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Enterprise Resource Planning Explained September 15, 2017

Enterprise Resource Planning Explained

What is enterprise resource planning?

Enterprise Resource Planning (ERP) is a software application which helps businesses to manage and connect information from all core areas of the organisation with the aim of improving effective decision making. ERP software solutions promote visibility throughout the entire organisation, allowing decision makers to improve business operations such as; inventory management, accounting, order management, human resources, supply chain, product lifecycle, and customer relation management among others.

ERP software should serve as the focal point for managing all important aspects of a business.

The key to understanding ERP software is to think “integration.” ERP software links systems across an enterprise to streamline workflow, share information among different departments, and provide insight into a business’s operations. In other words, the central feature of all ERP systems is a shared database that supports multiple functions used by different business units. In practice, this means that employees in different divisions—for example, accounting and sales—can rely on the same information for their specific needs.

Examples of specific business benefits include:

  • Improved business insight
  • Lower operational costs
  • Enhanced collaboration
  • Improved efficiency
  • Consistent infrastructure
  • High user-adoption rates
  • Reduced risk
  • Lower management and operational costs

When you add up these advantages, the value of ERP is clear. With an ERP solution, employees have access to accurate information that enables them to make better decisions faster. Not only that, but ERP software helps to eliminate redundant processes and systems, dramatically lowering the cost of doing business overall.

Not sure what is enterprise resource planning? Find out more about our ERP training/ERP course.

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  • Tokelau+690
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