Page 22 - DCAP302_ENTERPRISE_RESOURCE_PLANNING

Enterprise Resource Planning

notes 1.11 summary

l z ERP is the abbreviation of Enterprise Resource Planning and means, the techniques
and concepts for integrated management of businesses as a whole from the viewpoint
of the effective use of management resources to improve the efficiency of enterprise
management.
l z ERP provides the backbone for an enterprise-wide information system.

l z At the core of this enterprise software is a central database which draws data from and
feeds data into modular applications that operate on a common computing platform, thus
standardizing business processes and data definitions into a unified environment.

l z With an ERP system, data needs to be entered only once.
l z The system provides consistency and visibility or transparency across the entire
enterprise.

l z A primary benefit of ERP is easier access to reliable, integrated information.
l z A related benefit is the elimination of redundant data and the rationalization of processes,
which result in substantial cost savings.

1.12 keywords

Customer Relationship Management (CRM): An approach to building and sustaining long-term
business with customers.
Enterprise Resource Planning: Enterprise applications used to manage information about
organizational resources such as raw materials, products, staff and customers as part of delivery
of a product or service.
Information System: A collection of hardware, software, data, and people designed to collect,
process, and distribute data throughout an organization.

1.13 self assessment

Choose the appropriate answers:
1. The general transformation cycle for information is:
(a) Knowledge to data to information.

(b) Information to data to knowledge.
(c) Data to information to knowledge.
(d) Data to knowledge to information.
2. SCARPE stands for:
(a) Supply Chain Advanced Resource Planning and Execution
(b) Source Chain Advanced Resource Planning and Execution

(c) Supply Chain Advanced Resource Program and Execution
(d) None

16 LoveLy professionaL university