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Unit 681 Enterprise Resource Planning

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681 Enterprise Resource Planning Enterprise Resource Planning (ERP) is software that helps bring harmony to an entire organization. ERP software helps combine the many functions that are a necessary part of running a business, such as management, marketing, accounting, human resources, and many others. ERP consists of a database that is shared amongst the many different systems within an organization. This database contains a multitude of different functions that can be shared by each section of a business. LG Electronics ERP can be credited with successfully providing solutions to many organizational issues within different companies throughout the years. LG Electronics is a worldwide example of how the implementation of ERP solutions can successfully transform a business. According to Seth (2014), before ERP, “high maintenance costs, local controls lacking transparency, inefficient decision making, under-utilization of resources, …show more content…

A great example of a small scale ERP success is Artisan Hardwood Floors. According to Wailgum (2008), Artisan was a family owned business with a very limited number of employees, none of which worked with IT. Most of the company’s processes had to be done manually. The company’s co-owner started looking for a system that could help consolidate and organize Artisan’s three different business lines. He found SAP’s ERP system and immediately after learning about it, decided that was the software he wanted to use. Usually, SAP would not consider selling to a small company like Artisan because they only need a few seats of software; however, they did, and now Artisan is fully running on SAP’s ERP system and is an advocate for the use of this software for small businesses. Artisan Hardwood Floors now has a clearer operational system and three united business lines due to the ERP

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