What and Why ? Whether you are running a warehouse business or a software company or any business for that matter, you will need to plan your business. Without planning, no business can survive. The success of a business largely depends on the accuracy and completeness of planning and execution of its operations. A small inconsistency may lead to a great disaster if you take it lightly. Simply stating, Enterprise Resource Planning is the collection of all day to day operations along with the long term planning.
The How : A collection of computerised tools for performing planning/administration activities and maintaining day to day operations in an organisation is known as an ERP Software. Some of the features commonly found in ERP Software is as follows:
Accounting : Accounting is essential for every business for many purposes including tracking financial transactions, maintaining compliance with the law and planning financial activities etc.
Inventory Management : Inventory management applies to any business that involves buying and selling goods. Inventory management helps in maintaining the right proportions of goods in the inventory for smooth operation of the business without getting into problems such as shortage of supplies and wastage of supplies. Inventory management controls the In-Flow and Out-Flow of goods and raw material in the business.
Sales and Invoicing : Invoicing is essential for maintaining the sales records. This helps the organisation in maintaining the compliance of law and for auditing purposes.
Production Planning/Product Management/Project Management : Production planning applies to manufacturing industries and Product management applies to IT and other organisations. Product management helps in planning the development life cycle of the product in various stages of development and also helps in meeting the production targets of the industry.
Human Resource Management (HRM), Team Management and Payroll Processing : Any organisation with employees needs Human Resource Management for the operation and maintenance of the organisational resources by assigning roles and responsibilities to the people in the organisation. Also, payroll system is essential for maintaining the records of the benefits and compensation details of all the employees in the organisation. Team management involves assigning the roles and responsibilities to people based on their capabilities there by achieving the organisational goals in time.
Customer Relationship Management (CRM) : Customer Relationship Management is simply known as CRM. CRM helps in supporting the customers for clarifying their doubts and for servicing and maintaining the goods after the sale is done. Good customer service will give a competitive advantage for any business. CRM is the only public face of the organisation where customers directly interact with the organisation. Maintaining good customer relations is the most essential factor in the success of any organisation.
Marketing Management : Marketing management helps in marketing the products and services of a company by maintaining various marketing channels and scheduling and running various marketing campaigns.
These are the most essential aspects of any ERP system. You can find all these features in our product Devdiary.