The ERP Project

1
The ERP Project
A Presentation to Business Process Owners

• Project Management Team
• Enterprise Resource Planning Project
• King Fahd University of Petroleum Minerals
• Dhahran 31261, Saudi Arabia
• April 2005

2
Agenda

• Introduction of the Team
• A Presentation on the ERP Project
• Role of Business Process Owners
• Project Charter
• Project Plan
• Establishing Goals Objectives
• Schedule of Meetings
• Project Team Directory
• Communication Plan
• Project Office
• Name the ERP Project
• Next Meeting

3
Outline

• ERP systems and their Benefits
• Mission and Vision
• Goals and Objectives
• Statement of Work
• Organization Structure
• Assumptions and Constraints
• Schedule
• Estimated Cost
• Quality Audit

4
Whats an ERP System?
Set of application software that brings
financial, distribution, manufacturing, and other
business functions into balance. It extends
horizontally across the companys business
functions and vertically throughout the companys
supply chain.
Source Gartner
5
Components of a Business Process (IGOE)

Policies, Standards, Regulations, Laws,
Knowledge, Triggering Events
Guides
Results Information Deliverables Products
Process Step
Information Materials
Inputs
Sub-Process Step
Outputs
Enablers
Human Resources, Tools, Equipment, ERP Systems,
Facilities
6

ERP Driving Economic Value

• Key enabler of best practice
• Catalyst to improve operational and process
  effectiveness
• Framework for organizational transformation
• Tool for extended integration
• Facilitator for Information Systems governance
• Helps in human capital advancement

7
Benefits of an ERP System
Benefits must go beyond repairing the current
state to address the future needs of the
organization across several dimensions.
Strategic
Technical
Operational
Financial
8
Strategic Benefits

• Alignment with business strategy
• Improved responsiveness
• Enhanced organizational flexibility
• Improved decision-making capabilities
• Support for IS Governance

9
Operational Benefits

• Leveraging of global leading practices
• Increase in capacity / utilization
• Improved cycle time / accuracy
• Integration
• Visibility of process

10
Technical Benefits

• Leverage international leading practices
  instead of reinventing the wheel
• Integrated package forces a process focus
  approach to implementation
• Globally maintained integrated package reduces
  cost, effort and skills required to
  maintain/enhance systems.
• Centralised application security
• Less programming more customisation

11
Financial Benefits

• Savings in inventories, personnel, total
  logistics costs, procurement costs, etc
• Reduced assets deployed
• Reduced staff costs
• Improved cash flow
• Increased stakeholders value

12
ERP Solutions for Higher Education Research

• Oracle
• PeopleSoft
• SAP
• SunGard SCT

13
(No Transcript)
14
(No Transcript)
15
(No Transcript)
16
(No Transcript)
17
ERP Users in the Middle East

• Gulf University of Science Technology, Kuwait
• American University of Kuwait
• American University of Beirut
• Lebanese American University (LAU)
• American University Cairo
• Effat College, Jeddah
• American University of Sharjah
• Higher Colleges of Technology, Dubai
• UAE University
• Zayed University, Dubai
• King Faisal University has started the
  implementation

18
Mission of the ERP Project

• To improve, enable, and integrate academic and
  administrative processes of the University

19
Vision of the ERP Project

• To adopt and sustain the best information
  technology enabled business processes in order to
  support the most productive environment for
  learning, innovation, and research

20
Goals of the ERP Project

• Improve effectiveness and efficiency of academic
  and administrative processes
• Improve support for decision making
• Enhance availability and access to timely and
  reliable information
• Enhance professional capabilities of human
  resources
• Improve quality of services for all stakeholders
• Enhance accountability of personnel, and
  integrity of processes and information

21
Goal Improve effectiveness and efficiency of
academic and administrative processes

• Select, enhance and implement an ERP system that
  meets all documented functional requirements to
  complete all transactions
• Integrate functional systems
• Provide easy to use interfaces in both Arabic and
  English
• Provide training to end users
• Reduce transactional cost
• Reduce cycle time of transactions

22
Goal Improve support for decision making

• Develop user-defined reports
• Implement a performance management system

23
Goal Enhance availability and access to
timely and reliable information

• Provide access to all users from anywhere at any
  time
• Maintain a single source of data
• Implement ISO 17799 standard for information
  security

24
Goal Enhance professional capabilities of
human resources

• Adopt ERP-enabled business processes
• Identify and conduct training programs

25
Goal Improve quality of service for all
stakeholders

• Deploy online self-services
• Deploy user support system

26
Goal Enhance accountability of personnel, and
integrity of processes and information

• Automate controls and reconciliation points
• Improve transparency and traceability of
  transactions

27
Critical Success Factors

• Ownership, commitment and involvement of the top
  management
• Awareness, capability and motivation at all
  levels among all stakeholders
• An effective change management strategy and plan
• Necessary infrastructure for effective
  implementation of the systems
• Minimum customization of the selected ERP system
• Good planning, and then rapid implementation, to
  keep up the momentum
• Motivation and training of end-users

28
Functional Scope of Work

• Academics Modules
• Admission registration
• Student affairs
• Research management
• IT Modules
• Document management system
• University portal
• Business intelligence

• Administrative Modules
• General ledger
• Accounts payables
• Accounts receivables
• Cash management
• Fixed assets
• Costing budgeting
• Inventory management
• Warehouse management
• Purchasing
• Project accounting
• Maintenance management
• Personnel administration
• Payroll
• Training

29
Work Breakdown Structure
30
Organization of the ERP Project
31
Executive Steering Committee

• H.E. the Rector (Chair)
• Vice Rector, Graduate Studies Scientific
  Research
• Vice Rector for Academic Affairs
• Supervisor, Information Communication
  Technology
• Supervisor, Technical Affairs
• Supervisor, Financial Administrative Affairs
• Dean, Faculty Personnel Affairs
• Dean, Student Affairs
• Dean, Admissions Registration
• Dean, College of Computer Sciences Engineering
• Director, Information Technology Center

32
Project Management Team

• Supervisor, Financial Administrative Affairs
  (Chair)
• Director, Information Technology Center (Deputy
  Chair)
• Advisor, Information Strategy (Member)
• Manager, Computing Services, ITC (Member)

33
Implementation Groups

• Business Process Owner (Chair)
• Key User(s)
• Application Developer (sharing)
• Functional Consultant
• Technical Consultant (sharing)

34
Assumptions Constraints

• Availability of all business process owners and
  users for completing assigned project tasks
• Solicit technical resources from within the
  University as and when possible
• No new major hardware will be required to install
  the selected ERP system
• Training and other incentives will be provided to
  project teams and users to enhance their
  capabilities and level of motivation
• Quality is first priority though project should
  be completed in 2 years with minimum cost
• ERP system offering best value for users will be
  selected, though it could be costly and may
  require technical compromises

35
Tentative Schedule
36
Proposed Milestone Chart
Project Start Date 12 March 2005 Project
Go-Live 01 January 2007 Project End Date 30
April 2007
37
Appointment of External Quality Auditor

• Objective
• To have an independent review of quality of
  project management as well as implementation of
  the ERP system
• Scope of Work
• To prepare and implement a quality management
  plan that includes quality audits at
  predetermined stages/points in the project life
  cycle. The auditor shall plan an audit and submit
  a report at the end of the audit.
• Duration
• The work will be carried out throughout the
  project life cycle. However, on site audits will
  comprise of 10-12 days

38
Agenda

• Introduction of the Team
• A Presentation on the ERP Project
• Role of Business Process Owners
• Project Charter
• Project Plan
• Establishing Goals Objectives
• Schedule of Meetings
• Project Team Directory
• Communication Plan
• Project Office
• Name the ERP Project
• Next Meeting

39
Business Process Owner

• Leads team of users, developers and consultants
• Coordinates with the Project Management Team
• Recommends relevant module of ERP system to be
  selected after evaluation of all short-listed
  systems
• Responsible for documentation, renewals and
  signing-off the business processes in his domain
• Tests and validates the system prior to its
  acceptance
• Assumes responsibility of achieving goals and
  objectives of the ERP project in his domain

40
Project Charter

• Mission
• Vision
• Goals and Objectives
• Project Organization
• Statement of Work
• Quality
• Assumptions and Constraints
• Duration
• Cost
• Performance Reporting

41
Project Plan

• Scope Management Plan
• Schedule Management Plant
• Budget
• Human Resources Plan
• Communication Management Plan
• Quality Management Plan
• Procurement Plan
• Risk Management Plan
• Integrated Project Plan
• Measuring Controlling Project Performance

42
Establishing Goals Objectives for the Project
in your Functional Area

• What is a Goal?
• SMART Goals
• S Specific
• M Measurable
• A Action-Oriented / Attainable
• R Realistic
• T Timely
• Number of Goals (5-7)
• What is an Objective?

43
Schedule of Meetings

• Weekly meetings for 1-2 hours
• Structured Meetings will be held
• Minutes of the Meetings will be prepared
• Copy to all relevant members of the Project Team

44
Project Team Directory

• Name
• Position
• Department
• Telephone
• Fax
• Mobile
• E-Mail

45
Communication Plan

• Organization of the Project
• Meetings
• Awareness sessions
• E-Mail
• Project Newsletter
• Project web site
• Publications of the Public Relations Dept.

46
Project Office
Moving to this location By the end of October 2005
47
Name the ERP Project
48
Next Meeting
49
Thank You