What Is an ERP Application?

Enterprise resource planning (ERP) describes a suite of computer programs designed for managing a business. An ERP application is one part of a program suite, and may fulfill one of many management functions.

Varieties

• Common ERP applications assist with budgets and financial statements, supply chain tracking, manufacturing, human resources and employee management, and customer relationship management.

Connectivity

• Though an ERP application may only have one primary function, it connects to other programs in the same suite for an integrated business environment. The usefulness of a program for managing manufacturing is limited without a complementary financial program.

Options

• Most ERP systems do not sell ERP applications individually, but rather as one part of an entire suite, which is often sold with volume licenses for use on multiple systems. Microsoft Dynamics and Oracle e-Business are popular commercial options, but free ERP systems such as Adampiere and OpenERP also include common applications.