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What is ERP? 10 Points to Consider: Is Your Business Ready for ERP?

What is ERP? 10 Points to Consider: Is Your Business Ready for ERP?

What is ERP questions resized 600

What is ERP 

It’s Enterprise Resource Planning, of course. What does that really mean?  What is ERP is a BIG topic so we will cover it in a series of blogs.  When I think of what is ERP, I think of one word INTEGRATION.  An ERP system is the central hub that ties together your business systems like; accounting, sales (CRM – Customer Relationship Management), warehouse, human resources, payroll, e commerce, service requests, manufacturing and any other databases.  An ERP system is working in your business to integrate your databases and work flow processes with each other.  The goal of implementing an ERP system is that it works for your business to help you grow by lowering operational costs, increasing efficiency and profitability.  There are a few things to consider whether or not your business is ready for an ERP system. 

In our previous blog, we wrote a fictional scenario about what is ERP and how such a system in your personal life would help.  If only an ERP system existed for your personal life!  Now let's look at how an ERP system will work in your business and whether or not your business is ready.

First, let’s look at the questions, then explore what is ERP further.  ERP is all about putting the missing pieces in your business puzzle together.

What is ERP? Questions to ask to find out if your business is ready for an ERP system:

  1. Do you have manual processes that tie up productivity?  Many manual processes are eliminated with ERP automation.  Most businesses who document what manual activities tie up productivity conclude that an ERP system is worth the investment for the time savings alone.

  2. Do you spend time entering data twice?  Duplicate data entry is eliminated with ERP integration.  Data only needs to entered by one person then the data flows to all the right places so the information can be accessed in reports and with the right teams who need to see it.  Changes to customer information or status are all updated once and throughout the ERP system.  This integration eliminates the time wasted with duplicate data entry and the errors that might occur.

  3. Do you wish critical information was available securely online or on your mobile phone?  There are online and mobile options for many modern best of breed ERP systems.  If you wish that you and your employees can stay in touch with the business while on the road, it's probably to consider an ERP system.

  4. Do you have areas in your business that are not scalable and are preventing you from being able to grow? Usually, when business picks up, employees are stressed out to do more work with the same resources and the same amount of time.  Adding people to the problem can be a struggle for a growing business.  Moving to an ERP system will require a deep commitment and investment.  The payoff is that your employees can get more work done and have extra time to meet the new demands of a growing business.  

  5. Do you struggle with adding staff and training staff to work on the systems you have in place?  An integrated ERP system would mean that your employees can work in the database they are accustomed for their job functions without having to learn a new database or rely on others to maintain information in multiple places.

  6. Do you struggle with being competitive with high levels of customer and product delivery?  When your ERP system integrates with accounting, sales, customer service, support, and the warehouse, your separate departments have access to critical data to help keep products moving with promised delivery dates

  7. Has your business undergone growth but your existing systems and staff have difficulty keeping up?  If your existing software systems are outdated and not integrated, then sustained growth will be a challenge.  While your business grows, the challenge of meeting customer demands to remain competitive and to attract, maintain and delight customers is all possible with an ERP system.

  8. Does your business have special requirements that could be solved if only you could customize your software?   ERP systems are designed to be flexible and customizable to work the way your business operates.  With an ERP system, you aren’t stuck working the way your software dictates.  You have the freedom and control to manage the ERP software to accommodate your work flow and demands. 

  9. Do you struggle with having access to the right information at the right time?  ERP systems consolidate reports with dashboard and detailed reporting so you have a clear picture with the daily metrics of your business.  Having a daily and even minute to minute snapshot  helps you gain more control of your business.

  10. Are you ready to make the move to an ERP system?  Understanding What is an ERP system is the first step.  Next, it's time to evaluate industry leading ERP systems and find a trusted ERP consultant to help with your evaluation.  

If you are still wondering exactly what is ERP? – Stay tuned for more blogs!

CONTACT US or email or call 949-600-6527 and let us know if we can help with your evaluation and connect you with trusted ERP consultants.  We have over 30 years of experience helping customers grow and are happy to start the discussion with you.

If you answered YES to any of the questions above, then it's probably time to consider an ERP system. You can also enlist an ERP consultant or ERP VAR (value added reseller) to go through a more thorough business process assessment.  Since many small and medium-sized companies today do not have a true ERP system in place, it is recommended to engage an ERP consultant to help with an initial needs analysis to assess your situation and your business requirements moving forward.  To summarize what is ERP, it’s helping take your business to the next level by integrating and automating your business processes.  Stay tuned for our next what is ERP blog to uncover the mystery behind what is ERP.

by Kathy Graham


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