IN THE NEW PARADIGMS OF BUSINESS MANAGEMENT ENTERPRISE RESOURCE PLANNING What is ERP? B u s i n e s s C h a l l e n g e s To d a y Why purchase an ERP solution ? I n t w a y Wo r l d C o r p o r a t i o n The consequences of ERP on companies. The implementation method The effect of an implementation ERP contribution to the way companies are managed The place of ERP in the new management practices. Key success factors What is ERP? ERP-Enterprise Resource Planning system is a system resource management of the enterprise. Integration of the financial information The given system provides a transparency and accuracy. For example, there is assessment of works of the company, creation of financial reports or charge of the salary. Integration of the information on orders In this case, the system allows to trace easier the order and to coordinate manufacture, warehousing and shipment in all divisions simultaneously. Standardizing and acceleration of process of manufacture Standardization of processes and using of the uniform integrated system, it is allows to save time and increases productivity. Business Challenges Today W h a t c u s to m e r s a re te l l i n g u s… “Help me cut costs.” “I need to adapt to changing business conditions.” “We need to access information to make better decisions.” “My business needs to be secure, available and protected.” “We must achieve stated business results.” Reduction of warehouse stocks ERP - system promotes more effective course of production on the one hand, and improves process of execution of the order inside of the company, with another. Standardizing information about personnel The companies having big quantity of the employees, very often have no uniform technique of tracking of working hours of the personnel. ERP - system allows to correct the given situation. Why purchase an ERP solution ? What organizations wanted to do in priority The period 1990 – 1995 The period 1995 – 1998 Additional modules ERP/EDI solutions Customer Management The period 1999 – 2000 Reengineering Cost reduction Process streamlining Logistics and Production centered management centered applications Year 2000 transition Euro transition Internet solutions with all that starts with an <e> Supply Chain management Customer Relationship Management Intway World Corporation BUSINESS ACTIVITIES INVESTMENT AND BUSINESS INSTRUMENTS Real Estate Market Stock Exchange Market Internet and E-commerce Real Estate Market Average profit of private investments in the real estate market is from 20% up to 100% annually Price growth for real estate in some countries with well-known resorts is about 120-150 a year In 5 month after the start of the mortgage program in INTWAY, the first partners besame the owners of their new apartments In 2006 the number of customers who purchased real estate with a purpose of investing was 30% of the total amount of real estate . Stock Exchange Market Minimum amount to enter stock trading platform - $0.01 Minimum commissions for transactions Perfect for beginners and professionals Learn how to invest by easy plan High income with minimum risk Investment platform of the latest generation Internet E-commerce • A n n u a l m a r ke t t u r n ove r i n t h e e - co m m e rce b u i s n e s s i s m o re t h a n $ 3 , 5 t r i l l i o n s . • H a l f o f t h e m o s t r i c h p e o p l e o f t h e wo r l d yo u n ge r t h a n 4 0 , , m a d e t h e i r f o r t u n e t h a n k s t o co m p u t e r s . • G row t h o f vo l u m e o f p ro f i t s i n t h e i n t e r n e t m a r ke t i n t h e co m i n g 4 ye a r s w i l l b e 1 5 5 % • T h e re a re a b o u t e 1 b i l l i o n o f i n t e r n e t u s e r s t o d ay. Eve r y d ay t h i s n u m b e r i n c re a s e s o n ave ra ge b y 2 0 0 0 0 0 p e o p l e . The consequences of ERP on companies . On the work of individuals. On the management practices. The implementation method •Tr a i n i n g •S u r v e y q u e s t i o n n a i r e •C o n f e r e n c e R o o m P i l o t •D i f f i c u l t i e s •C o n v e r s i o n •P r o b l e m s o l v i n g •I n t e r f a c e •U s e r t r a i n i n g •P a r a m e t e r i n g •v a r i a t i o n •G o i n g l i v e •Te s t i n g The effect of an implementation Some consequences of an ERP implementation Unifying around a New professions company project Coming up Breaking down Of barriers People loosing their reference points ERP Relational changes between customer, suppliers, partners and intermediaries Professions which are disappearing Changes in power ERP contribution to the way companies are managed. What are the real contributions of ERP to the company ? In what way is ERP the foundation on which an Electronic Commerce solution can be built ? The place of ERP in the new management practices. E- Commerce as a resulting set of E- Business by integrating an organization’s key applications and extending them to suppliers and customers SCM Supply Chain Management Supplier ERP Enterprise Resource Management E- Commerce CRM Customer Relationship Management Organization Customer CLUB SYSTEM Typ e s o f c l u b e v e n t s Business presentations and briefings Trainings, schools and workshops Team meetings and consultations Team playing and command events Support in business development from ERP Team Professional growth thanks to the access to corporate Knowledge Base Realization of unique talents, exchange experience in the team of professionals Legal and financial support from the Corporation to club leaders Save money – special discounts for club members Key success factors T o p M a n a g e m e n t I dentify a P r o j e c t S p o n s o r Ensure a strong management commitment Identify a Project Coordinator Have and communicate a clear vision Federate around a strong business case Allow even encourage a revamp of existing structures and methods where appropriate Conclusion S t ra t e g y Interest Q u a l i t y o f t h e d o n e wo r k Reputation F u t u r e s u cce s s Information Responsibility Thanks RAFİK MUSAEV