Spatial meets ERP: The value of integration
Andy Schlegel
GPU Energy
2800 Pottsville Pike
Reading, PA 19640
Dennis F. Beck
Smallworld Systems, Inc.
5600 Greenwood Plaza Blvd.
Suite 300
Englewood, CO 80111
Seeking to get a head start on competition and position themselves for the future, progressive
utilities are relying on tightly integrated information technology solutions to gain strategic
advantage.
To stay competitive in the coming decade, utilities will need to operate more efficiently, hold the
line on costs and deliver higher levels of customer service. At the same time, they will have to
have the foresight to recognize emerging market opportunities and the flexibility to capitalize on
them when they arise.
What's more, as consolidation of the industry continues, successful utilities will need to have
high-functioning processes in place so they can realize the greatest gains from mergers and
acquisitions-whether they are acquiring companies or being acquired by others.
These are tough challenges. The degree to which a utility rises to meet them will depend to a
large degree on its ability to leverage information across the enterprise. In the emerging utility
industry, competitive advantage will depend to an increasing degree upon advanced processes
enabled by the free flow information within an organization.
Ultimately, a key to success in the utility markets of the early 21st century lies in the integration
of the two dominant information solutions for the utility business environment-Enterprise
Resources Planning (ERP) systems and Spatial Resource Planning (SRP) systems. The close
integration of these systems provides the fertile soil that will allow a utility to flourish in the
decade ahead.
ERP and SRP: Complementary Systems
As the names suggest, Enterprise Resource Planning (ERP) systems and Spatial Resource
Planning (SRP) systems are different yet complementary technologies. Both make it possible for
users across an organization to use a common body of data for different types of purposes.
ERP solutions are built around a central database of shared business information that is used
across the enterprise. ERP software is used to manage all aspects of a business. It encompasses
applications for accounting and finance, human resources, physical assets, supply chains and
maintenance. Commonly used ERP corporate software solutions include those from SAP, Oracle
and Peoplesoft.
SRP solutions are parallel to ERP systems. While ERP solutions are built upon a body of
traditional business data, SRP solutions are built upon a body of spatial data-or information on
the location and interaction of physical facilities, customers, work crews and other elements that
can be tied to a particular geographic location.
SRP solutions build upon this foundation. SRP gives users tightly integrated solutions for
managing power outages, analyzing the operation of distribution systems, optimizing the design
of facilities, evaluating market opportunities and carrying out many other processes that require
spatial data.
SRP solutions are broader than geographic information systems (GIS) or automated
mapping/facilities management (AM/FM) systems. Neither of these terms suggests the extension
of a technology across the full realm of an enterprise. A true SRP system is always an enterpriselevel
solution.Bringing Together Islands of Automation
Both ERP and SRP systems bridge the islands of automation that exist in today's utility
environments. These islands arose in an evolutionary manner, as technology became available to
automate different processes. IT systems were deployed as departmental applications rather than
as enterprise solutions.