Erp Systems

NAME : DAVID MBARANI KEDERA

ID. NO : 615059

SEMESTER : SPRING 2006

COURSE : IST4010

LECTURER : MWALILI

ASSIGNMENT 1

ENTERPRISE RESOURSE PLANNING SYSTEMS (ERP’S)

Enterprise resource planning systems is a term for integrated; multi module software packages designed to serve and support multiple business functions. It can include software for manufacturing; order entry, accounts receivable and payable, general ledger, purchasing, warehousing, transportation and human resource all utilizing one database. ERP implies the use of packaged software rather than proprietary software written for one customer. Enterprise resource planning modules may be alterable via vender as well as standard programming languages.

It should be stated from the onset that ERP doesn’t live up to its acronym, this is so because about planning it doesn’t quite do much of that and the resource word is a throw away term. But the enterprise part is the main force behind the term. ERP attempts to integrate all departments and functions across a company onto a single computer system that can serve all departments with particular needs.

BRIEF HISTORY

Evolution of ERP started in the 1960’s with focus being on inventory control, in 1970’s the focus was further shifted to material requirement planning (MPR) which was improved on in the 80’s to material resource planning. This was further improved on in the 1990’s to incorporate engineering, Finance, Human Resource and Project Management to cover the entire business operations, hence the term enterprise resource planning.

WHY ERP ARE NECESSARY?

ERP’s allow companies to better understand their business by standardizing business processes and being able to easily enact business practices. They allow companies to integrate financial information, integrate customer order information, the standardizing and speeding up of the manufacturing process, reduction of inventory and lastly standardizing...