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Enterprise resource planning

August 10, 2009
tags:
What is ERP?
ERP stands for Enterprise resource planning. ERP systems attempt to integrate all data and processes of an organization into a unified system. It helps to manage the important parts of its business. The information made available through an ERP system provides visibility for key performance indicators required for meeting corporate objectives. ERP software applications can be used to manage product planning, parts purchasing, inventories, interacting with suppliers, providing customer service, and tracking orders.
Why we need ERP?
We need to understand the problems faced by the company before getting to know ERP Fundamentals. Business houses always find great difficulty in quickly making out the required information because of huge amount of data, improper segregation, departmental arrangements and unprecedented delays. Organizations were constantly searching for some means or mode to overcome this debacle. The customer needs to wait for a long time for a small piece of data. Enterprise Resource Planning or ERP as it is shortly referred has come to overcome this menace. It is a boon to organizations that were in need of this kind of facility for ever. This idea will help to get a feel of ERP basics.
Implementation of ERP
There are four major phases in implementing ERP which is discussed below,
Detailed Discussion Phase:
Task: – Project initialization, Evaluation of current processes, business practices, Set-up project organization
Deliverables:- Accepted norms and Conditions, Project Organization chart, Identity work teams
Design and customization Phase:
Task: – Map organization, Map business process, Define functions and processes, ERP software configuration and Build ERP system modifications.
Deliverables: – Organization structure, Design specification, Process Flow Diagrams, Function Model, Configuration recording and system modification.
Implementation Phase:
Task: – Create go-live plan and documentation, Integrate applications, Test the ERP customization, Train users
Deliverables: – Testing environment report, Customization Test Report and Implementation report
Production Phase:
Task: – Run Trial Production, Maintain Systems
Deliverables: – Reconciliation reports, Conversion Plan Execution
List of open source ERP products:
The list of open source ERP products are given below,
Apache OFBiz (Apache Open For Business Project)
OFBiz (Open For Business)
Compiere
Openbravo
Opentaps
Jfire
OpenBlueLab
Adempiere
SQL-Ledger
Advantage:
Manufacturing Sector——————–Speeding up the whole process.
Distribution and retail Stores———–Accessing the status of the goods
Transport Sector—————————Transmit commodities through online transactions.
Project Service industry—————–Fastens the compilation of reports.
Disadvantage:
Customization of the ERP software is limited
ERP systems can be very expensive to install often ranging from 30,000 US Dollars to 500,000,000 US Dollars for multinational companies.
ERP vendors can charge sums of money for annual license renewal that is unrelated to the size of the company using the ERP or its profitability.
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One Comment leave one →
  1. August 10, 2009 1:39 pm

    You should PostBooks and the xTuple ERP suite to your list of ERP products.

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