ERP

Enterprise Resource Planning (ERP) systems integrate (or attempt to integrate) all data and processes of an organization into a unified system. The term ERP originally implied systems designed to plan the use of enterprise-wide resources but today it has a much broader scope. ERP systems typically attempt to cover all basic functions of an organization, regardless of the organization's business or charter.

ERPs are cross-functional and enterprise wide. All functional departments that are involved in operations or production are integrated in one system. In addition to manufacturing, warehousing, logistics, and information technology, this would include accounting, human resources, marketing, and strategic management In short ERP helps to integrate the datas in an organization under one common platform. The purpose behind is not only to ensure transparency but also to facilitate tracking down information regarding the status of a particular order or its dispatch and so on.In the absence of an ERP system, a large manufacturer may find itself with many software applications that do not talk to each other and do not effectively interface.

It helps in having a say over your competitor and adapting to the whims and fancies of the market and business fluctuations globally. ERP is suitable for global operations as it encompasses all the domestic jargons, currency conversions, diverse accounting standards, and multilingual facilities .In short it is the perfect commercial and scientific epitome of the verse "Think Local. Act Global".

In spite of rendering marvelous services ERP is not free from its own limitations. ERP calls for a voluminous and exorbitant investment of time and money. The amount of cash required would even be looming on the management given the fact that such an outlay is not a guarantee to the said benefits but subject to proper implementation, training and use which is in the hands of consultants hired ( I have mentioned the glorious nature of consultants in my last post..!!)

I as an ERP Consultant, would recommend ERP in an organization not only because the advantages outnumber the disadvantages but also by keeping in mind my future.


PS : I think I have passed the first test as a consultant because I could rant so much on a topic which I hadn’t even heard of 3 months ago.