Definition of Enterprise Resource Planning (ERP) Software

system that grew out of Material Requirement Planning (MRP) systems, which have been used for more than 20 years. MRP systems computerized inventory control and production planning. Key features included an ability to prepare a master production schedule and a bill of materials and to generate purchase orders. ERP systems update MRP systems with better integration, relational data bases, and graphical user interfaces. Features encompass supporting accounting and finance, human resources, and various e-commerce applications including supply chain management (SCM) and customer relationship management (CRM).