Enterprise Resource Planning(ERP)

Assignment no 1

Submitted to: Sir Muhammad Usman

Submitted by: Salman Ahmad

Roll no: Bsf2000029

Department: BFA

Subject: Introduction to IT

Session: 2020-24
 Enterprise Resource Planning (ERP)
How ERP works?
ERP, or enterprise resource planning, is software designed
to manage and integrate the functions of core business processes
like finance, HR, supply chain and inventory management in a
single system.
Widely used in businesses of all sizes, ERP is considered a
must-have for large enterprises and is increasingly being
deployed in growing small businesses. The complexity of the
global economy and modern consumer demands have made
streamlining business processes and managing and optimizing
data critical. ERP is typically the foundation of these capabilities.

Foundation of an ERP system

An ERP system consists of software components,

or modules, each of which focuses on a distinct business process.
Certain modules are considered "core" to nearly every type of
business and the first to be deployed:

The ERP finance module automates basic accounting,

invoicing, and financial analysis, forecasting and reporting. It is
often the main reason a company moves to ERP from standalone
accounting software.
Human resources, also known as human capital
management is another core process that companies try to
improve with ERP. Basic HCM handles employee records,
benefits management and payroll but often adds talent
management functions, such as recruiting and performance
management.
 Companies involved in manufacturing or distribution typically
add a Supply Chain Management module to track inventory levels
and manage warehouses and transportation across the supply
chain. If their business needs are complex, they might add a
Warehouse Management System and Transportation
Management System perhaps from different software vendors to
manage these logistics functions.
Types of ERP systems
ERP products generally vary by the size of the company
they're intended for, the type of computing infrastructure they run
on and whether they have features specific to a particular
industry.

Small businesses

For the small business market, some vendors make entry-

level ERP that comes with core HR, finance and other commonly
used modules, such as order management and CRM, and is
relatively easy to implement.

Medium-Sized Businesses

(Midmarket)

Midmarket is generally defined as companies with several

hundred employees and annual revenues between $50 million
and $1 billion. Midmarket ERP adds more optional modules, and
can accommodate more users than entry-level ERP.

Large Enterprises

The top category is large enterprises: companies with more

than $1 billion in revenue and typically thousands of employees.
Not surprisingly, enterprise ERP systems usually have the most
modules, with more capabilities in each module and capacity for
thousands even hundreds of thousands of users.

ORACLE
Oracle database is a relational database management
system from Oracle Corporation. It is important to understand
database before understanding Oracle.

What is a database?
A database refers to the organized collection of structured
data stored electronically in a device. It allows us to access,
manage, and find relevant information frequently. The flat file
structure was extensively used to store data before the database
system was invented. The relational database approach becomes
popular in comparison to the flat file model because it eliminates
redundant data. For example, suppose we have an employee and
contact information stored in the same file. In such a case, the
employees with multiple contacts will show up in many rows.

The Regional database management system manages the

relational data. Oracle Database is the most famous relational
database system because it shares the largest part of a market
among other relational databases.

What is the Oracle database?

Oracle database is a relational database management
system. It is also called Oracle DB. It is produced and marketed
by Oracle Corporation. It was created by Lawrence Ellison and
other engineers in 1977. It is one of the most popular relational
database engines in the IT market for storing, organizing, and
retrieving data.
 Oracle database was the first DB that designed
for Enterprise Grid Computing and data warehousing. Enterprise
grid computing provides the most flexible and cost-effective way
to manage information and applications. It uses SQL queries as a
language for interacting with the database.

The Oracle Corporation

Oracle Corporation is the largest software company to
develop and markets computer software applications for
business. The company is best known for its Oracle database
products and, more recently, cloud products and services. Its
relational database was the first to support SQL, which has since
become the industry standard.

Oracle database is one of the most trusted and widely used

relational database engines. The biggest rival of Oracle database
is Microsoft's SQL Server.

Why Oracle is Necessary

It is one of the oldest database management companies in

the world. It has always focused on enterprise needs and kept up
with the newest technological developments. As a result, its
products are constantly updated with new features. For example,
the most recent Oracle database, 19C, is also available on Oracle
Cloud. Oracle allows users to select from various database
editions to meet their specific demands with a cost-effective
solution.

Structural Features of Oracle

 Oracle uses the logical data structure to store data so that

you can interact with the database without knowing where
the data is stored physically.
  Backup and recovery ensures the integrity of the data in
case of system failure. Oracle includes a powerful tool called
Recovery Manager.

SAP
(System Application and Products)

SAP, or Systems Applications and Products, is a widely-

used enterprise resource planning (ERP) software SAP creates a
centralized system for businesses that enables every department
to access and share common data to create a better work
environment for every employee in the company. SAP is the
most-used ERP software on the market and contains hundreds of
fully integrated modules that cover nearly every aspect of
business management.

Importance of SAP
SAP collects and processes data from all functions in a
business on one platform. SAP is essential for many businesses
because it allows every department to communicate with each
other easily. The success of any organization relies on effective
communication and data exchange between its functions, and
SAP is an effective way to support those efforts.

SAP Skills
Developing SAP skills can make you a competitive candidate if
you’re applying at companies that use enterprise resource
planning software. Experience and proficiency with SAP may
even be a requirement for some roles. Here are several common
SAP skills.
 Utilizing transactions

Being able to use transactions and input data into the SAP
software can give you an advantage when applying for a job that
requires you to be able to manage sales.

Reporting

Understanding how to execute reports can provide data that you,

your manager or another department might need.

Accounting

Knowing how to use the accounting modules within the SAP

software can give you an advantage in a finance or accounting job
but can also be beneficial to any employee working in the
accounting department of a company.

Recruiting

Understanding the recruiting modules of SAP software can

help human resource professionals better manage applicants and
potential employees.

Management

There are a variety of management modules within SAP,

including customer management, project management,
warehouse management, transportation management and
inventory management. Gaining skills in management systems
can give you an advantage when applying for a management
position.