What exactly is ERP and why is it so valuable?
ERP Definition = ERP stands for Enterprise Resource Planning, which is a fully integrated software suite. It allows users to view, manage and track core business processes and resources using one single database, all in real-time. This fully integrated solution includes:
- an accounting component
- inventory management
- sales forecasting
- sales management
- purchase management
- EDI converter integration (add-on)
- Business Intelligence (add-on)
- Warehouse Management System (add-on)
- Project Management (mobile apps) (add-on)
All of these applications make up the fully integrated system, which allow employees, from various locations or departments, to share the same data set. This essentially facilitates the flow of information between all business functions and between all employees.
The fact that this IT solution is fully integrated and shares one single database is reason enough for many enterprises to see the value in implementing a system like this.
The more a company grows, the harder it is for executives and employees to track all processes efficiently and view the status of projects in real-time, simply by working with multiple separate systems that do not communicate between departments and locations. It is even more crucial for the smaller companies, who tend to rely entirely on one person for specific functions. If this person is on vacation, absent or unavailable, what will happen then? Many times these employees keep track of everything on paper or even worse, in their head. This is not helpful for the company at large. It’s vital for the company to continue operating efficiently even if this employee is absent or on vacation.
In many cases, executives do not realize the need for an ERP system until they hear about the improvements it has brought other companies or they see it in action for themselves. It’s only normal – how will you ever know that there is something better out there without seeing or hearing about it first? We get so caught up in our daily tasks and operations that once they become habit it’s tough to get off track and question the way business is being operated. ‘Is this the best way to complete these tasks? Are we all working as efficiently as possible? How can I reduce manual data entry? How can I have error-free transactions and production? How can I ensure that my business can handle sudden growth?’
Next time these questions arise, look into implementing an ERP solution to see what a software system like this can do for your business. Not only will employees work with one common database, but they will also work in real-time on a system that has a consistent look and feel across all modules.
Take a look at erpWizard today!