Enterprise Resource Planning (ERP)

Enterprise Resource Planning (ERP) is the logical capability of running the transactional backbone of the enterprise — finance, procurement, inventory, manufacturing orders, sales orders, payroll — on one shared data model. PLM and ERP are complementary: PLM owns the engineering definition of the product (parts, BOMs, drawings, change records), while ERP owns the transactional execution (purchase orders, inventory levels, cost rollups, work orders).

What it covers

  • Financials — general ledger, accounts payable/receivable, cost accounting.
  • Materials — inventory, purchasing, receiving, and supplier master data.
  • Manufacturing — work orders, MRP runs, capacity planning, shop-floor control.
  • Order-to-cash and procure-to-pay transactional flows.
  • Master data — material master, vendor master, customer master shared with PLM.

Relationships (see sidebar)