Chapter 1: ERP

Enterprise Resource Planning ('ERP) systems attempt to integrate several data sources and processes of an organization into a unified system. A typical ERP system will use multiple components of computer software and hardware to achieve the integration. A key ingredient of most ERP systems is the use of a unified database to store data for the various system modules.

Examples of modules in an ERP which formerly would have been stand-alone applications include: Manufacturing, Supply Chain, Financials, Customer Relationship Management (CRM), Human Resources, Warehouse Management and Decision Support System.

Ideally, ERP delivers a single database that contains all data for the software modules, which would include:

Manufacturing 
Engineering, Bills of Material, Scheduling, Capacity, Workflow Management, Quality Control, Cost Management, Manufacturing Process, Manufacturing Projects, Manufacturing Flow

Supply Chain Management 
Inventory, Order Entry, Purchasing, Product Configurator, Supply Chain Planning, Supplier Scheduling, Inspection of goods, Claim Processing, Commission Calculation

Financials 
General Ledger, Cash Management, Accounts Payable, Accounts Receivable, Fixed Assets

Projects 
Costing, Billing, Time and Expense, Activity Management

Human Resources 
Human Resources, Payroll, Training, Time & Attendance, Rostering, Benefits

Customer Relationship Management 
Sales and Marketing, Commissions, Service, Customer Contact and Call Center support

Data Warehouse 
and various Self-Service interfaces for Customers, Suppliers, and Employees.