Enterprise resource planning solution refers to all those systems and software packages used by businesses to manage and streamline their day-to-day functions. An ERP solution is designed using common constructs and definitions to ensure unified user experiences. All important business activities, such as, accounting, manufacturing, procurement and project management can be automated and controlled with ERP software. It also collects the transactional data of an organization from multiple sources to eliminate data duplication and ensure data security. It creates a secure and centralized repository of data, so that every member of on organization can work together on up-to-date data. The impact of ERP software is widely felt in the business world, as it correlates business processes and enterprise data efficiently.
ERP is an acronym for Enterprise Resource Planning. At its most basic level, ERP software integrates these various functions into one complete system to streamline processes and information across the entire organization.
The central feature of all ERP systems is a shared database that supports multiple functions used by different business units. In practice, this means that employees in different divisions—for example, accounting and sales—can rely on the same information for their specific needs.
ERP software also offers some degree of synchronized reporting and automation. Instead of forcing employees to maintain separate databases and spreadsheets that have to be manually merged to generate reports, some ERP solutions allow staff to pull reports from one system. For instance, with sales orders automatically flowing into the financial system without any manual re-keying, the order management department can process orders more quickly and accurately, and the finance department can close the books faster. Other common ERP features include a portal or dashboard to enable employees to quickly understand the business' performance on key metrics.
At its core, ERP helps employees do their jobs more efficiently by breaking down barriers between business units. More specifically, an ERP solution:
When you add up these advantages, the value of ERP—particularly cloud ERP—is clear. With an ERP solution, employees have access to accurate information that enables them to make better decisions faster. Not only that, but ERP software helps to eliminate redundant processes and systems, dramatically lowering the cost of doing business overall.
Every implementation of ERP Solution needs to be customized to the specific business needs, locations and the objectives. Local employees need to view dashboards and data in their own language and currency, and some local business workflows need to remain in place—without the delays and added costs that result from requiring headquarters’ IT support to implement all of those subsidiary changes. Eventually, however, there is a need of a seamless roll-up and consolidation to the global level.
Since every stakeholder needs a consistent view of the information, all calculations and consolidation should be performed using the same underlying database. The vendor of the global ERP system should be able to provide examples of successful implementations that involve multiple language, currency and business-flow customizations while also satisfying global reporting requirements.
Scalability is all about how the global ERP system enables and supports the business as it grows. A centralized system, with customizable instances for each new business interest, makes it quicker and easier to establish business processes in new locations. The ERP software should support the growth of your business, not constrain it.
ERP refers to automation and integration of a company's core business to help them focus on effectiveness & simplified success.
ERP systems can drive huge improvements in the effectiveness of any organization by:
Protecting the critical business data through well-defined roles and security access.
Enabling to plan the work load based on existing orders and forecasts.
Providing with the tools to give a high level of service to the customers.
Translating the data into decision making information.