Enterprise resource planning (ERP) are software solutions companies operate to standardize and automate their back-end business operations. The platforms consist of a series of integrated applications that streamline the workflow of their business processes. They cover many important departments of the companies’ businesses. These include finance, sales, customer services, material procurement, human resource, inventory control, logistics, supply chain management, and distribution.
These software platforms enable companies to control, synchronize, monitor, and scale their business activities in the market. Only then can they provide better services to their customers and generate sufficient after-tax profits. This makes them one step closer to gaining and consolidating a strategic edge in the market over others in the same business niche.
Salient features of all ERP software solutions
Most enterprise resource planning software solutions are tailor-made to meet the needs of specific industries. As a result, these platforms differ in scale, specification, and functionality. However, the software systems generally contain the following common features and modules:
- Integrate easily into the companies’ existing IT infrastructure to simplify data collection and analysis,
- Mobile compatibility and functionality to ensure employees on the move have access to companies’ databases,
- An accounting module that records, monitors, and analyzes costs, revenue, sales, accounts receivable and payable data,
- The customer relationship management module allows sales employees to monitor the companies’ sales and customer data,
- The supply chain module enables companies to monitor and streamline the functioning of their online sales channels,
- The manufacturing module helps companies to automate material procurement, production, product planning, monitoring, and forecasting, and
- The human resource module allows companies to monitor employee payroll, benefit deductions, and time-keeping.
The enterprise resource planning software solutions companies use to run their businesses have a third-party interoperability module. This feature allows them to activate the necessary protocols governing the transmission of information. This ensures the smooth and secure exchange of data from their database to the trading partners’ system.
Advantages of enterprise resource planning software solutions
Companies enjoy the following advantages when operating suitable ERP software solutions for their businesses:
- Enhance internal efficiency by significantly minimizing the need to record business data manually,
- Availability of accurate real-time business data allows their top management to make better decisions,
- The platforms ensure proper automation and streamlining of various business processes to boost productivity,
- The software systems are flexible and scalable enough to easily adapt to their growth needs,
- Significantly minimizes administrative, production, and operational costs through proper utilization of accurate real-time business data, and
- Enables employees and the top management to access the companies’ databases remotely to perform their duties.
ERP software solutions enable companies to automate and streamline the functioning of their businesses seamlessly. However, there are certain factors they need to consider when evaluating these platforms. Only then can these corporate enterprises select the right one. The enterprise resource planning software platform they choose should meet all of their industry-specific needs. It should run on the latest cloud-based technology and artificial intelligence. Moreover, the software solution should be relatively easy to operate even for non-technical employees. Its price should also be within the companies’ budget allocations to derive value for money.