Why Does Your Business Need Enterprise Resource Planning Software

Any type of a company that has different departments will need to look at various types of ERP software to help manage their business. The goal of this type of software is to put every department within the company on the same computer system. There are many different kinds of ERP systems, and you should research them all. However, it is essential that you make a decision on one system and get it implemented into your business.

Although, this type of a system is called ERP (which stands for Enterprise Resource Planning), its main function is related to the enterprise component. While planning and resource management are components of the overall system, they are just small pieces of the overall system. The reason that this type of software is important is because many businesses start out very small. Because of that, it is very easy for each department to operate on their own system. However, as the business continues to grow, this can be much more difficult and cumbersome to manage.

Imagine if a customer placed an order with your company without a comprehensive system in place. The order would be initially taken by the sales team and input into the system. Then it would be transferred to the next departments in the chain to have the order processed and shipped out. Another department would then be responsible for the billing aspect of the transaction. Without a comprehensive system, each department would have to key in the order information when they started to handle their piece. Not only does this make it much more likely that there is a keying mistake made at some point, but it also means that it will take a great deal longer for the process to be completed so the customer can get the item they ordered.

When Enterprise Resource Planning software is implemented, the only person who needs to input the information from the order is the first person who touches it. The system will then move the order along from one department to the next as each piece of the process is completed. This type of a system also makes it easier for one department to check on the status of things that are coming their way or to check on the availability of parts, etc. Without a system of this kind in place, if the sales person received a phone call from a customer about the status they wouldn’t be able to answer the question. After the implementation of the software, they could just check the system and provide the customer with the status of their order.

Instead of departments like manufacturing, finance, warehouse and HR each having their own system, they are all linked together. Obviously, each department will still have many of their own software programs, because they each have different needs based on their specific job. However, with this kind of a system implemented, each of those department level systems will all be linked together as part of a larger system.

Author Bio: Ellie Lewis recently purchased ERP software from an online store. She uses ERP systemsin her business.

Category: Internet
Keywords: ERP software,ERP systems

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