ERP (Enterprise Resource Planning) system: It denotes software for business process management that permits an organization in using integrated applications in system. It manages business and automates many back office functions linked to technology, services as well as human resources. The ERP software assimilates all operation facets. It includes product planning, engineering, development, marketing and sales. It is performed in a single database , user interface as well as application. Software as a Service (SaaS): It is a service that permits businesses to subscribe the web-delivered application software. The business pays a monthly service charge or a per-use fee in most cases. Many company activities are maintained by SaaS. SaaS vendors contain Oracle, SAP, NetSuite, Salesforce, and Google. It will save time, decrease cost and enhance profit, and provide flexibility in uses.

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Chapter 9, Problem 2DQ3

Program Plan Intro

ERP (Enterprise Resource Planning) system:

It denotes software for business process management that permits an organization in using integrated applications in system.

It manages business and automates many back office functions linked to technology, services as well as human resources.

The ERP software assimilates all operation facets.

It includes product planning, engineering, development, marketing and sales.

It is performed in a single database, user interface as well as application.

Software as a Service (SaaS):

It is a service that permits businesses to subscribe the web-delivered application software.

The business pays a monthly service charge or a per-use fee in most cases. Many company activities are maintained by SaaS.

SaaS vendors contain Oracle, SAP, NetSuite, Salesforce, and Google.

It will save time, decrease cost and enhance profit, and provide flexibility in uses.

Explanation of Solution

Benefits of ERP system:

In these days, ERP has become very essential for the proper functioning of the business and it has various advantages as follows.

It provides provision of single point of information.

It helps in making the data for business intelligence.

It helps in streamlining the process and reducing the operational cost.

It helps in making the data for business insight.

It helps in various functions that take place in HR’s finance as well as in inventory and Supply chain management.

It helps in reporting as well as Management Information System (MIS) as it is the single and integrated information source.

Drawbacks of ERP system:

The main disadvantages of using general ERP systems are as follows:

In ERP systems, it is very difficult to measure cost savings or payback.

It is difficult to implement in a decentralized organization.

The cost of implementing ERP software is very high.

It requires a lot of training for making the employees aware of the ERP functioning.

Benefits of SaaS:

It will save time, decrease cost and enhance profit and provide flexibility in uses...

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