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ERP Domain Knowledge for Software Professionals

1. What is ERP?

ERP stands for Enterprise Resource Planning. ERP refers to the automation and integration of a company’s core business to help them focus on effectiveness & simplified success.

2. Purpose of ERP

The main objective of an ERP domain is to combine information and processes from all divisions of an organization and merge them to create a structured working system.

ERP specifically describes software that is used to connect many aspects of a business together. One major use for ERP software is controlling a supply chain.

3. What Types of Businesses Use ERP Systems?

Enterprise Resource Planning (ERP) software supports the distribution of information between various functional departments and geographic locations of a company.

i. Manufacturers:

Many manufacturing companies rely on ERP systems to communicate data between departments such as production, shop floor planning, purchasing, accounting.

ii. Big-Box Retailers:

Most big-box retail stores use ERP systems to communicate information between individual retail locations, distribution centers, corporate headquarters, and suppliers. Because big-box retailers maintain millions of items in inventory spread across multiple areas, an ERP system is the only feasible way to manage all of the data.

iii. 3PL Providers:

Many Third-Party Logistics providers (3PLs) use ERP systems to manage internal business requirements and external client requirements.

3PL companies act as specialists in various areas of the supply chain industry. Some 3PL providers specialize in warehousing and logistics, while others specialize in returns management and process improvement.

4. ERP Software Vendors:

We can develop ERP systems using Java or Oracle like Software, but nowadays so many ERP packages are available in the market, using ERP Software we can easily customize the System.

Popular ERP Vendors are,

i. SAP .
ii. Microsoft Dynamics.
iii. Oracle E-Business Suite
iv. Epicor ERP
v. Infor ERP
vi. Sage ERP
vii. IFS
Etc…

5. What are the important ERP Modules?

The module in ERP is a group of features and functionalities for a specific departmental workflow.

important ERP Modules are:

Human Resources Management,
Manufacturing,
Sales & Distribution,
Inventory,
Finance & Accounting,
Plant Maintenance,
Material Management,
Production Planning,
Quality Control,
Customer Relationship Management,
Supply Chain Management,
etc…

6. ERP Testing Checklist

Generally, Software Testing is the same for all types of Software Applications., but ERP Testing is not the same as testing any other software application. ERP Applications are domain-specific, so with respect to a particular domain ERP testing becomes a crucial factor.

An incorrect implementation may result in project failures as a result of inefficient test planning. So ERP testing is a way of assuring whether it is able to deliver the required functionality.

Few types of ERP testing is listed below:

i. Functional Testing – To validate the ERP system delivers the expected results.

ii. Installation Testing – To see whether the ERP application is having any issues at the time of installation or post-installation.

iii. Interoperability Testing – This testing simply aims at testing whether the ERP application is compatible with other software components.

iv. Interface Testing – Interface testing is to ensure that data is passed correctly through the given interface and the control mechanism handles the interactions properly.

v. Load Testing – To check if a system is able to handle data beyond the specified limit.

vi. Security Testing – Security of an application is important because it may be vulnerable to threats. In the context of ERP application user authentication is very important.

ERP Testing Checklist:

Check for the total number of modules available and those that have already been released for the application under test.

Identify the number of target customers who are going to use the ERP application.

Identify the business process to be tested and identify the business process to be automated.

Estimate the test environment/framework in which the testing is to be completed.

Identify the test scenarios to be tested and identify the test scenarios to be automated.

Analyze the amount of effort to be invested in writing test cases, test suite, test execution, and test reports.

Identify the process of collecting test data for both input and output and check the availability of a domain expert to analyze the output data.

Setup the Quality Assurance strategy with the quality metrics identified for the ERP testing.

Identify the best practices for improving the efficiency and productivity of testing efforts.
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