Essay on , Afryanthamrin’s Blog, Binusian Weblog, 10 October,

1893 Words Nov 6th, 2012 8 Pages
INTRODUCTION

NOWADAYS, THE BUSINESS COMPETITION BETWEEN COMPANIES WORLDWIDE HAS BECOME VERY TIGHT. INTENSE COMPETITION AMONG COMPANIES MAKES THEM IMPROVE THEIR BUSINESS PROCESSES TO BE MORE COMPETITIVE. ENTERPRISE RESOURCE PLANNING (ERP) SYSTEM IS A BIG SYSTEM WHICH INTEGRATES, AND AUTOMATES ALL BUSINESS RELATED TO ASPECTS OF THE OPERATIONAL, PRODUCTION AND DISTRIBUTION IN A COMPANY. IN ORDER TO HANDLE ALL COMPLEX BUSINESS PROCESSES, COMPANIES START TO IMPLEMENT ERP SYSTEM TO THEIR SYSTEM (UMBLE, HAFT & UMBLE 2003). IN THE FACT THAT THE SUCCESSFUL IMPLEMENTATION OF ERP CAN BRING GREAT BENEFITS TO COMPANIES TO COMPETE EACH OTHER. THEREFORE, OWNERS SHOULD KNOW IN ADVANCE ABOUT THE CRITICAL SUCCESS FACTORS OF ERP SYSTEM BEFORE THEY
…show more content…
It results in better information and more accurate data than the previous system. In addition, a completed ERP System is divided by six modules which cover all business processes in a company such as: Sales and Distribution, Financial, Manufacturing, Human Resources, Project, and Customer Relationship.

[pic]

Figure 1.0: Modules of Enterprise Resource Planning System

Type of ERP System

Before a company implements ERP System, the company should choose what type of ERP software which suitable with requirement of business processes within the company. This is because there are many vendors worldwide who provide a wide range of ERP software, such as : R3 suite /B1 suite (SAP Company), BAAN(Baan Corporation), Microsoft Dynamics NAV/Microsoft AX 2009 (Microsoft) , and E-Business Suite Financial /JD Edwards (Oracle) (eHow n.d.).

Advantages and Disadvantages of ERP System

Before taking a decision for ERP implementation in the enterprise, owners must have a deeper understanding about the advantages and disadvantages of ERP implementation to their enterprise. As a result, the owners will get overview about the comparison between impact of ERP System and other system against their companies in the future.

Advantages of ERP System

One of the main advantages of ERP system is synchronization which integrates all business processes and conducts all transactions in a company

Related Documents