ACC 444 Flashcards
5 types of customisations (RICEF)
Reports Interfaces- connect 2 or more systems Conversions- helps data migration Enhancements- add to standard code Forms- technical development
Modifications
Fundamentally change software, changes to core code
Customer exits
Predefined breaks in code where customer can insert custom programming
Bolt on
Third party software package that can be bolted on to ERP system
Conference room pilots
Server installed early on to allow team to practice business tasks
Data migration
Moving master and transaction data from legacy to new ERP system
Data migration procedures
Data extraction Data collection Data cleansing- changing format Data harmonisation- standardising Data loading
Categories of testing quality
Progress- how much completed
Coverage- what percentage done
Defects
Phased implementation
Slowest method, rolls out ERP system by module or unit, low risk
Big Bang implementation strategy
Rolls all modules at the same time
Parallel implementation
Legacy and ERP system run together for some time after go live, saves legacy just in case
Risk management
Identifying potential events that can negatively impact company and managing them
Center of Excellence
Comprises people from the original project team, continually improve the ERP system
explicit knowledge
knowledge that can be written down
tacit knowledge
knowledge that has to be experienced
systems triangle
people, processes, technology
enterprise resource planning
business systems that integrate and streamline data into one complete system that supports the needs of the entire enterprise.
business process
a collection of activities that together add value
2 types of business processes
Perform order management
Procure materials and services
modules
groups of related programs performing a major function in the system, ex. accounting
Core ERP
modules for financials, human capital management, and logistics
vertical solutions
industry solutions of finding best practices to customers by offering specific versions of their software
materials requirements planning systems
software developed in the 1970’s used by manufacturing companies to plan production and calculate what materials are required
manufacturing resource planning systems (MRP II)
developed in 1980’s, solutions that provide an integrated method of operation and financial planning for manufacturing companies
inventory and management control
1960’s, manufacturers used inventory management and control packages to manage inventory
Tier 1 ERP vendors
multinational corporations with 1000+ employees
Revenues $1 billion +
SAP, Oracle, Microsoft
Tier 2 ERP vendors
250 to 1000 employees
$50 million to $1 billion in revenue
Workday, Lawson, Net Suite
Tier 3 ERP vendors
$10 million to $50 million in revenue
Fewer than 250 employees
Industry specific solutions
Quickbooks, Peachtree
best of breed
approach to ERP implementation that mixes and matches modules from various enterprise software vendors
entity integrity rule
requires that every record in a table contains a unique identifier
referential integrity rule
requirement that foreign keys must be null or have a value corresponding to the value of a primary key in another table
mainframe architecture
all computing intelligence resides on a central host computer that processes data a displays output on dummy terminals
fat client server
user interface/presentation and program/business logic on the client side, database on the server side
thin client server
user interface/presentation on client side, program business logic and database on the server side
database normalization
process that involves eliminating redundant data, goal is to isolate data and have additions, deletions, and modifications in one table
first normal form 1NF
all records contain same # of fields, no repeating groups, no field can have multiple values
second normal form 2NF
1NF and all fields refer to a PK value
third normal form 3NF
2NF and every non key field is depended only on PK
customization
process of fitting ERP software to specific needs o organization by adding code to ERP
configuration data
currency, fiscal year. Basic questions to set up the software. easy to configure
master data
name, address, phone #, vendor ID
middleware
software that facilitates sharing data and business logic across systems and requires a certain degree of IT support
ERP system landscape
“layout” of the servers:
development DEV
quality assurance QA
production PRD
development DEV
Where consultants configure and customize the system
Copy production instance to development instance and add things.
quality assurance QA
where project team tests customization and configurations
production PRD
where your users hit, live production system that users will work with
software as a service
delivery model for periodic payments to vendor or service provider for the software
gartner magic quadrant
Quadrant: ability to deliver is y axis. Completeness of solution is x axis
service provier + quadrant
value added activity 3 characteristics
It accomplishes something the customer will pay for
It converts an input to an output
It must be done right the first time
problems with business process engineering
Autonomy authority ambiguity bottlenecks- people don't want to be replaceable cycle time intermediary- more time old way people are used to market research is hard to judge quality issues
business process engineering criteria (pg. 46)
Legal based Cost efficiency Customer satisfaction Standardization Value-added Improve speed
business process re-engineering approaches
Automate- technology and processes. cow path and business process technology
informate- addressing specific roles and responsibilities and changing hiring processes from salary to task completed. Changing someone’s job. Medium cost, high benefits, medium risk. People, technology, processes
Transform- changing business structure. Should only be considered if current process is very bad and is desperately needed or if is very good and can afford it. very high cost, very high benefits, very high risk. Structure, technology, people, processes
business process management
mindset of continuously improving processes
walkthrough
scenario of practicing the new process, step by step demonstration
clean slate reengineering
starting over from scratch and completely redesigning a process. As is > To be
process map
graphical technique that documents inputs, outputs, activities
process map generation methods
self generate- when preparer knows process
one on one interview method- each person involved is interviewed separately, inefficient
Group interview- everyone who is working on the project talks about their part, most effective
process mapping roles
Process map facilitator (ugly baby)- you don’t see your own flaws-external
Process owner- internal manager, completes process steps
Subject matter experts (subject matter expert)- knows the process
process implementor- external, makes recommendations
process evaluator- external, determines new metrics
steering committee
top management, senior consultants, project manager, program manager. ultimate decisions
program manager
governance of all ERP projects, vendor management, change management
project manager
day to day operations, communicates objectives and goals of ERP project
project charter
high level document, scope, high level requirements, high level business case, stakeholder responsibility. Purpose of the project.
scope statement
describe what is included in the project
scope creep
expansion of projects original goals during process
business case
(highest level of commitment)- outlines business need for an ERP system and expected benefits
total cost of ownership
the entire costs that will likely be incurred throughout the project’s implementation and several years after the system goes live
request for information
from vendors, narrow down during and get a short list
request for proposal
sent to short list of vendors so they can indicate what requirements their solution meets
change management steps
start at the top-leader must know what is going on and have reason for doing it
make the formal case
corporate culture
prepare for the unexpected
train the trainer
super users attend training conducted by the vendor
risk management steps
Mitigate- lower probability of something happening
Transfer
Accept
Avoid
