Enterprise resource planning (ERP) systems are commercial software systems
that can be defined as customizable, standard application software which integrates
business solutions for the core processes (e.g. product planning and control, warehouse
management) and the main administration function (e.g. accounting, human resource
management) of an enterprise.
Why ERP is so important
Enterprise Resource Planning provides many benefits to business such as
1. Enhance productivity, flexibility and customer responsiveness
By integrated core business processes together in one single application, it helps
company maximize the efficiency of business process across the entire
organization. Plant manufacturing can produces product faster. Increase on time delivery,
Increase productivity, Increase ability to forecast demand to supplies, Increase order
capacity, and improve customer service (Customer Relationship Management (CRM)).
2. Eliminate costs and inefficiencies
Using an ERP system to standardize business processes can dramatically improve
company’s operation. ERP enable company to manage relationship with vendor results in
lower cost for purchased items. Better resource management results in more
inventory turns and decrease the level of inefficiencies.
3. Data consistency
Because an ERP system integrates all business management functions, it
decreases level of inconsistency information from different systems. Thus, by
using ERP system, managers can gather correct information and make a right decision.
4. Extend your business using the Internet
By integrating all business functions together in one system, it increases ability of
a company to use internet as part of the business strategy. Web-enabled technology
allows you to access information, sell product, run business processes, and communicate
with customers and partners at any time and from anywhere in the world.
Why is ERP important to a company?
An organization that has no ERP will be running on many kinds of software that do not allow interaction. Customization also may be difficult it in some cases. This will negatively affect the optimized functioning of organization's business activities.
The organization will be facing hardship in many areas of its functions. The engineering design of the software will be needed in order to improve the product, and to follow the client's behavior and choices since the first contact is quite important. Administration of the different receipts interdependence will be very complex, such as invoices regarding materials purchases, general expenditures or salaries.
All of these things change when an ERP system is implemented. Information flows constantly and allows you to follow a client's processes at any moment, no matter which part of the process they are going through. Purchases and expenditures are registered in a centralized database which allows you to have close control over these activities. In this regard ERP helps you to prevent possible abuse.
A powerfully integrated ERP system enables interactions of marketing, sales, quality control, products processes, supply lines, stocks and many other areas and it can be in a single database. This will eliminate the occasional loss of and retyping errors. It integrates all departments and functions across a company in a single computer system that is able to serve all those different department's particular needs.
An ERP system also automates business processes by placing them into a useful format that is standardized and common for the whole organization. Moreover it could even be used between their suppliers and customers.
Embedded systems are hardware/software systems built into devices that are not necessarily “recognized” as computerized devices, but these systems do control the functionality and perceived quality of these devices. Some specific examples of embedded systems include: controllers for the ABS of a car or the operation of its engine; the automatic pilot of an aircraft; the chip set and software within a set-top box for a digital TV; a pacemaker; chips within telecom switching equipment; ambient devices, and control systems embedded in process plants (including its sensors, actuators, control algorithms, filters, etc).