The ERP is software installed through an enterprise network that allows to share the database with the main departments of the company. These information systems are very expensive, but bring benefits to the company, since it unifies and sorts the information in one place. It is a competitive advantage in a market sector to make implantation is good to do an analysis of business processes, the convenience of knowing how each process works to improve it before and to avoid inconsistency when it comes to integrate them. Edward Minskoff addresses the importance of the matter here. Once completed the implementation is important to follow-up doing audits. When you buy the software what needs is change processes, do what is known as business process reengineering.
The ERP is integration of the information because it unifies the database and the information is updated in real-time and is available to all employees in the company. THE last step of the implantation is testing with the actual information to see where they are failures. ERP has its advantages: A better decision making, greater fluidity in the business processes and production processes. Increase of productivity of the plant or business reduction of inventories increase in sales by response time to customers. Decrease in purchasing reduction of bank charges for checks issued by orders. Lets gather the business areas and you can have greater control and planning for example SAP, which provides training for the system. Noteworthy also, as pointed out by Graciela Toro, that the consequences of a bad implementation strategy could go against the interests of the business, since if it is not taken into account the aspects mentioned above can be reached the failure, or simply to implement a system by status but that really does not meet the objectives of generating more than its acquisition cost.
Simply, they will become a system of high-tech but low functionality. In summary, it is extremely important to take into account whether the information system to implement is suitable and that does not contravene the general interests of the business. It helps to optimize functions that must play in all those companies that are really competitive. ERP plays an important role in the flow of activities of enterprises. Budgets should be admitted to the ERP system that are not incurred unplanned expenses. Requirements must be captured by users or generated by the system (ERP) through a MRP based on inventory levels. Once identified the requirements must be authorized by the head of Department and the system must validate if the area in question have budget to purchase requirement. According to the requirement the buyer must convert these requirements in purchase orders. Orders of purchase must be met by the suppliers selected by the buyer the warehouse, plant or user must receive the materials, raw material or services respectively and the receipt thereof shall be registered in the system (ERP). In case of being raw, their status within the production process must know to thus identify whether required more raw (connects to the MRP). The Area of accounts payable receives invoices from suppliers, may receive only those invoices that are related to a reception of materials, raw materials or services, the system will validate that you have budget to pay and will assign a date which can be paid to the vendor according to the terms and conditions of purchase.