ERP and SAP Overview PDF Print E-mail
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Friday, 06 March 2009 13:27
Primary objective of a company is to make money.

A business produces either a product or a service in order to make money.

Products or services are sold to customers.

The raw material and operating supplies are purchased from vendors.

The company needs to manage customers and vendors.

Also the company would produce reports each month (or each period) showing the progress of the business.

Also the company would need to manage all aspects of the business e.g. employees, bank accounts, inventory etc.

In order to make things manageable there would be various departments in the company each looking after a particular aspect of the business e.g. Finance Department, Manufacturing Department, Human Resources Department etc.

Each department would need to use some kind of software in order to manage their day to day activities.

Enterprise Resource Planning (ERP) software is an enterprise wide solution. ERP software consists of modules. Each department of the company could use one or more modules (specific to that department) of the ERP software in order to manage its day to day tasks.

All modules of ERP software are connected.

This way management can have a view on the company as a whole.

SAP is a leading ERP software with largest market share.
Last Updated on Friday, 06 March 2009 13:44

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