Performance

ERP has often been referred to as back-office software. Some software can handle up-front processes. Most ERP software can take a customer's order and provide a software roadmap, automating different steps along the path to fulfill it. When a customer's order is entered into an ERP system, the customer service representative will have all the necessary information to complete the order. Usually a system will provide information such as the customer's credit rating and order history from the finance module, the company's inventory levels from the warehouse module, and a shipping dock's tracking schedule from logistics, People from different departments can see the submitted information and update it.

The Five Reasons Companies Undertake ERP-

-to integrate financial information,
-to integrate customer order information,
-standardize and speed up manufacturing process,
-reduce inventory,
-standardize HR information.

Integrating information through ERP is important because finance has its own set of revenue numbers, sale has an additional version, and different units might have their own version of how they contributed to revenues. ERP creates a single version of the truth which cannot be questioned because everyone is using the same system.