The Necessity of Implementation of ERP Systems within the Actual Economical-Financial Crisis

• Author: Alexandru Gavrila, Delia Babeanu, Cristina Tartavulea
• Position: Academy of Economic Studies, Faculty of Accounting and Management Information Systems - Academy of Economic Studies, Faculty of Accounting and Management Information Systems - Academy of Economic Studies, Faculty of Accounting and Management Information Systems
• Pages: 511-516

The necessity of implementation of ERP systems

within the actual economical-financial crisis

Gavrilă A.1, Băbeanu D.2, Tartavulea C.3

1Academy of Economic Studies, Faculty of Accounting and Management Information Systems,

galex@ase.ro

2 Academy of Economic Studies, Faculty of Accounting and Management Information Systems,

delia@cig.ase.ro

3 Academy of Economic Studies, Faculty of Accounting and Management Information Systems,

cristina.tartavulea@gmail.com

Summary. Initially started in the USA as a subprime crisis, the actual financial crisis tends to be transfor med

in one of the most powerful economical crisis that was known in the last ten years, and some of the analysts

predict that this crisis is even worse than the one that took place in the ’30 years. In these conditions, seems to

be very natural that all the companies to look up for surviving solutions during this period, and one of the

most popular methods to fight against the negative effects of the crisis applied by all the companies is the cost

reduction. We may consider also that such a period could represent in the same time an opportunity for the

companies to r econsider the business processes and repositioned in the actual context of the market, and for

this a considerable help could be implementation of an ERP system.

Keywords: ERP, subprime crisis, business processes, company reorganization, IT system implementation.

1 Introduction

ERP or Enterprise Resource Planning systems are conceived to be the center of a company so that all

the functions and departments are integrated in one information system that could answer to all the

necessities of each department.

The projection of one single IT product that is answering to the requirements not only of the financial

department, but also to those coming from human resources or operational department is not easy at

all, because, each department has it’s own IT system specialized and optimized for their particular

needs. An ERP system combines all these in one informatics system connected to a common data base

so that the communication between various departments will became easier.

In the case that is correct implemented, an ERP could bring special benefits to the company by being

an integrated IT system.1. In order to emphasize the utility of an ERP system, will be presented a

situation which underlines what is happening when no ERP is in place, comparing in the same time

with the situation when an integrated IT system is implemented. In example, classically, the order of a

client, even in the case that is received electronically, will pass from Inbox into Inbox through various

departments generating delays in processing or even mislays. Also, no employee from the company is

not able to really say which is the status of that order at a certain moment, because the employees from

1 Koch C., (2006), Senior Editor CIO.com, The ABCs of ERP, Website,

http://www.cio.com/research/erp/edit/erpbasics.html

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