What is the simplest ERP definition?
Think about all the core processes needed to run a company: finance, HR, manufacturing, supply chain, services, procurement, and others. At its most basic level, ERP integrates these processes into a single system. But new ERP systems are anything but basic. They use the latest technologies – such as machine learning and AI – to provide intelligence, visibility, and efficiency across every aspect of a business.
ERP is an acronym for Enterprise Resource Planning, but even its full name doesn't shed much light on what ERP is or what it does. For that, you need to take a step back and think about all of the various processes that are essential to running a business, including inventory and order management, accounting, human resources, customer relationship management (CRM), and beyond. At its most basic level, ERP software integrates these various functions into one complete system to streamline processes and information across the entire organization.
ERP software also offers some degree of synchronized reporting and automation. Instead of forcing employees to maintain separate databases and spreadsheets that have to be manually merged to generate reports, some ERP solutions allow staff to pull reports from one system. For instance, with sales orders automatically flowing into the financial system without any manual re-keying, the order management department can process orders more quickly and accurately, and the finance department can close the books faster
Other common ERP features include a portal or dashboard to enable employees to quickly understand the business' performance on key metrics.
Benefits of ERP
Streamline and automate your core business processes to help everyone in your organization do more with fewer resources.
Fast-track business and financial reporting and easily share results. Act on insights and improve performance in real time.
Maximize business visibility and control, ensure compliance with regulatory requirements – and predict and prevent risk.
Being focused on the accurate and clear product, we deliver exceptionally stable and reliable data collection and reporting system, that allows the business to centralize and maintain the data at one single place which is secure and easy to access.
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5 signs you’re ready for an ERP system
Most businesses start out using a variety of simple, standalone tools to manage different processes – such as QuickBooks or Excel Spreadsheets. Here are five signs you’ve outgrown them.
If it’s taking longer to manage key activities, like closing the books, too many disparate applications may be to blame. ERP software integrates solutions and data into one system with a common interface, making it easier for business units to communicate and do their jobs effectively.
Can you easily answer important questions about your business – such as revenue per product line or number of returns? If not, segregated systems and a lack of access to metrics and KPIs may be holding you back. Enterprise resource planning software is designed to address these challenges.
Are there areas where your processes are getting away from you? Maybe it’s harder for you to manage inventory, satisfy customers, or keep costs in check. If so, your business processes may need to be restructured to accommodate growth or changing priorities – a natural fit for ERP software.
Are most of your departments using their own applications and processes to get things done? If so, chances are you’re spending too much time on duplicate data entry. When information can’t flow between systems, reporting takes longer, errors happen often, and decision making is hampered.
Are you spending so much time running your business that you can’t pursue exciting new opportunities? Newer ERP systems include advanced, intelligent capabilities, like machine learning and predictive analytics, that make it easier to identify and capitalize on profitable new ventures.