What does ERP mean?

For every business and corporate organization, managing chunks of files with properly balancing multiple tasks are really big things. In this context, the significance of Enterprise Resource Planning (ERP) can be felt.

ERP serves as a high-tech software used by companies to manage regular business activities like risk management, accounting, procurement, and project handling. Industries like the health care sector, estates, hospitality, and nonprofit groups use ERP for supply chain operations. Check some information about ERP in this article. 

Functions of ERP

Today Enterprise Resource Planning software works as an integrated system that provides important insights into data analysis. From finance management to operational features, all key aspects are smoothly handled by ERP. Some of the main functions are- 

Acts as a Human Resource component

In this role, the ERP would hire, check payroll, and timekeeping, and altogether manage the end-to-end employee platform. HR software developed by an ERM system can also deal with complicated functioning like tax and benefits deductions. 

Supply Chain Management

Monitoring a company’s Supply Chain Management (SCM) is considered one of the primary functions of any ERM software. SCM comprises tracking the client’s demand, manufacturing unit, logistics, and delivery. Here, ERM would ensure automatic supply chain functions by detailing the purchase orders and work orders among many locations. 

Customer Relationship Management (CRM)

For the success of any corporate hub, analyzing the relationship with the customers is also vital. ERP systems can be used for accessing customer history and accordingly helps in growing the annual sales. You can develop trusted relationships with the customers through this process. 

Account Management

The original ERP platforms were more focussed on accounting. However, since then, the platform has undergone major updates, and now also manages the company’s finance. The accounting software tracks the respective accounting numbers of the clients and guides in better data analysis. 

ERP: Pros and Cons

Benefits

• Improved access to clients’ information and ensures better customer service with quick response times. 
• Acts as an integrated system for all databases of the company. It maintains a single truth source for any business. 
• Wisely saves the cost with better inventory planning. 
• Protects encrypted information and prevents the installation of malicious software. 
• Maintains transparency throughout the business administration. 

Drawbacks

• May add up the extra cost regarding maintenance and the third party add-ons for the company. 
• Formulating a concrete data conversion strategy is a tough nut to crack. 
• Takes time in analyzing, defining, and implementing the data sources. 
• The compensation charges in case of bad data conversion are high. 
• Expert technical knowledge is required to operate the ERP platforms. 

Examples of Enterprise Resource Planning

• One of the most operated Enterprise Resource Planning systems is Oracle ERP Cloud developed in 2012. The latest Oracle ERP cloud version is accessible in Mac, Linux, and Windows desktop versions. Their Artificial Intelligence(AI) leverages auto-updated daily tasks. 
• The Acumatica Cloud ERP software is used by smaller and mid-scale companies. Industries like e-commerce, retail, manufacturing, real estate, and agriculture popularly use the Acumatica ERP. 
• The BizAutomation is an integrated cloud-based platform that works for small to large-scale businesses and even for wholesale and retailers. 

Big companies using ERM systems

• Starbucks uses the Oracle cloud-based ERP software solution and handles the day-to-day activities of the big company. Oracle serves applications like CRM, ERP, and SCM processes. 
• Toyota, an automobile brand, hands over the task of business management to the Microsoft Dynamics 365 ERP program. With Dynamics, the company maintains a paperless system which reduces the workload of the staff. 
• The e-commerce brand Amazon trusts System Analysis and Program (SAP) software for managing finances, logistic demands, HR, and order management. ERP systems like SAP boost the overall sales rate annually.

We have found 69 abbreviations for ERP in categories like Computing, Medical, Business, Governmental, Academic & Science, and Messaging. If you want to explore ERP definitions in each category, scroll to the end where we have listed each category’s ERP abbreviations separately.

ERP meaning in different categories:

Computing

Medical

Business

Governmental

Academic & Science

Messaging

Transport & Travel

Sports

Miscellaneous

Computer and Networking

Stock Exchange

Technology

Associations & Organizations

News & Entertainment

Military and Defence

Softwares

Electronics

Maths

Sports & Games

Similar Abbreviations & Terms

• ZRP : Zone Routing Protocol
• MERP : Middle Earth Role Playing
• RP : Philippines
• ERPM : Enterprise Random Password Manager™
• EARP : Ethernet Arp

ERP meaning in all languages:

Check out ERP meaning in all languages as well here.