Erp presales
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1) The document proposes implementing SAP ERP software at Hindustan Petroleum Corporation Limited (HPCL) to address issues related to employee management, human rights, competition and inefficiencies. 2) SAP is a leading ERP software that offers integrated modules covering all business functions, unlike other systems. It provides industry-specific solutions and continuously innovates its architecture. 3) Implementing SAP at HPCL would involve key modules like financial accounting, materials management, production planning, sales and distribution, and human resources to streamline processes and reduce costs.
Erp presales
- 1. ERP POPOSAL FOR HPCL-SAP Group Vivek Srivastava Meethu Mohan Kalyan Prasad Prabhu P Reema G
- 2. HISTORY OF SAP Systems Applications and Products in Data Processing Founded in 1972 by Wellenreuther, Hopp, Hector, Plattner and Tschira Re named in 1977 Before 1977 : Systems Analysis and Program Development (German : Systemanalyse und Programmentwicklung) SAP is both the name of the Company as well as their ERP Product SAP system comprises of a number of fully integrated modules, which covers virtually every aspect of the business Three systems developed : R/1, R/2, R/3
- 3. ABOUT HPCL Hindustan Petroleum Corporation Limited (HPCL), whose roots go back to 1952, is today operational in the oil refinery and LPG distribution space. A Fortune 500 company, HPCL recorded an annual turnover of over Rs 91,448 crores for the financial year ended March 2007. Currently, the company enjoys a 16 percent refining and marketing share in India and a strong market infrastructure. 2 Refinaries : 3 Million Metric Tonnes per annum 80 regional Offices, 20 terminals, 120 Depots, 8900 retail outlets
- 4. OPERATIONAL AREA OF HPCL 1) Financial accounting (FI) 2) Asset management (AM) 3) Materials management (MM) 4) Sales and Distribution (SD) 5) Production Planning (PP) 6) Quality management (QM) 7) Plant maintenance (PM) & Customer Service (CS) 8) Human resources (HR)
- 5. CURRENT SITUATION 1.Issue in Employee management 2.Human right issues, rehabilitation issues 3.High Competition from other players Bharat Petroleum IOCL Reliance Industries ONGC 4.Improper pricing mechanism 5.Reducing income constraining further investments 6.Increasing competition from private as well as other PSUs 7.Inefficiencies in retailing outlets leading to loss of customer satisfaction
- 6. SO WHAT NEXT.... SOLUTION To Problems ELSE
- 7. WHY SAP(HOW DIFFER FROM OTHER ERP) 1. Vast array of modules, with huge spectrum of functionalities which ARE NOT PROVIDED by other ERP applications. 2. Specific functionalities which are core competencies of SAP while they are not available in other ERP applications, makes it an obvious choice for some specific industries. Eg. Variant configuration and Automobile industry. 3.SAP knowing the demand for special processes for each industry has come up with industry specific solutions which are unheard of from other applications. 4. Not only on the functionality side, but also on the system architecture and landscape SAP is innovating day by day from R2 to R3 to ECC to SOA, to adopt to the business needs, thus adding immense value to the customers. 5. SAP also gets complimented by most ubiquitous office applications of MS namely MSWord. 6. Also SAP's market share gives some certainty of business and hence it is much better than any other smaller ERP applications in terms of career prospects.
- 8. BENEFITS OF SAP ERP SAP ERP delivers a comprehensive set of integrated, cross-functional business processes. With SAP ERP, you can gain the following benefits: Improve alignment of strategies and operations Improve productivity and insight Reduce costs through increased flexibility Support changing industry requirements Reduce risk Improve financial management and corporate governance Optimize IT spending Gain higher ROI faster Retain top performers Provide immediate access to enterprise information
- 9. PROPOSED SAP MODULES SD – Sales and FI – Financial Distribution Accounting MM – Materials SD FI CO – Controlling Management PP – Production MM CO AM – Asset Management Planning PP AM SAP R/3 QM HR QM – Quality HR – Human Resources Management PM WF PM – Plant Maintenance WF – Workflow WM – Warehouse WM PS PS – Project System Management
- 10. Module Functionalities for HPCL MM PP SD Material Procurement BOM/Work Center/Routing Inquiry processing Inventory Management MRP Sales Order Processing Batch Management Capacity Evaluations Delivery Processing Goods inspection Production Orders Billing Invoice Verification QM in production FI CO General Ledger Cost Center Accounting Accounts Payable Product Costing Accounts receivable Order Contribution Analysis Cash management
- 11. SALES AND DISTRIBUTION PROCESSING MATERIALS MANAGEMENT
- 12. Sales Order Process (Order-to-Cash) Sales Order Check Entry Availability Pick Materials Receipt of Pack Customer Payment Materials Invoice Customer Post Goods Issue
- 13. Procurement Process (Procure-to-Pay) Purchase Purchase Requisition Order Notify Vendor Payment to Vendor Vendor Shipment Invoice Receipt Goods Receipt
- 14. MATERIALS MANAGEMENT BASIC DATA PURCHASING Third-party SD Material Purchase requisition order Special stock MRP Batch Direct requisition Release procedures PP Requirements Purchasing information system Vendor/one-time customer RFQ/Quotation Material/service PM Service/ Purchasing Vendor evaluation Price comparisons Spare Parts info record Price comparison list Service / Service Purchasing QM spare parts lot Inspection specifications Purchase orders Outline agreements G/L accounts Workflow Scheduling agreements FI Cash management and forecast Optical archive INVENTORY MANAGEMENT Texts Goods receipt/issue AM Fixed assets Transfer posting Mail Quantities and values Communication Physical inventory Cost center / Storage bins CO Classification Budget Documents INVOICE VERIFICATION Check and post PS Project Conditions Price update
- 15. PRODUCTION PLANNING SD PP PS SD Sales and Operations Project Planning Networks Customers Demand management / SD MPS PM SD Sales Material requirements Maintenance Shipping planning Repairs Billing Plant maintenance Detailed Schedeling and Planning Vendors MM SD Capacity planning QM SD Purchasing Shop floor control Inbound Raw Warehouse Costing Material Invoice Information system verification Finished Goods FI CO HR Financial Cost Human accounting accounting resources
- 16. Module PS – Project System & HR – Human Resource • PS – Project Systems • Support planning, control, & monitoring of long term highly complex projects with defined goals • Key elements • Project WBS – Plan • Budget & Monitor • Network Management • Activity monitoring, Material Planning, Milestones, Capacities Scheduling • Project Management Information System • HR – Human Resource • Key elements • Recruitment • Payroll & Time management • Travel Expense accounting & Benefits • Workforce planning & Training administration • Organization management