The Evolution of Erp Systems

Topics: Enterprise resource planning, Manufacturing resource planning, Material requirements planning Pages: 5 (1292 words) Published: March 29, 2012
Table of Contents
A. Introduction
B. Legacy Systems
C. Various stages of ERP
Inventory Control System packages
Material Requirements Planning Systems (MRP)
Manufacturing Resources Planning (MRP II)
Enterprise Resource Planning
Extended ERP
D. ERP Systems
Architecture of ERP Systems
ERP Solution Provides in the Market
E. Future of ERP and Conclusion
F. Reference
Content Word Count: 1221
A. Introduction
In this industrial era, many industries are increasing their business worldwide in order to satisfy their customers and serve them better and on time. Due to this huge growth of these industries, there emerged a need transfer, share data and resources within their branches worldwide. The industries faced difficulties in maintaining there accounts, inventory, human resources, materials procurement for their products and also they were lacking in decision making. Due to the global development, managing the global data, transforming business process and maintain the resources effectively there was a need of an information system which could maintain all the global data so that it will be more efficient to streamline the global organisation functions. During 1960 – 1970s, new software package called “Inventory Control Packages” entered market which was mostly used by small and medium-size business organisations. And later in 1980s evolved a system known as “Enterprise Resource Planning” which was used by large business organisations In this presentation we will go through various stages of ERP systems and the development from the old legacy systems to the latest extended ERP systems and discuss about the architecture and the feature of the ERP systems. B. Legacy Systems

Mainly legacy systems are defined as the old hardware and software or in general as old systems. These old systems mainly use ALGOL, COBAL and FORTRAN as the programming language these languages ware used to install systems package like “Inventory control package” , later it was further developed as Material requirement planning systems then emerged “Manufacturing requirements panning” during 1980s. But these developments were success within the business group in domestic and also they realised that it does not integrate with all the functional areas. To fulfil these needs ERP systems emerged in the beginning of 1990s with the power of inter-functional, coordinate and integrate world wide. This system was designed with the technical knowledge of MRP and MRP II. ERP is used to integrate all the business processes along with the accounting, financial, inventory control, manufacturing, supply chain, human resource, service and maintenance, project management and transport this provided easy accessibility, consistency and visibility within the business group world wide. In the beginning of 2000s the ERP solution provides keep on adding more modules and functions based on the needs to the core system which emerged as the “extended ERP”. C. Evolution of ERP Systems

Inventory Control System Packages
Before the development of the Inventory control system, people used to manually count the materials and take material stocks yearly once or twice. Due to this there was a delay in processing the orders and procuring raw materials. Thus the industries developed, designed and implemented computing systems, which help to automate their inventory control system which eased them to sort out their inventory issues by using the inventory control packages. Material Requirements Planning Systems (MRP)

During 1970s the Material requirement planning was used mainly to plan their products or parts which is required for their production schedule and did not control the complete material requirement involved in a manufacturing industry as a whole. This lead way for the new system called MRP II

Manufacturing Resources Planning (MRP II)
During 1980s this MRP II was introduced which emphasised and optimized the manufacturing process which helped to synchronize...
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