What is ERP?
Enterprise Resource Planning (ERP) is a term applied to integrated software systems used to manage and automate the internal and external resources of an organization. These include the physical assets, financial resources, materials and human resources.
An ERP system facilitates the flow of information between all business functions inside the organization and links to outside stakeholders such as customer and supplier systems. The key objective of implementing an ERP system is to bring together the disparate functions of the organization into a single system environment, making the operations run more efficiently.
Benefits of ERP
- integrated business processes
- centralized database with no duplication of data
- a single view of truth
- simple yet powerful reporting across the organization
- same look and feel to enable easier training and usage
Functionalities of ERP
An ERP usually covers these modules.
- Financial accounting
- Human Resources
- Product life cycle management
- Customer Relationship Management (CRM)
- Supply chain management
- Warehouse management system
- Mobile application for account and sales management
A new generation of ERP
However, not all ERP systems are the same. Unit4 Business World (formerly Agresso) is an example of a new approach to ERP, with a focus on keeping costs low, improving efficiency and enabling organizations to make dynamic changes to the system. The Business World system has been shown to be much easier to make changes to after it has been implemented, and users are empowered to maintain the system and make changes themselves.