ES Learning Portfolio Najeem Takiyu-Deen PDF

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Summary

T he most important, and indeed the truly unique, contribution of
management in the 20 th century was the fifty-fold increase in the
productivity of the manual worker in manufacturing. The most im-
portant contribution management needs to make in the 21 st century
is similarl...

Description

ES Individual Learning Portfolio HS2021

Contribution to the BSc module “Enterprise Systems”

LEARNING JOURNAL

Duration: 20.10.2021 – 30.11.2021 Author: Najeem TAKIYU-DEEN Course: Enterprise Systems Class: BIT2a Lecturer: Oliver Bally, Pragati Siddhanti

ES Individual Learning Portfolio HS2021

1 Introduction As part of the fulfillment of this module, students are to write a learning journal to reflect on what they learned throughout the session. The objective of this portfolio will be about my reflections on the technical trends and how they affect ERP, how ERP systems support digital Supply Chain Management, and finally how Supplier-Relationship-and CustomerRelationship-Management can be improved by ERP, SRM, and CRM.

1.1 Technical trends and how they affect ERP systems In recent times, there have been frequent changes in the Enterprise Resource Planning (ERP) systems. This is because of technical leaps or achievements especially at the level of cloud computing and mobile devices as a tablet and smartphones, as well as rapid development in social networks. All these make employers think seriously to make the most of the technology. Companies must adapt and overcome these changes to keep or generate a sustainable competitive advantage. This section will therefore explain the latest technological trends that are disrupting and shaping the current market of an ERP system. They include: Trends in Memory: As the race to be the first organization to bring out a new product line, technologies, or even better serve customers increases. There is the need to have a strong processing power or performance level that can process large data efficiently and effectively. As a result, ERPs running or relying on in-memory computing platforms are becoming desirable investments for corporate advancement. They can perform higherlevel analytics in the same database. This makes the detection of patterns in massive data volumes easier. Also, the latest technologies allow the possibility to distinguish between hot, warm, and cold data as shown in the figure below.

ES Individual Learning Portfolio HS2021

Figure 1: Memory Allocation of Data in SAP S4/HANA

Cloud-based and SaaS ERP: One of the major problems for an organization that uses an on-site ERP solution was lack of or inadequate space. Meaning such organizations would have to have their own hardware and infrastructure such as servers and databases somewhere on-site. Due to this challenge of inadequate resources, organizations are following the trend to move their ERP solution into the cloud. The current trends that most companies follow are to subscribe for the cloud services or sometimes both (cloud and on-premises) which is called “Hybrid”. Cloud-based ERP offers flexibility, scalability, and ease for organizations to keep pace with innovation. This makes the ERP-Systems open to integrating Services to their core. Below are some of the reasons why organizations today are following these trends: Cost savings: Cloud technology has a cheaper initial cost than on-premises technology. This is because organizations can share infrastructure and server-side hardware. In fact, it saves corporations a lot of money because they don't have to create it themselves. Faster implementation: Cloud ERP systems are more quickly deployed than onpremises ERP systems. Cloud technology's technological infrastructure can be set up in as little as 24 hours. This allows firms to devote more time to the business aspect of transformation. Change management and business process management necessitate the same amount of time and effort regardless of whether you are adopting cloud or on-premises ERP.

ES Individual Learning Portfolio HS2021

Ability to focus on core competencies: Many firms do not have enough IT workers or cannot afford the same resources and infrastructure as cloud providers. While an organization's IT skills may be adequate, it is not necessarily its primary competency. Cloud technology enables businesses to outsource their IT functions and focus on their core competencies. Retailers, for example, prefer to focus on the customer experience rather than IT maintenance. User Experience (UX) and Mobile ERP: Mobility is no longer a distinguishing quality. It is the norm in today's environment. Apart from the ability to access data on the go, ERP systems must have mobile support as a standard feature. As a result, legacy ERP user interfaces are evolving into richer systems with graphical components that boost user productivity while also allowing for greater personalization. Two-Tier ERP: is a concept in which large and small businesses run two combined systems. It can also be used by businesses with various locations or subsidiaries. This ERP system type is becoming more popular as more businesses seek these solutions. This is related to cloud computing and making ERP systems more accessible to all businesses in general. Businesses today require mobility as a result of a growth in digital transformation and e-commerce. Artificial intelligence (AI): In legacy ERP systems, activities like the creation, processing, and reporting and support the management of business information for organizations, are task that requires human review. With the advancement of AI, more and more of such mundane tasks or functions are executed using AI tools. AI which is also called “machine intelligence,” refers to computers that mimic human cognitive functions, such as problemsolving and learning. AI in ERP is the application of artificial intelligence software and tools to ERP solutions. AI tools used in ERP software include interactive chatbots, intelligent process automation. Now connected to ERP systems, AI helps people make decisions, work faster, not make as many mistakes. It is assisting with the up-front heavy lifting needed in any system to get the right data created. One example of an AI tool used in ERP is conversational bots. It let users talk or text messages with a system to generate orders, enter expense reports, update job status, and confirm a product receipt in the warehouse, among other tasks.

ES Individual Learning Portfolio HS2021

These bots can perform virtually any task that previously required a user to pull up a screen and key the data into the system.

1.2 How ERP Systems support digital Supply Chain Management. Supply chain (SC): is made up of all the enterprises and/or organizational units involved in the creation of a product, from raw materials to completed goods. Ultimately, the supply chain exists to direct the production of goods in order to meet consumer demand. That is, to create value for consumers in the form of products or services. A pictorial view of SC is shown in the figure below

Figure 2: Supply Chain Example

Supply chain management (SCM): SCM is the centralized managemnt of the flow of goods and services, and it encompasses all processes that convert raw materials into finished items. Companies can save costs and deliver items to customers faster by optimizing the supply chain. SCM's ultimate goal is to more efficiently relocate resources so that the correct quantity is at the right place at the right time. Good supply chain management keeps businesses out of the news and away from costly recalls and lawsuits.

ES Individual Learning Portfolio HS2021

Figure 3: Practical Supply Chain Example Digital Supply Chain Management (DSCM): Simply means supply chain management with an added layer of digital technologies. That is to say, managing the digital aspects of the physical supply chain from raw material up to the end customer. It becomes more important to integrate DSCM as the operations of organizations become more extensive and globalized. From the descriptions above, it is easy to see how similar ERP and DSCM systems are. Both systems bring integrative functionalities to the organization of business operations. At the same one can see the definition of DSCM supports the role of ERP systems by connecting the ERP systems of different players together. DCSM is supported by ERP solutions that connect several modes, such as make-to-order, engineer-to-order, and configure-to-order and give real-time operations support across multiple sites. As a result, firms can prevent disruptions in their supply chains. ERP systems support DSCM in the following situations: Demand and planning: When orders are received, a supply chain management ERP system can automatically create demand. By allowing for more effective work scheduling, ERP enhances supply chain management. As a result, organizations can observe which resources are being used and which are not in real-time. This helps them plan product delivery dates. ERP ensures that production policies are in sync with demand, that replenishment is performed on schedule, and that inventory is kept to a minimum. Procurement: An ERP designed for SCM provides a more efficient approach to managing the acquisition and supply of goods, services, and other resources along the supply chain. ERP solutions handle all aspects of the supply chain, from handling manufacturing and warehouse resources to controlling transportation and execution processes. Several manual processes, such as negotiating with vendors and suppliers and keeping track of communications, can be easily automated using ERP.

ES Individual Learning Portfolio HS2021

Production: The ERP system allows businesses to create a bill of materials (BOM) for each item. It helps create all records for machine and labor resources after production starts and is updated in real-time. For proper SCM, all shipping documentation is documented through the ERP system, avoiding errors caused by manual processes. The system can ensure that things are shipped out on time and delivered on time. Shipment: When an item is shipped, the ERP software can generate an invoice, which must then be submitted to the customer. An ERP system aids in the maintenance of a central repository for customer shipments and all delivery details in order to ensure that things are delivered on time.

1.3 How Supplier-Relationship- and Customer-RelationshipManagement can be improved by ERP, CRM, and SRM Though ERP's prime function is to integrate all aspects of the business, which includes planning, manufacturing, sales, and marketing, good business still rests on human interaction. By regularly interacting with your suppliers and customers can help build a longlasting and mutually beneficial relationship. Having a proper and responsive supply chain can help an organization become a truly lean and agile firm that can respond swiftly to changes in the marketplace. That is to say, having suppliers, and then having a good relationship with them can be two different things and make a big difference to business operations. To appreciate how supplier and customer relations can be improved, it is important to understand what CRM and SRM mean. CRM is a customer-focused business approach designed to optimize profitability, revenue, and customer reliability. CRM process provides the structure for how the associations with customers will be developed and maintained. Successful management of the customer experience certainly begins with Sales but includes touchpoints throughout the order cycle. The main objective is to give the entire organization a complete view of the customer, no matter where the information resides. SRM on the other hand provides the structure for how relationships with suppliers will be developed and maintained. Just as a company needs to develop relationships with its customers, it also needs to promote relationships with its suppliers. Secure relationships are developed with a small subset of suppliers based on the value that they provide to the organization over time, and more traditional relationships are maintained with the others. Now that we have understood the above concepts, the following are ways they can improve supplier and customer-relationship. More sharable and auditable control systems: An ERP system provides you with shareable data to improve supply arrangements and monitor performance. If a supplier or a customer requests information from you, you are able to use your ERP business management capabilities to provide a quicker response and keep a log of all communications. Clarity and control: Good supplier relationships necessitate a certain amount of transparency. An integrated system will not only help you build a strong supply chain, but also a lean and agile business. A well-implemented and connected ERP software will balance your sales demand, purchasing operations, and inventory control with your suppliers' capabilities and capacities. It enables more honest interactions and greater knowledge of both parties' business needs.

ES Individual Learning Portfolio HS2021

Time-saving initiatives: Improving and automating processes can save time, increase productivity and improve relationships. ERP solutions can assist in automating tasks, making processes swifter and more streamlined for both sides of the partnership. Everyone benefits from increased productivity: Increased productivity means better resource use, cost savings, and possible business growth. Growth means more stock purchases from your supply chain - and what supplier can argue with the prospect of increased sales? In the end, supply chain management is about relationship management. A supply chain is managed; link-by-link, relationship-by-relationship, and the organizations that handle these relationships best will win. The links in the chain are formed by the customer relationship management (CRM) process of the seller organization and the supplier relationship management process of the buyer organization.

ES Individual Learning Portfolio HS2021

2 References: 6 Reasons Organizations Implement Cloud ERP. Retrieved 26 November 2021 from: https://www.panorama-consulting.com/6-benefits-of-cloud-erp/ Davenport, T. (1998) "Putting the Enterprise into the Enterprise System", Harvard Business Review. ERP for Supply Chain Management. https://www1.deskera.com/erp-for-supply-chainmanagement Retrieved 29 November 2021 Rashid et al. (2001): The Evolution of ERP Systems: A Historical Perspective, 2002. In: Nah, F. (2001): Enterprise Resource Planning: Solutions and Management: Solutions and Management. Uwizeyemungu, S.; Raymond, L. (2004): Essential characteristics of an ERP System: Conceptualization and Operationalization. In: Journal of information and organizational sciences, Volume 29, Number 2 (2005). (Note: Received: 30 September 2004 / Accepted for the Journal: 27 October 2005)....