Functional Modules of ERP By Dr. B. J. Mohite
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The document outlines the business and functional modules of ERP software, highlighting the role of various sub-systems within an organization such as HR management, manufacturing, finance, and marketing. Each ERP module serves specific functions like financial accounting, production planning, and inventory management, ultimately supporting efficient business operations. Key features of the modules include automating processes, optimizing resources, and fostering customer relationships.
Functional Modules of ERP By Dr. B. J. Mohite
- 1. Business & Functional Modules of ERP S/w • Business is an activities of individual or groups that are involved in developing, producing and distributing the goods and services needed to satisfy other people’s needs. • Business uses resources to produce goods and services. • Any business system may have different sub-unit systems like: HR Management, Production Planning Plant Maintenance, Sales & Distribution Material Management, Quality Management, Manufacturing Financial Management.
- 2. Functional Modules of ERP S/w • ERP software is made up of many software modules. Each ERP software module has a major functional role in an organization. • Common ERP modules includes: Finance, Manufacturing, Production Planning, Plant maintenance, material management, quality management, marketing, sales & distribution, purchasing, inventory control, product distribution, order tracking, accounting & HR.
- 3. Functional Modules of ERP S/w • Financial Module : will have subsystems like – Financial accounting: general ledger, account receivable/payable, special ledger etc. – Investment management: budgeting, depreciation forecast/ calculation – Treasury: cash management, treasury management etc.
- 4. Functional Modules of ERP S/w • Manufacturing Module – Subsystems are – material and capacity planning, quality management, cost management, tooling etc.
- 5. Functional Modules of ERP S/w • HR Module – Subsystems includes • Personnel management: HR master data, recruitment, salary system etc. • Organizational management: staff scheduling • Time management: shift planning, time recording etc.
- 6. Functional Modules of ERP S/w • Material Management Module – Facilitates the process of maintaining the appropriate level of stock in a warehouse i.e. inventory management system. – Main modules are: pre-purchasing activities, purchasing, invoice verification & material inspection etc.
- 7. Functional Modules of ERP S/w • Production Planning Module used to optimize the utilization of manufacturing capacity, parts, components and material resources using historical production data and sales forecasting.
- 8. Functional Modules of ERP S/w • Plant Maintenance Module – Provides technical & business reports and various presentation options. – Subsystems are – preventive maintenance control, equipment tracking, component tracking, plant maintenance warranty claims tracking etc.
- 9. Functional Modules of ERP S/w • Quality Management Module supports essential elements for quality planning, quality inspection, quality control processes.
- 10. Functional Modules of ERP S/w • Purchasing Module – Automates the process of identifying potential suppliers, negotiating price, awarding purchase order to the supplier. – Also integrates with SCM.
- 11. Functional Modules of ERP S/w • Marketing Module: – Enables organizations to maximize the efficiencies of marketing resources and empowers marketers to acquire and develop long-term customer relationships. – Module may contain self service portals, trade promotion management, marketing resource management, web-based marketing surveys etc.
- 12. Functional Modules of ERP S/w • Sales & Distribution Module – Useful for functions like order placement, order scheduling, shipping and invoicing.