Every Owner, Director, CEO needs an ERP system for immediate visibility and accurate business information around the clock. Therefore, there is a need for a consolidated, comprehensive, quick and easy dashboard of where each of the different business functions are currently standing.
An ERP system can provide critical information fast and effortlessly. For example, stats such as weekly sales, employee performance, and inventory levels can quickly be available. In addition, showing real-time growth or changes in the business.
What is an ERP System?
Enterprise Resource Planning or ERP system is a software solution. Simply defined as the core business process that helps you run your entire business. Similarly, supporting automation and processes in every business function required. A system that you can use to manage day-to-day business activities, such as accounting, procurement, project management, risk management and compliance, supply chain operations and many more.
Thus, the ERP system helps to connect numerous business processes that can enable the flow of data between them. Similarly, when collecting data from multiple departments, ERP systems can eliminate data duplication and provide data integrity with a single source of truth. In addition, this can lead to higher accuracy in your business and more efficiency in your overall operations.
Typical ERP Modules
ERP Systems include a variety of different modules. Therefore, each module can support specific business processes, such as Finance, Human Resources, Sales and Marketing, Service Management, Customer Relationship Management, Manufacturing, Supply Chain Management, and many more.
Why is ERP important?
The importance of an ERP system is the complete visibility that the system provides your business operations.
An ERP software system provides the automation, integration, and intelligence that is essential to efficiently run all day-to-day business operations. Thus, all of your business data should reside in the ERP system to provide a single source of truth across the business.
Finance requires an ERP to quickly close the books. Sales needs ERP to manage all customer orders. Logistics relies on well-running ERP system to deliver the right products and services to customers on time. Accounts payable needs ERP to pay suppliers correctly and on time without any duplication. Management needs instant visibility into the company’s performance to make timely decisions. Similarly, banks and shareholders require accurate financial records, so that they can count on reliable data and analysis made possible by the ERP system.
Benefits of having an ERP System
There are 6 major benefits that all modern ERP systems have:
Higher Productivity: Ability to streamline and automate your core business processes.
Deeper Insights: Eliminate information silos and duplicate data.
Accelerated Reporting: Fast-track business reporting and easily share results. In addition, you can act on insights and improve business performance in real-time.
Lower Risk: By maximising business visibility and control, you can ensure compliance with regulatory requirements, and predict and prevent risk.
Simpler IT: Ideally, by using integrated ERP applications that share a database, you can simplify IT and offer an easier way to work.
Improved Agility: Businesses with efficient operations and readily available access to real-time data, can quickly identify and act on new opportunities.
The future of ERP
Digital transformation is speeding up – and ERP is at the core. As businesses adopt digital technologies in every part of the business, they are fundamentally changing the way they operate.
Cloud, cloud, cloud:
The preference for cloud ERP will continue to intensify as more and more companies discover the benefits. Furthermore, these include “anywhere” access, reduced cost of hardware and technical support, greater security, and integration with other systems, and many more.
Cloud ERP software is hosted in the cloud and delivered over the internet as a service that you subscribe to. Therefore, the software provider generally takes care of regular maintenance, updates, and security on your behalf.