ERP is enterprise resource planning. In theory, such a program becomes a kind of enterprise strategy, within which management of certain areas will be considered:
- Finances – tax and accounting records are kept. The budget is planned;
- human resources;
- interactions with partners, keeping a detailed history of transactions with clients.
If we talk about the practical side of such a device, it is a system that guarantees the right software. Such to automate one or more sides of the organization. And not only the blocks listed above are optimized, but also many other processes.
To understand what an ERP program is, it is the whole complex of actions. It includes actions for:
- ERP development to create a management model for all flows;
- installation and maintenance of storage equipment;
- connecting the right software;
- providing a full-fledged IT department;
- training users in everything they need to know.
How do you know it’s time for ERP
All areas of business are actively evolving these days, so almost every business moving forward is quickly faced with the need to implement information systems to help optimize some part of the firm’s operations.
Here are a few signs that signal it’s time to change:
- employees waste time on routines that could be automated;
- it’s hard to get up-to-date information to make urgent decisions;
- there are too many disparate products and programs that can not be combined into one, modules, and tables are not transferred from one software to another;
- there is no objective and timely data on stock balances, movement of finances, or goods;
- it is impossible to study and analyze reports outside the office, only from a particular computer in the workplace;
- accounting documents;
- all sales and communication with customers, in general, cannot be complicated;
- it is difficult for departments to communicate with each other;
- there is no appropriate level of control over the actions of staff.
To reduce the likely risks and remain confident that implementation is necessary, it is worth doing a more thorough analysis of the company and what will change with its introduction.
What functions does ERP provide:
- Easy workflow.
- All transactions are recorded.
- Unified network.
- Human resources accounting.
- Complete workflow, a database of brokers, automatic requests for quantities and availability, and order processing.
- Data storage and optimization for each customer.
Features of ERP implementation
This is not an easy and quick process. You can get help here: https://nolt-technologies.com. It is worth setting yourself up for a long restructuring, transferring information from different carriers to a common part, adjusting to the needs of the business. First integrate the important blocks, which are the basis of the business, and then gradually the rest, in which the individual unit works, not so essential.
The main disadvantages:
- Complexity. It is quite difficult to put into operation.
- Increased requirements for equipment.
- It is necessary to put in additional data protection.
- Dependence on the power supply.
But this implementation has a lot of advantages. Here are the main ones:
- can integrate quickly;
- It supports planning simultaneously across departments;
- it is possible to virtually build departments;
- There is the ability to scale for different sizes of organizations, and flexibly adjust to its needs;
- ability to work with other applications and programs;
- Everything is assembled into a single platform for convenient operation.
It is important to choose something that will meet the main objectives of the enterprise, as well as competently implement to improve the efficiency and profit level of the company. Then the firm will be able to get ahead, stand up to all competitors and offer the best product on the market.