Definition of Enterprise Resource Planning System
Enterprise resource planning system is a software-based system that businesses use to manage their day-to-day business operations such as financing, accounting, human resource, procurement, project management or supply chain operations, etc. ERP system also includes enterprise performance management, a software that helps the organization in planning, budgeting, and reporting of an organization’s financial results.
ERP systems onboard multiple business processes and make the interdepartmental flow of data possible. ERP system collects and organized collective data from each department and eliminates any duplicate data and increases data integrity.
In today’s dynamic environment, organizations heavily depend on ERP systems despite their organization size. It is as important for the organization as electricity which keeps the lights on.