Essay - ERP Enterprise Resource Planning Introduction the Basic Concept of an...


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ERP

***** Resource Planning

Introduction

The basic concept of an Enterprise Resource ***** (ERP) system is to act as the coordination *****d synchronization point of inbound supplies, matching up customer orders while also scheduling production and manuf*****uring *****. ***** systems typically also include Accounts Payable (AP) ***** Accounts Receivable (AR) ***** so that financial reporting of transactions can be completed. In previous generations of ERP systems it was considered sufficient to support a single location, yet today multi-instance ERP ***** that are capable of managing the coordination of ***** orders and their fulfillment across multiple locations is increasingly a commonplace requirement (Yang, Lin, Lin, Huang, 2006). ERP systems also often have Customer Relationship Management (CRM), Supply Chain ***** (SCM), and often Distributed Order Management (DOM) ***** integrated into them to make the underlying business processes more efficient and agile, capable of responding ***** market requirements.

***** Implementation and Use of ERP systems

The greatest impediment to any successful ERP implementation is resistance ***** change on the part ***** both ***** managers who will use the system ***** their employees (Youngberg, Olsen, Ha*****r, 2009). Overcoming resistance to change takes a series of strategies called change management, as they seek ***** provide those who will use the system with an opportunity to "own" the changes to ***** jobs and ***** processes and procedures they rely on daily ***** do their jobs. Key to the successful implementati***** of any ERP system is ***** transfer of knowledge and its being organized ***** taxonomies that are usable in the context ***** the new system and its processes (Xu, Ma, 2008). Once initiatives ***** strategies are in place for nurturing and providing those employees and managers most affected by the implementation of ***** ***** system, intensive ***** process re-engineering (BPR) typically takes ***** (Xu, Ma, 2008). Once business processes have been re-engineered and then integrated into the new ERP systems' workflows, standardization of processes typically occurs so that the company implementing the system can attain higher levels of efficiency and productivity (Chtioui, 2009). From ***** workflows to the ***** ***** procedures and even down to the graphical interfaces ***** the ERP applications, it is critical to get user's input and allow ********** ***** have ownership of the system before actually implementing the software (*****, Olsen, Hauser, 2009).

The actual ***** potential benefits of implementing an ERP ***** in many organizations center around ***** more driven by customer needs and be*****g ***** responsive to key markets and customer segments. The ***** of becoming a demand-driven organization through the use of ***** systems h***** been well-proven, *****as the ability to get greater levels of financial performance ***** more process efficiency as well. The near-term ***** are greater levels of process and in many cases, system integration that allow ***** ***** perform ***** efficiently. In addition, ERP systems can greatly reduce ***** number of errors an organization makes in its supply cha*****, order management, manufacturing, and fulfillment *****es as well. Future potential benefits include the ability to anticipate and

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