Enterprise resource planning systems are used to manage all business processes across an entire organisation. Importantly, logistics processes are integrated with other business processes such as financial management, manufacturing resource planning and customer relationship management within one package or platform. An MRP system, usually constitutes a separate module within an ERP System. An organisation can develop its own ERP system or it can implement an “off the shelf” package such as SAP or Oracle.
Figure 2 shows the business processes that are managed by an ERP system:
Figure 2: The ERP System