What is ERP?

ERP stands for Enterprise Resource Planning, but what does ERP mean? The simplest way to define ERP is to think about all the core processes needed to run a company: finance, manufacturing, HR, supply chain, services, procurement, and others. At its most basic level, ERP integrates these processes into a single system.

KEY FEATURES

• Enterprise-wide integration
• Real-time (or near real-time) operations
• Consistent look and feel

One study finds that on average an ERP can reduce overall operational costs by 23% and administrative costs by 22%. That's a significant saving over time. And while operational savings may be a driving factor to explore ERP adoption, quality ERP programs can do more than just save money.

ERP systems enable businesses to have greater insight and visibility into their supply chain operations. Access to this key information allows them to make critical business decisions and to maintain a competitive edge in their industry, no matter how big or small the competition is.