ERP agreements (Article.1)

ERP agreements (Article.1)

While I’m thinking about an agreement I work on now, I said why I do not write here about it. It is about an ERP agreement.

“ERP” is short for enterprise resource planning. And it is business management software that allows an organization to use a system of integrated applications to manage the business. ERP software integrates all facets of an operation, including product planning, development, manufacturing processes, sales, Human Resources and marketing.

ERP software usually consists of multiple enterprise software modules that are individually purchased, based on what best meets the specific needs and technical capabilities of the organization. Each module is focused on one area of business processes, such as product development or marketing. Some of the more common ERP modules include those for product planning, material purchasing, inventory control, distribution, accounting, marketing, finance and HR.

There are objectives must be taken into account while developing an ERP for any organization. And they are Speed, Scope, Resources, Risk, Complexity and Benefits. While some of the writers see that the goals and objectives of the ERP project are: Goal.1: Improve effectiveness and efficiency of administrative processes; Goal.2: Improve support for decision making; Goal.3: Enhance availability and access to timely and reliable information; Goal.4: Enhance professional capabilities of the human resources; Goal.5: Improve the quality of services for all stakeholder; Goal.6: Enhance accountability of personnel, and integrity of processes and information.

In the next article we will continue talk about how to draft an ERP agreement.