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Digital Systems

Department of Management Information Systems, Temple University

Digital Systems

MIS 2101.730 ■ Spring 2023 ■ Steven E. Sclarow, AIA
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Purpose of ERP. 3A

Leonid Kovalchuk - March 1, 2023 1 Comment

ERP stands for Enterprise Resource Planning. It is a business process management software that allows an organization to use a system of integrated applications to manage the business and automate many back-office functions related to technology, services, and human resources. ERP systems track business resources—cash, raw materials, production capacity—and the status of business commitments: orders, purchase orders, and payroll. The applications that make up the system share data across various departments (manufacturing, purchasing, sales, accounting, etc.) that provide the data.
ERP (Enterprise Resource Planning) is an integrated system used to manage an organization’s resources, including product planning, sales, development, procurement, inventory, and accounting. Its purpose is to streamline and automate the various components of a business to improve efficiency, accuracy, and productivity. ERP also helps businesses make better decisions with its powerful analytics, insights, and reporting capabilities.
1. Lack of Security – Many legacy systems feature outdated security protocols, leaving them vulnerable to attack.
2. Limited Support – Older technologies are being phased out, leaving companies with few options for technical assistance.
3. Expensive Upgrades – Regularly upgrading older systems to support new technologies and standards can be a costly endeavor.
4. Outdated Technology – Legacy systems may not be able to keep up with modern computing requirements and may be at risk of becoming obsolete.
5. Poor Interoperability – It’s often difficult to integrate new technologies into a legacy system due to compatibility.
The purpose of a Customer Relationship Management (CRM) system is to help businesses manage customer information and interactions efficiently. CRM systems can streamline communication, store customer data in one central location, keep track of leads, increase sales and improve customer service. CRM systems provide analytics and information to enhance decision-making, spot trends, and help businesses increase efficiency, customer satisfaction, and profitability.
CRMs are used by businesses to organize and manage customer and lead data, including contact information, purchase history, and interactions. Because of their ability to automate processes, CRMs are also used for lead nurturing, marketing automation, sales forecasting, upselling, customer support and loyalty programs.

Reader Interactions

Comments

  1. Lyzannette Figueroa says

    March 1, 2023 at 6:20 pm

    Hello Leonid,

    Great post, it is very important for any company to have a great ERP within their organization, this will help keep everyone well informed of any information and any changes that may occur suddenly. I like that you included some of the con that can occur with legacy systems that can hinder business productivity. Security is a number one priority for most organizations and ensuring that all their data is protected is something that should be managed. Using outdated protocols and technology can make any organization an easy target for hackers. As you stated it’s also very important for upgrades to be established, technology is advancing everyday and if a business wants to continue growing and moving with the flow it’s important to stay up to date with security and technology. CRM is also an important function within an organization, to ensure customer satisfaction, it’s easy to see how these two systems work well together.

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