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ERP System and Beyond

Author

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  • Péter Lõrincz

    (Óbuda University)

Abstract

In the 1960’s at the advent of computer technology appeard a new application software in the business world, the inventory control system, later the production and control system, the PICS. It can be seen the origin of the currently most widely used application the Enterprise Resource Planning System, in brief the ERP. The sophistication of the resource planning grew with the affordability and technical level of information technology (IT) The first step on the road map was the Material Requirement Planning, the MRP I which integrated on data and model level inventory, engineering and demand management. MRP I promised to automatically plan, build and purchase requirement based on the current and allocated inventory and expected arrivals. Towards to escalation of resources planning Master Production Planning – MPS modul supported the business experts in the planning and monitoring of the production of the finished goods. MRP I gave planners more control, allowing them to be proactive and use time – phased orders, rather than reacting only when delays occured, but the number of used variables was vigorously limited. The backward scheduling method had to be employd to minimize inventory and still meet the customer’s delivery date.

Suggested Citation

  • Péter Lõrincz, 2005. "ERP System and Beyond," Proceedings-3rd International Conference on Management, Enterprise and Benchmarking (MEB 2005),, Óbuda University, Keleti Faculty of Business and Management.
  • Handle: RePEc:pkk:meb005:9-14
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