Research Paper

Enterprise Resource Planning
Enterprise Resource Planning began with early attempts in the 1940’s but was not mastered until the early 1960’s by J.I. Case, the manufacturer of tractors and other construction machinery, and partner IBM. It also has its relationship with Material Requirement planning (MRP), which serves as the method for planning and scheduling materials for complex manufactured products in the 1980. But it was too big clumsy and expensive and eventually lead to the focus of MRP II by JD Edwards.
Enterprise Resource Planning help provides corporate platform for information technology and include financial and manufacturing applications. Its attempt to integrate all areas of the company function into a single system that can serve different department needs throughout the company. By integrating all business function it helps the company to function more efficiently in the business processes. With the integration of business processes ERP helps to reduce operation cost, such as production and inventory costs, it helps with budgeting, generating more accurate demand forecasts, bill of material, speed production cycles and enhance customer service. ERP system has been growing tremendously since it first introduction, according to a Gartner research in 2005, the total ERP application grew 5.2 percent annually as the market deal with mergers, on demand and technology advances with Europe having the largest segment of the market at 42 percent. The financial application also has an astounding 44 percent of the market, worldwide the market revenue grew 16.7% with a market value of over $20.7 billion although they saw a reduce in market growth to 5.5 percent due to the global recession but had a larger market value at $21.4 billion, it also so a decline of 6% in 2009. Some examples of ERP include SAP, People Soft, Oracle, Siebel,