Enterprise Resource Planning (ERP) is a business process management software that allows an organization to use a system of integrated applications to manage core business functions such as inventory management, procurement, project management, risk management, and customer relations. ERP runs off a single database enabling different departments to share information and communicate with each other. ERP systems comprise modules designed to interact with each other like accounts receivable, accounts payable, purchasing, etc. ERP provides benefits like improved business integration, efficiency, faster response time, flexibility, and better analysis and planning capabilities.

1. Enterprise Resource Planning

3. Evolution of ERP Timeline System Description 1960s Inventory Mgmt & control It’s a combination of infr. tech, and bus processes of maintaining the appropriate level of stock in a warehouse. 1970s Material Req. Planning Utilizes s/w applications for scheduling production processes. 1980s MRP II Utilizes S/w applications for coordinating mfg processes. 1990s Enterprise Resource Planning Uses multi module application s/w foe improving the performance of internal bus, processes.

5. Cross functional approach of ERP Customer/ Employee Production Planning Integrated Logistics Accounting and Finance Sales, Distribution, order Management Human Resources

7. CORE & EXTENDED COMPONENTS OF ERP Enterprise Resource Planning S/W Accounting & FINANCE Production & Materials Management Human Resource Business Intelligence Customer Relationship Management Supply Chain Management E- Business Core ERP Components Extended ERP Components

16. Why ERP is Important in a company?

20. Risks of ERP