What is ERP?
Enterprise resource planning (ERP) refers to the method or systems that organize and integrate both internal and external management information throughout an organization. This includes integration of departments such as finance and accounting, sales, service, manufacturing, customer relationship, and more. ERP software attempts to automate the activities required to successfully cross-manage multiple departments.
ERP characteristics
An Enterprise Resource Planning system or software will usually have the following characteristics:
- A system/software that will operate in real time, or close to real time, without having to rely on periodic updates.
- These systems will use a common database that can support all required applications.
- They should also have a consistent look and feel throughout all applications or modules.
- Installation of the ERP system should be integrable without an extremely complicated method that must be carried out by an Information Technology (IT) department.
What can an ERP do for your company?
The goal, of course, is to make a company more profitable by making it more efficient and more transparent to senior management so that important decisions can be made quickly. From the description above it is clear that any high quality manufacturing software or distribution software will usually be tailored functionally and economically for larger businesses.
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