What is an ERP system? Enterprise Resource Planning (ERP) is a type of business management software that gathers and tracks data related to the entire operation of a company. It provides an integrated system for managing all aspects of production and service provision.
When it comes to system implementation, one of the basic elements that are required is ERP software. ERP stands for enterprise resource planning and this software system is a multi-module application that helps in the internal business process management. Nowadays, there are a lot of ERP vendors available who provide specialized applications such as accounting software, sales force automation, warehouse management, human resources software, and many others.
Every company needs a core transactional system to handle important features of the business. ERP system is a complete integrated system which provides the basis for the company’s business process. Some of the important components of ERP Systems are as follows:
ERP systems are typically employed in organizations that involve a very large number of transactions and high complexity. So, the right ERP system for your company and its needs is critical. And the wrong one can be a disaster. Don’t let that happen to you or your business!
A company should focus on four main aspects when choosing an ERP system: the data integration capability, the system’s functionality, its flexibility and scalability, and lastly its security. Choosing the right ERP system can be difficult because there are hundreds of ERP systems to choose from. Hence, it is important to first think about what you need and then find a system that has these capabilities.
We’ve previously discussed Business Intelligence Software.
How is it different from the ERP System? I got confused, you might be as well. So, how are they different? The ERP System collects corporate data, whereas Business Intelligence software analyzes the enterprise data, providing the business with a clearer picture and understanding of the company’s performance. Both can be said to go hand in hand if the suitable ERP system and BI are used throughout the business for superior organizational decision making.