Definition

two-tier ERP

Two-tier ERP (enterprise resource planning) is the practice of running two ERP systems at once -- one larger system at the corporate level, and one smaller system at the plant, division, or subsidiary level.

A company may choose to run two-tier ERP for a variety of reasons. For example, it allows an existing legacy ERP system to remain functional across the organization -- which reduces the costs associated with replacing the system -- while letting individual business units deploy ERP systems that may be better suited to their needs. 

A two-tier ERP model may also be adopted by organizations that operate globally and must respond to location-specific business requirements in multiple countries. Two-tier ERP may be deployed through in-house systems or through cloud-based ERP.

Contributor(s): Brenda Cole
This was last updated in December 2011
Posted by: Margaret Rouse

Email Alerts

Register now to receive SearchManufacturingERP.com-related news, tips and more, delivered to your inbox.
By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy

More News and Tutorials

Do you have something to add to this definition? Let us know.

Send your comments to techterms@whatis.com

There are Comments. Add yours.

 
TIP: Want to include a code block in your comment? Use <pre> or <code> tags around the desired text. Ex: <code>insert code</code>

REGISTER or login:

Forgot Password?
By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy
Sort by: OldestNewest

Forgot Password?

No problem! Submit your e-mail address below. We'll send you an email containing your password.

Your password has been sent to: