Professional Documents
Culture Documents
Semester: 8th
Date: 20-03-2017
ERP
Features of ERP
Some of the salient features of ERP
1. Accommodating variety: The ERP software solution provides both multi lingual and
multi-currency capabilities. Also multi-mode manufacturing and multi-facility provide the
capability required to compete and succeed globally.
(i) Today business managers use ERP for Flexible reporting tools to extract the
information as and when needed without depending on an information system
department (MIS department).
(ii) Electronic data interchange (EDI) to electronically accept customer information like
purchase orders, schedule amendments, or cash payment and electronically send order
acknowledgement and invoices to customers.
(iii) Imaging to provide the ability to display drawings or specification, ability to- store
original sale orders, purchase orders, and quotations, and contracts.
(iv) Data base creation: Starting with time and attendance reporting, monitoring and
control of machines and post-sales statistics.
To facilitate total quality management (TQM), the ERP provides for quality planning
required for ISO 9000 certification.
Importance of ERP
Advantages of ERP
1. Complete visibility into all the important processes, across various departments of
an organization (especially for senior management personnel).
4. Since same (ERP) software is now used across all departments, individual
departments having to buy and maintain their own software systems is no longer
necessary.
5. Certain ERP vendors can extend their ERP systems to provide Business
Intelligence functionalities that can give overall insights on business processes and
identify potential areas of problems/improvements.
Disadvantages of ERP
2. ERP deployments are highly time-consuming projects may take 1-3 years (or
more) to get completed and fully functional.
3. Too little customization may not integrate the ERP system with the business process
& too much customization may slow down the project and make it difficult to upgrade.
4. The cost savings/payback may not be realized immediately after the ERP
implementation & it is quite difficult to measure the same.