817-283-3324
LinkedIn Twitter Facebook
WebRev Connect
smarter websites


Blog

 

(ERP) Enterprise Resource Planning and Your Business: Learn the Basics

Posted Wed, March 19, 2014 by Julie Short

"Our business doesn't need something as complicated as ERP."
It isn't a surprise to hear such a statement from a company. Many business owners believe that ERP (enterprise resource planning) is a very technical and complicated process that will only result in a clunky computing environment and extra costs that strain limited budgets. But the truth is that ERP isn't that complicated once you understand it for what it is: a back office management software strategy that can help consolidate business functions into a unified process.


ERP 101: What is enterprise resource planning?
ERP is an integrated software system that has been used by businesses for over a generation. The term itself was introduced in the 1990s by the Gartner Group. But it was actually a software suite strategy developed in the 1950s for inventory management and to create plans for materials requirements.


The manufacturing industry benefited from ERP as a replacement from the past MRP (manufacturing resource planning) software. ERP was more robust, even during the 1990s, as it streamlined the entire production process from the design phase to the financial costs calculation stage. As technology evolved, so too did ERP software. Businesses from every industry saw a way to incorporate ERP into their business software strategies to help manage their human resources and accounting processes.


How does ERP work?
ERP consists of individual software modules featuring technical capabilities to handle automated back office tasks. These modules have integrated application functions suited for the activities that you want it to perform. The common ERP modules used in most small and large businesses today are:
•    Material purchasing
•    Human resource management
•    Distribution services
•    Inventory control
•    Manufacturing processes
•    Accounting services
•    Marketing and sales


Each module works from one relational database system. This database management system has a dashboard, analysis tools, user interface, and access and security features. It can easily integrate with other computing features like web-based applications, word processing and email clients.


The main function of ERP is to allow for real-time data collection and sharing throughout every department of your operations. All of the data is placed within this central database management system and can be accessed through the different ERP modules used in the other departments of your business: accounting, customer services, sales, and warehousing.


Benefits of ERP
What makes ERP so ideal for businesses is that you don't have to purchase every module. You can pick and choose the module you want based on your business needs.


Let’s say you are looking to automate your accounting tasks. An ERP accounting module can give you some of the following functions:
•    configure pricing for products
•    gather more complete and accurate accounting data
•    manage employee payrolls


Other departments of your business will be allowed to access this information for their operations. Your warehousing department can go through their ERP system and ensure customers paid orders through accounting before shipments are sent out. Customer service can change customer payment information with accounting in moments as the sales department ensures that product pricing corresponds with any special deals currently being offered.


Software vendors offer ERP software module applications based on the size of your business. The ERP software market is divided by tiers: ERP Tier I is suited for large corporations, ERP Tier II is for mid-size companies, and ERP Tier III is for small businesses. Compare software vendors from each tier to see what ERP solutions match your business needs and fit into the company budget.

 

Posted in : ERP | 
Tags : erp , web applications


Blog Categories
RSS All Posts
RSS Announcements
RSS Blogging
RSS Business Strategy
RSS CRM
RSS e-commerce
RSS Email Marketing
RSS ERP
RSS FYI
RSS Mobile Apps
RSS Mobile Websites
RSS Online Marketing
RSS Online Profile Management
RSS SEO/SMO/SMM
RSS Tips and Tricks
RSS Website Content
RSS Websites

GoogleRSS
YahooRSS
MSNRSS
Tags
website great content marketing website traffic increase traffic website visits internet marketing content content writer business listings online profile video video marketing online video blog blogging tips mobile friendly blogging effective blogging mobile website responsive design website advertising sem search engine marketing social media websites seo web design social proof online security security organization effective linkedin making linkedin count conflict management mobile app ecommerce tips merchant account bounce rate slow load time marketing strategy online marketing build community build online community relationship marketing seo for blogs what is an ip address epr manufacturer customer loyalty pinterest chick-fil-a green sign-up chickfila pinning down the impact of pinterest pinterest users growth how to signup for pinterest account how to sign up for pinterest account how to sign up for pinterest pinterest account signup for pinterest account blogging for home builders accounting web applications cms custom cms content management branding email marketing mobile mobile websites lead generation website banners banners google crm servers pci compliant webrevelation small business
Quicksearch
Email Signup  


Testimonials
Working with the team at WebRevelation has been a pleasure. They came highly ...
When looking to completely re-vamp our website here at Tucker Hill, we were refe...
Contact Us

Web Design in Oklahoma
Call  405.607.0349

Web Design in Texas
Call  817.283.3324