Enterprise Resource Planning (ERP) system and efficiency: Accounting, Finance, SPSS Essay

Enterprise Resource Planning (ERP) system and efficiency.
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Enterprise resource planning system (ERP) and efficiency
Companies require a centralized, integrated system to manage business functions effectively. Keeping track of the supply chain process is critical; hence the enterprise resource planning (ERP) system ensures proper handling of moving components in manufacturing and distribution industries. For operational efficiency, large companies like Gear Motions Supply and Amazon are dependent on this software.
1 Summary of the Factors that made ERP Successful
The core objective of any business operations is to reduce the cost of production. The consequence of a late relay of emerging information that requires immediate attention is immense in large companies globally. Scrutiny of the supply and demand market forces widely affects Companies, thus a significant factor that defines production cost and the profits. The inception of the enterprise resource planning (ERP) software immensely contributed to several Gear Motions Supplies Company improvements (Plaskett 2019 p.96). With an increase in demand for more gear parts, the company suffered setbacks with customer orders. The cause of the delays was the inability to track data instantaneously. Manually updating the system with consistently large data proved futile and inhibited its ability to quote to customers. The Gearmaker approach to settle the ERP system mitigated tight deadlines in supply setbacks.
The ERP system assembles data from different departments within the company and simplifies the format for users to translate easily. Gear Motions Company incorporated the software to curb cost misquoting and facilitate timely deliveries, both domestic and international. The software contains elements that provide information about the progress of jobs and machine status. Inventory management is crucial for the success of the gear maker (Plaskett 2019 p.97). For long term growth, clarity in the supply chain process that facilitates ordering and purchasing materials is critical. The ERP system shows the inventory materials and promotes efficiency through lead time purchasing of only necessary items to minimize shortages or surplus.
The ERP facilitates the Advanced Planning and Scheduling (APS) module, tailored explicitly for the Gear Motion Company operations. Data from the jobs department significantly eased scheduling orders and jobs (Plaskett 2019 p.99). Through this, the time crunch is minimized, and thus the pressure to deliver within a short time resulting in machinery breakages and increased cost of maintenance reduced. The gears maker can meet tight shipping deadlines through data from the APS module. The data accuracy that updates itse...