As organizations prepare for their next ERP version upgrade, they find themselves trying to make sense of a new iteration that disrupts the traditional understanding and thinking about ERP. ERP II requires organizations to transform from a focus on internal resource optimization to a new focus on process integration and external collaboration. To help organizations make sense of this new iteration, we look at why ERP II has come about, how it differs from ERP, and how it promises to change the way organizations do business in the future.
distribution center flow chart
limited to manufacturing and distribution, but has expanded to include areas such as supply chain management (SCM), customer relationship management (CRM), business intelligence (BI), and inventory optimization (IO). The function of ERP, therefore, also expands to include other functions that are specific to individual industries and sectors, such as utility customer billing, air traffic control, or even disease control. This is the area where ERP II really starts to excel and where the investment in ERP