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Chapter 1 • Introduction to Enterprise Systems for Management 11

User

ERP

Database

Operating System Components

Hardware Infrastructure

FIGURE 1-4 ERP Components Integration

attention to the business processes and people components. Both people involvement and
process integration will need to be addressed from the very early stages in the implementation
plan. Staff must be allowed to play a key role in the project from the beginning. As shown in
Figure 1-4, each component must be layered appropriately and each layer must support the
efficiency of the other layers. The layered approach also provides the ability to change layers
without significantly affecting the other layers. This can help organizations lower the long-
term maintenance of the ERP application because changes in one layer do not necessarily
require changes in other layers.

ERP Architecture

The architecture of the ERP implementation influences the cost, maintenance, and the use of the
system. A flexible architecture is best because it allows for scalability as the needs of the organi-
zation change and grow. A system’s architecture is a blueprint of the actual ERP system and
transforms the high-level ERP implementation strategy into an information flow with interrela-
tionships in the organization. The ERP architecture helps the implementation team build the ERP
system for an organization. The role of system architecture is similar to the architecture of a
home, which takes the vision of the homeowners with the system components similar to the
wiring, plumbing, and furnishings of a home.
The process of designing ERP system architecture is slightly different from other IT
architectures. Whereas other IT architectures are driven by organizational strategy and business
processes, if purchased, ERP architecture is often driven by the ERP vendor. This is often
referred to as package-driven architecture. The reason for this reversal is that most ERP vendors
claim to have the best practices of their industry’s business processes captured in their system
logic. This argument has proven very powerful in convincing organizations to spend millions of
dollars for the ERP package. In order to leverage this investment and maximize the return on
investment, an ERP implementation is driven by the requirements contained in the package.