Summarize: Enterprise Resource Planning $($ERP$)$: Meaning, Components, and Examples

Investopedia defines ERP as: ERP A process used by companies to manage and integrate the important parts of their business, often via software to connect planning, purchasing inventory, sales, marketing, finance, human resources, and more.

The most IMPORTANT process provided by an ERP application is it makes all the different computer systems used within a company, stay separate on their own but can be accessed through ONE application with ONE interface. This makes sharing information between departments easier, quicker and more accurate. ERP can link info from several departments and include it in ONE report.

ERP systems can be shared with whomever the "host" company wants to share it with.

With six different ERP systems

On$-$Premise, Company has full control of the system, usually requires an IT for maintenance.

Cloud, Has remote servers, subscription based with less upfront costs, has maintenance from the ERP provider.

Industry$-$Specific, tailored to the particular industry.

Open$-$Source, the company can modify to better meet its needs, requires more IT specialization.

Small Business, designed for small$/$medium businesses, essential functions smaller price, easier to customize.

Tiered, offers different levels to meet the company's needs, can upgrade if needed.

Many benefits of using ERP Improving accuracy and productivity, reporting, efficiency, and sync your workforce. When everybody can see the same data they all have the same information.

A huge weakness to ERP is not with the ERP itself, it is not upgrading older systems that don't work with the ERP.

There are three big names in the ERP world, these are Oracle Corp. $($ORCL$),$ SAP and Microsoft $($MSFT$)$

This article does include a few companies that have been successful because of their ERP.

And a great list of Things to Consider when choosing an ERP.