nterprise resource planning (ERP) software integrates internal and external management information across an entire organization, embracing finance/accounting, manufacturing, sales and service, customer relationship management, etc. Our ERP systems automate this activity with an integrated software application. The focus is to facilitate the flow of information between all business functions inside the boundaries of the organization and manage the connections to outside stakeholders.
he fundamental advantage of ERP is that integrating the myriad processes by which businesses operate saves time and expense. Decisions can be made more quickly and with fewer errors. Data becomes visible across the organization. Tasks that benefit from this integration include:
- Sales forecasting, which allows inventory optimization
- Chronological history of every transaction through relevant data compilation in every area of operation.
- Order tracking, from acceptance through fulfillment
- Revenue tracking, from invoice through cash receipt
- Matching purchase orders (what was ordered), inventory receipts (what arrived), and costing (what the vendor invoiced)
- ERP systems centralize business data, bringing the following benefits:
- They eliminate the need to synchronize changes between multiple systems—consolidation of finance, marketing and sales, human resource, and manufacturing applications
- They bring legitimacy and transparency in each bit of statistical data.
- They enable standard product naming/coding.
- They provide a comprehensive enterprise view (no “islands of information”). They make real–time information available to management anywhere, any time to make proper decisions.
- They protect sensitive data by consolidating multiple security systems into a single structure.
- ERP can greatly improve the quality and efficiency of a business. By keeping a company’s internal business process running smoothly, ERP can lead to better outputs that will benefit the company such as customer service, and manufacturing.
- ERP provides support to upper level management to provide them with critical decision making information. This decision support will allow the upper level management to make managerial choices that will enhance the business down the road.
- ERP also creates a more agile company that can better adapt to situations and changes. ERP makes the company more flexible and less rigidly structured in an effort to allow the different parts of an organization to become more cohesive, in turn, enhancing the business both internally and externally