ERP: Simply and clearly explained
The abbreviation ERP stands for "Enterprise Resource Planning", which translated means as much as "enterprise resource planning". It is a Software that supports companies in the planning of resources. With the Software, cross-departmental processes can be controlled efficiently. These databases are applied to the various areas of a company and linked to each other. ERP Software includes sub-programmes for the following branches:
- Procurement: Whether in the industry or a small shop - the shopping can be managed using ERP Software.
- Production: After the purchasing, the processing of the following purchased goods. The two areas are closely linked and are adjusted by means of the ERP at each other.
- Materials management: an Overview of available and required Material can be created with an ERP Software and managed.
- Sales: of Course the most important part of a company or business is managed with ERP. Sales figures are documented, and the materials management, production and purchasing in sync.
- Finances: All income and expenditure are documented in the ERP-Software.
- Human resources: especially in larger companies, the personnel management can no longer be without a software solution like ERP can be realized.
ERP Software for the financial overview
ERP-Software: A simple application example
The benefits of an ERP-show program, we simplified the ERP-driven processes in an automotive manufacturer:
- The master car manufacturer in batches, that is, in a certain number of orders of a car model, the production of the Batch starts to produce.
- Thus, the distribution is in the first place. At the automobile manufacturer orders, which are recorded by the ERP program for the sales and documented. The data is then forwarded in the Form of material requirements to the materials management Department and, if necessary, to purchasing.
- Also on the personnel management, the data will be forwarded to the staff for the production is planned. To the financial Department of the order numbers go in as revenue and Material and labor hours as an expenditure.
- Not least the production of the ordered cars is planned. This is the task of a special Software.
- By such or similar processes, the use of resources in a company can be controlled efficiently and in the longer term are planned.
OpenERP: Open-Scource Solution
ERP Software: These solutions there are
- For the medium-sized companies, there is a simple ERP Software for the most part, free of charge, is offered and all of the company's standard branches to be covered.
- For more demanding businesses, there are fee-based ERP solutions from vendors such as SAP and Microsoft.
- In addition to stand-alone Software and also browser-based solutions ready. The advantage of this is that you can enter customer and supplier orders and deliveries directly from the ERP Software of a company.
- Large companies often use ERP Software, the own the IT or specially tailored systems are also management companies with more than 2,500 employees suitable.
In the next article, we will provide an ERP Alternative: the SAP Business All-in-One.
