The Manufacturing Roots of ERP

In this module
Explain the manufacturing
roots of ERP and
development from
material requirements
planning (MRP) to EDI
The Manufacturing Roots of ERP
1960s- 1970s
• Manufacturing
software developed
during this period
• Evolved from simple
inventory-tracking
systems to material
requirements planning
(MRP) software
The Manufacturing Roots of ERP
Material Requirements
Planning (MRP)
• It is a production
planning, scheduling,
and inventory control
system used to
manage
manufacturing
processes
The Manufacturing Roots of ERP
Electronic Data
Interchange (EDI)
• Direct computer-to-
computer exchange of
standard business
documents
• Allowed companies to
handle the purchasing
process electronically
The Manufacturing Roots of ERP
Benefits of EDI
• Automating paper-
based tasks
• Quick processing of
accurate business
documents
• Quick exchange of
data between
applications
• Shortening the order
processing &delivery
times