- May 31, 2014
- Posted by: cemblog
- Category: ERP implementation
Today, Enterprise Resource Planning systems (ERP System) like Microsoft ERP are in place in almost every organization to manage and assist its growth and maintain easy operation. Although the count of ERP implementation and usage increases, some minds still have a question like what can an ERP system bring in for a business? The benefits of implementing an ERP are innumerable. Every ERP package comes with a countless customizable modules and features to improve the process of your business and to assist you overcome the problems faced. Organizations that are not using an ERP solution will definitely end up using a number of software packages for their business solutions that do not merge well with each other and thus leading to lots of work and rework. The time and resources wasted in this process can very well be utilized for other operations of the company and thus the production and standard of business can be improved. A number of software packages in place will create muddles and decrease the efficiency of the organization as a whole. The ERP system integrates and consolidates all the data in your organization in a single, real-time, accurate database so that it is available throughout the company for all departments and sectors of operation. This increases the confidence about the accuracy of data and makes sure all the operations in the organization are up-to-date. Few key advantages of ERP system are explained below.
1.Turns day-to-day processes easier to manage by providing complete visibility:
The Microsoft ERP system provides complete visibility of all processes accomplished in your organization, whether it is sales related, purchase related or inventory related. It integrates all the data available for easier processing and decision making, thus handling the day-to-day activities of your business becomes easier and manageable.
2. Provides coherent workflow within the organization:
Every business runs on different but interrelated departmental activities. There always exists a workflow between these departments which should be maintained properly for smooth operation of the business. The ERP system ensures smooth transfer of information and work between various departments of the organization assisting in quicker and efficient completion of processes. The solution also tracks various interdepartmental activities, making it easier for analysis of statistics and thus decision making.
3. Increases efficiency of processes:
Since the data are stored in a single location instead of distinct databases, it avoids repetitive work and manual entries and thus turning the information highly reliable and accurate for better business solutions. This boosts the efficiency of processes providing consistent data for your work.
4. Optimizes the use of money and resources:
Due to the use of a single database, retrieval and processing of data involve less time and resources. And since all the processes of the organization are integrated to that single system, the use numerous software programs, machines, servers and human resources for each department, and processes are reduced and hence the operating cost of business is reduced. The available excess resources can then be used for other processes of the business.
5. Enhances productivity:
By optimizing the use of resources, the process time for each project handled are reduced. Since the resources are allocated according to a proper and well-designed strategy in an ERP system, the use of resources becomes high and hence it results in high productivity, quicker completion time and enhanced customer satisfaction, meeting the demand.
6. Better communication for globally dispersed organization:
Most of the companies today are multinational or global in nature. Since they are dispersed all around the world a better communication is definitely required for superior business results. Implementing an ERP system for your business ensures better communication and thus enhanced collaboration between different zones of operation.
7. Security of data:
ERP system enables a centralized, precise storage of all the data. The processes executed through the ERP system can be tracked and information can be retrieved easily. In case, any information is lost, the centralized, secured database offers superior back-up of data for smooth operation of your business.