ERP System
What is an ERP System?
benefit of Enterprise Resource Planning System (ERP) ?
ERP are business management software used to manage a company's activities. With ERP systems, all data is stored and processed in a single software package. Early ERP systems focused more on manufacturing and core business processes. But things have advanced since the inception of these legacy systems. Many ERP systems now handle more business processes not covered by legacy systems.
Modern ERP solutions support more business functions than ever before. Enterprise resource planning software is a streamlined approach business management software.
ERP allows you to handle all business processes: finance, manufacturing, supply chain management and human resources management. But ERP software can nowadays be used to manage other services and departments as well.
Indeed, all the data processed by the company can be managed via the ERP.
ERP system examples and the companies that use them
Companies of all sizes use ERP systems to streamline processes and boost operational efficiency. There are some well-known businesses that use enterprise resource planning ERP systems
Amazon
Amazon uses an enterprise resource planning software system called Systems Analysis and Program Development (SAP).
Starbucks
Starbucks uses Oracle ERP – a cloud ERP solution used to automate back-office processes and day-to-day business activities.
Del Monte
Del Monte uses the Odoo open-source ERP software. Odoo is a cloud-based ERP system.
Toyota
Starbucks uses Oracle ERP – a cloud ERP solution used to automate back-office processes and day-to-day business activities.
Do I need an ERP system?
Can your business benefit from the features offered by enterprise resource planning systems? if your answer is yes, then you probably need one. Companies of all sizes can utilize ERP software. ERP systems are especially useful for companies that have a lot of manual processes. ERP stands to be the most sought-after solution for streamlining operations and automating daily tasks.
If you find yourself managing business operations across several different software and ERP platform can greatly improve business performance by providing a centralized system to manage data. Most ERP software solutions include these enterprise resource planning tools and elements.
- financial management and accounting software
- Financial reporting
- material requirements planning
- real-time data
- inventory and supply chain management
- sales
- procurement
- project management
- customer relation management
- human resources
- business intelligence
- artificial intelligence
- and more
When to implement an ERP system ?
Businesses in a rapid growth period experience many growing pains that can be solved with ERP technology. Don't wait until it's too late, ERP implementations do not take place overnight. ERP implementation can take where from 1-8 months. In some cases, more complex ERP implementations can take even longer, especially if n to performed with a solid project methodology. ERP projects tend to take place during slower seasons when businesses are not too tied up in their daily activities.
How much is an ERP system?
The cost of an ERP system. Can vary greatly. Prices can be separated into two, general categories. Software vendors licensing costs and the cost of implementation. A software vendor can charge on a month-to-month basis or may also offer annual licensing contracts. Your licensing cost may also change based on the number of software users your company will have.
Because ERP software can be grouped into specific ERP modules (also known as ERP applications). The number of modules you deploy can also impact costs. ERP modules each cover a specific or group of specialized functions within an ERP solution.
ERP implementation is the process of deploying ERP software into an organization. The cost of ERP implementation depends on multiple factors including the scope of the project, whether or not you hire an implementation partner, the amount of customization required if at all and more.
Pricing for an ERP system can be further impacted by your hosting options. Many ERP systems are hosted in the cloud, but there is also the option to host your ERP software on-premises. The options you have will be determined by your ERP vendor. Opting for a cloud-based ERP can oftentimes be more beneficial because of all the added advantages it can offer.
Which ERP system is best for my company?
There are many ERP systems available on the market. Traditional ERP systems, leading ERP systems, lesser-known ERP systems, open-source ERP systems, less efficient ERP systems, etc...
It can be difficult to choose from so many different ERP software packages.
Before choosing, it is important to know what is essential for your company, what are its needs, and what is the budget.
Starting with a detailed list of requirements is a common starting point as it makes it easier to identify which enterprise resource planning software would check off all of your business needs.
This would be a great time to call on an ERP solutions expert to discuss your company's needs and figure out which software would be the best fit.
Automation with ERP systems
An ERP software system can automate the business processes of all departments. Business operations related to sales, marketing, inventory management, project management and more can all be automated with ERP software.
This automation can mean improvements for your entire business. allow companies to save a lot of time and thus increase their efficiency and profitability.
How to set up your ERP system
There are many ways to go about setting up your ERP system.
But a typical ERP Implementation typically follows the following steps:
- Business Analysis
- Configuration/Customization
- Final Test With The Customer
- Training
- Going Live
- Support / Maintenance
To truly set up your ERP system, you need to first start with a solid implementation plan. You must have the right configurations set. This should be your starting point. The biggest pitfall of any project is failing to have a plan, to begin with. Businesses will need to identify whether or not they will hire a software provider for the implementation of the ERP, or handle the implementation internally?
Next, one needs to address any configuration that the system will need. Most ERP systems have pre-configured defaults. Based on your own business rules you may need to adjust these configurations to fit your business process. Once the system has been properly configured it will be important to enter all the necessary master data such as inventory, contacts, sales templates, worksheets, users, etc.
ERP tools, also make it possible to connect to third-party software in a process called ERP integration.
Once the enterprise resource planning software has been fully configured and validated for usage by your organization the next step would be training. Without proper training, users may not understand how to utilize an ERP system to the best of its capabilities. User training is often overlooked or poorly executed, ultimately leading to issues later down the road.
A lot of companies run ERP software to grow their businesses.
We support companies in the implementation of enterprise resource planning ERP