What is an ERP system?

What is an ERP system?

Ans: At a larger scale, an Enterprise Resource Planning (ERP) system may support all of the manufacturing, ordering, and customer relationship management activities in a large company.

ERP systems, such as those produced by SAP and BEA, are large-scale integrated systems designed to support business practices such as ordering and invoicing, inventory management, and manufacturing scheduling. The configuration process for these systems involves gathering detailed information about the customer’s business and business processes, and embedding this in a configuration database. This often requires detailed knowledge of configuration notations and tools and is usually carried out by consultants working alongside system customers. ERP systems are used in almost all large companies to support some or all of their functions. They are, therefore, a very widely used form of software reuse.