This document discusses enterprise systems and enterprise resource planning (ERP) systems. It defines an enterprise system as one that allows information to be shared across all business functions and management levels to support business operations. Examples provided are ERP and customer relationship management systems. ERP systems specifically integrate important business processes like planning, purchasing, inventory, sales, marketing, finance and human resources. The document outlines some key factors for successful ERP implementation, as well as advantages like improved access to data and streamlined business processes, and disadvantages such as high costs and risks of implementation failure.

1. Enterprise system
Enterprise system ensures information can be shared across all business functions and all levels
of management to support the running and managing of a business.
Examples of enterprise systems
◦ Enterprise resource planning systems
◦ Customer relationship management systems
Customer relationship management system helps the company to manage all aspects of
cutomers encounter such as:
Marketing and advertisement
sales

2. Why Learn About Enterprise Systems?
Many organizations use enterprise systems to perform business processes and to keep records.
Support a wide range of business activities
◦ Supply chain management
◦ Customer relationship management
Used by large, medium, and small companies .

3. What is Enterprise Resource Planning
Enterprise resource planning (ERP) is a process by which a company (often a manufacturer)
manages and integrates the important parts of its business. An ERP management information
system integrates areas such as planning, purchasing, inventory, sales, marketing, finance
and human resources.

4. Implementation of ERP Software
ERP Software implementation will generally take lot of time. The time period varies depending
on the business process, size of the business, facilities available, training schedule and so on.
Before implementing ERP software into the organization there should be a process preparation
done. It is necessary to sit and write down which process needs automation and also should be
able to foresee the various changes that will happen within the organization.
Given below are the key factors responsible for failure in ERP Implementation.
Poor Understanding of Business Process
Wrong Choice of ERP Software
Poor Learning Skills of Employees
Poor Training Methodology
Poor Infrastructure
Poor After Sale Support

5. Advantages of ERP
Improved access to data for operational decision making
Elimination of costly, inflexible legacy systems
Improvement of work processes based on best practices
Upgrade of technology infrastructure
Optimization of business processes.
Accurate and timely access to reliable information.
The ability to share information between all components of the organization.
Elimination of unnecessary operations and data.
Reduction of time and costs

6. Disadvantages of ERP
The installation of the ERP system is costly. ERP consultants are very expensive take approximately
60% of the budget.
The success depends on the skills and experience of the workforce, including education and how to
make the system work properly.
The systems can be difficult to use.
Expense and time in implementation
Difficulty implementing change
Difficulty integrating with other systems
Risks in using one vendor
Risk of implementation failure