ERP Software - Frequently Asked Questions (FAQ)

Seradex

When was Seradex ERP Software Founded?

Seradex was founded in 1991.

Where is Seradex Located?

Seradex is located in Burlington Ontario Canada. We are a 25 minute drive to Toronto International Airport and a 1 hour drive to Buffalo International Airport. It is a convenient location for both business and pleasure. Visitors can take in many tourist attractions including Niagara Falls, Canada's Wonderland and numerous cultural attractions in Toronto. Within a 1 hour drive there are a dozen colleges and universities as well as a large educated workforce.

ERP Definitions and Benefits

What is ERP - a definition?

ERP is short for “enterprise resource planning.” Enterprise Resource Planning (ERP) is the latest business, information technology (IT) tool in the Corporate World today. Enterprise resource planning is an integrated software solution used to manage a company’s resources. ERP’s was preceded by MRP (material requirements planning) and MRP II (manufacturing resources planning). These earlier systems had limitations addressed by ERP systems. Today’s ERP systems integrate planning, inventory, Purchasing, engineering, order entry, manufacturing, accounting and human resources.

Do I need a new ERP system?

Here are some of the warning signs that your current software is limiting your business growth:

Increasing customer complaints about poor service
Using multiple systems for the same task
Failing to get accurate, up-to-date information for decision-making
Using handwritten notes because it's easier to jot it down than use the current system
Having to enter the same data into more than one system
Inability to expand the business due to limitations of current information system
Lost or corrupted data

If you are experiencing any of these symptoms, you are a good candidate for a new information system. The return on investment from implementing an ERP system can be very attractive.

The Seradex ERP system will help deliver solid customer satisfaction using by improving on-time shipments, automating clerical tasks, reducing inventory and providing solid information to make decisions on. For a complete analysis use our ROI survey.

The Shop Floor chaos is eliminated by proper scheduling and material control. Billing and delivery errors are eliminated using system automation. The Seradex ERP system lets you "Build Your Business" by putting you in control of your organization.

Seradex ERP offers the functionality, technology platform and implementation expertise to help you realize the full benefits of an ERP solution.

What Benefits will I get from ERP?

Here are some of the warning signs that your current software is limiting your business growth:

Increasing customer complaints about poor service
Using multiple systems for the same task
Failing to get accurate, up-to-date information for decision-making
Using handwritten notes because it's easier to jot it down than use the current system
Having to enter the same data into more than one system
Inability to expand the business due to limitations of current information system
Lost or corrupted data

What is the ROI and payback potential for an ERP system?

Here are some of the warning signs that your current software is limiting your business growth:

Increasing customer complaints about poor service
Using multiple systems for the same task
Failing to get accurate, up-to-date information for decision-making
Using handwritten notes because it's easier to jot it down than use the current system
Having to enter the same data into more than one system
Inability to expand the business due to limitations of current information system
Lost or corrupted data

What is the difference between ERP, MRP, MRPII, and APS?

Manufacturing software systems have evolved in functionality over the years. The early systems were designated MRP (Manufacturing Resource Planning)systems. MRP systems had basic functionality for inventory control, bill of material processing and elementary scheduling. As more scheduling functionality was added newer software generations were called MRP II.

MRP II systems were eventually replaced with ERP (Enterprise Resource Planning)systems which added more applications like order processing, project management, maintenance and human resources. Today no manufacturing software vendor would designate their system as anything other than an ERP system.

APS (Advanced Planning and Scheduling) systems added more functionality again. An APS program includes the ability to optimize shop floor and supply chain scheduling. The program determines the best schedule given the multiple constraints of labor, material and equipment. Some ERP products include APS features. There are also separate APS products that integrate with existing ERP solutions.
Seradex ERP offers the functionality, technology platform and implementation expertise to help you realize the full benefits of an ERP solution.

Does Seradex support Backflushing?

Traditional and standard costing systems track costs as products pass from raw materials, to work in progress, to finished goods, and finally to sales. Such systems are called 'sequential tracking systems' because the accounting system entries occur in the same order as purchases and production. Where management desires to track direct material and labour time to individual operations and products, then sequential tracking can utilized in Seradex ERP software.

The implementation of a just-in-time philosophy has necessitated changes. Back flush is a single step production process that typically occurs and the end of a production line. Seradex ERP supports several variations of Backflushing. In the most common a Work Order or Kanban card contains a bar code. When a product is packaged into a box or carton the operator wands the bar code. This triggers several events: A Carton Label is Printed. This lists the item, quantity, date, order and possibly customer if it is make to order environment

The Open Quantity on the Work Order is reduced
The items on the bill of material are reduced from Raw Material Inventory
The finished goods inventory is increased by the carton quantity and standard cost
The cost of the Finished Goods is based on Standard Cost of materials, labor and overhead

Backflushing simplifies costing since it ignores both labour variances and work-in-progress. While in a true just-in-time environment there would be no work-in-progress at all, there will, in practice, be a small amount of work-in-progress at any point in time. It is important that standard costs are close to actual costs to keep inventory costing reasonable accurate. Backflush accounting is ideally suited to a just-in-time philosophy and is employed where the overall cycle time is relatively short and inventory levels are low.

Material Variances are calculated regularly through physical counts and the resulting inventory adjustments. Is scrap occurs manually system entries can be made to charge scrap to the work order
Labor Variances are calculated monthly by comparing the labor absorbed at standard cost to the actual payroll expenditures listed in the GL accounts
Monthly Overhead absorption is reported by Seradex and can also be compared to actual expenditures listed in the GL accounts
Actual and absorbed Labor and Overhead expenditures can be broken into categories and departments facilitating variance analysis.

How does Strategic Planning affect ERP Projects?

Strategic planning is a management tool, period. As with any management tool, it is used for one purpose only: to help an organization do a better job - to focus its energy, to ensure that members of the organization are working toward the same goals, to assess and adjust the organization's direction in response to a changing environment. In short, strategic planning is a disciplined effort to produce fundamental decisions and actions that shape and guide what an organization is, what it does, and why it does it, with a focus on the future.

ERP systems provide support to execute strategic plans for even to the smallest manufacturing company. Your future competitive advantage is based on a series of uncertain events: how you deal with those events is your ticket to your success. Enterprise Resource Planning is a comprehensive tool for integrating accounting, strategic planning, sales order management, quality control, manufacturing, logistics and warehousing.

One section of your strategic plan should identify quantifiable time phased business objectives. Metrics should be developed around these goals and your ERP system should be reporting on any data that relates to your business objectives. In implementation Seradex project managers ensure that this is a fundamental corner stone of the project.

What is CRM - a definition?

CRM stands for “customer relationship management.” Simply stated, Customer Relationship Management (CRM) is about finding, getting, and keeping customers.

CRM is at the core of any customer-focused business strategy. It includes not only software but the people and business processes associated with sales and marketing. CRM provides a common view of the customer information and will help you increase sales to profitable customers. A CRM application is a single, integrated system that lets information flow freely between different departments. This acronym is used to describe a computerized system for maintaining and tracking all facets of relationships with business partners, from marketing to sales to support.

Seradex ERP Target Markets

How much does an ERP system from Seradex cost?

Seradex software is priced by module as well as additional charges for training and implementation. The total installed costs range from $40 to $200K. Our products are very competitive with systems that offer comparable functionality. Our customers have been extremely pleased with the implementation time required to go live.

Fixed Pricing programs are available. Please contact Seradex for more detailed pricing information.

Can I buy individual modules?

Modules can be purchase individually. Some modules have integrated functionality and must be purchased together. Please contact us to discuss your individual requirements.

How long does an ERP implementation take?

Invariably, every company president wants to know the answer to this question. The answer depend on several factors.

Project Management and adhering to the Seradex Rapid Implementation Process (RIM)
The time and effort required to gather the required information to populate the ERP database
The ability of your organization to adapt to change

RIM is a proven methodology that ensures you get live on time and on budget. Seradex has experienced project managers, top notch technical support as well as classroom, on site and remote training programs.

Seradex has had implementations that take less then 12 weeks and some organizations have taken over 12 months. We are one of the few ERP companies who will warn you that if you don't use project management controls you may never get live. This is not a function of the software but of your organization. This statement applies to any ERP package you select.

We're being quoted prices from under $10,000 to over $250,000. How much should we spend on an ERP System?

Every company should buy the least expensive product that satisfies your requirements. The first place to start is to define your requirements. In many cases we have found that most companies do not have the internal expertise to do this well.
At a minimum your prospective software vendors or consultants should assist with you with this process. Selecting new software is costly, time-consuming and complicated. It's difficult to meet the needs of every department and determine true capabilities versus promise... especially from multiple sales presentations and impressive proposals.
Welcome to the world of ERP - and please remember buyer beware and please educate yourself! We would recommend you consider the following:

After the project ensure your relationship is managed fairly. At the start of the project you will control the levers of internal staff allocation and invoice payment. After you go live the power base moves entirety to your vendor. You will have problems ranging from minor (additional training) to major (your system is down). You need to make sure that you can call on your vendor for fast service at a fair price.

What Software and Hardware is Required for Seradex ERP software?

Seradex ERP software operates well on commonly found hardware and software infrastructure. You will need a network server running Windows 2003 Server. You will need a copy of Microsoft Office 2000+ for some users, Crystal Reports Developer Edition version 10, a database license for Microsoft SQL Server, IBM DB2 or Oracle. You will also need a 100 mbs network. Workstations and Servers should be Intel P4 with 512 mb of RAM. A high speed internet connection, firewall, virus scanner and tape backup are also required.

Can Seradex handle Multi-Company, Multi-Divisions and Multi-Plant Requirements?

Yes, many of our customers run Multi-Company or Multi-Division operations. Seradex ERP provides extensive Multi-Plant capabilities throughout all applications. Multiple divisions can exist in a single company, and multiple companies can exist in a single business entity.

Each division contains its own sales, purchasing, engineering, inventory, cost, supply and demand records.

Financial statements can break out each plant, each division, each company as well as providing consolidated statements.

Please contact Seradex to discuss your specific requirements and the Seradex ERP Modules required.

Can Seradex handle Multiple locations or Multi-Locations?

Yes, many of our customers run Multi-Location or Multi-Division operations. Seradex ERP provides extensive Multi-Plant capabilities throughout all applications. Multiple divisions can exist in a single Location, and multiple locations can exist in a single business entity.

Each division contains its own sales, purchasing, engineering, inventory, cost, supply and demand records.

Financial statements can break out each plant, each division, each Location as well as providing consolidated statements.

Please contact Seradex to discuss your specific requirements and the Seradex ERP Modules required.

Does Seradex ERP offer any E-Commerce capabilities?

Seradex ERP offers a completely web-enabled solution. E-Commerce requires a solid and current technology platform. There is a lot of vendor hype coming from ERP suppliers. The fact is, when the Internet frenzy hit, many ERP vendors, including heavy weights SAP, PeopleSoft, and Oracle, began repositioning some of their ERP products as E-commerce products. In reality, most of these applications were merely Web-enabled versions of the vendors' back-office applications — hardly true E-commerce platforms.

E-Commerce requires sharing data with customers, suppliers, partners and employees. This sharing can require the simultaneous use of many technologies including

XML Data
Web Applications for Shopping Cart, Customer Status or Vendor Delivery Schedules
EDI for Automotive Suppliers
Batch Files
Microsoft or Citrix Terminal Server for Remote Sales Reps
CAD Drawings for Customers or Suppliers

Seradex uses Microsoft .NET technology as the framework of our ERP solution to ensure there are no technological barriers to E-Commerce.

For more information, see our E-Commerce module

Is your software available outside of the US and Canada?

Yes. Seradex is sold globally, and with today technology implementation can be handled through head office.

Can Seradex handle global commerce issues like multi-currency and sales taxes?

Seradex ERP offers complete multi-currency functionality. In today's global economy your system must allow you to conduct transactions with customers and vendors with their currencies. The robust multiple currency and sales tax capabilities offered by Seradex are unmatched in the industry.

Multi Currency

Unlimited number of currencies including the Euro
Use either the spot, average rate or user selected rate
Match a future's exchange rate to specific Invoice and Purchase Transactions
Default currencies by customer and vendor
Foreign exchange gains/losses (both realized and unrealized)
Many Standard Reports include source and home currency
Automatic landed cost calculations including duty, freight and overhead

Sales Taxes

Up to 5 levels of Sales Tax
Sales Tax calculation by Sales Order, Invoice or Purchase Order line item
Override default taxes
Support for GST, State and Federal Taxes, VAT and product/customer/vendor matrix taxes
Unlimited Tax Authorities, Tax Groups, GL Accounts and Tax Rules

Why doesn't Seradex develop its own accounting modules?

Do you make your own electric motors or telephones? Probably not. It is not your your core competence and you can buy these for less than you can make them.

The prevailing view in the ERP industry is that you must develop your own financial in house for the following reasons:

To achieve full integration
To eliminate 2 maintenance fees
To reduce integration headaches
To avoid problems when the accounting vendor or the ERP vendor upgrades to a new version

Seradex has taken a unique approach and integrates to industry standard accounting systems. Seradex has links available to ACCPAC, Great Plains, BusinessVision, Macola and QuickBooks. It is Seradex's objective to provide the best software at the lowest cost to our customers. The above mentioned accounting systems all have over 100,000 existing installations - so their products are proven, feature rich and all have their own extensive support networks.

As an example ACCPAC International is a $100 Million US company specializing in financial accounting. Walmart uses the ACCPAC General Ledger! ACCPAC has over 300 3rd party solutions. A software company would have to invest $10's of millions of dollars to develop a feature rich system like this. Quickbooks has sold over 1,000,000 systems based on its ease of use and great customer support.

One of our selling points is that you don't have to switch your accounting system. It is also easy for you to hire local staff that are already familiar with the accounting modules. This saves you time and money. It also saves us from devoting development resources to areas that are already well served. As a final note many of our competitors that do offer accounting modules are missing key functionality. In many cases things like audit trails, multi currency, security, and data integrity are missing entirely or very weak.

What is MTO ERP?

MTO stands for Make to Order. In this mode of manufacturing no finished product is kept in inventory. When a customer places an order the company produces the item specifically for that customer. All job shops operate as MTO manufacturers. Other modes of manufacturing include engineer-to-order, assemble-to-order, make-to-stock, repetitive and mixed-mode. For different product lines a single company may operate in several of the modes simultaneously.

As companies implement lean manufacturing many companies are making the transition from make to stock (MTS) towards make to order (MTO).

Is your software compliant with GAAP Inventory Requirements?

Inventory is an asset: held for sale in the ordinary course of business; in the process of production for sale; or in the form of materials or supplies to be consumed in production or in rendering services. The inventory of manufacturing entities is raw materials and consumable stores; work in progress and finished goods, awaiting sale. Inventory does not include work in progress arising from completion of a construction contract. This is recognized in accordance with requirements for construction contract accounting.

Initial measurement of inventories is at cost. The cost of inventory includes: the cost of all materials that enter directly into production and the costs of converting those materials into finished goods. The direct materials costs include, in addition to the purchase price, all other costs necessary to bring them to their existing condition and location. The cost of raw materials and consumables including transportation charges, import duties, insurance, warehousing and handling costs, reductions made for trade discounts, rebates and other similar items.

Subsequent to initial recognition, entities should measure inventories at the lower of cost or net realisable value.

Cost should be determined based on specific identification for goods not ordinarily interchangeable or those segregated for specific projects. Specific identification costing is not appropriate for inventories of homogeneous products, such as raw materials to be used in production and spare parts that have often been purchased at different prices. Weighted average or FIFO may be used to determine the cost of such inventory. Any method that produces a result consistent with the principles in the standard is acceptable. Whatever application method an entity uses, it should apply that method consistently.

The requirements to measure inventory at the lower of cost and Net Realizable Value (NRV) forces the recognition of losses as they occur. Write-downs to NRV may be triggered where selling prices have declined or costs of completion or direct selling costs have increased. Some products may have become damaged or some may be held in quantities that will not be sold in a reasonable period. In these circumstances the inventories should be written down below cost to expected recoverable amounts.

Seradex offers a great deal of power and flexibility in your preferences for inventory costing. Please consult your project manager and outside auditors for a discussion of your the implementation choices available.

A short overview of some of the considerations outlined by the FASB in "Inventory Costs an amendment of ARB No. 43, Chapter 4" follows:

In keeping with the principle that accounting is primarily based on cost, there is a presumption that inventories should be stated at cost. Inventories are presumed to be stated at cost. The definition of cost as applied to inventories is understood to mean acquisition and production cost, and its determination involves many considerations. Although principles for the determination of inventory costs may be easily stated, their application, particularly to such inventory items as work in process and finished goods, is difficult because of the variety of considerations and problems encountered in the allocation of costs and charges.

For example, variable production overheads are allocated to each unit of production on the basis of the actual use of the production facilities. However, the allocation of fixed production overheads to the costs of conversion is based on the normal capacity of the production facilities. Normal capacity is the production expected to be achieved on average over a number of periods or seasons under normal circumstances, taking into account the loss of capacity resulting from planned maintenance. The actual level of production may be used if it approximates normal capacity.

In periods of abnormally high production, the amount of fixed overhead allocated to each unit of production is decreased so that inventories are not measured above cost. The amount of fixed overhead allocated to each unit of production is not increased as a consequence of low production or idle plant.

Unallocated overheads are recognized as an expense in the period in which they are incurred under some circumstances, Other items such as;

Idle Facility Expense
Excessive Spoilage
Double Freight
Rehandling Costs
Scrap And Waste Materials

may be so abnormal as to require treatment as current period charges rather than as a portion of the inventory cost. Also, general and administrative expenses should be included as period charges, except for the portion of such expenses that may be clearly related to production and thus constitute a part of inventory costs. Selling expenses constitute no part of inventory costs.

It should also be recognized that the exclusion of all overheads from inventory costs does not constitute an accepted accounting procedure. The exercise of judgment in an individual situation involves a consideration of the adequacy of the procedures of the cost accounting system in use, the soundness of the principles thereof, and their consistent application. In the case of goods which have been written down below cost at the close of a fiscal period, such reduced amount is to be considered the cost for subsequent accounting purposes.

ERP Technology Platforms

How can I tell the Technology Platform of an ERP product?

Most ERP vendors claim to use Microsoft technology - so do you need to worry? Yes. It takes a large development team man years to bring an ERP system to market. There are many ERP products that use non-current technology such as Paradox, Centura, SQL Windows, GUPTA®, Progress®, or Fox-Pro®. While the vendors have added smaller components developed in Microsoft technology to sit on top of these dated technologies.

Many ERP companies are claiming their products are already 100% .Net. This is a very misleading claim. Seradex is fully engaged in assessing future Microsoft Technology. We can report that as of 2004 the .NET platform is improving and Microsoft has overcome some significant issues with the .net platform. Microsoft is turning these issues around rapidly and the future for .net is very bright. It is just reaching the point that Seradex can begin deploying in enterprise development.

So how do you tell what technology platforms ERP products use?

Here is a list of some ERP solutions and their platforms :

BusinessVision - Cobol
Coss - FoxPro
Made2Manage - FoxPro
Oracle - Oracle’s Proprietary Tools
PeopleSoft - Proprietary Language
Visual Manufacturing - Gupta
SAP - Proprietary Language - ABAP

To determine the technology platform of an ERP software product you can do several things :

Check the Internet search engines for product information
Go to the ERP vendors web site - check the job postings - what kind of developer skills are needed
Ask the vendor to supply a list of all files that are installed and all run time licenses that will be deployed
If the vendor offers a source code option ask what development tools are required

What’s is Microsoft .NET? What’s in it for me?

Microsoft .NET (pronounced “dot net”) is a completely new development platform. There is a lot of press and hype about .NET. What will .NET do for you and your company?” Microsoft has incorporated many significant improvements into this completely new platform.

This platform offers many tangible benefits for both manufacturing companies and ERP developers:

Many ERP vendors with products using outdated technology will require a huge development cost and a complete rewrite to fully incorporate .NET. Many vendors will add minimal .NET functionality to be able to state their products use .NET. Seradex is very well positioned to immediately convert to .NET technology and has already converted all E-Commerce Modules to .NET.

How Many Users Can I Have?

Currently our customers have between 10 to 100 users. A Microsoft Access database can be used for smaller companies while a SQL database is required for larger companies. In practice Seradex ERP system performance can be continually be improved by the choice of the database, workstation, server, Ethernet switching and network equipment.

Transaction processing speed and system scalability are crucial criteria when selecting an ERP system. You need to know your new system will be able to easily handle existing transaction loads, with the ability to manage significant increases should your business experience exponential growth. Tests by Microsoft involving data entry on several core modules sales, purchasing, receivables, payables, general ledger) on the SQL database and an IBM 8500R server with eight processors simulated more than 134,000 transactions per hour being entered by more than 2,400 users.

At the volume of users and transactions included in these tests, Great Plains applications used between 16 percent and 77 percent of the available server CPU capacity, indicating opportunity for continued growth and increased scalability.

Should I Buy ERP source code?

Seradex is an 'off the shelf' package run by thousands of users. The software is flexible and sophisticated and you are buying a product whose cost is amortized over the user base.

The other type of software that you may use is custom software developed for your particular organization. There are various advantages and disadvantages to both approaches. Why would someone want to buy the Source Code? The reasons commonly given for buying source code are:

It protects your Business: if your supplier goes out of business, you can still support your applications.
You can customize the application to conform exactly to your requirements
Users may find it easier and to use as you can remove unnecessary functionality
You can incorporate business processes that are specific to you and which do not exist in any packaged solution

Seradex has incorporated a vast array of flexibility into our software to enable us to tailor the system to your business processes. In addition because of our Microsoft .Net technology platform mini business process modules can be attached to the main system without altering the main product's source code.

Seradex is also incorporates data base independence so you can choose whatever database offers you the best competitive advantage including Microsoft SQL, DB2 and Oracle. The database is completely accessible to you so you can integrate any other application or business process at the database level.

By using Crystal Reports as our standard Report Writer you can customize or add additional reports. You can also use any other report writer or business intelligence tool to process or display information.

If you take on the project of modifying source code be prepared for large expenditures and stranding yourself on the current version of the ERP system. This makes upgrades impossible or prohibitively expensive.

Will Seradex ERP work on Linux?

Seradex is a technology agnostic. We will use whatever technology that offers our customers the best solution at the lowest cost. You will find many ERP vendors that proclaim they use Microsoft technology and nothing else. These web sites can look like they were sponsored by Microsoft. While Seradex uses Microsoft technology and in fact was the first ERP vendor to release a 100% based Microsoft ERP solution - we did it for one reason. It offered our customers the best solution at the lowest cost.

The Seradex ERP solution is database independent. Seradex uses Microsoft programming languages and requires users to have PC's with a Microsoft operating system. Most Seradex customers currently deploy network servers using Microsoft Windows 2000 and run the Microsoft SQL Server 2000 database.

However, you can elect to use different technology for your network server and database. Seradex offers the following server and database technologies:

Windows 2000 Server

Running an IBM DB2 SQL database
Running an Oracle SQL database

Linux Server

Running an IBM DB2 SQL database
Running an Oracle SQL database
Running PostgreSQL

This approach leaves you flexible to adopt whatever technology that offers you the best performance at the least cost. It also means that no technology supplier can use monopolistic licensing fees practices.

Can Seradex ERP use Web Services?

Web Services are becoming an important future technology for manufacturing companies. The latest technology from Microsoft (.NET) offers a Web Services infrastructure. Web Services allow software programs to exchange or process information over the Internet. This allows network servers, PC's, hand-held wireless devices and cell-phones to easily exchange and share information.

This means software programs can be developed to allow customers, suppliers and employees access to real time information.

Seradex has begun to utilize Web services and these will play an increasing role in future development. In many cases the trading partners of Seradex customers do not have the infrastructure to interact on a Web Service level. As more companies improve their ERP software the use of Web services will play a central role in E-Commerce.

Security and your ERP System

The balance between making data available to the users that need it and denying it from those who should not have access is not easy to achieve. To manage this risk your company needs to implement an appropriate access strategy. Do not wait for an embarrassing – and potentially devastating – event to find out that security and controls in your ERP system are inadequate and constitute exposure for your company.

Consider the following security issues:

Are you certain that sensitive information cannot be displayed to unintended users?
Can critical functions only be performed by the right people in your organization?
Does your ERP system give your users access to all the relevant information, to make the optimum decisions?
Do your E-Commerce requirements have a security plan developed?
Are you confident that you have appropriate security and control over your data?
Will you comply with external and internal audit requirements?
Will you eliminate the disclosure of confidential information?
How reliable is your network and ERP system

Managing the security of ERP information into and out of your organization has never been more critical – or more challenging. As businesses grow, their information systems support whole communities of users: customers, suppliers, partners and employees, who all count on the secure exchange of a wide variety of information to place orders, pay bills and keep records up to date.

Customers, vendors, partners and employees all need access to the right ERP information at the right time and, increasingly, from anywhere. Yet these users work on many different systems and access data from multiple locations. All have different passwords and authorizations.

Initiatives like on-line order-tracking to improve customer service, e-procurement to reduce costs or integrate supplier systems, and virtual private networks to provide information access anytime, anywhere are additional factors that have increased the need for ERP security. Increased outsider access to ERP systems. You must not only manage the security issues of your own employees, but also increasingly those of customers, suppliers and other business partners.

Seradex ERP along with Windows 2003 Server addresses your security needs in authentication, access control and user management. An integrated solution identifies the user, determines what the user can do, determines the level of trust the user should receive, protects your data.

Our ERP security specialists have the expertise, tools and methodologies to make sure that your Seradex ERP system includes a tailored, cost-effective security approach that dovetails with your firewall, virus scanner, spam control and tape backup systems.

What Reporting Tools and Options are Available?

Seradex includes a wide array of management tools that link your strategic objectives to specific activities. We provide a set of strategic and tactical indicators focused on your primary objectives and feedback communication for course corrections.

Seradex offers the following reporting capabilities:

Key performance indicators - compare Actual Results to Strategic Plan Targets
Over 200 Standard Seagate Crystal Reports in various formats including: paper, pdf or via the Web
Balanced Scorecards
Ad Hoc Analysis - linking live Data to Microsoft Excel
Event Alert - email alerts when specified events have occurred

ERP Implementation Issues

Does Seradex have a proven Implementation Approach?

Seradex has developed a structured seven-step implementation plan based on many years experience. This approach is our Rapid Implementation Methodology or RIM. We have all heard and read about horror stories of cost overruns and cancelled ERP projects. Project management and control is critical to the success of the project.

Seradex ERP offers the functionality, technology platform and implementation expertise to help you realize the full benefits of an ERP solution.

Does Seradex use contractors and third parties for implementation?

It's not pretty out there. Companies have spent fortunes on ERP software and implementation only to find that business performance has not improved at all.

Unlike most other ERP firms in the market Seradex uses employees exclusively for implementation. Most ERP firms use sub contractors, dealers, resellers or consulting firms for implementation. The problems with this approach include

Contractors leave your project mid stream for a job or more profitable opportunity - this leads to time and cost overruns
Contractors implement multiple ERP systems and are frequently learning on the job at your expense
The most popular source of contractors is you the employer - employees are recruited for higher paying consulting
Because Seradex is one organization - "you have one neck to wring" for non performance

Seradex does extensive training in project management and software functionality for all its implementation staff and we believe this is a significant factor in our implementation successes. This allows us to completely control the quality of the implementation directly and make sure you get up and live quickly.

Should you implement ERP with the BIG BANG or Rolling Thunder approach?

"Big Bang" means you stop using your existing system one day and your entire company goes live on the new system the next day. The alternate approach is a phased, module by module, implementation - (I call this approach the "Rolling Thunder". The problem with Rolling Thunder approach is that in an integrated system each module relies on information from other modules.

I strongly recommend big bang for the main modules (sales orders, production and purchasing). Other modules like human resources, document management, maintenance and even financials can be implemented later. The critical step in successfully implementing the Big Bang is proper testing.

I recommend a conference room pilot approach where computer work stations are set up in a room to represent each of the major tasks of customer service /order entry, planning, goods-in, stores and finance. At least 50 orders should be completely processed through all the modules and carefully reviewed. No company can afford to justify a complete parallel run and you will spend more time trying to reconcile the two systems including data entry errors, different reports, cut off dates and so on.

Provided the conference room pilots above have been run properly at all three stages, project team, management and users, the least risk strategy is to cut-over with a clean break from the old methods (Big Bang). The conference room pilot increases everyone's confidence in the cut-over and highlights any short comings that need to be corrected. Seradex ERP offers the functionality, technology platform and implementation expertise to help you realize the full benefits of an ERP solution.

Can you transfer or convert the data from my current system into Seradex?

Seradex has a complete set of data transfer utilities. Item master, bills of material, inventory as well as Sales Orders, Invoices, Purchase Orders can all be transferred. A major factor in changing systems is losing access to all the sales and transaction history.

If you are changing item numbering systems or bill of material structures we can also accommodate this. Your Seradex project manager can discuss these options in more detail. Depending on the quality of the data in your old system and the amount of data sometimes the most effective solution is to have data entry personnel punch in the data directly.

We may need technical support for our new ERP system. What is your policy?

Good question. We have annual maintenance packages that include various technical support options. We also can provide technical support on a per incident basis.

Most support problems can be handled easily over the phone, but should it be necessary, we can use software to log in directly to your system and take care of any problems you may be having. The bottom line is that you can rely on us to provide you whatever level of support you may need.

Senior Management and ERP

Companies that implement ERP software continue to make the same mistakes that were made 10 years ago. They fail to monetize the intended business benefits while spending more than planned. At the heart of the matter is a chronic lack of knowledge and commitment on the part of senior management.

Senior management continue to view an ERP implementation as an IT project rather than the company wide business endeavor that it is.

Senior management must become more engaged in ERP implementation: While training for project teams and end users is a staple of all ERP projects, too little attention is paid by senior executives after the purchase decision is made. While senior management commitment to an ERP endeavor must include both sufficient funding and executive sponsorship, it is imperative that such sponsorship be more enlightened about ERP issues before the implementation commences to ensure that paramount business issues do not become lost in the fog of an IT shuffle.

We have limited IT resources - will we need to hire a full time IT person?

The Seradex ERP system is ideal for organizations with limited IT resources. We have many features to reduce system administration efforts including AutoUpdate, AutoBackup and Auto Database Maintenance. In addition Seradex offers remote administration where we can provide support from our offices. Once the system is set-up and installed, it the only routine maintenance and system administration required is adding new users or changing user security profiles

Is the system scalable? Can we add new users at a later date?

Your Seradex Administrator can create new users, and there is no limit to the number of users. The number of users who can log-on to the system at any one time is however, limited by the number of concurrent user licenses you have purchased. Additional user licenses can be purchased at any time.

What training issues should I consider when implementing an ERP system?

When considering training for your new ERP system you can be faced with many issues and questions. Here are a few questions for you to consider:

1. Is the training curriculum designed for the new organizational roles and tasks?

Dozens of new tasks will be defined during the ERP implementation process. These tasks will be assigned to redesigned roles within the organization. Training should be designed to develop new skills for people who will be taking on new roles and tasks.

2. Are the training materials tailored to different learning styles?

Each organization acquires ways of learning that are unique to its operations and culture. Training standards should be designed up front that optimize learning within your organization. These standards form the foundation for how training will be developed, delivered and perceived by the end-users.

3. Is the training customized for your specific business?

Seradex provides "off-the-shelf" ERP training materials, and in general, they offer an excellent overview of the Seradex system and its modules. However, they are not designed to address your unique business needs and processes. Seradex can work with your implementation team to develop effective, successful customized training for your organization: customization that is ultimately crucial for your employees' and organization's productivity.

4. Are the learning materials developed by experienced instructional designers?

Adult have different learning styles, and Seradex offers you skilled and experienced adult learning experts to develop training that will address the learning styles within your organization. Studies have shown that this approach is significantly more effective than using technical experts and consultants to develop end user training.

5. Is delivery of end-user training planned for a date close to the 'go-live' period?

Seradex delivers training on a Just-In-Time basis to minimize the time span between training and application of training to daily tasks. Other ERP companies can schedule end-user training on an ad-hoc basis reducing the effectivity and increasing training costs.

7. How is end-user training delivered?

Seradex offers a mix of delivery methods including: Train the Trainer, Classroom, Self Study manuals and Computer Based Training as well as Web based training. Web based interactive delivery is becoming a highly cost effective method to be added to the delivery mix.

8. What about end-user support after the Go-Live?

Considerable knowledge transfer happens after you Go Live. We recommend you schedule follow-up reinforcement aids and communication.

9. How do we assess end-user training levels?

10. How is on going training addressed?

Training should continue beyond the Go Live to accommodate employee turnover, system changes and more sophisticated use of the new system.

11. What approach and tools will you use to make sure successful knowledge transfer between Seradex and our personnel occurs?

An approach that emphasizes instructional design will translate knowledge from the system and project experts to your personnel. Proper design of the training project identify requirements that exist after system implementation.

ERP - What Happens after the Go Live?

Treat the day your ERP project goes live as the start of the next phase of your journey. An ERP implementation represents much more than simply a project. Typically, your upfront investment is large, but the life expectancy of the application should lie somewhere between 10 years and 20 years. You've already established your team and given it several months to bring the project to its launch date. So why would you disband the team a month after the project goes live?

By retaining a subset of your installation team, its members can enhance the ERP application, handle bottlenecks, tweak and improve the system, look for continual productivity gains — and learn. This subset should be made up of both business and technical personnel.

ERP Modules
Industry Solutions

Product Configurator
Watch our ERP Video