Enterprise Resource Planning Overview

ERP (Enterprise Resource Planning) Overview coversunderstand their business. With ERP software,
What iscompanies can
ERP, Brief history of ERP, Why is it necessary,standardize business processes and more easily
Marketenact best
Leaders and the future of ERP.What ispractices. By creating more efficient processes,
ERP?Enterprise Resource Planning or ERP is ancompanies
industry term forcan concentrate their efforts on serving their
integrated, multi-module application softwarecustomers and
packages thatmaximizing profit.Market LeadersThe top five ERP
are designed to serve and support multiple businessvendors, SAP, Oracle Corporation,
functions. An ERP system can include software forPeoplesoft, Inc. (now Oracle Corp.), JD Edwards &
manufacturing, order entry, accounts receivable andCompany,
payable,and Baan International, account for 64 percent of total
general ledger, purchasing, warehousing, transportationERP
andmarket revenue. These vendors continue to play a
human resources. Evolving out of the manufacturingmajor role
industry,in shaping the landscape of new target markets, with
ERP implies the use of packaged software ratherexpanded product functionality, and higher penetration
thanrates. SAP dominates the $6.7 billion ERP applications
proprietary software written by or for one customer.market in Europe with 39% market share. Oracle and
ERPPeopleSoft come second and third respectively,
modules may be able to interface with anfollowed by
organization's ownSAGE Group and Microsoft Business Solutions.The
software with varying degrees of effort, and,Future of ERPIndustry analysts expect that every
depending onmajor manufacturing
the software, ERP modules may be alterable via thecompany will buy the software, which ranges in cost
vendor's-- with
proprietary tools as well as proprietary or standardmaintenance and training -- from hundreds of
programming languages.Brief History of ERPThethousands of
focus of manufacturing systems in the 1960's was ondollars for a small company to millions for a large
Inventory control. Most of the software packagescompany.
thenAMR Research of Boston says consolidation among
(usually customized) were designed to handlethe major
inventory basedplayers will continue and intensify. ERP vendors are
on traditional inventory concepts. In the 1970's theexpected to put more effort into e-commerce, CRM
focusand SCM
shifted to MRP (Material Requirement Planning)initiatives, with leaders redirecting between 50% and
systems that75% of
translated the Master Schedule built for the end itemstheir R&D budget to these projects.According to
intoGartner research group, the rapid evolution of
time-phased net requirements for the sub-assemblies,ERP has already lead to a new corporate must-have,
components and raw materials planning andERP II,
procurement.In the 1980's the concept of MRP-IIwhich is supposed to help businesses gain more
(Manufacturing Resourcescompetitive
Planning) evolved which was an extension of MRP toedge in the future. The major difference is that ERP II
shopinvolves collaborative commerce, which enables
floor and Distribution management activities. In thebusiness
earlypartners from multiple companies to exchange
1990's, MRP-II was further extended to cover areasinformation
likeposted on eCommerce exchanges.In the next tutorial
Engineering, Finance, Human Resources, Projectswe will talk about popular ERP Products
Managementand the Modules and Application related to them.For
etc i.e. the complete gamut of activities within anymore visualization of this article along with the screen
business enterprise. Hence, the term ERP (Enterpriseshots and more visit with step by step instructions, is a
Resource Planning) was coined.Why is itcommunity of developers specializing in C, C++, C#,
Necessary?By becoming the integrated informationJava, J2EE, .NET, PeopleSoft, SAP, Siebel, Oracle
solution across theApps., Data warehousing, Oracle/SQL Server/DB2
entire organization, ERP systems allow companies toand Testing.
better