What is an ERP system?

Source: Internet
Author: User
What is an ERP system?

ERP is short for enterprise resource planning. It is a new generation of integrated management information system developed by MRP (material resource planning). It extends the MRP function. Its core idea is supply chain management, which jumps out of the boundaries of traditional enterprises, optimizing enterprise resources from the supply chain is a new generation of information system based on the network economy era. It is easy to improve business processes and core competitiveness of enterprises.
ERP began to appear in early 1980s. Since 1990s, the internationally renowned ERP products represented by SAP and Oracle have entered China and expanded rapidly. Then, some early ERP products emerged in China, such as kms ERP, Lima ERP, Hejia ERP, and brocade ERP.
The features and core contents of the ERP system include:

1. business application systems required for internal enterprise management mainly refer to core modules such as finance, logistics, and human resources.
The logistics management system adopts the MRP management philosophy of the manufacturing industry. FMIS effectively implements modern basic financial management methods such as budget management, business evaluation, management accounting, and ABC cost collection; the human resource management system also integrates advanced concepts in organization design, job management, compensation system, and human resource development.

2. the ERP system is a highly integrated system applied throughout the company. Data is highly shared among various business systems. All source data only needs to be input once in a system, ensuring data consistency.

3. The company's internal business processes and management processes were optimized, and the main business processes were automated.

4. adopted the latest mainstream computer technology and architecture: B/S, Internet architecture, Windows interface. You can easily connect to the system wherever you can communicate.

5. Integration, advancement, uniformity, integrity, and openness.

Let you understand what ERP is
An ERP (Enterprise Resource Planning) enterprise resource planning system is a management platform that provides decision-making and operation means for decision-making and employees based on information technology and systematic management ideas.

At noon one day, my husband called at home: "dear wife, can I bring some colleagues home for dinner at night? "(Order intention)
Wife: "Of course you can. When are you going to eat? "
Husband: "six people, we will be back at around to prepare some wine, roast duck, tomato scrambled eggs, cold dishes, and egg soup ....... Can you see it? "(Business Communication)
Wife: "No problem. I will prepare it. "(Order confirmation)
The wife records the menus (MPS Plan) to be prepared: Duck, wine, tomato, eggs, spices ...... (BOM material list): 1 duck egg, 5 bottles of wine, 4 eggs ...... (BOM expansion). It requires 6 eggs for scrambled eggs and 4 eggs for egg soup (shared materials ).
Open the refrigerator and check (warehouse). There are only 2 eggs left (out of stock ).
When I came to the free market, my wife: "How can I sell eggs? "(Procurement inquiry)
Hawker: "1 yuan, 5 yuan for half a dozen, 9.5 yuan for one dozen. "
Wife: "I only need eight, but this time I bought one dozen. "(Economical batch procurement)
Wife: "This is a bad one, for another. "(Acceptance, return and exchange)
Back home, prepare for washing, cutting, cooking... (craft line), kitchen gas stove, microwave oven, rice cooker... (Work Center ). My wife found that it was the most time-consuming (bottleneck process and key process routes) to use a microwave oven to cook roast duck by herself (insufficient production capacity ), as a result, the reading room was bought as ready-made (out-of-service) in the restaurant downstairs ).
At four o'clock P.M., the phone rang again: "Mom, I want to come to dinner at night. Please help me prepare. "(Urgent order)
"Okay, what do you want to eat? Dad has guests at night. Would you like to eat with them? "
"You can do it, but you must have tomato scrambled eggs. We will not eat it with adults. We will return around. "(Cannot be handled separately)
"Okay, you must be satisfied. "(Order confirmation)
The eggs are not purchased. Call the hawker to send them. (Urgent procurement)
At, everything was ready, but the roast duck was not delivered yet. I hurriedly called and asked, "I am Li Tai. Why didn't I order the roast duck? "(Procurement outsourcing ticket Reminder)
"Sorry, the shipping person has already left. It may be a traffic jam. It will arrive immediately. "
The doorbell rings. "Mrs Li, this is your roast duck. Sign one word on the ticket. "(Acceptance, warehouse receiving, transfer to account payable)
At, my daughter's phone number: "Mom, can I bring some friends home for dinner now? )
"No, daughter. Today, Mom needs to prepare two meals. It's too late. I'm really sorry. I'll say it will be ready for you later. "(Haha, This is the limitation of ERP usage. A stable external environment is required, and a minimum advance stage is required)
The tired wife sat down on the sofa and said to her husband, "dear, we have a very high frequency of buying kitchen supplies (equipment purchase ), it is best to hire another nanny (even the HR system has interfaces ).
Husband: "You are the master at home. You can do whatever you need. "(Approved)
Wife: "also, my family has spent too much money recently. I will use your private house money to subsidize it, OK? "(The last is the reminder of the receivables)
Does anyone understand ERP? Remember, every qualified family is a strong competitor of the production director!

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