Enterprise resource planning (ERP) is a process used by companies to manage and integrate the important parts of their businesses

Enterprise resource planning (ERP) is a process used by companies to manage and integrate the important parts of their businesses

Enterprise resource planning (ERP) is a process used by companies to manage and integrate the important parts of their businesses (Labarre, 2020). ERP systems ties together multiple business processes and enable the flow of data between them. By collecting an organization’s shared transactional data from multiple sources, ERP systems eliminate data duplication and provide data integrity with a single source of truth.

As an IT manager, I would first establish the importance of ERP systems with all the senior management at my organization. ERP can help our organization’s different entities like accounting, project management, risk management, human resources, customer relationship management, procurement, order management etc. to manage day-to-day activities.

Currently every organizations, large or small, are integrating their entities of businesses by implementing enterprise resource planning systems. Some organizations have found it difficult to implement ERP process, mainly because of users trying to map a legacy used systems within the structure of ERP systems (Jenson & Johnson, 2013). Hence, it is very important to build the ERP system in a more global aspect within the organization.

ERP systems are designed around a single, defined data structure(schema) that typically has a common database (What is ERP?, 2018). This helps in keeping the data/ information used across entities normalized and with standard common definitions and user experiences. Having a well-defined data universe helps in having business processes interconnected and is driven by workflows across business departments or entities. In simple words, ERP is a tool for integrating business processes, technologies and people in an organization.

It’s true that having an ERP system implemented within my organization would come with challenges and lot of investment of time and money. But once the need and its effectiveness is established with the management, as an IT manager I would present it’s benefits and explain the return of investment in detail. Some of the driving factor to get it implemented, would include benefits of having ERP system like (What is ERP?, 2018),

a. ERP gives a global, real time view of data that can enable companies to address concerns proactively and drive improvements.

b. ERP improves financial compliance with regulatory standards and reduces risk.

c. ERP automates core business operations and provide end to end solution.

d. ERP enhances customer service by providing a single platform for billing and relationship tracking.

References

Jenson, R. L., & Johnson, I. R. (2013). The Enterprise Resource Planning System as a Strategic Solution. Infromation Strategy: The Executive’s Journal, 28-33.

Labarre, O. (2020, July 07). Enterprise Resource Planning (ERP). Retrieved from Investopedia: www.investopedia.com/terms/e/erp.asp

What is ERP? (2018). Retrieved from Oracle: www.oracle.com/applications/erp/what-is-erp.html

Rushabh BhansaliEnterprise Resource Planning:

It is one of the business process which was integrated through the management. It also includes the core business process. It is used in real-time by software and technology. Business management software is referred for resource planning. This software’s are used for the integrated applications that can easily collect the data which can be managed stored and can also be interpreted from all the business activities. The business activities are updated continuously to view the core business process, which is commonly using the database. Moreover, the database used by the business process is maintained by the database management system (Al-Mashari et al., 2013).

Enterprise resource planning by industry:

In industry it serves as applicability and capability to the support for the discrete side for manufacturing and also the process side of manufacturing the process side includes the production working with the products and materials. The application used in enterprise resource planning is to shares the data across various departments. The data can be shared with multiple departments like purchasing sales manufacturing accounting for providing the data. All the business functions and connections managing to the stakeholders between the information flows facilitate the enterprise resource planning. Enterprise resource planning has a software called enterprise system software. This also produces components that are supporting various business functions. Information technology invests the largest category of business (Subba Rao, 2010).

Enterprise resource planning is mainly focused on the most critical enterprise planning. The largest enterprise and small enterprise increasingly use enterprise resource planning. It also integrates the various organizational system. The error-free transactions are facilitating for the production. The enterprise resource planning is used for developing the differences in the traditional development system. The system also runs a variety of the system hardware and the configurations of the network by using the database which was maintained by the database administrator. The database can also be used for the information repository. Enterprise resource planning has the capability of having different materials requirements and preparations. Computer integrated manufacturing is also utilized in business activity. (O’Leary, 2015).

References

Al-Mashari, M., Al-Mudimigh, A., & Zairi, M. (2013). Enterprise resource planning: a taxonomy of critical factors. European journal of operational research, 146(2), 352-364.

Subba Rao, S. (2010). Enterprise resource planning: business needs and technologies. Industrial Management & Data Systems, 100(2), 81-88.

O’Leary, D. E., (2015). Enterprise resource planning systems: systems, life cycle, electronic commerce, and risk. Cambridge university press.