Manufacturing is defined as the transformation of raw materials into finished goods or product for sale by using machines and processing systems. In order to manage manufacturing processes, a software based production, purchasing, shipment planning and inventory control system called Manufacturing Requirements Planning (MRP), has been developed. From this system, Manufacturing Resource Planning (MRP II), a method for the effective planning of all resources like men, machine and materials of a manufacturing company, has been derived. And from MRP II, Enterprise Resource Planning (ERP) has evolved.
ERP integrate all the business functions into one database. It supports business organization needs and improves the business processes including strategic planning, management control and operational control. It also operates across functional departments and their particular activities. Cross functional activity is very important part of ERP. It reduces paper work and job completion time with full control.
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