An Enterprise Resource Planning Software is made up of many software modules that are combined depending on the functions needed by a certain companies. Each module mimics a certain functional area of an organization. This is teamed up with another software module in order to compromise a unified package. What are some of the common ERP modules? This will be discussed in detail below.
One example is ERP Production Planning module which includes production planning, production capacity, forecasting and materials availability. This can be teamed up with another ERP module which is Inventory Control. This includes maintaining the stocks in the warehouse, names of suppliers and movement of raw materials and finished goods. Return authorizations and stocks for warranties are also included.
One ERP module that is most important factor for every company is the Sales Module which includes product quotation, order entry, shipping, invoicing and collection. This can be partnered with an ERP Marketing module which is responsible for lead generation, marketing and maintaining existing customers. Another module which is the very center of any organization is the Financial Module. It includes the balancing of cash and non-cash flow. It tells whether a company is gaining or losing money.
These different ERP modules can be easily combined with others to come up with unified software performing different functions. For example, a sales person for a computer manufacturer can use a system that enables him to check stock availability, price, shipping charge and expected date of delivery and provide a quotation for a customer. Once the customer places an order, he may use the same system to enter the order and generate an invoice.
To summarize, indeed the use of ERP opened a big window of opportunity of how companies conduct their businesses.