A developers view of ERP

A fascinating article on the design and functionality of an ERP system from a different perspective:

“… The task of IT is to begin building systems on a new foundation, using a new kind of blueprint. First, adopt the following rule: Business processes define database table relationships; database table configurations drive application components; applications drive interface development.

This hierarchy is powerful and effective, as long as you stick to it. Break away, and start redefining database tables to serve apps, or basing apps on interfaces (two long-standing standards from the old days), and your ERP framework will not bear the weight of it long. …

If your company is going ERP, then there are probably several driving forces behind the decision, possibly including: the need to increase supply chain efficiency; the need to increase customer access to products or services; the need to reduce operating costs; the need to respond more rapidly and flexibly to a changing marketplace; and the need to extract business intelligence from data over time.

All of this is fine for the decision-makers, but what does it mean to you as a developer? To achieve senior management’s objectives above, IT needs to make the following things happen:…:

Read more about ERP from a Develops point of view here.

ERP for the little guy

Chris Shaul

Most of the news and information you hear on the web or read in print about ERP relates to SAP, Oracle and other large systems. There is a derth of information on ERP for the small shop or for the under 10 million dollar manufacturer. What then do people do when they have graduated from Peachtree or Quickbooks? Is it possible to get a complete integrated system that manages their entire operations and finance areas?

Well fortunately, there are a few solutions that will not break the bank and will provide end-to-end functionality for a small manufacturer or distributor. These softwares are surprisingly complete. In fact, there are often features and functionality that beat the main-stream big systems.

One such system is called IntegrateIT This system provides a well rounded set of features that allow the small manufacturer the ability to run the company with a complete understanding of what is in inventory, what am I making today, what should I buy today, where is my cash position and am I profitable? Surprisingly, this software has modules that many larger ERP systems do not have, such as Field Service. It is amazing the amount of power that these smaller systems have. This link is one such example of how this system saved a company thousands of dollars.

Another solution is DBA Software. Having gone through a major rewrite of their core solution, they are both complete in functionality and have a very current underpinning of technology. This solution provides a very easy to use system for the smaller firm.

What makes these systems perfect for the smaller enterprise? The fact that they get more done with fewer screens. On a mid-tier solution, there maybe 2 to 5 screens needed to process a transaction such as entering a voucher or creating a work order. These smaller solutions tend to do it in one to two screens with all the information you need at your fingertips. The idea is that in larger companies, there is a delegation of work. In the smaller company, you may have one person wearing many hats and they need efficiency in transaction processing.

So the when you are thinking of integrated software solutions, remember that big isn’t necessarily an answer. Amazing things often come in small packages.

Chris Shaul is a Sr. IT Consultant and specializes about ERP selections and implementations.

The Shrinking Landscape of ERP

Chris Shaul

Now that Oracle has gobbled up its competitors, Peoplesoft and JD Edwards, and has aquired Seibel CRM, there is a shrinking landscape of Tier 1 vendors available in the marketplace. It used to be the old JBOPS (JD Edwards, Baan, Oracle, Peoplesoft, and SAP) that people relied on as the playing field for their selections. Now, you have Oracle and SAP battling it out at the top end. SSA Software is working at bringing Baan back to the game under the name SSA ERP LN, but the market has not yet recognized the “new Baan”. So essentially there are now three players in the Tier 1 space.

SAP and Oracle are continuing to compete on the extensiblity of their solutions. SSA is making some buzz in the market too.

So the question is, will there be more variety or options, or will it be more of the same. If it is more of the same from each of these three players, then who will companies turn to? One possible answer in the future will be Microsoft and their Axapta (Now called Dynamics AX) product. But that product is still a few years from being a true Tier 1 competitor. The advantage with the Microsoft solution is very flexible technology that allows solutions and modifications to be built around the product core easily, without breaking the upgrade path. This flexibility outshines the other players. The depth of the product will be their in a few years, but it is not there yet.

What about the Tier 2 players? Can QAD, Epicor, or Infor produce a competing product? As of right now, no. It seems that is not the niche they want to play in. So for now, in the upper tier space, there will be only a few players and few options. But with everything in the IT world, a short time can reveal many new changes.

Chris Shaul is a Sr. IT Consultant and specializes about ERP selections and implementations.

Open Source ERP?

Chris Shaul

There are many vendors around today providing Enterprise Resource Planning (ERP) Software . These systems control the entire lifeblood of the business enterprise. From manufacturing to financials, from customer service to plant maintenance, these systems run the company. The information flow is critical to a company. Further the information flow must match the process flow. With many commerical ERP systems available today, how can you be sure that the ERP system you are selecting is the right fit.

Some daring folks are now trying on Open Source ERP solutions. Few of these solutions are developed or maintained by a commercial entity. Rather, many are developed by a group of programmers who collaboratively build these systems. The real benefit to these systems is that they are really open. The source code is available for all to see and modify.

With this openness, companies can truly fit the software to match their process flow. But they will need to have the coding expertize in house. They will also need to fully understand their process flows. Can you use open source without modifying code? Of course. Most of these systems have best practices built in. It does help though to know your processes and be willing to modify and improve the processes to match the best practices.

Compiere is one such software. CIO.com has an interesting article about Compiere.

Another system, in the Customer Relationship Management (CRM) world is sugarCRM. This is a full function, open source CRM system. Its functionality rivals many commerical entities’ systems.

Is open source ready for prime time? It depends upon who you ask. If you ask a Linux enthusiast, then yes it is. If you ask a traditional IT manager, probably not.

Chris Shaul is a Sr. IT Consultant with CMTC and specializes about ERP selections and implementations.