planned
steps. The idea is that project teams are allowed to take their time in the planning,
business process mapping, customization, and testing of the system while continuing
with day-to-day job responsibilities.
4. Phased Rollout by Module: The phased rollout by module is the most common
phased rollout strategy. The structure of the ERP system is modular in nature, where
each application module automates the processes within certain functions of the
business. Common ERP application modules include accounts payable, purchasing,
student enrollment, general ledger, inventory, and benefits administration.

MODULES IN ERP
BUSINESS FUNCTION
o Manufacturing

o Sales & Marketing

o Service & Support

o Supply Chain

o Finance & Administration

APPLICATION
o Customer Relationship Management

o Enterprise Resource Planning

o Manufacturing Execution

o Supply Chain Management

o Complaints Management

o Business Intelligence

o Data Integration & Monitoring

o IT Risk Mitigation And Sustainability

o Hospital Patient Flow And Compliance & Education

o Enterprise Asset Management

o Public Safety EForms

ERP modules can help an organization's administrators monitor and manage supply chain,
procurement, inventory, finance, product lifecycle, projects, human resources, customer
relationship management, business intelligence and other mission-critical components of a
business through a series of interconnected executive dashboards.

In order for an ERP software deployment to be useful, however, it needs to integrate with
other software systems the organization uses. For this reason, deployment of a new ERP
system in-house can involve considerable business process re-engineering, employee
retraining and back-end information technology support for database integration, data
analytics and ad hoc reporting.

LATEST TECHNOLOGIES AND TRENDS

(http://www.webopedia.com)

Although slow developing, last two years have shown trends which are fundamentally
shifting the entire area. The following new and continuing trends affect enterprise ERP
software:
1. Mobile ERP
Executives and employees want real-time access to information, regardless of where they
are. It is expected that businesses will embrace mobile ERP for the reports, dashboards and
to conduct key business processes.
2. Cloud ERP
The cloud has been advancing steadily into the enterprise for some time, but many ERP
users have been reluctant to place data cloud. Those reservations have gradually been
evaporating, however, as the advantages of the cloud become apparent.
3. Social ERP
There has been much hype around social media and how important or not it is to add
to ERP systems. Certainly, vendors have been quick to seize the initiative, adding social
media packages to their ERP systems with much fanfare. But some wonder if there is really
much gain to be had by integrating social media with ERP.
4. Two-tier ERP
Enterprises once attempted to build an all-encompassing ERP system to take care of every
aspect of organizational systems. But some expensive failures have gradually brought about
a change in strategy adopting two tiers of ERP.

MAIN ERP VENDORS

(http://www.webopedia.com/TERM/E/ERP.html)

Depending on your organization's size and needs there are a number of enterprise resource
planning software vendors to choose from in the large enterprise, mid-market and the small
business ERP market.
Large Enterprise ERP (ERP Tier I): The ERP market for large enterprises is dominated by
three companies: SAP, Oracle and Microsoft. (Source: EnterpriseAppsToday; Enterprise ERP
Buyer's Guide: SAP, Oracle and Microsoft; Drew Robb)
Mid Market ERP (ERP Tier II): For the midmarket vendors include Infor, QAD, Lawson,
Epicor, Sage and IFS. (Source: EnterpriseAppsToday; Midmarket ERP Buyer's Guide; Drew
Robb)
Small Business ERP (ERP Tier III): Exact Globe, Syspro, NetSuite, Visibility, Consona, CDC
Software and Activant Solutions round out the ERP vendors for small businesses. (Source:
EnterpriseAppsToday; ERP Buyer's Guide for Small Businesses; Drew Robb)