“Who needs an ERP system anyway?”

Nitin Kale kale@usc.edu Information Technology Program, VSoE Spring 2013

Outline •  Why ERP? •  SAP Background •  SAP Architecture •  Integrated Business Process

– Sales •  About ITP/SAP Program

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Sell Music

Sell Macs

Sell iPods/iPhones/

iPads

Manage Vendors

Keep customers

happy

Manage production

Make new products

In 2008, 6.5 million songs were downloaded per day. That is 75 songs per sec!

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NEED: An all-in-one system

SOLUTION: ERP System

ERP - Enterprise Resource Planning •  Enables a company to integrate its

business processes •  Ties together disparate business functions

(integrated business solution) •  Helps the organization run smoothly •  Real-time environment •  Scalable and flexible

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ERP •  Who are the big ERP vendors?

–  SAP, the German juggernaut •  Systeme, Anwendungen, Produkte in der

Datenverarbeitung or •  Systems, Applications, and Products in Data

Processing. –  Oracle/PeopleSoft/J. D. Edwards –  Microsoft Dynamics, aimed at smaller companies

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SAP - World Leader in ERP

•  Founded in 1972, based in Walldorf, Germany

•  The Company’s main product is SAP ECC –  4th largest software vendor worldwide –  12 million users –  >53,000 employees –  >109,000 customers in over 120 countries –  Over 120,000 installations worldwide

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Customers

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Top Software Companies

Softwaretop100.org http://softwaretop100.org

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!ree-Tier Client/Server Environment

Input / Output of data to users

Access to Database: (Read / Write data)

Central Database (Storage / Retrieval of all data)

Database Layer

Application Layer

Presentation Layer

Processing of data using application logic

Presentation of the processed data to the user

Also provides means of balancing load placed on DB server

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!ree-Tier Client/Server Architecture

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USER PCs USER PCs

Application Server

Application Server

Application Server

Application Server

Database Server

SAP Business Modules

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FI Financial Accounting

CO Controlling

PS Project System WF

Workflow IS Industry Solutions

MM Materials Mgmt.

HR Human Resources

SD Sales and Distribution

PP Production Planning

QM Quality Mgmt. PM

Plant Maintenance

SM Service Mgmt.

SAP ERP EC Enterprise Controlling

AM Fixed Assets Mgmt.

Business Modules •  Collections of logically related

transactions within identifiable business functions – Materials Management – MM (“Buy”) – Production Planning – PP (“Make”) – Sales and Distribution – SD (“Sell”) – Financial Accounting & Controlling – FI and

CO (“Track”)

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Sales Process (Order-to-Cash)

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Sales Order Entry

Check Availability

Pick Materials

Pack Materials

Post Goods Issue

Invoice Customer

Receipt of Customer Payment

Why is SAP so important? •  Adopted by most large companies •  Forces a consolidation of diverse Information

Systems •  Total change in doing business

–  Redesign business process around the information system

•  Main vehicle for re-engineering business processes using best practices

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What is our Focus at ITP? •  To understand how best business practices govern an

organization’s operations in a REAL environment •  To use SAP to demonstrate these processes and to

show how information and controls flow among the departments of a company

•  To provide students with highly demanded market skills –  Salary search from dice.com - http://dice.salary.com

•  To keep the University current on emerging technologies and share these technologies with the students

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ERP Analyst

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Plug! •  ITP offers an Enterprise Information

Systems with SAP Specialization (three classes)

•  http://itp.usc.edu/specializations/sap •  Take ITP 320 (4 units) first

– Offered every semester •  Then take two additional classes

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New Minor for 2012-2013! Minor in Enterprise Information Systems (Min 16 units)

• ITP 320 Enterprise Wide Information Systems • ITP 422 Configuring Enterprise Resource Planning Systems • ITP 454 Enterprise Resource Planning, Design, and Implementation

Required Courses (10 units)

• ITP 421 Advanced Programming for Enterprise Information Systems • ITP 455 Enterprise Information Portals • ITP 486 Securing and Auditing Enterprise Resource Planning Systems • ITP 487 Data Warehouses and Business Intelligence • ITP 488 Managing the Supply Chain Using Advanced Planning and

Optimization Tools • ITP 470 Information Technology Practicum

SAP Electives (choose minimum 3 units)

• ISE 382 Database Systems: Concepts, Design and Implementation • BUAD 311 Operations Management • ACCT 371a Introduction to Accounting Systems • ACCT 371b Introduction to Accounting Systems • ACCT 410 Foundations of Accounting • ACCT 478 Accounting Systems Design • IOM 431 Managing the Digital Revolution for your Business • IOM 433 Business Information Systems Analysis and Design • IOM 435 Business Database Systems • PPD 318 Financial Accounting in Public and Nonprofit Organizations

Diversity Electives (choose minimum 3 units)

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GÜNTHER

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