ERP applications are an integral component of any information
architecture and today's application system are required to address more
than the processes taking place within the walls of an enterprise, they
must be able to address the players and processes involved in an
extended enterprise that reaches customers, partners, suppliers and
employees worldwide.
ERP vendors and developers must move to integration models, based on
industry accepted standards and non-proprietary application programming
interfaces (APIs). Web services promise to play a large role in this new
integration model, enabling ERP functionality to be fully leveraged
using industry standard technologies.
Within almost every industry there are business requirements to lower costs, increase revenue and improve operation efficiencies. In order to achieve these goal companies must connect internal groups, extend processes to partners, expand business opportunities and reduce transaction costs.
These business requirements can only be met by technologies that are cost-effective, flexible and agile. The technologies must support automated collaboration, real-time integration, secure interactions and low-cost coupling.
The new business models are forcing organizations to accelerate the business re-engineering initiatives they undertook when they first began to implement ERP systems decades ago. To maintain competitive advantage, almost all companies must now be able to conduct their business on-online as part of an increasingly internet-based global economic community.
As we all know, the Web has improved performance and productivity, enabled collaboration, dismantled trade barriers and created an enormous range of global opportunities. As a result of the Web's burgeoning adoption and success as a means of conducting business, productivity has increased tremendously; however, the lack of interoperability has been frustrating to many.
Organizations must provide customers, employees, suppliers, distributors and numerous other parties with the information they need, when they need it. As a result, business systems and processes can no longer remain isolated and disparate. Business success now requires better performance from easier application integration.
Systems must share information internally with other applications as well, externally through Web applications, business-to-business (B2B) exchanges and value-added networks. These exchanges and transactions must be real-time, on-line and immediate - i.e. conducted anytime, anywhere and without compromise to security or transaction integrity.
Through the use of Web enabled services, the cycle time between buying and replenishment can be greatly reduced and the potential for errors virtually eliminated.
