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Course Notes from ERP 101 (Part 3a)

31 December 2012
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Before there was ERP there was MRP, manufacturing resource planning. Keeping inventories low and using just-in-time production techniques requires precise planning and execution on the supply side of a manufacturing business.

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Course Notes from ERP 101 (Part 3a)

Supply Chain Management. Before there was ERP there was MRP, manufacturing resource planning. Keeping inventories low and using just-in-time production techniques requires precise planning and execution on the supply side of a manufacturing business. Supply chain management in ERP automates many of the tasks involved in ordering supply and maintaining inventories. For today's manufacturing business, supply chain management is a critical ERP feature. When considering an ERP package, it is important to focus on the features that are most important for your type of manufacturing. There are a wide variety of SCM options, and more than one, quite likely, perfectly suited to your industry and way of doing business. Make a detailed list of your requirements and compare that list to what your vendor can provide. Keeping in mind that each feature contributes to an overall integrated system, you can maximize the benefit of your ERP purchase.

For large enterprises, the ERP marketplace is currently dominated by three companies – SAP, Oracle, and Microsoft. Rivals in this tier have either been acquired by one of the Big 3, gone out of business entirely, or settled back into a lower tier serving smaller companies. Since this marketplace is saturated (every large company already on their second, third or fourth iteration of ERP), don’t expect much change is this vendor tier.

Continued in Part 3b

 

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