Definition
Enterprise Resouce Planning (ERP) is an integrated computer-based system used to manage internal and external resources including tangible assets, financial resources, materials, and human resources. It is a software architecture whose purpose is to facilitate the flow of information between all business fuctions inside the boundaries of the organization and manage the connections to outside stakeholders*
Is ERP beneficial to all companies?
Korea's companies have been falling in love with ERP system. The size of company doesn't matter. Big companies already went to the stable stage in using ERP system. Middle or even small size companies are trying to implement this system. Many ERP experts are saying all companies should be orchestra. I read a post about ERP written by a executive director of KT, which is the No.1 telecommunication company in Korea. He explained strengths and weakness of BIG ORCHESTRA and SMALL JAZZ BAND in order to empersize what he wants to say. His point is exactly same as mine.
Our point is that COMPANIES SHOULD DECIDE WHETHER THEY IMPLEMENT ERP SYSTEM OR WHICH THEY CHOOSE AFTER KNOWING WHO THEY ARE. Companies should move forward consolidating respective strengths. Big orchestra plays efficiently and effectively by conductor's guide. This point is similar to efficiency of companies with ERP. Jazz band can play no matter wherever they are and individuals in the band can play with freedom. This character is like of companies which don't use ERP. If efficiency is a main factor for a company to success, that company should implement ERP system. Otherwise, If a company is too small or creativity is a main factor, should that company also be operated by ERP? I strongly believe they have to know theirself before buy ERP system with huge money instead of following the trend.
And... aren't ERP companies able to develop A SMART ERP, which has both strengths of BIG ORCHESTRA and SMALL JAZZ BAND?
* http://en.wikipedia.org/wiki/Enterprise_resource_planning
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