ERP - Enterprise Resource Planning Enterprise Resource Planning system, refers to the establishment of information technology based on systematic management thinking, for the enterprise decision-making and staff to provide decision-making means of operation of the management platform. ERP system focuses on information technology and advanced management thinking in one, to become a modern enterprise operation mode, reflecting the times on the enterprise rational deployment of resources, maximize the requirements to create social wealth, and become a business in the information age survival and development of the cornerstone.
Further, we can give its definition from the management idea, software products, management system at three levels:
1. It is a set of enterprise management system system standards put forward by Garter Group Inc. which is a famous U.S. computer technology consulting and evaluation group. MRP II (Manufacturing Resources Planning, "Manufacturing Resources Planning") based on the further development of the supply chain (Supply Chain) oriented management ideas;
2. is a comprehensive application of the client/server system, relational database structure, object-oriented technology, Graphical user interface, the fourth generation of language (4GL), network communications and other information industry achievements, ERP management ideas for the soul of the software products;
3. is the integration of enterprise management concepts, business processes, basic data, human and material resources, computer hardware and software in one of the enterprise resource management system.
Specifically, the relationship between ERP and enterprise resources, the role of ERP and the development of information technology can be expressed as follows:
1. enterprise resources and ERP
Plant, production lines, processing equipment, testing equipment, transportation tools, etc. are the enterprise's hardware resources, manpower, management, reputation, financing capabilities, organizational structure, employee labor enthusiasm, etc. is the enterprise software resources. Labor enthusiasm is the enterprise's software resources. In the development of enterprise operation, these resources interact with each other to form the enterprise production activities, complete customer orders, create social wealth, realize the basis of enterprise value, reflecting the position of the enterprise in the development of competition.
The management object of the ERP system is the above resources and production factors, through the use of ERP, so that the production process can be timely, high-quality customer orders, maximize the use of these resources, and according to customer orders and production conditions to make adjustments to resource decisions.
2. Adjustment of the use of enterprise resources
An important symbol of enterprise development is the rational adjustment and use of the above resources, in the absence of ERP such a modern management tool, the status of the enterprise's resources and the direction of the adjustment is not clear, to make the adjustment arrangements is quite difficult, the adjustment process will be quite long, the enterprise's organizational structure can only be a pyramid, the interdepartmental collaboration and exchange is relatively The organizational structure of the enterprise can only be pyramid-shaped, the collaboration and communication between departments is relatively weak, and it is difficult to grasp the operation of resources and make adjustments. The development of information technology, especially for enterprise resource management and the design of the ERP system is designed to address these issues, the successful implementation of the results will enable enterprises to better use of resources.
3. Information technology on the role of resource management stage of development process
The development of computer technology, especially database technology for the enterprise to establish management information systems, and even to change the management of ideas play an inestimable role in the development of management ideas and the development of information technology is mutually causal loop. And practice has proved that information technology has played an increasingly important role in the management of the enterprise level.
The initial use of information technology in management is also very simple, mainly to record some data, easy to query and summarize, and now the development of the establishment of the global Internet-based cross-country, cross-business operation system, can be divided into the following stages:
A. MIS system stage ( Management Information System)
The enterprise's information management system is mainly to record a large amount of raw data, support query, summarize and other aspects of the work.
B. MRP Stage (Material Require Planning)
The enterprise's information management system manages the composition of the product, with the help of the computer's arithmetic ability and the system's ability to manage the customer's order, the materials in stock, and the composition of the product to realize the customer's order, and to unfold and compute the material requirement plan in accordance with the list of the product's structure. Achieve the management goal of inventory reduction and optimization.
C. MRP Ⅱ stage (Manufacture Resource Planning)
On the basis of MRP management system, the system increases the management of the enterprise production center, processing hours, production capacity, etc., in order to realize the function of the computer for production scheduling, but also the financial function is included in the formation of a computer-based closed-loop management system in the enterprise. Computer as the core of the closed-loop management system, this management system has been able to dynamically monitor to production, supply and marketing of all production processes.
D. ERP stage (Enterprise Resource Planning)
Entering the ERP stage, the computer as the core of the enterprise management system is more mature, the system increased, including financial forecasting, production capacity, adjusting the scheduling of resources and other aspects of the function. With the enterprise to achieve JIT management comprehensive, quality management and production resource scheduling management and decision-making support functions. Become the enterprise production management and decision-making platform tools.
E. ERP in the era of e-commerce
The maturity of Internet technology for the enterprise information management system to increase and customers or suppliers to achieve information *** enjoy and direct data exchange capabilities, thereby strengthening the link between enterprises, the formation of *** with the development of the survival of the chain, reflecting the enterprise in order to achieve the survival of the supply chain management ideas. epp system accordingly. ERP system accordingly to achieve this function, so that decision makers and business sectors to achieve cross-enterprise joint operations.
It can be seen that the application of ERP can indeed effectively promote the modernization of existing enterprise management, scientific, to adapt to the increasingly competitive market requirements, its introduction, has become a general trend