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Enterprise Resource Planning (ERP) is a management control system that integrates all business processes in a company: it coordinates resources and activities by streamlining information flows and allowing instant and real access time data updated by all the units of a company. Modern ERP modular systems take into account all areas that can be automated: this way it is possible to operate in a uniform and integrated context despite the different types of applications. ERP systems are usually characterized by three factors:
- Common database for all applications to eliminate any difficulties when updating data
- Modular structure to maximize interaction between functional groups
- Selection of a strategy for orienting into a “one shop” strategy, which involves purchasing all single vendor modules or a “best of breed” strategy, instead of choosing the modules from the best manufacturer.