ACC 444 Chapter 6 Exam Questions With
Complete Answers
Stages of the ERP life cycle - ANSWER 1. Planning
2. Package selection
3. Implementation
4. Operations and Maintenance
Software implementation - ANSWER a structured approach to integrating
software into the workflow of an organizational structure thereby transforming
business operations
Configuration - ANSWER determining which options will be switched on or off
and what entries companies will make into various tables to make ERP systems
meet their particular needs (ERP systems are developed as vanilla software, so
they must be configured)
What are configuration tables - ANSWER Configuration tables provided bu the
software manufacturer allow the firm to tailor a particular aspect of the system
to the way they do business (meet specific customer needs)
Example: currency & language, who approves customer credit, fiscal year end
etc.
Vanilla implementation - ANSWER Use only the configuration options available in
the ERP system to tailor the software to the business (so no customization)
Customization - ANSWER involves modifying the code or adding code to the
system to make it fit the customer's needs (requires programming)
-should only be done for competitive advantage or due to a
compliance/legislative requirement
Modifications vs. Bolt ons - ANSWER Modifications- type of customization that
changes the core code (should be avoided if possible)
Bolt ons- may be an answer to some customization's
Different types of customimzations - ANSWER Reports- may need to write
custom, company specific reports to replace those native to the sunset systems
Interfaces- connecting ERP with other systems so that data can pass back and
forth
Conversions- programs must be written to extract the data from legacy systems
and load it onto the ERP system
, Enhancements- add to the standard code instead of changing the core code
(make use of user exits)
Forms- any additional screen displays not standard in the ERP system must be
programmed
Disadvantages to customizing ERP software - ANSWER -involves risks that can
only be eliminated with testing
-expensive, must be functional and technically correct
-heavy customization may detract from other important elements of the ERP
implementation
-don't add value initially
-can limit company's ability to upgrade in the future
-ERP vendor does not support code if they didn't provide it
-may be difficult to integrate with other systems
Conference room pilot - ANSWER Used to support activities such as
configuration, customization, data migration, and testing
-define/document desired end to end business processes and workflows
-identify gaps and areas of change between the new system and the old
-recognize the impact of changes on affected departments and estimate training
needs
-understand strengths/weaknesses of ERP software
-test the system prior to go live
Data migration - ANSWER the process of moving master and transaction data
from legacy systems being retired into the new ERP system
-ETL (extract, transform, load) can include moving whole data entries or data
fields into the ERP system from areas that are being automated for the first time
-common mistake is to simply transfer data
^company should consider the depth (transaction)/breadth (master) of the
scope
Data migration process - ANSWER 1. Data extraction- taking data out of existing
legacy systems and databases
2. Data collection- compiling new data not already automated
3. Data cleansing- changing the format of data into what is required by new ERP
system
4. Data harmonization- standardizing data, often from different sources, into a
common format
5. Data loading- putting data into an ERP system
Testing - ANSWER Confirms that data has been loaded successfully and the
system behaves as expected
-should be performed on the hardware, network, and entire IT infrastructure
supporting the ERP
Complete Answers
Stages of the ERP life cycle - ANSWER 1. Planning
2. Package selection
3. Implementation
4. Operations and Maintenance
Software implementation - ANSWER a structured approach to integrating
software into the workflow of an organizational structure thereby transforming
business operations
Configuration - ANSWER determining which options will be switched on or off
and what entries companies will make into various tables to make ERP systems
meet their particular needs (ERP systems are developed as vanilla software, so
they must be configured)
What are configuration tables - ANSWER Configuration tables provided bu the
software manufacturer allow the firm to tailor a particular aspect of the system
to the way they do business (meet specific customer needs)
Example: currency & language, who approves customer credit, fiscal year end
etc.
Vanilla implementation - ANSWER Use only the configuration options available in
the ERP system to tailor the software to the business (so no customization)
Customization - ANSWER involves modifying the code or adding code to the
system to make it fit the customer's needs (requires programming)
-should only be done for competitive advantage or due to a
compliance/legislative requirement
Modifications vs. Bolt ons - ANSWER Modifications- type of customization that
changes the core code (should be avoided if possible)
Bolt ons- may be an answer to some customization's
Different types of customimzations - ANSWER Reports- may need to write
custom, company specific reports to replace those native to the sunset systems
Interfaces- connecting ERP with other systems so that data can pass back and
forth
Conversions- programs must be written to extract the data from legacy systems
and load it onto the ERP system
, Enhancements- add to the standard code instead of changing the core code
(make use of user exits)
Forms- any additional screen displays not standard in the ERP system must be
programmed
Disadvantages to customizing ERP software - ANSWER -involves risks that can
only be eliminated with testing
-expensive, must be functional and technically correct
-heavy customization may detract from other important elements of the ERP
implementation
-don't add value initially
-can limit company's ability to upgrade in the future
-ERP vendor does not support code if they didn't provide it
-may be difficult to integrate with other systems
Conference room pilot - ANSWER Used to support activities such as
configuration, customization, data migration, and testing
-define/document desired end to end business processes and workflows
-identify gaps and areas of change between the new system and the old
-recognize the impact of changes on affected departments and estimate training
needs
-understand strengths/weaknesses of ERP software
-test the system prior to go live
Data migration - ANSWER the process of moving master and transaction data
from legacy systems being retired into the new ERP system
-ETL (extract, transform, load) can include moving whole data entries or data
fields into the ERP system from areas that are being automated for the first time
-common mistake is to simply transfer data
^company should consider the depth (transaction)/breadth (master) of the
scope
Data migration process - ANSWER 1. Data extraction- taking data out of existing
legacy systems and databases
2. Data collection- compiling new data not already automated
3. Data cleansing- changing the format of data into what is required by new ERP
system
4. Data harmonization- standardizing data, often from different sources, into a
common format
5. Data loading- putting data into an ERP system
Testing - ANSWER Confirms that data has been loaded successfully and the
system behaves as expected
-should be performed on the hardware, network, and entire IT infrastructure
supporting the ERP
