Itm 442 Module 3 Case

Enterprise resource planning (ERP) integrates internal and external management information across an entire organization, embracing finance/accounting, manufacturing, sales and service, customer relationship management, etc. ERP systems automate this activity with an integrated software application. Its purpose is to facilitate the flow of information between all business functions inside the boundaries of the organization and manage the connections to outside stakeholders.

Most ERP systems are an integrated system that operates in real time (or next to real time), without relying on periodic updates. They will contain a common database, which supports all applications, a consistent look and feel throughout each module. In a perfect world the installation of the system would be without elaborate applications or data integration issues, however, this is usually not the case.

The main concept behind an enterprise resource planning system is a very solid and business-centric idea. Essentially you will have everything from sales, processing, customer support, and every other department within a company that is using the same information, with the same system. The benefits to such a system can be exponentially positive for a company.

Imagine for a second how a company with no form of ERP system might operate. You have completely separate departments for everything. A customer places a sale with the sales department, then they transfer all the information over to the processing department, then they transfer the information to the shipping department. In a system like this you are prone to errors and delays which will ultimately affect the customer. This is very similar to the old adage of playing the telephone game. An address can get mistyped, an order can be entered incorrectly, or any other number of errors can be made.

Then in comes the ERP system. The ERP system is a magical system that will seamlessly integrate into the existing infrastructure of any company...