Enterprise Resource

Planning Ongoing maintenance and

cost benefit analysis
Assignment Submission
Group: 6
Section A

Group members:
ANMOL YADAV 2015PGP039
RANJEET BEHERA
2015PGP298
TANUSHREE BUTOLA 2015PGP401
VIVEK KUMAR KALBHUT
2015PGP432
ZEESHAN ALI
2015PGP441
ZOPE MAYUR MOHAN 2015PGP442

ERP at Big Valley City

General:

Metropolitan city in Central valley, California

26.2% living below the poverty line

Information systems Environment:

Currently use PeopleSoft ERP

Recently spent $2M to upgrade PeopleSoft
IS department has 70 employees which use ERP system

The Problem:

Oracle takes over PeopleSoft

PeopleSofts Customers facing possible upgrade to Oracles Fusion

Key Issue:

High existing cost and limited budget

Suggested
Alternatives
####
Upgrade to
Outsource Oracle support Service to 3rd party
Oracle
Fusion

Vendors
Accenture
Legacy Mode

Tomorrow

Replace
PeopleSoft with
ERP Tier II
products

Pros

Known
commodity
Stable
vendor

Leading IT
service
Expertise in
PeopleSoft
and Oracle
software

Large provider
of SAP
Highly
experienced
with
PeopleSoft
products
Resolves
issues
immediately

Flexible
contract terms
Maintain legal
compliance
Lowest cost

Lower long term

costs than
PeopleSoft
Specialized in
public sectors
Good support
services

Cons

Higher long
term costs
Poor quality
of support

Charges
premium
cost

Face pressure
to switch to
SAP

Less known
vendor

Higher one time

costs
Timeconsuming
implementation

Total
Costs

260,000/ yr
maintenance
cost

premium
cost

130,000/yr
maintenance
cost

101,000/yr
maintenance
cost

Bi-Tech: 37%
saving for 5 yrs
GEMS:
$923,000
(for 5 yrs)

Solution Suggested
Alternative II
Outsource Oracle support Service to 3rd party Vendors

Vendor selection
1. Accenture
2. TomorrowNow
3. LegacyMode

Best match: LegacyMode

.Meeting cost-saving purpose(101,000/yr )
.Improving the quality of service
.Flexible contract terms
.Maintain legal compliance

THANK YOU