ITPEC FE Subject A October 2025 Question 51

Which of the following is an explanation of ERP?

Explanation

Planning and controlling the management resources of the whole company in an integrated way — ERP (Enterprise Resource Planning) aims at company-wide management efficiency.

ERP treats the people, goods, money and information of all departments (production, sales, purchasing, accounting, human resources) as one pool, usually through an integrated software package with a shared database, so that the company can plan and use them effectively.

Answer (d)

Why not others:

  • •(a) — wholesalers and manufacturers growing their trade by supporting the business activities of retail stores is retail support
  • •(b) — business transactions with consumers or between companies over the Internet and other networks are EC (electronic commerce)
  • •(c) — raising sales, profit and customer satisfaction by applying IT to sales activities is SFA (sales force automation)

Key rule: ERP covers the resources of the whole company; SFA covers the sales force, CRM the customer relationship and SCM the supply chain across companies.

Business Strategy Management · AI-written, may contain errors

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