The opinions of the management thought reflected by ERP-Anchan

Six core ideas of ERP ERP

Directory
To help enterprises achieve institutional innovation 1
"People-oriented" competition mechanism 1
Think of the organization as a social system 2
With "supply chain management" as the Core 2
"Customer relationship Management" as the front desk important support 2
Realize e-commerce, fully integrated enterprise internal and external resources 3
Another saying: 3

Body
For enterprises, ERP should be the management thought first, and then the management means and information system. Management thought is the soul of ERP, it is impossible to implement and apply ERP system well without correctly understanding the management thought of ERP. So, what is the management connotation of ERP? What are the specific aspects of its advanced management thought? As the industry personage, the author tries to discuss from the following six big aspects, hoped can give the enterprise some beneficial enlightenment.

Help enterprises to realize system innovation

The new management mechanism must be able to quickly improve work efficiency and save labor costs. The significance of ERP to help enterprises to realize system innovation is that it can help enterprises to set up a new management system, which is characterized by mutual supervision and mutual promotion within the enterprise, and ensures that each employee will exert maximum potential to work, so that each employee's remuneration is closely connected with his labor achievement, There will be no dictatorship on the management level.

As an advanced management thought and means, ERP changes not only the individual behavior of a person or an organization action on the surface, but the elimination of the old idea and the new concept of the manager from the ideology. In this sense, whether it is foreign ERP products or local ERP products, the key to see whether their management ideas are novel and practical, and not out of the reality. Must point out is: At present our country enterprise indeed exists holds "the Kim Yong" the begging situation, namely the enterprise spends the huge sums of money to purchase and implements the ERP system, but has not played the system the function, namely buys without. In this way, do not say that the realization of enterprise system management innovation, even the basic informatization of enterprises is difficult to achieve.

"People-oriented" competition mechanism

In recent years, many enterprises have invariably referred to the "people-oriented" management ideas. I can not help but ask, what is called "people-oriented"? Is the enterprise to people-led role, it is called "human-oriented"? This explanation should be no mistake, but too general, will create ambiguous understanding to the employees of the enterprise. ERP management thought that the premise of "people-oriented" is that it is necessary to establish a competitive mechanism within the enterprise, and it is not enough to rely on the staff's consciousness and professional ethics. Therefore, we should first establish a competitive mechanism within the enterprise, on this basis, to each employee to develop a work evaluation criteria, and as a reward for employees, so that every employee must meet this standard, and constantly exceed this standard, and the farther the better. As standards continue to improve, production efficiency will inevitably increase. Such a "people-oriented" approach to management will not become a vague dogma.

Think of the organization as a social system

ERP absorbs the management thought of the founder of the Social Systems school in Western modern management theory, and he regards the organization as a social system, which requires cooperation between people. In the management thought of ERP, organization is a collaborative system, the application of modern enterprise management ideas of ERP, combined with communication technology and network technology, in the organization to establish a Ober, Nieder effective information Communication system, this system can ensure that the superior in time to grasp the situation, to obtain as the basis for the decision-making of accurate information, Also can guarantee the smooth release and execution of the instruction.

The establishment and maintenance of such an information Exchange system is the first condition for the existence and development of an organization, and it is then possible to discuss the effectiveness and efficiency of the Organization. In addition, in the application of this system, attention should also be paid to the integrity of the information Exchange system.

With "supply chain management" as the core

ERP is based on Mrpⅱ and surpasses the Mrpⅱ. The ERP system expands the management scope on the basis of Mrpⅱ, it integrates customer needs with manufacturing activities within the enterprise and suppliers ' manufacturing resources to form a complete supply chain (SCM) and effectively manages all links on the supply chain, thus forming an ERP management system with supply chain as its core. The supply chain spans the department and the Enterprise, and forms the business process with the core of product or service. In manufacturing, for example, the main actors in the supply chain include raw material suppliers, product manufacturers, distributors and retailers, and end users.

The ERP system with SCM as its core adapts to the needs of enterprises to survive and develop in the era of knowledge economy and fierce market competition, which brings significant benefits to the enterprises concerned. Based on the whole market competition and social demand, SCM realizes the reorganization of social resources and the reorganization of the business, greatly improves the efficiency and effectiveness of the logistics and information flow in the social economic activities, eliminates the middle redundancy, reduces the waste and avoids the delay.

"Customer relationship Management" as an important support for the front desk

In the era of customer-centric market economy, the focus of enterprise attention gradually from the past focus on product transfer to focus on customers. Due to the need to focus more attention on the customer, relationship marketing, service marketing ideas abound. At the same time, the rapid development of information technology for enterprises to strengthen customer relationship management provides a strong support.

Based on the management of the core of supply chain, ERP system will focus on the automation and process improvement of enterprise business activities, especially in the front area of direct dealing with customers, such as sales, marketing, customer service and support. Customer Relationship Management (CRM) helps organizations maximize customer-centric resources, including human, physical, and intangible assets, and centralize these resources for existing and potential customers. The goal is to improve enterprise management by reducing sales cycles and reducing sales costs by looking for new markets and new channels to expand the business, and by improving customer value, customer satisfaction, profitability, and customer loyalty.

Realizing e-commerce and comprehensively integrating resources inside and outside enterprises

With the rapid development of network technology and the emergence of electronic enterprise management ideas, ERP has been adjusted constantly to meet the advent of e-commerce era. ERP in the network age will make the enterprise adapt to the change of management mode caused by the globalization competition, it uses the newest information technology, and presents the characteristics of digitalization, networking, integration, intellectualization, flexibility, industry and localization.

ERP in e-commerce era will focus on how to help enterprises to realize the adjustment of management mode and how to provide e-commerce solutions for enterprises to meet the digital knowledge-based economy era. It supports the Agile Enterprise's organization form (Dynamic Alliance), the Enterprise Management Way (the flat organization structure mode with the team core) and the working method (concurrent engineering and the coordinated work), through the computer network will integrate the enterprise, the user, the supplier and other business activity related function Organization, completes the information flow, The effective transfer and optimization of logistics and value flow, including the network of internal operation, supply chain management, channel management and customer relationship management. E-commerce era ERP system will make full use of Internet technology and information integration technology, the supply chain management, customer relationship management, enterprise office automation and other functions of comprehensive integration and optimization to support product collaborative business and other business management model.

Through the above analysis, the author thinks, with the help of IT technology, ERP system can turn many advanced management ideas into practical computer software system. But if ERP stick to the original management thought, only stay in the enterprise internal process management, will not be able to adapt to the era of E-commerce resources optimization and cooperation between enterprises need to develop. Because of the development of IT technology and modern management thought, some people in the industry think that ERP is outdated, CRM will come into being, and have the potential of replacing ERP. In fact, the value of CRM is to highlight the importance of customer service and support, sales management, operation management, it can be regarded as a part of the generalized ERP system, both can form a seamless closed-loop system for enterprises in the era of E-commerce to provide new opportunities.

Another way to say it:
The core management idea of ERP is to realize the effective management of the whole supply chain, which is mainly embodied in the following three aspects:
1. Embody the idea of managing the whole supply chain resources
The competition of modern enterprise is not the competition between single enterprise and single enterprise, but the competition between an enterprise supply chain and the supply chain of another enterprise, that is, the enterprise should not only rely on its own resources, but also the relevant parties such as suppliers, manufacturing plants, distribution networks, customers, etc. in the business process into a tight supply chain, In order to gain a competitive advantage in the market. The ERP system adapts to the demand of the market competition and realizes the management of the whole enterprise supply chain.
2. Ideas for lean production, synchronous engineering and agile manufacturing
ERP system supports the management of all mixed mode of production, its management thought manifests in two aspects: one is "The Lean Production LP (Lean Production)" The idea, namely the Enterprise puts the customer, the sales agent, the supplier, the cooperation unit into the production system, and establishes the benefit sharing partnership with them, And then form an enterprise supply chain. The second is the idea of agile manufacturing (manufacturing). When there are new opportunities in the market, while the basic partners of the enterprise can not meet the requirements of new product development and production, the enterprise organizes a short or one-time supply chain composed of specific suppliers and sales channels to form a "virtual factory", which regards supply and collaboration units as an integral part of the enterprise and uses "synchronous Engineering (SE)" , organize production, in the shortest possible time to break new products into the market, always maintain the quality of products, diversification and flexibility, which is "agile manufacturing" the core idea.
3. Ideas that embody planning and control in events
The planning system in ERP system mainly includes: Master production plan, logistics demand Plan, capability plan, purchase plan, sales execution plan, profit plan, financial budget and human resource plan, and these planning functions and value control functions are fully integrated into the whole supply chain system. On the other hand, by defining transaction processing (Transaction) related accounting accounts and accounting methods, ERP system automatically generates accounting entries at the same time as transaction processing, which ensures the synchronization record and data consistency of capital flow and logistics. In order to realize the current situation of financial funds, can trace the ins and outs of funds, and further trace the relevant business activities occurred, facilitate the implementation of control and real-time decision-making.


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Shanghai Ahn Shang Information Technology Co., Ltd. Business Development Center
4/F, No. 706 Hengshan Road, Shanghai 200030
URL: www.aesirs.com
Tel: (8621) 64453996
Fax: (8621) 64458556