Presents briefly ERP as a software solution integrating various functional spheres in an organization. Highlights its role in building a customer process, ERP technologies, available systems, viz. database systems, communication protocols and user interface framework. Details organizational preparedness for embarking and evaluating the investment on ERP. Discusses its application, selection criteria for small and medium organizations and a case study in Indian context. Concludes that ERP is the tool for an integrated information system to stay competitive and customer‐oriented for all organizations.