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ERP

Enterprise Resource Planning (ERP) Is Defined As The Ability To Deliver An Integrated Suite Of Business Applications. ERP Tools Share A Common Process And Data Model, Covering Broad And Deep Operational End-to-end Processes, Such As Those Found In Finance, HR, Distribution, Manufacturing, Service And The Supply Chain.

1.What is ERP?

ERP means Enterprise Resource Planning. ERP is a kind of system which provides a common platform to
different processes taking place in an organization including finance, production, inventory control etc. It
also enables the stakeholders or shareholders to connect with the inside organization. In short, they
facilitate the flow of information between all departments of an enterprise.

2.What are other ERP systems available in the market?

Some of the major ERP systems other than SAP are from Oracle, Microsoft and Infor. QAD, Lawson,
Epicor, Sage and IFS are the players in mid-size businesses and Exact Globe, Syspro, NetSuite, Visibility,
Consona, CDC Software and Activant Solutions round out the ERP vendors for small businesses.

3.What are the features of ERP

Following are the features of ERP:-
1. Facilitate the flow of information between all business functions inside the boundary of organization.
2. It manages the connections to outside stakeholders

4.What are the characteristics of ERP ?

Following are the characteristics of ERP:-
1. An integrated system that operates in real time.
2. A common database, which supports all applications.
3. A consistent look and feel throughout each module

5.What are the different levels of Best-ERP Practices ?

Best practices are incorporated into most ERP systems which reduces risk by 71% when compared to other
software implementation. Different levels of Best-ERP Practices can be understood by the following diagram

6.What are the functional areas of ERP ?

Following are the functional areas of ERP:-
1. Financial Accounting.
2. Management Accounting.
3. Human Resources.
4. Supply chain management.
5. Manufacturing.

7.List the main ERP system vendors ?

Out of more than 100 ERP providers worldwide, SAP-AG,ORACLE,PEOPLE-SOFT AND baan–
collectively called the “Big Five” of ERP software vendors. They control 70% of the ERP market share.
Following statistics show the contribution of ERP system vendors in the market

8.What are the advantages of ERP ?

Following are the advantages of ERP:
1. Sales forecasting, which allows inventory optimization.
2. Chronological history of every transaction.
3. Order and revenue tracking.
4. They bring legitimacy and transparency.
5. Real time information throughout the company.
6. Data standardization and accuracy.
7. Matching purchase order and costing.

9.What are the disadvantages of ERP ?

Following are the disadvantages of ERP:-
1. It is very expensive to purchase.
2. It is such a complex program that many companies cannot adjust it.
3. Project tracking and reporting deficiencies.
4. Accounting rules are difficult to understand.

10.Explain the evolution of ERP ?

The evolution process can be represented as:-
1. Inventory Management and control :- It is the process of maintaining the appropriate level of stock.
2. Material Requirement Planning :- It utilizes software application for scheduling production processes.
3. Manufacturing Requirement Planning :- It utilizes software application for coordinating manufacturing
processes.
4. Enterprise Resource Planning :- It uses multiple model for improving internal business process.

11.What are the components of ERP ?

Following are the components of ERP:-
1. Transactional Database.
2. Management Portal.
3. Human Resources.
4. Supply chain management.
5. Workflow management.
6. Customization Report