In manufacturing industry, MRP (Material Requirement Planning) became the fundamental concept of production management and control in the mid 1970s. At this stage BOM (Bill of Material), which is purchase order management that utilizes parts list management and parts development, was in the mail stream. And this concept (MRP) unfolded from order inventory management of material to plant and personnel planning and distribution\n planning, which in turn became MRP II (Manufacturing Resource Planning).This incorporated financial accounting, human resource management functions, distribution management functions and management accounting functions. It came to globally cover all areas of enterprise mainstay business and eventually came to be called ERP.

What is ERP                                                                                                                                                               Enterprise Recourse Planning (ERP) covers the techniques and concepts employed for the integrated management of business as a whole, from the viewpoint of the effective use of management resources, to improve the efficiency of an enterprise. ERP packages are integrated (covering all business functions ) software packages that support the above ERP concepts.

Originally, ERP packages were target at the manufacturing industry, and consisted mainly of functions for planning and managing core business such as sales management, production management, according and financial affairs, ect. How ever, in recent years, adaption not only to the manufacturing industry, but also to divers types of industry has become possible and the expansion of implementation and use has been progressing on a global level.

ERP software is designed to model and automate many of the basic processes of a company, from finance to the shop floor, with the goal of integrating information across the company and eliminating complex, expensive links between computer systems that were never meant to talk to each other.