ERP stands for Enterprise Resource Planning. It is a software system that works all the vital processes needed to run a business. These could include invoicing, inventory, accounting, payment management, material purchase, human resources, etc. It is scalable and adaptable software that is important for SMEs and MNCs. For small and medium enterprises the impact of ERP system is exceptional. To read an article about how ERP is affecting the marketing click here to Check it Out. This article will put a spotlight on how a system gathers the different processes of business under one software and streamlines the operations of a company.
The first benefit SME gains by implementing ERP software is integrated information. The system has a centralized database that shares and manages data from all the operational processes of a business. It allows you, as a business owner, to get share information between multiple functions of the company. It decreases the time one spends on physically entering data and information. This automates workflow and ensures quick turnaround times for all processes. Further, it makes sure that every activity of the business is track and recorded.
The second advantage is the complete visibility it offers. Since all activities and processes are recorded the ERP system lets you keep an eye across the whole company from one vantage point. From one unified platform, you can make a quick decision based on real-time data. This single platform is especially crucial to higher executives who do not have an ear to the ground. Instead, they can use the software to gain insight on all the department s from one virtual space.
Another benefit of ERP to SMEs is reporting. The software can be used to create both standard and custom reports that give valuable intelligence to the business. This feature of the software allows managers and lower level employees to make better use of their time. Their job becomes simpler which removes any delays and in turn betters their productivity. The reporting aspect of ERP systems is particularly useful for day to day accounting and financial reporting.
A business is as good as the service it provides. No company is going to thrive if their customer service is not impeccable. This is the fourth reason why an SME needs to invest in ERP software. It makes customer service better. From processing sales orders to billing to relationship management to invoicing, there are many processes on which the software can assist. It can even help in the physical distribution of goods and keep track of all the information of your customers. The better access you have to your client’s detail, the better you can serve them.
A complete view of communication, personal data, activities, orders and sundry can immensely improve the way you handle a customer or client. This leads to better customer satisfaction. If for no other reason, then just customer service should be able to convince any SME owner to invest in ERP systems. They improve operations. They impact your saving. They help you survive.