The End of ERP

ERP, or enterprise resource planning is software which consists of integrated applications which help to manage businesses and organizations. In this article, Tien Tzuo talks about ERP and the proposed decline of its use in the future. Anticipating that we, as a society, will be continuing towards a “services-based ‘subscription economy’”, Tzuo expects that ERP will be less useful to businesses. With a shift towards more service-oriented purchases like Netflix and Pandora, being a successful business is not about the amount sold, but in how much a service is used. As an example, the article mentions Dell which instead of creating more products, decided to offer more services.

Given that ERP is product oriented, it cannot properly answer key questions that are becoming increasingly important to businesses and organizations.Overall, because of the shift from product-based to service-based, ERP is becoming less relevant in today’s economy.

1) Do you agree that this is the end of ERP?
2) Is there a way that ERP can adapt to the shift from product-oriented to service-oriented? Or is it unnecessary?
3) How else does the shift from product-oriented to service-oriented effect business practices?

http://www.forbes.com/sites/ciocentral/2012/02/09/the-end-of-erp/2/