Enterprise Resource Planning - Explained
What is ERP?
Written by Jason Gordon
Updated at March 10th, 2022
- Marketing, Advertising, Sales & PR
- Accounting, Taxation, and Reporting
- Professionalism & Career Development
-
Law, Transactions, & Risk Management
Government, Legal System, Administrative Law, & Constitutional Law Legal Disputes - Civil & Criminal Law Agency Law HR, Employment, Labor, & Discrimination Business Entities, Corporate Governance & Ownership Business Transactions, Antitrust, & Securities Law Real Estate, Personal, & Intellectual Property Commercial Law: Contract, Payments, Security Interests, & Bankruptcy Consumer Protection Insurance & Risk Management Immigration Law Environmental Protection Law Inheritance, Estates, and Trusts
- Business Management & Operations
- Economics, Finance, & Analytics
- Courses
Table of Contents
What is Enterprise Resource Planning (ERP)?A Little More on What is an ERP SystemAcademic Research on Enterprise Resource PlanningWhat is Enterprise Resource Planning (ERP)?
Employer or Enterprise resource making plans (ERP) is a process wherein an organization or a company, a producer, or manager integrate the vital elements of its commercial enterprise. An ERP management system integrates functions, such as: planning, buying, income, advertising, finance and human assets. ERP has been revolutionized by new software systems designed for use by firms.
Back to: OPERATIONS, LOGISTICS, & SUPPLY CHAIN MANAGEMENT
How Does an ERP System Work?
The ERP systems connect various technologies used by every part of a business, removing any duplication, and filtering out technology that is highly-priced to the agency. The ERP enables a firm to integrate various departments with a single machine. Further, the ERP software collects historical data and make the statistics available to managers to be used productively. Linking records about production, finance, distribution and human sources collectively allows the organization to be more self-aware. The first ERP device was utilized through SAP, a software program company created in 1972 with the aid of 3 software engineers based in Mannheim, Germany. SAPs purpose was to hyperlink different components of a commercial enterprise by using shared data accrued from those parts to help the agency operate more successfully. ERP system effectiveness is generally limited by the company's improper use or lack of willingness to adopt traditional methods to conform with the ERP system.