What is ERP?
History of formation and development of ERP

I. What is ERP?


ERP is an acronym for Enterprise Resource Planning, this is a software system that helps plan the overall resources of an enterprise. In other words, ERP is used to manage all activities of an organization or business.

If in the past, we often used independent, discrete software and could not create data links, then with ERP, all software will be integrated into a single system (All in one). Managers just need to access this system to be able to grasp all the company's activities through an internet connection.

II. History of formation and development of ERP

Started to exist in the 1960s. The first name was MRP, over time it developed additional features and had the following names: 

MRP II, ERP, ERP II.

MRP: Planning material needs for production.

MRP II: Planning material needs for production; Purchase plan.

ERP: Manufacturing; Purchase; Sell; Warehouse; Personnel; Accountant.

ERP II: Manufacturing; Purchase; Sell; Warehouse; Personnel; Accountant; Marketing; CRM; IoT, E-commerce…

III. Summary:

ERP software system has many benefits for businesses such as:

- Helps management control activities within the company.

- Supports quick decision making.

- Information is concentrated in one place for easy management.

- Helps employees interact and work better in groups.

- Helps connect parts better.

- Helps link management levels more effectively.



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