What is ERP? What is the core idea of ERP? What are the components of ERP?

1.ERP is the abbreviation of Enterprise Resource Planning, which refers to a management platform based on information technology, integrating information technology and advanced management ideas, and providing decision-making means for enterprise employees and decision makers with systematic management ideas. ERP is a system based on information technology, which helps enterprises to establish a system to manage various businesses. Different from enterprise OA, it is a management information system that integrates all the resources of an enterprise. Simply put, it is the comprehensive management of the three major streams of logistics, capital flow and information flow of an enterprise.

Second, the core management idea of ERP is to realize the effective management of the whole supply chain, which is mainly reflected in the following three aspects:

1. embodies the idea of managing the whole supply chain resources. In the era of knowledge economy, it is impossible to effectively participate in market competition only by relying on the resources of its own enterprises. All parties involved in the operation process, such as suppliers, manufacturers, distribution networks and customers, must be brought into a close supply chain, so as to effectively arrange production and supply and marketing activities of enterprises, meet the needs of enterprises to use all market resources of the whole society to carry out production and operation quickly and efficiently, and further improve efficiency and gain market competitive advantages. In other words, modern enterprise competition is not the competition between individual enterprises, but the competition between one enterprise supply chain and another. ERP system realizes the management of the whole enterprise supply chain and meets the needs of market competition in the era of knowledge economy. ?

2. Reflect the ideas of lean production, synchronous engineering and agile manufacturing. ERP system supports the management of mixed production mode, and its management ideas are manifested in two aspects: one is the idea of "lean production", which is the business strategy system put forward by MIT. That is, when an enterprise organizes production by mass production, it brings customers, sales agents, suppliers and cooperative units into the production system. The relationship between enterprises and sales agents, customers and suppliers is no longer a simple business relationship, but a cooperative partnership with * * * interests. This kind of partnership constitutes the supply chain of enterprises, which is the core idea of lean production. The second is the idea of "agile manufacturing". When the market changes and enterprises meet specific market and product requirements, the basic partners of enterprises may not be able to meet the requirements of new product development and production. At this time, the enterprise will organize a short-term or one-off supply chain composed of specific suppliers and sales channels to form a "virtual factory", regard suppliers and cooperative units as components of the enterprise, and adopt "synchronous engineering" to organize production, so as to bring new products to the market in the shortest time and keep products at all times. ?

3. Reflect the idea of pre-planning and process control. The planning system in ERP system mainly includes master production plan, material demand plan, capacity plan, purchase plan, sales execution plan, profit plan, financial budget and human resource plan, and these planning functions and value control functions have been completely integrated into the whole supply chain system. ?

Third, the composition of ERP system

ERP system is a modern enterprise management tool gradually formed with the development of information technology. The composition of ERP system can be analyzed from the formation process structure, functional structure and structural development trend, and it has different components.

1. Forming process structure

ERP system has experienced delayed MRP, closed-loop MRP and MRP Ⅱ, which was gradually formed in the practice of information technology application in recent 50 years. The function and performance of ERP system is gradually improved with the development of enterprise informatization, and it is still developing in depth and breadth. Time-divided MRP is the core component of closed-loop MRP, closed-loop MRP is the core component of MRP II, and MRP II is the core component of ERP system. Therefore, the realization of ERP system in general manufacturing enterprises must start with the construction of delay MRP. After closed-loop MRP and MRP ⅱ, the ERP system is finally realized.

2. Functional structure

With the continuous expansion of functions and improvement of performance of ERP system, its application is becoming more and more popular, and its application object is no longer limited to manufacturing industry, but has already involved commerce, service industry and financial industry. In order to organically coordinate powerful functions with numerous applications, ERP system is divided into several functional modules, which can run independently or integrated, thus improving the operating efficiency of the system and reducing the information cost of enterprises. Functionally, ERP system consists of manufacturing management, financial management, distribution management, human resource management, quality management, internal control and internal audit cycle. Each subsystem consists of several functional modules.

Manufacturing management realizes all the functions of closed-loop MRP, focusing on logistics management and control. Financial management embodies the functional characteristics of MRP II, integrates the logistics management process, and describes the business activities and capital chain of enterprises from the perspective of value and economic management. Distribution management extends the internal control of manufacturing enterprises to enterprises and realizes cross-regional and transnational management mode; Human resource management organically coordinates and maximizes the role of human resources needed for business activities; Quality management not only integrates enterprise production process and quality standard system, but also comprehensively improves quality traceability and quality awareness of all employees; Internal control and internal audit organically monitor each process of the enterprise, and ensure the best operation of the enterprise through internal control and internal audit activities.

3.3. Development trend. ERP system structure

Although ERP system has become an important symbol of enterprise information engineering. However, the traditional ERP system is managed separately in enterprises, which is not only difficult, but also risky. Whether the enterprises that have implemented ERP system are deepening and broadening their application fields, or those that are preparing to implement ERP system, they should be based on the overall situation and coordinate comprehensively. Adopt advanced information technology to reduce the influence of human factors. From decision-making to operation, from design to manufacturing, from operation status recording to evaluation and control, all links are completely integrated. So that customers can directly understand the dynamic manufacturing process of the required products and the current situation of enterprise operation ability through the management information system at any time. Improve the effect of ERP system, realize the modern production management mode of enterprises, implement the punctual and accurate production mode, and analyze the whole process of production management and quality formation at any time. Therefore, compared with application-oriented enterprises, the system should expand its application breadth and integrate with customer relationship management and supplier resource management; Improve the application depth of the system inward and integrate with product design and process design. Compared with the enterprise management level, the real-time effectiveness of the system is improved downwards, and it is integrated with the automatic control system of manufacturing equipment.

(1) outward integration. With ERP system as the core, it extends to customers and suppliers. Take customers and suppliers as an important part of enterprise resources. The key to integration lies in management technology and how to deal with the enjoyment of information resources and intellectual property protection among enterprises. It is unrealistic to integrate the BOM of suppliers and the BOM of customers into the BOM of manufacturing enterprises. Through the interface between SCM, CRM and ERP, the system can be integrated in real time by exchanging data.

In the integration of supply chain management system, first of all, it should be effectively integrated with the quality monitoring system of purchasing raw materials to speed up the implementation of purchasing logistics; Secondly, monitor the logistics and capital flow with suppliers to realize real-time dynamic control of the price budget of purchased materials; Through the scheduling of purchase requisition, the supply quantity of sub-suppliers is evenly distributed, and the procurement cost is effectively controlled on the basis of ensuring the delivery date; Control the purchase settlement strictly according to the validity period of the purchase price list; Convenient fixed-point procurement management, fast speed, reduce work errors. When the CRM system is integrated, it is integrated with the market dynamic monitoring system to analyze the business situation in real time, which provides the basis for market planning and shortens the management gap between foreign investors and enterprises.

(2) inward integration. The integration of enterprise ERP system will involve many technical keys. The main view should integrate decision support system (DSS) upwards, manufacturing execution system (MES) downwards, computer aided design (CAD) and computer aided product process (CAPP) forwards, and CRM outside the enterprise directly backwards.