Enterprise Resource Planning Systems - Essay Example

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Enterprise Resource Planning Systems

Although ERP has been the cornerstone of the success stories of most companies from several years, there has not been a unified definition for the term ERP. The absence of a single definition is due to the intrinsic complexity of the motive behind ERP implementation. According to the PC Magazine, "ERP is a concept that aims at utilizing an integrated IT system, which serves all departments within an enterprise" (PC Magazine, 2007). The definition implies that an ERP system is not a custom software, but a packaged software that a company can configure to interface with its own IT systems and business processes (finance, logistics, HR, manufacturing etc). Some of today's leading ERP vendors are SAP, Oracle and Microsoft.
Although its implementation has taken various forms, the essential concept of ERP has remained the same. Today ERP has become a worldwide industry standard term for the broad set of activities supported by multi-module application software that helps a manufacturer or other business manage the important parts of its business, including product planning, parts purchasing, maintaining inventories, interacting with suppliers, providing customer service, and tracking orders. ERP can also include application modules for the finance and human resources aspects of a business (EC Council, 2002).
ERP is a standa ...Show more

Summary

In the modern business world, the concept of blue ocean markets has become a clich. Companies are leaving no stone unturned in the process of acquiring the maximum market share. In such a red ocean market scenario, Enterprise Resource Planning (ERP) is not just a supplement, but a competitive weapon that a company can use to stay afloat…
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Enterprise Resource Planning Systems essay example
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