Breaking through the limit of fine management, Bi

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Break through the limit of fine management, Bi improves the innovative value of ERP management

who can answer these questions

Tiangong Electric Co., Ltd. located in Fujian just now, which is impossible for X-Y recorder. Through the implementation of UFIDA ERP-U8, the effective control of production costs and the substantial reduction of inventory have been achieved. After successfully solving the two thorny contradictions of production costs and capital turnover, there are still several problems to be solved in the hearts of the top management of Tiangong

although the production cost is reduced to the greatest extent through the purchase, sale and inventory of ERP and production management, the overall environment of the motor industry with oversupply and overcapacity still makes Tiangong motor survive under great pressure. For the motor manufacturing industry, the average% gross profit margin is still threatened by various factors, such as the rise in the price of raw materials, the increase in the wages of local workers and so on

OEM OEM motor and water pump products manufactured by Tiangong for foreign manufacturers have large shipments, but low profit margins and low risks. Although the European and American markets developed by the foreign trade department of Tiangong through foreign agents have rich interest rates and shape the Tiangong brand, the shipments are unstable and the risks are greater. How should the top management of Tiangong make reasonable plans and choices in these two different business models and product structures

motors and water pumps are highly competitive labor-intensive industries. In addition to Fu'an, there are strong competitors everywhere. Wenling enterprises, which are famous for their low-cost manufacturing capabilities, not only have the advantage of transportation costs close to the port, but also the labor costs are comparable compared with Tiangong motors. In the competition of various order businesses, what if Tiangong electric can plan the quotation and product line that are most suitable for the enterprise on the basis of understanding the situation of its competitors

in order to survive in the next three or even five years, Tiangong electric needs to make strategic investment with limited funds. Is it to focus on purchasing plant machines to expand productivity or to specialize in the research and development of new motor products and related technologies

who can answer these questions? Patting your head is undoubtedly the most irrational method. The ERP system just launched seems to be unable to give a direct answer. Although the optimization of enterprise cost and efficiency has been achieved by controlling the enterprise management process, it seems that the basic application of ERP has begun to be limited at the level of serving business decisions

from low-cost advantage to management innovation

in fact, Tiangong motor is the epitome of tens of thousands of small and medium-sized manufacturing enterprises. Together with "made in China", they are at the turning point of upgrading from "absolute low-cost advantage" to "innovation and improvement of comprehensive competitiveness"

"as long as the Chinese do it, others will not do it; as long as the Zhejiang people do it, other Chinese will not do it." The "magic" of this proverb is disappearing, because economics tells us that the advantage of labor cost is transferred by mobility. Western enterprises can produce cheaper textiles, and India and Vietnam can also assemble machines cheaper

to surpass the single low-cost advantage, enterprises can make innovation efforts in many ways, including new technologies, new products, new investments, and new business models. When the complex management demands of enterprises go beyond simple low cost and high efficiency, does ERP, once a powerful management tool, also have limitations

the answer is yes. The current common ERP has two dimensions in management, one is to reduce the absolute value of cost, the other is to improve the capital flow rate. From the perspective of microeconomics, the core meaning of both is to reduce the cost

what are the three core issues that CEOs of manufacturing enterprises are concerned about today? The first is the profit margin and business model of the enterprise, including finding the next blue ocean of the enterprise, the second is the operating cost of the enterprise, and the third is the situation and strategy of competitors

the current general ERP products cannot solve all the problems. ERP can't answer which product line has more profit space, which business model is more valuable, and what direction the business structure of the enterprise will develop in the future. ERP can't also answer that the enterprise will formulate prices and competitive strategies according to the situation of its competitors

erp realizes the real-time management and optimization of enterprise business processes, and also accumulates a large amount of relevant data of finance, sales, production, procurement, customers and employees in the operation. To make business decisions for CEO, in fact, it should rely on these valuable enterprise resource data

the development of information technology has always been ahead of application practice. Bi (Business Intelligence) business intelligence, which emerged ten years ago, is a tool for enterprises to transform existing data into knowledge and help enterprises make wise business decisions. Technically speaking, it is to comprehensively apply data warehouse, OLAP, data mining and other technologies to realize the collection, management and analysis of a large amount of data in enterprises, convert these data into useful information, and then apply them to enterprise management. Consulting management experts tell us that Bi can well solve the profit space decision and competitive strategy decision that ERP cannot solve

however, is Bi, an expensive technology that seems to be promoted only in high-end industries such as banking, finance, telecommunications and aviation, really suitable for these small and medium-sized manufacturing enterprises with small scale, little capital and immature management system

bi is not sunny

in fact, Bi software is not really sunny information "aristocracy". According to Gartner's analysis, with the deployment of ERP and CRM systems by small and medium-sized enterprises, a large number of materials and data have been accumulated. They hope to have good tools to use these data to make better decisions, so Bi has become the technology most concerned by small and medium-sized enterprises

however, there are actually two core problems to be solved if we really want small and medium-sized enterprises to begin to contact Bi. First, whether it is simple and easy to use and can meet the enterprise's own business management decisions while carrying out appropriate personalized requirements for degassing strategies; Second, whether there is an acceptable price? It is not easy for small and medium-sized enterprises to spend a certain amount of money to buy hardware and software to implement ERP. Generally, it is unrealistic for BI products to have millions of software prices and expensive implementation service fees

the difficulty in solving these two contradictions has always been the fundamental reason why Bi applications in small and medium-sized enterprises are still difficult to promote after the demand has emerged. The products launched by Bi manufacturers at home and abroad are not only expensive, but also generally must be implemented by consulting projects, which is not only extremely expensive but also huge

enterprise management informatization experts pointed out that the integration of business intelligence and existing ERP software is actually the most suitable Bi implementation way for small and medium-sized enterprises, because as long as a simple installation and configuration, the source data in ERP can be automatically identified, just like the data of other systems can be automatically classified into Bi systems, and even the data of access and excel can be automatically imported into the system

therefore, domestic ERP manufacturers have also launched ERP products with centralized Bi, but the business decision support of Bi is a very personalized demand. Some enterprises are concerned about pricing strategies, some enterprises are concerned about customer value, and some enterprises are concerned about business structure. The personalized needs of enterprises are difficult to meet and the effect is discounted

the promotion of Bi in small and medium-sized enterprises actually waits for the innovation and opportunity of a model

UFIDA +business objects+ UFIDA Tianchuang Consulting: popularize Bi applications in small and medium-sized enterprises

as UFIDA software with 500000 ERP users, it has long felt the Bi needs of the majority of small and medium-sized enterprise users. The vice president of UFIDA ERP and deputy general manager of ERP business department told qihan that among the ERP users of UFIDA, most enterprises hope to get support for business decisions from a large amount of enterprise business data. At the same time, Enterprise bosses hope to extend ERP applications to their desktops. However, it is impossible for the general manager to enter the ERP system to operate specific business data. Among the customers I visited, many general managers told me, "I personally participated in the implementation stage of ERP modeling. Now ERP is online, and the upstream, middle and downstream industrial cooperation and supporting capacity are not strong. Enterprises' procurement, production, finance and other businesses are running on ERP, but I can't feel the relationship between ERP and me"

in order to fully realize the upgrading of ERP application and the popularization of Bi, ERP application is extended to the desktop of enterprise managers, UFIDA launched a new Bi promotion model for small and medium-sized enterprises in September 2007, that is, UFIDA software, strategic partner Bo company (business objects) and UFIDA Tianchuang consulting jointly launched an ERP-U8 BI system for small and medium-sized enterprises. B0 company has a world-class Bi product platform, which contains advanced BI application model and decision analysis mode; On this basis, UFIDA has developed BI products suitable for small and medium-sized enterprises, and can be perfectly combined with the existing ERP system of the enterprise; Tianchuang consulting combines the current situation of small and medium-sized enterprises to provide enterprises with value-added consulting services and brand-new services of remote delivery centers before applying antirust oil

UFIDA software is a local management software manufacturer that knows the application needs of enterprise managers best. Business objects is a global excellent Bi software supplier, and UFIDA Tianchuang consulting has rich experience and talents in the implementation of Bi management consulting. Can this ambitious solution achieve the popularization of Bi and the in-depth application of ERP? It also depends on whether the two basic contradictions of Bi small and medium-sized enterprise promotion can be solved

"this ERP integrated solution will be an initiative to promote the use of Bi by small and medium-sized enterprises", Gao Shaoyi, President of UFIDA Tianchuang consulting, told, "small and medium-sized enterprises can now easily implement this ERP integrated solution". Because of the integration of ERP-U8 and Bi software, first, the capture of source data becomes simple and universal; Second, both UFIDA and Bi companies have accumulated rich management models and decision-making business needs of manufacturing enterprises. It is enough to turn these needs into products by industry and enterprise type. The personalized needs of enterprises are solved in the management consulting of UFIDA Tianchuang

as for the price, it is also "people-friendly". Gao Shaoyi told that this system will reduce the overall cost of Bi implementation by at least 80%. First, because of the integration of Bi and ERP, a lot of source data search, capture and analysis work are saved, and a large amount of implementation service costs are saved. Second, it is also very important that through the Bi product setting divided into design layer and browsing layer, UFIDA Tianchuang can easily realize and determine various personalized needs of customers in the form of report design, so that remote network interactive consultation can also realize the originally complex Bi project consultation, which means that the user cost is greatly reduced

Gao Shaoyi, President of UFIDA Tianchuang consulting, explains this innovative Bi promotion mode "First, the standardization of source data solves 70% of the Bi workload. Second, remote delivery. We will give users a set of standard templates for filling in requirements. The templates describe the requirements according to the standard of U8. Then, in the open platform of U8, users' Bi indicators can easily personalize to form various interfaces, and finally provide decision support for the CEO." In this way, the convenience and low cost of Bi implementation are realized

can the combination of the top three really bring ERP a brilliant leap forward in the era of low cost? UFIDA, business objects, Tianchuang and users will give us the answer. (end)

Copyright © 2011 JIN SHI