ERP Terms to Know
Don’t get left behind by tech buzzwords.
Explore our interactive glossary of essential ERP terms and core definitions.
Access Control / Role-Based Access (RBAC)
A method of restricting system access based on user roles to ensure users only see what they need.
AI-Enabled ERP
ERP systems enhanced with artificial intelligence to enable smarter decision-making and automation.
API (Application Programming Interface)
A set of rules that allows different software systems to communicate and share data with the ERP platform.
(Business Planning and Control System) is an enterprise resource planning software designed for manufacturing, supply chain, and financial operations. Created in the 1980s by System Software Associates (SSA), it is built to run primarily on IBM i (AS/400) hardware platforms.
Best-of-Breed Applications
Business Intelligence (BI)
Tools and processes that analyze ERP data to provide insights for decision-making.
Change Management (ERP)
The process of preparing employees and processes for ERP changes to ensure adoption and minimize disruption.
Cloud ERP
ERP software installed and maintained on internal servers, giving organizations full control but requiring more IT resources.
Compliance (ERP)
Ensuring ERP systems meet regulatory requirements related to data security, financial reporting, and industry standards.
Data Integrity
The accuracy, consistency, and reliability of data stored within the ERP system.
Data Migration
The transfer of data from legacy systems into a new or updated ERP system while maintaining accuracy and integrity.
Downtime
Periods when the ERP system is unavailable, disrupting business operations.
ERP (Enterprise Resource Planning)
A centralized system that manages core business processes like finance, supply chain, operations, and HR in a single platform to improve efficiency and data visibility.
ERP Automation
Using technology to automate repetitive ERP processes like data entry, reporting, or workflows.
ERP Data Analytics
Using ERP data to identify trends, improve forecasting, and drive operational improvements.
ERP Extend vs Replace Strategy
A decision framework comparing whether to enhance an existing ERP or replace it entirely, often favoring integration-based modernization.
ERP Implementation
The process of deploying a new ERP system, including configuration, data migration, testing, and user training.
ERP Integration
The process of improving an existing ERP system through upgrades, integrations, or new tools rather than full replacement, often reducing cost and disruption.
ERP Optimization
Improving system performance, workflows, and configurations to better align with business goals and increase efficiency.
ERP Refresh
A structured evaluation and improvement process that assesses how well an ERP system supports business needs and identifies targeted enhancements.
A measure of the financial and operational benefits gained from ERP investments.
ERP Security
Measures used to protect ERP systems and data from unauthorized access, breaches, and cyber threats.
ERP Support
Ongoing management of ERP systems, including troubleshooting, maintenance, monitoring, and user assistance.
ERP System
The actual software platform that enables organizations to track, automate, and manage day-to-day business operations across departments.
ERP Upgrade
Updating the ERP system to a newer version to gain new features, improve security, or maintain vendor support.
Field-Level Security
Controls that restrict access to specific data fields within the ERP system based on user roles.
Hosted ERP
ERP systems run in a third-party environment (often a private cloud or data center) but still managed similarly to on-prem systems.
Hybrid ERP
A model that keeps core ERP systems in place while integrating with modern cloud or SaaS applications to add functionality.
Incident Response (ERP)
The process of identifying, resolving, and recovering from ERP system issues or outages.
IoT Integration (ERP)
Connecting physical devices (machines, sensors) to ERP systems to gather real-time operational data.
KBM ERP
In the context of enterprise software, KBM stands for Knowledge Based Manufacturing and is a specialized custom manufacturing and enterprise resource planning system originally built for IBM AS/400 and Power systems. It is now under the Infor umbrella of products.
Managed ERP Services
Outsourced ERP support where a provider handles system maintenance, monitoring, and optimization.
It stands for Manufacturing, Accounting and Production Information Control System. It is an early enterprise resource planning (ERP) software suite originally created by IBM in the late 1970s to help manufacturing companies manage inventory, production, order processing, and financials. The product was acquired and renamed to Infor XA.
Middleware
Software that acts as a bridge between ERP and other systems, helping manage data exchange and integration complexity.
Patching
Applying updates to fix vulnerabilities or bugs and maintain system security.
Predictive Analytics (ERP)
Using historical ERP data to forecast future outcomes, such as demand or equipment maintenance.
Real-Time Data Processing
The ability to process and access ERP data instantly as transactions occur.
Total Cost of Ownership (TCO)
The total cost of implementing and maintaining an ERP system over time, including software, infrastructure, and support.