Understanding the ERP system

When we are dealing with business functions in the different departments of the organization, we need to have a fully integrated system to automate the business functions and take the management and financial reports such as the financial position of the company. That is the requirement for having the ERP system in the company.

What is ERP? 

The ERP stands for Enterprise Resource Planning as a type of Management Information System and it integrates and automates the business functions associated with the operation, production, and distribution which are being parts of the manufacturing process for products and services.

What is MRP?

This system was composed through the Manufacturing Resource Planning (MRP 2) and it followed by Material Resource Planning (MRP 1). The ERP system supports carrying out several business functions like purchasing, manufacturing, inventory controlling, distributing, invoicing, running payments, and managing HR which are incorporated in several divisions like finance, production, logistic, warehouse, sales, and purchasing. Thereby, core modules would be Finance, Banking, Purchasing A/P, Sales A/R, Business Partners, Item Master, Production, Service, and HR in almost all the ERP systems.

Integration with other systems

The ERP  system is running at the core business area which is called the back-end function (back office) and most of the front-end functions are related to the customers and suppliers who are the external stakeholders. As examples; CRM - customer relationship management and SRM - supplier relationship management system would be coupled with the company's extranet and enables the widened scope.

This systematic approach helps to integrate the whole business functions to address the business matters with solutions. However, the fully integrated system acts as a single system to fulfill the business requirements which would be included in the finance, logistic, production, warehousing, sourcing, HR, sales and distribution, etc.

When your company requires a suitable ERP system to automate business functions and integrate divisions into a single system, Axleta helps you to find the right solution and supplies support and consultation. 

Generally, the ERP system generates many different files in different locations such as Purchas Orders, Sales Orders, Invoices, and Source Documents. The company has to manage those files securely and put controls to avoid unauthorized access. As well as, they need to search for files and share them with stakeholders. Google Drive is the ideal solution along with Google Workspace, it enables productivity and being able to find the right information quickly.