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An ERP (enterprise resource planning) system in a company is a software resolution that tightly integrates all functions of that company. An integrated enterprise system is the vision of ERP. ERP takes all information from all functional areas, and makes that information available via computer to all other functional areas. This helps employees to more smoothly perform core corporate activities, including customer service functions. For example, ERP allows a customer service representative to check the availability of a product, while on the phone with the customer, so they know whether it will be shipped out on time or not.
Besides ERP being a major plus in the customer service field, there are three other reasons a company should undertake ERP. First, it integrates all financial data. This makes it easy for accountants and financialists to share data, as well as enterprise wide information sharing. Second, it standardizes the manufacturing process. Everyone at every spot of the plant is able to look at the same computer screen, with the same information spewing across. Third, it standardizes human resource information. Files can be updated in one place, at one time and change all files. There is no need for hand written changes and copies. The dependency on human resource is eliminated.
The purpose of ERP is to alleviate many problems that businesses typically run into. It helps to cut down material shortages and other inventory problems. It allows for productivity enhancements, which in turn cuts down on quality problems. ERP also makes for better cash management strategies. And as previously mentioned, it allows for better customer service, both on and off-line.
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