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What are the advantages and disadvantages of ERP system?
Advantages and disadvantages of erp system

(A), the advantages of ERP enterprise management system

1, integration: The biggest feature of ERP system is the integration of the whole enterprise information system, which has more functions than the traditional single system.

2. Flexibility: Using modular design method, the system itself can be supported and integrated by adding new modules according to the needs of enterprises, thus improving the adaptability of enterprises.

3. Centralized data storage: integrate the data originally scattered in all corners of the enterprise to make the data consistent and improve its accuracy.

4. Convenience: In the integrated environment, the information generated by enterprise content will be available and applied anywhere in the enterprise through the system.

5. Improve management performance: ERP enterprise management system will make the horizontal connection between all parts effective and close, thus improving management performance.

6. Interaction between organizations: Through ERP enterprise management system, Internet and supply management mode, enterprises and raw material suppliers can be closely integrated to increase their market change ability. Customer relationship management mode enables enterprises to fully grasp the artery of market demand orientation, and both of them are helpful to promote the interactive development of enterprises and upstream and downstream relations.

(B), the shortcomings of ERP enterprise management system

1. Expensive investment cost: The software and hardware needed to build an ERP system and the consulting fees charged by consulting companies are a huge expense, and often only large enterprises can import them.

2. Security: In order to meet the needs of e-commerce, after providing the network module, the firm security built by integrating enterprise functional departments into a single system has been strongly challenged.

3. Insufficient information: the information inside the system cannot be integrated with the systems of other enterprises or departments, and the information outside the enterprise has not been integrated.

4. The potential cost is high: there are the following high-cost expenditures.

(1), training cost: the cost of education and training courses for employees within the enterprise.

(2) Data conversion cost: the cost of transferring data from the old system to the new ERP enterprise management system.