There are 4 ways ERP can prove its untapped potential in business Companies are competing with each other on the market today, trying to win their fair place and their share of customers. But it takes more than just goodwill to make a business successful. It takes more than just goodwill. Understanding what makes a business successful over the long-term is key. ERP, also known as enterprise resource planning, is one of these applications designed to support businesses throughout their life cycle. It’s a suite of applications that are meant to gather and organize a company’s data in order to support it in automating its accounting, production, sales quoting and human resources operations, among many others. Let’s see what makes ERP so integral to a company’s successful development in the market, on its way to gaining a considerable competitive edge over its peers:
1. It’s a money-saver
There’s no way around this crucial benefit brought on by ERP implementation — it simply saves money. This is possible because ERP implementation cuts down on the amount of time it takes to manually enter data, and possibly reduces the risk of human error. Instead of paying employees to spend precious time, weeks, or even months, doing repetitive tasks like data input, a company could simply implement ERP, and allow these employees to focus on higher-value tasks. Granted implementation can be quite costly, depending on the company’s needs, but it still can prove to be a better investment for years to come. Although this is not the greatest benefit that an ERP solution can offer, it qualifies for top-ofthe-list.
2. It offers accurate reporting
ERP offers another benefit: companies can benefit from real-time, accurate reporting. Although a company may have all its data organized well, it can sometimes be difficult to quickly pass this information on to shareholders or partners. ERP is a game changer. Companies can quickly now gain access to information that could be relevant to clients, vendors or shareholders — the information is not only quick but also accurate in real-time.
3. It allows for growth
ERP can help a business move into the next phase of its life. ERP handles all of the critical processes that a business needs. ERP can speed up a business’s evolution by allowing it to automate data entry. This is a significant improvement over the manual method. What’s more, enabling such complex growth that also sustains scalability, ERP also enables a company to gain that much-coveted competitive edge on the market. Although some companies are reluctant to invest in ERP or have other limitations, companies that do implement ERP stand a better chance of growing and sustaining all their departments quickly, with minimal error. Every company strives for sustainable business growth, and ERP was designed to do that.
4. It improves supply chain management
ERP provides access to accurate, real-time data which will make all components of a supply chain more interconnected. It will actually improve supply chain management and give it key opportunities to be a well-oiled machine that can take the company to the next logical step. After all, a business can sell the best–quality products or offer the most attractive services. However, if the totality of the supply chain does not work well or the individual elements don’t match up in their shared goals and approach, the business will ultimately fail without a shadow of a doubt. It’s then up to companies to understand the benefits of ERP on the supply chain. ERP may be the most important innovation the business world has ever seen. Companies ultimately need to understand we’re living in the golden age of ERP, understanding just how much-untapped potential there is behind it. They might be able to lead the way for others and stay ahead of their competition for years.