Definition of Enterprise Resource Planning (ERP)
ERP refers to a type of software or system used by a business to plan and manage daily activities such as supply chain, manufacturing, services, financials, and other processes. Accounting and procurement, project management, customer relationship management, risk management, compliance, and supply chain operations are all examples of how Enterprise Resource Planning software can be used to automate and simplify individual activities across a business or organization.
How Does It Work? ERP has progressed from traditional software models based on physical client servers and manual entry systems to cloud-based software with remote, web-based access. The platform is generally maintained by the company that created it, with client companies renting platform services. Businesses choose which applications to use. The hosting company then installs the applications on the server that the client is renting, and both parties begin When all departments are connected to the system, all data is collected on the server and made instantly available to those with access to it. Reports can be generated with metrics, graphs, or other visuals and aids that a client may require to determine the performance of the business and its departments.
What Industries Can Benefit From ERP?