General Enterprise Resource Planning (ERP) MCQs

1. How many business functionalities can an ERP package handle?

2. What is the technology that is used to publish content to the web and collaborate under a single server?

3. What are most organizations implementing or planning to implement?

4. What is a traditional business system also called?

5. In ERP, what does BI represent?

6. What does DBMS represent?

7. What does ERP stand for?

8. True or False? A business "process" may involve activities from more than one business "functional area"

9. The technology used to manage organization's customers relationships is known as:

10. When the source code is made available to general public for use and modification, it is known as:

11. Which factor is most important to consider when implementing an ERP application?

12. Which area is the Financial Module responsible for?

13. Which module in ERP system is used to manage manufacturing processes?

14. Which is NOT a financial business function that is supported by ERP?

15. What would be a potential reason for an ERP software implementation to fail?

16. Which is the first phase in ERP implementations?

17. How do we measure the numeric figures against performance measures?

18. Which area is Manufacturing and Production is a key function?

19. What is an information system that allows data to be shared throughout the organization called?

20. Which of the following is NOT an advantage of ERP?

21. What is the terminlogy used for old systems?

22. What system involves activities to enable transfer of products and services from supplier to customer?

23. Which is correct about ERP?

24. Which of the following is NOT a typical cost associated with ERP implementation?

25. What is the process of analyzing step by step program code and fixing any encountered problems called?

26. Which of the following is NOT another name of ERP?

27. All of the following describes an ERP system, EXCEPT:

28. What task should companies conduct before implementing ERPs?

29. What is BPR in an ERP system?

30. Who are the primary users of ERP systems?

31. Which of the following automates business process execution?

32. What does EDI stand for?

33. Which is NOT a critical success factor for successful implementation of ERP system

34. In an ERP environment, what does MDM mean?

35. Which of the following is true of ERP?

36. All of the following are advantages of ERP, EXCEPT:

37. All the following are major reasons why companies would undertake ERP, EXCEPT:

38. Which system in ERP includes risk management and access controls to promote corporate accountability?

39. What options in ERP allow businesses to customize the modules to meet their needs?

40. Which is TRUE about Enterprise Resource Planning (ERP)?

41. What are software, computers, procedures alongwith human resources used to store data in organization called?

42. Which technology is key to cloud computing?

43. In order for an ERP implementation to be successful, all the following must be completed successfully, EXCEPT

44. What does MRP stand for?

45. What is the direct computer-to-computer exchange of standard business document known as?

46. ERP systems integrate all business management functions but does NOT include:

47. What is the most important step of an ERP implementation?

48. What is at the heart of any ERP system?

49. Which concept is used to validate that processes achieved in ERP are the best in the industry?

50. What is considered the “third generation of manufacturing software.”?

51. What is the main drawback of legacy systems?

52. What is the terminology used to understand the present business situation?

53. Which is a common mistake that companies resort to when selecting an ERP system?

54. In which of the following are phase roles identified and responsibilities assigned?

55. SaaS (Software as a Service) is also referred to as:

56. What is the term for a broad category of applications and technologies that enable gathering, storing, analyzing and providing access to data to help users make informed decisions?

57. ERP systems have been traditionally been an on premise installation. In what other technology form are they also available as?

58. What is the type of backup which is taken while the Oracle database is still up and running and in archive log mode?

59. Which technology is used in building SAP R/3?

60. The ability to view detailed source documents from the summary reports is known as:

61. When all modules are implemented at all locations at the same time, it is called:

62. Which of the folowing extensions is used by Oracle Reports Files?

63. What module is not typical in ERP applications

64. True or False? The "Big bang" approach in ERP implementations is essentially rolling out the project in phases, vs.. do it all at once

65. What is the strategy of package evaluation?

66. What does ETL mean in data warehousing?

67. Which of the following are tasks involved during 'Execution' phase of ERP implementation?

68. True or False? The benefit of an MRP system depends on the ability to have large amounts of unorganized information readily accessible

69. What does SAP represent?

70. All of the following are disadvantages of an ERP system, EXCEPT:

71. What phase is data conversion done?

72. When Table in source system records changes to a replication table, it is known as a:

73. What is the first activity in ERP projects?

74. What is ERP system nervousness?

75. What does the R in SAP R3 represent?

76. What is a common criticism on organizations looking to implement ERPs?

77. Which one of the following is the most critical step to create first in an ERP implementation?

78. Which phase is the most difficult during an ERP implementation?

79. What is one of the most important things to do at the planning phase?

80. Technology that involves a large number of computers connected through a communication network such as the Internet is called as:

81. Which of the following is an advantage of using open source ERP software?

82. Who should be the ultimate owner of the ERP system in an organization?

83. How does the ERP system know which general ledger accounts to credit and debit based on the type of entry made into the system?

84. How long does it take to implement a mid-tier ERP system on an average?

85. How can a company receive help in choosing between several systems without detailed knowledge of them?

86. How do switching costs affect a company once an ERP system is implemented?

87. Why is ERP software typically more expensive as compared with individual software products?

88. How do end users of the ERP software learn how to navigate and utilize the software?

89. What is a data warehouse?

90. Why does having all employees of a company use the same ERP system, enhance the efficiency of the business?

91. What feature of an ERP system would a manufacturing company require that a financial services company would not?

92. Why would a busy retail chain with multiple locations and a head office choose a high-tier ERP system?

93. Why is there often resistance from employees to adopting a new ERP system?

94. Why would user desktops need to be upgraded in order to use the ERP system?

95. What data from the human resource module can be used by the payroll module in order to reduce duplicate entries?

96. What is meant by 'extensions' to the ERP system which need to be implemented?

97. What is involved in the 'data migration' process of implementation?

98. Why would a web-based software be chosen over a desktop system?

99. What are the four general steps in an implementation plan?

100. Which is a disadvantage of the web based ERP software?

101. Which is a way to create increased security in the ERP system against employee tampering of data?

102. Which is not a typical module of an ERP system?

103. What does the abbreviation 'ERP' represent?

104. What additional costs besides the cost of the software need to be considered while selecting the ERP software?

105. How is data transferred between user terminals and the data warehouse?

106. How does the manufacturing process module impact the accounting module?

107. What do transaction identification numbers allow to be done?

108. Which module of the ERP system is typically the driving force for switching away from the legacy systems in search of better functionality?

109. What reason would a company have for disallowing the ERP desktop to all users and instead require them to use a virtual private network to access the system?

110. What are the best practices related to ERP software design?

111. What is the most efficient way for the employees to access the ERP desktop client without having it installed on their local machines?

112. What information from the payroll module should never be shared with the other modules and departments?

113. What is the purpose of mapping business processes prior to implementation?

114. Why should end users be involved in system demonstrations and selection?

115. Why would an accounting employee need access to the manufacturing module?

116. What part of the IT infrastructure typically needs to be upgraded in order to facilitate the use of an ERP system?

117. Why is an ERP system not suitable for all companies?

118. Main reason which prevents an ERP system implementation from being successful?

119. Who from the IT department in an organization should be responsible for maintaining the ERP system?

120. Why are third party consultants usually employed to help with the implementation process?

121. What is the term used for the past software which is typically replaced by an ERP system?

122. Which is typically not a unique module?

123. What is the main task involved in the configuration stage?

124. What is the decision which must be made during the Inventory module implementation and will have long lasting effects on the company?

125. Why does 'out of the box' ERP software typically need customization before it is useful?

126. Why can the interconnected nature of data between different departments in an ERP system be a disadvantage?

127. Why is it important to have a project team dedicated to an ERP system implementation?

128. What advantage does a data warehouse have over using multiple databases?

129. Why is it important to factor in future growth into IT decisions made in the present?

130. What does the newest 'ERP 2' software offer that original ERP systems did not?

131. Why would a company choose a system which is larger in nature than the company's current needs?

132. Which is an advantage of having centralized data in an ERP system?

133. Which factor should be considered in the ERP system selection?

134. What level of detail can a person using an ERP system view profitability, assuming the system has been set up to facilitate reporting on the most detailed level?

135. Why is the security measure of not allowing the deletion of information sometimes a disadvantage?

136. Why do many companies utilize third-party software to do financial reporting instead of using the ERP system built-in capabilities?

137. Why would employees in the accounting department not be allowed to access the payroll module?

138. What would be considered a mid-tier ERP system?

139. What must an ERP software package do in order to be classified as ERP software?

140. Why should the ERP systems from vendors from other countries be evaluated with caution?

141. Which module should never have a financial impact on the accounting module?

142. ________ is an advantage of cloud-based erp systems.