A

Project Report
On
How ERP Works in
HCL INFOSYSTEMS LTD
Submitted to
Shri Chimanbhai Patel Institute Of
Management and Research
Affiliated by
Gujarat Technological University

WHAT IS ERP ?

ERP is a process of managing all resources and their use in the entire enterprise in a
coordinated manner.

Support business through optimizing, maintaining, and tracking business functions.

ERP gives a company an integrated real time view of its core business process such as
production, order processing, inventory management, sales, accounting and human
resource applications.

ERP systems track business resources and the status of commitments made by the
business, no matter which department has entered the data into system.

HOW ERP WORKS ?

PROD UCT
PLANNIN
G

BUSINESS
ANALYTICS

SUPPLY CHAIN
MANAGEMENT

FIN ANCIAL
ACCOUNTING
MANAGEMENT

INVENTORY
MANAGEME
NT

SALES FORC E
AUTOMATION

SUPPLIER
INTERACTIO
N

REASONS FOR ADOPTING ERP

Integrate financial information.

Integrate customer order information.

Standardize and speed up operations processes.

Reduce inventory.

Standardize Human Resources information .

Common definitions.

Common database.

LIMITATIONS OF ERP

High cost.

Forced change of processes.

Very complex software.

Lack of trained people.

Flexibility of software system upgrades.

Implementation timelines.

Availability of internal technical knowledge and resources.

Education and training.

COMPONENTS OF ERP
There are five components of the Enterprise Resource Planning.
1. Inventory (Material) Management
It not only manage procurement, stocking, warehousing but also
manage Supply chain management, budgeting and all material movement part also.
Basically it can help organization to reduce material carry cost, logistic cost, material
purchase cost.
2. Sales & Distribution
Sales Agreement, Order Management, Invoicing, Picking, packing,
dispatch, Customer acknowledgment all these are the sub modules/parts of sales and
distribution module. It is manages the execution and delivery of each order as per the
schedule. It helps to do the forecasting of demand and production.
3. Finance Management
It is the module which linked with each and every module of ERP.
Basically each financial transaction are gone through this module. Either you want to do
salary of employee or payment to supplier or you want to receive payment form
customer. It helps to do budget control too. Real time online accounting helps allot to
finance department.
4. Production Planning
Manage or plan the production of organization, Do the proper planning
according the availability of resources (Man, Material, Machine and money too).
5. HRMS & Payroll
A basic HRMS & Payroll module used to manage the records of
employee, leave management, time & attendance management, salary execution. If
advance case it includes HR Policy management, Performance, appraisal, recruitment,
too.

VENDORS OF ERP SOLUTION

ENTERPRISE RESOURCE PLANNING

IN

HISTORY OF HCL
HCL Technologies Limited is a global IT services company,
headquartered in Noida, Uttar Pradesh, India. Originally the research and development
division of HCL Limited, it emerged as an independent company in 1991 when HCL
Limited ventured into the software services business. HCL Technologies (often called
Hindustan Computers Limited) offers services including IT consulting, enterprise
transformation, remote infrastructure management, engineering and R&D, and business
process outsourcing (BPO).
The company has offices in 32 countries, and operates across a number of
industry verticals including aerospace and defence, automotive, consumer electronics,
energy and utilities, financial services, government, independent software vendors,
industrial manufacturing, life sciences and healthcare, media and entertainment, mining
and natural resources, oil and gas, public services, retail and consumer, semiconductor,
server and storage, telecom, and travel, transportation, logistics and hospitality.

WHY ERP IN HCL ?

Providing just the right blend of services with flexible pricing, HCL Systems can
meet your needs, with an ability to mobilize or ramp down the right resources to meet
your needs. With our proven delivery models and Metrics-Driven management
approaches, HCL Systems effectively reduces your risk and reduces the cost of
implementing and managing your ERP installation.
ERP solutions and services from HCL Systems are geared to address all the segments
of the market. The salient features of our ERP Service offerings are:

Focus on SAP, People Soft, Oracle and JD Edwards

Proven methodology for offshoring ERP Application Maintenance and Support
(AMS)
Expertise in new-generation technologies and extended ERP solutions
An industry leading onsite-offshore model additionally helps to lower the Total Cost
of Ownership (TCO) of the ERP applications.
offers implementation, upgrade, rollout, development and application management
services in ERPs such as SAP and Oracle.

HCL'S CORE SAP PROPOSITIONS INCLUDE

Business digitalization deploying SAP technology to deliver radically transformed

business processes and proposition.
IT digitization deploying new SAP products to increase IT agility and optimize
channels of customer engagement.
Cost reduction including instance consolidation and simplification.
Global application design and deployment where our industrialized approach to
global rollout significantly reduced both risk and cost.
Applications management services where we focus on minimizing spend on incident
management and systems administration and instead focus upon value generation and
true support of business processes.
Factory services including development, testing, UX, and mobile applications.

IMPLEMENTATION OF AN ERP SOLUTION

Support the changing needs in materials, production and inventory management and
distribution of its growing domestic and international markets.
Standardize processes and information systems to obtain a consolidated view of the
business. For instance, all business units were decentralized and had different
business processes. There was no timely data, and transparency was low, making it
difficult for management to run an expanding business.
Manage the complex pricing and distribution channels, as well as the divergent
country-specific issues and regulations.

SOLUTION BY HCL

Implementation of a highly customized but scaled-down SAP solution, which was

supported by on-site consultants to carry it out successfully.
Understanding the actual working environment, issues and concerns among the
workers of the client to provide tailored training and support for them during the
entire engagement
Re-engineering of the groups business processes to SAPs standards by minimum
customization of the SAP application.

BUSINESS BENEFITS OF ERP

Integration between the logistics and finance departments improved data integrity and
eliminated data duplication. Offices and plants from Malaysia, Indonesia, Singapore,
China, Hong Kong, the U.S. and Australia are working on a centralized SAP system
with improved visibility to management.
Reduction in operation costs and increased productivity as a result of having a
uniform business process, better inventory control, and automation in production
planning.
Integration of the PDA with the SAP solution enables real-time business information
availability to the mobile sales force.
Reduction in book closing time at the branch offices and head office.

INFORMATION TECHNOLOGY (IT) SIDE BENEFITS

Reduced ERP implementation costs due to a common template

Reduced application maintenance costs
Lower integration cost due to standard interfaces
Lower infrastructure costs

FUTURE MOVES IN HCL

UK, N. America, Australasia, 12th June 2014 - Research released today by HCL
Technologies has revealed that $39 billion of SAP landscape could move to the cloud in
the next two years, as large enterprises plan to migrate 46% of their existing SAP onpremise environment.
It revealed that 45% of organizations have increased their SAP cloud investments over
the past year and that they expect to nearly double these investments in the next 12
months.
The global survey of 100 large enterprises with revenues in excess of $1 billion was
commissioned by HCL Technologies and conducted by independent research company
Vanson Bourne.

CONCLUSION

ERP is a key backbone application for companies in a fast changing industry like HCL.
ERP implementation are usually outweighed by the benefits.
It is fundamental to enhancing the competitive position of a company in the dynamic
environment of the IT industry today.