Enterprise Resource Planning, usually called ERP, is a software system created to manage businesses. This software system is designed to integrate a great variety of business components, such as manufacturing, planning, marketing, and sales. Due to the fact that ERP Software methodology has developed tremendously over the past fifty years, today there are many specific, additionally created, applications to help business managers utilize ERP software in activities such as, for example: manufacturing, logistics, distribution, inventory, shipping, personnel, order tracking, inventory control, human resources, accounting, and customer service.
Any software that helps a business measure and increase productivity is really Business ERP Software. The basic goal of business software is to increase a business’ profits by cutting costs and making the production cycle smoother and more streamlined. And, although it is well known that implementing ERP Software is a difficult and expensive process, it is also accepted that due to its great benefits -the Return on Investment is almost always realized in short time.
In the beginning of ERP history, one of the earliest business software tools was factory accounting. It was made up of: General Ledgers, Fixed Assets Inventory ledgers, Cost Accounting ledgers, Accounts Receivable ledgers, and Accounts Payable ledgers including Payroll and Insurance. The success of factory accounting software led to the development of even more business software solutions as technology made leaps and bounds. In the 1990s, the face of business changed with the appearance of SAP software which coordinated a supply-chain to organize the most efficient, streamlined, manufacturing operation possible.
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