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General plan on information technology application through building information systems and E-commerce activities implementation at Tran Anh Digital World JSC I ABOUT THE COMPANY Company Name: Tran Anh Digital World Joint Stock Company English trading name: TRAN ANH DIGITAL WORLD JSC Address: 1174 Lang, Lang Thuong Ward, Dong Da district, Hanoi Business license and enterprise code number: 0103018927 Registration 13th changed by The Department of Planning and Investment in Hanoi issued on 05.30.2013 Legal representative of the enterprise: Mr Tran Xuan Kien – Chairman The process of formation and development: Tran Anh Digital World Joint Stock Company was established under Decision No 0102004703 by the Department of Planning and Investment of Hanoi City dated on 03/11/2002 The company was officially changed from Ltd model to JSC model with a new name: Tran Anh Digital World JSC from the date 08/08/2007 in the certificate of registration business number 0103018927 by Department of Planning and Investment of Hanoi From the foundation, Tran Anh had only 05 people working in a shop area larger than 60m2 After nearly 12 years of operation, the current company size has increased with more than 1000 employees and 10 locations with business area 27.000m2 Inherent operational processes, the development of Tran Anh events and business policy breakthrough, pioneer in the field of business computer equipment such as business policy "to sell at wholesale prices into the hands of consumers”, "warranty" for in months" and "warranty in case the IC is fire and explosion”, policy "committed to refund when the price is fluctuate " etc Thereby, Tran Anh has maintained a high growth rate, all aspects of a comprehensive and sustainable surprising than the name of the other company in the same field Currently Tran Anh is one of Vietnam's leading companies in the field of business technology products Customers trust by Tran Anh policies, commitment and service that many retail electronics company - Computers - Mobile others cannot After a while affirming the field names on business computers - components and digital entertainment equipment, office equipment and mobile phones, dated on 24/12/2009, Tran Anh has expanded into field of Electronics, refrigeration, appliances to electronics Supermarket - Computers - Mobile Supermarkets electronics - Tran Anh Computer has wide space, booth décor scientists create favorable conditions for client visits and product selection Tran Anh Company has a staff of highly qualified professionals (more than 50% have graduated from University and College in Economics, Engineering), can afford to meet all requirements even most demanding of customers Not only that, the staff of the Tran Anh is full of enthusiasm and attitude in the way of customer service All employees in the company are understood Tran Anh: Customers decide the future existence and development of Tran Anh Thus, all the members of Tran Anh Company are always interested in the concept and thought: Serve your customers as we are serving our own Vision - Becoming the largest professional system electronics stores - Computers - Mobile scale in Vietnam - Building Tran Anh to become a professional working environment where all individuals can maximize creativity, leadership and ownership opportunities with a truly high democratic spirit - Building Tran Anh become a really common house for all employees in the company by sharing interests, responsibilities and obligations of a fair and transparent way possible Company core value - Discipline-oriented professional; - Complete service organizations toward top; - Dynamic towards collective creativity; - Committee to the local community and society; - Work and honest actions; - Actions towards efficient and effective social enterprise Company philosophy business - Company culture is the foundation and pillar of development, aggregation and honor all those human elements of business towards the harmonious development and sustainability - Built-in in all the policies and services that the company brought to market all the basic value to the image of an electric company - computer - mobile: Pioneer + Optimal + Standard "Customer Satisfaction is our happiness" is what Tran Anh company staff mind and strive Locations: • HO: 1174 Lang, Lang Thuong Ward, Dong Da district, Hanoi Tel: 1900 545 546 Fax: (84-4) 3766.7708 • Tran Anh - Cau Giay: 1174 Lang, Lang Thuong Ward, Dong Da district, Hanoi Tel: 1900 545 546 Fax: (84-4) 3766.7708 • Tran Anh - Dong Da: 159 Thai Ha, Dong Da district, Hanoi Tel: 1900 545 546 Fax: (84-4) 3537 5324 • Tran Anh - Long Bien: 7-9 Nguyen Van Linh, Long Bien Dist, Hanoi Tel: 1900 545 546 Fax: (84-4) 6257 3532 • Tran Anh - Hai Ba Trung: Dai Co Viet Str, Hai Ba Trung Dist, Hanoi Tel: 1900 545 546 Fax: (84-4) 3766.7708 • Tran Anh - Ha Dong: 110 Tran Phu, Ha Dong Dist, Hanoi Tel: 1900 545 546 • Tran Anh - Ba Dinh: 36 Cat Linh, Ba Dinh Dist, Hanoi Tel: 1900 545 546 • Tran Anh - Tu Liem: Pham Van Dong, Tu Liem, Hanoi Tel: 1900 545 546 • Tran Anh - Hoang Mai: 1283 Giai Phong, Hoang Mai Dist, Hanoi Tel: 1900 545 546 • Tran Anh - Thanh Xuan: Royal City, 72 Nguyen Trai, Thanh Xuan Dist, Hanoi Tel: 1900 545 546 • Trần Anh - Times City: 458 Minh Khai, Hai Ba Trung Dist, Hanoi Tel: 1900 545 546 • Customer service center and guarantee: 1174 Lang, Lang Thuong Ward, Dong Da district, Hanoi Tel: 1900 545 546 Fax: (84-4) 3766.7708 II SITUATION AND INFORMATION TECHNOLOGY APPLICATION SOLUTION Current status of IT applications in Tran Anh Tran Anh also began applying information technology to business processes since 2006, since the company was only business of commodity computers So far, the company has become the supermarket business corporations but on the application of information technology has not developed much First, about the application software, the company has now only financial software management accounting and inventory management software Two applications are currently being operated very well because the whole 02 are ordered separately as requested by company leaders About financial accounting software, in addition to the management accounting profession of the state, this software also doubles as the management of purchases and sales Bill of sale and selling process is also incorporated into this software In addition, system management reports for management as well be ordered separately according to company requirements Similar to financial accounting software, warehouse management software is also made for Tran Anh Company with typical management system with bar code inventory management in detail each component in warehouse All entry and inventory systems use barcode system Second, the e-commerce application, Tran Anh has Website at address www.trananh.vn and personal e-mail inbox Website of Tran Anh always has large traffic All operations on sales, promotion information and consulting services customer care are to be deployed on this Website In early 2013, Tran Anh also joined Facebook - the social networking site to spread the great features of this social network Although current applications are still operating well, however today, the numbers of business locations by Tran Anh are 12 With over 1000 employees and over 100,000 customers, existing applications are not sufficient to meet the current and the system has revealed many shortcomings Financial accounting software with integrated sales management software and connect to the warehouse management software leads to an enlarged database quickly Language and database are built on older technologies should be limited by capacity and processing speeds result in very slow access speeds and frequent errors These problems can be overcome but the speed greatly affects the employee's work and the operation of the system This weakness has led to an inability to connect online with each other selling points Data updated from time to time be pre-booked and are not continuous and online Generally, the software did not meet the real needs of today's limiting and speed of service development Overall solution development and application of information technology in Tran Anh Currently, Tran Anh has 12 business locations electronics stores in Hanoi area with over 1000 employees The larger the enterprise is competitive pressures and pressure as well as higher management The discrete process management, complex information systems, many if not kept pace with changes every hour of reality is the major obstacle for businesses in race improve quality, reduce cost product - services to meet the increasing requirements of customers therefore, the urgent issue of the company is: • How to manage and control the sales policy and sales analysis of business processes? • How to control the situation and planned inventory supply of materials in time? How to plan shopping to serve business? • How to effective analysis as well as the profit and loss for an order? • How to monitor and control the timely financial condition, budgets, expenses and liabilities? • How to capture and timely control the activities of the company and its subsidiaries at anytime and anywhere How managers can quickly grasp the situation changes in the operation of their business to take timely decisions? • How to enter data quickly and accurately, reduce risk, errors in data entry process, while ensuring the safety and security of data? The question posed is quite a headache problem for corporate governance The answer is to have a system of software applications that support a comprehensive and centralized management of all the resources, all the company's data Data is entered only once and is used throughout the operation of the company For example, with an imported item, it will only be entered once and the information about the item that will be managed from the point of purchase until it was sold and moved to the warranty Whether sitting where specialized professionals and executives can also have the same flow of information and updated online Currently, this solution has existed in the world and in Vietnam This is a management software solution for Enterprise Resource Planning also known as ERP With ERP software, all the information will now be managed centrally, as a whole company This is the solution that Tran Anh needs to have in the future III ERP IMPLEMENTATION PLAN IN TRAN ANH Why deploy ERP software? a ERP is the perfect solution for overall stable environment With over 12 years of development, Tran Anh has become a leading company in home appliance business Today, with over 1000 employees, operate apparatus of Tran Anh is running smoothly and the working environment is very stable The stages in the system include consulting order from the customer care until all is done according to standard procedures and customer special praise With ERP solutions, business data will be operated in accordance with existing procedures The flow of information is entered once and saved data transfer across the system in accordance with the process and ensure consistency b ERP solution to improve business efficiency An ERP system with functions such as CRM or sales channel management solution can help businesses increase efficiency of business operations to better cope with the effects of the economy Along with the enterprise ERP can allow business to operate more efficiently while using less manpower, thus saving the cost of wage labor In terms of operational processes, ERP enables businesses to automate business processes manually before and totally eliminate redundant activities, not deliver value In addition, ERP helps businesses to better meet customer needs while reducing inventory costs and transportation c As the trend needs to be done ERP is an inevitable trend because this trend is the result of five other important trends, recognizing trends right age and time to suit changing trends is the most important part in the strategic planning of each company The first relates to the Internet is changing the world every day, every hour If the highway can only shorten the geographical distance, the internet really remove them In other words in future, every company use internet The second is globalization, this trend is due to the initiative developed countries, and underdeveloped countries must be followed In the process of globalization, international competition will gradually replace domestic competition Businesses are no longer in the auspices of the State In the near future, a company cannot afford to lose international competitiveness at the local market Third, the pace of change is faster We easily observe the dizzying change of product design and manufacturing technology to create them If the characteristics of quality '80s, '90s restructuring is characterized by decades in which we live is the speed Access to more information is profoundly changed the lifestyle of the consumer When business activities as required by the market to achieve very high speed, then the business itself has changed In future only those companies with the ability to react quickly to new market changes likely to survive and grow The fourth is the customer's interests which are considered more important than ever; consumers are more knowledgeable, demanding increasingly high and more choice for any products or services In the future the company only needs to understand and meet the interests of new customers have the ability to survive and grow The fifth is the formation of an information society In recent times, we often hear the phrase "knowledge economy" The economy also has another name and information society From a market perspective, such as a hurricane, the information the consumer has changed profoundly and comprehensively They not only have information on pricing, products of a company but also familiar enough information about alternative products of competing firms The access to information is open for businesses new business opportunities Information becomes a competitive advantage So in this context, businesses cannot survive and grow if it lacks personal information Because of the above reasons, ERP is an inevitable trend and Tran Anh is certainly not an exception The typical ERP solutions on the market There are so many ERP vendors in the world and the provider also has presence in Vietnam Some Vietnamese businesses also give some of their solutions, and which dominates the market Each offer solutions is usually applied to a field or a particular industry, a particular business in which the most prominent is FPT, TVE, Oracle, SAP, OpenERP, Fast a Oracle's ERP Solution On ERP Market, Oracle E - Business Suite is known as one of the leading ERP solution in the world The first version - Release From then until 1992, when Oracle launched Release 9, the difference between the later version and the previous version is not much, just a few modules added or enhanced features of previous modules But to Release 10 was released in 1995-1996, the Oracle solution has become a comprehensive management solution that covers multiple array operations such as Financial Accounting, Human Resource, Payroll, Project Management, Purchasing, Sales, supply chain management, production management, business management and marketing Next Release 11 was introduced in 04/1998 was Release 11i first appeared on May, 2000 Since then, Oracle continues upgrade and complete directions to Release 11i and Release 12 will take place in the next few years with significant changes Currently, Oracle has more than 26,000 customers worldwide use Oracle E-Business Suite, in which 94% of customers are using Release 11i Especially, with the Construction contracting information systems management and treasury budget (TABMIS - project by the World Bank funded over $ 54 million) with IBM Business Consulting Services in 12/2005 the Government of Vietnam has been officially selected to deploy Oracle solutions to modernize the financial management system of their own b SAP's ERP Solution SAP is a provider of software solutions to leading global enterprises, with productspecific areas for almost all operations of the business Enterprise Resource Management (ERP) solution, including the best solutions for the identified business processes, helping to streamline the entire enterprise, and the rapid deployment solution that allows early collection efficiency investments The solution in mySAP Business Suite is designed in the form of modules to fit the budget and business of enterprises Because the solution uses open technology, can expand so businesses can begin to deploy parts, then be easily extended functionality when business needs arise In addition, each solution is designed for rapid deployment to help businesses get faster ROI mySAP Business Suite is built on SAP NetWeaver - platform and integration application of SAP Based on Web services and other open technologies, SAP Net weaver make the operation as a unified basic attributes of each solution in mySAP Business Suite, ensuring close interaction between all solutions SAP, and any other SAP solutions The combination of advanced business applications and integration technology ensures open for business investments today and in the future while providing businesses the ability to clearly see all of the functions, created the added value of the business mySAP Business Suite also includes portal technology which is protected by SAP, this technology allows users to easily access information and identify applications they need In summary, the solution in mySAP Business Suite enables enterprises to unify and align people, information, and processes across multiple business and technology throughout the enterprise mySAP Business Suite solution mySAP Business Suite is a collection of comprehensive business solutions in the world, providing the best functionality built for complete integration, providing unique abilities for each field, can open unlimited expansion, and supports easy collaboration over the Internet mySAP Business Suite includes: • • • • • • Enterprise Resource Management - mySAP ERP Customer Relationship Management - mySAP CRM Product Lifecycle Management - mySAP PLM Relationship Solution Provider Management - mySAP SRM Solutions business activities Management - mySAP SCM SAP NetWeaver In which SAP ERP is enterprise resource management (ERP) of SAP mySAP ERP combines complete functionality, scalability, and the world's most effective for enterprise resource management technology with an open and flexible platform All these functions are supported by the SAP Net Weaver technology platform mySAP ERP package includes set of four separate ERP solutions provides a strong foundation for the business processes of the enterprise: • • • • Finance Human Resource Management Activity The business services The foundation of SAP solutions SAP Net Weaver is the technology of the solution in mySAP Business Suite, the SAP xApps composite application, partner solutions, and applications developed by customers It also provides functionality for enterprise services architecture (Enterprise Services Architecture) - orientation of SAP solutions for service-oriented business c OpenERP Solutions 10 As an open source software, OpenERP allows quickly customize and completely from input interface, for the process to best fit each business, make sure to meet almost physical characteristics management demand of the business MAIN MODULES OF OpenERP: • Business Process • Partners • Products • Financial Management • Purchase Management • Sales Management • CRM & SRM • Manufacturing Management • Stock Management • Human Resource & Payroll • Document Management • Reporting & Dashboard • Business Intelligence Depending on the specific management needs of each business, these modules will be selected for optimal deployment ERP implementation plan in Tran Anh a Selection of suppliers • With the above solution, Tran Anh will deploy Oracle solutions for the following reasons: - This is one of the world's leading provider of long experience and proven solutions , units in Vietnam has selected this solution and has successfully implemented - Oracle Database can accommodate very large data stream , suitable for retail business units have a large amount of goods as the Tran Anh (Tran Anh has more than 11 200,000 shares of goods, more than 100,000 customers and nearly 3000 orders per month to be managed ) - Oracle ERP solution has fully modules, are integrated together in the form of centralized management database and online support through Internet links This is Tran Anh solutions that are geared towards - Oracle was developed by FPT, can modify the solution according to the actual requirements of the enterprise • Introduce the main modules of the Oracle E-Business Suite  Financials Oracle Financials gives businesses full picture of their financial situation and allow full control of the business transactions, help increase the rate of extraction of information and transparency in the financial statements thereby increasing the efficiency of business operations Businesses can close the terminal window to make faster, more accurate decisions based on immediate data provided by the system, reducing the cost of enterprise operation The main modules of the Oracle Financials General Ledger, Account Receivables, Account Payables, Assets  Procurement Oracle Procurement includes designed modules to effectively manage the procurement of goods, services and complex diversity The procurement management module allows enterprises to manage the procurement requirements across the enterprise, procurement, and management and supplier selection The module consists of procurement Purchasing Manager, Purchasing Intelligence, i-Procurement, Sourcing, i-Supplier Portal  Logistics Oracle Logistics Manager supports the entire supply process, from inventory management to shipping and the return to the Inventory Management module, Mobile Supply Chain, Supply Chain Intelligence, Transportation, Warehouse Management, etc  Order Fulfillment Oracle Order Fulfillment enables management of the sales process is very flexible, providing timely data, the ability to contribute to the timely implementation of customer 12 orders, automate the sales process from collection, and contribute to reducing the cost of sales and order fulfillment The module includes Sales Management Order Management, Configuration, Advanced Pricing, i-Store, Supply Chain Intelligence  Manufacturing Oracle Manufacturing helps optimize production capacity, from the stage of raw materials to final products Supports the production environment simple assembly (Discrete Manufacturing) production and processing of environmental complexity (Process Manufacturing), Oracle Manufacturing help improve and control manufacturing processes better The main module is the production manager of MDS, MPS, MRP, BOM / Formula, WIP, Quality, Costing  Human Resources The modules of Oracle Human Resource Management helps businesses effectively manage their human resources Oracle provides tools to align employees with organizational goals, support all professional personnel management, recruitment, training, salary The modules include Human Resources, Payroll, Training Administration, Self-Service HR, HR Intelligence, Time & Labor, Advanced Benefits, i-Learning, i-Recruitment  Projects Oracle Projects help improve the project management, providing relevant information to the people involved, from which enterprises can coordinate rhythmic projects, optimize the use of resources, decision-making timely The modules include Billing Projects, Projects Costing, Project Intelligence, Project Resource Mgmt, Project Contracts, Project Collaboration  Planning & Scheduling Planning & Scheduling Oracle module includes planning support, as well as providing production planning The main module includes Supply Chain Planning, Adv Supply Chain Planning, Demand Planning, Global Order Promising, Mfg Scheduling, Inventory Optimization, Collaborative Planning, and Supply Chain Intelligence  Intelligence 13 Oracle E-Business Intelligence is a reporting application analysis to provide the timely information, accurate to the leadership, staff and operational management Oracle EBusiness Intelligence built-in Oracle solutions should significantly reduce deployment effort  Maintenance Management Oracle Enterprise Asset Management and Maintenance Module, Repair, and Overhaul support initiative in planning and implementation of maintenance, maintenance of equipment, plant, machinery, vehicles maintenance work will be done better to help increase the life of the property, ensuring the safety and reliability of machinery and equipment In addition to the above ERP modules, Oracle is also rated as a top choice for businesses expanded ERP with the deployment of CRM (Customer Relationship Management) and SCM (Supply Chain Management) • Key features of Oracle solutions  Fully operational modules Oracle E-Business Suite modules are fully Financial Accounting, Human Resource, Storage Management, Procurement, Sales, Project Management, Production Management  Full integration - centralized data The module is built according to the overall design with a unified data model and on a single database Data management is focus, full, sharing, and unified across the entire enterprise  Automation of operational procedures Operate according to business process, complete integration between modules, the input share for the professional staff at the initial operation arise, enhance data flow control  Advanced architecture and technology Three layer architecture (client, application and database), the environment and Internet computing architecture Database and technology platform of the world's top Oracle, virtually unlimited storage volume and data processing  Safety, high security 14 Security and safety data are very high, decentralization consistent with the role, position and duties of each individual unit b Implementation plan The implementation process will follow the process: Pre-evaluation screening Package evaluation Project planning Gap analysis Reengineering Configuration Pre-evaluation Require Implementation team training screening ments Testing management End-user training Package evaluation 10 Going live ERP Solution supplier 11 Post-implementation Project Planning Gap analysis Reengineering Configuration Implementation Testing End-user training team training Going live 15 Postimplementation c Expected plan No 1) Deployment items Pre-evaluation screening Begin 02/2014 Finish 03/2014 2) Package evaluation 03/2014 04/2014 3) Project planning 04/2014 04/2014 4) Gap analysis 05/2014 06/2014 5) Reengineering 06/2014 09/2014 6) Configuration 09/2014 12/2014 7) Implementation team training 01/2015 06/2015 8) Testing 06/2015 12/2015 9) End-user training 01/2016 03/2016 16 10) Going live 11) Post-implementation 04/2016 d Cost Estimation In the ERP needed modules, Tran Anh will not buy these modules: Project Management, Planning, and production management As the retail business unit, Tran Anh has not done to produce goods so in this period, they have not been implemented this module No Modules Unit price Note (USD) 30,000 1) Financials 2) Procurement 20,000 3) Logistics 20,000 4) Order Fulfillment 20,000 5) Human Resources 20,000 6) Intelligence 15,000 Administration report 7) Maintenance Management 20,000 Including maintenance and sales management 8) Total 145,000 Above is the General Plan on information technology application through building information systems and implement E-commerce activities at Tran Anh Digital World JSC 17 This plan builds on the foundation of Oracle ERP system implementation The plan is scheduled to run on, additional details will be conducting the actual implementation Reference • Website: http://www.fis.com.vn/ • Website: http://erp.vn/ • Lecture course of management information system 18 ... when Oracle launched Release 9, the difference between the later version and the previous version is not much, just a few modules added or enhanced features of previous modules But to Release... manage the procurement of goods, services and complex diversity The procurement management module allows enterprises to manage the procurement requirements across the enterprise, procurement,... Document Management • Reporting & Dashboard • Business Intelligence Depending on the specific management needs of each business, these modules will be selected for optimal deployment ERP implementation