Saturday, February 13, 2010

Reasons to Implement ERP

Enterprise Resource planning (ERP) is one of the most excellent application software in the industry. ERP integrates all the functional departments in an organization and ensures smooth flow of communication between the inter departments. This piece of writing gives you some of the details of the ERP and how it helps the organization to streamline the business processes.

Integrates the Inter Departments
ERP is robust enough to integrate all the departments in an organization such as accounting, finance, production, inventory, sales and human resources. The integrated environment gets all the functional departments under single umbrella and enables the platform for the effective data flow. ERP demands employee productivity in the streamlined environment.

Decision Support System
Relevant information is the crucial factor to take the informed decisions. If there is no timely information available to the business owner, it is very difficult to take the decisions unanimously. As ERP application get all the functional departments under the same database, getting the relevant information would be very easy. This leaves the business owner take the right decisions in the process.

Return on Investment
Getting profits are the inherent aim of any company. After all, it is the profits that keep the company in the market. Improving Return on Investment is very important factor for any company. With the implementation of ERP applications, the productivity of the employees would be increased. Of course, there is direct relation ship between the Employee productivity and the profitability of the company. ERP makes the employees to become more proactive to achieve the company’s goals as a team. With the implementation of the ERP application, the business environment would become more transparent to each and every employee in the system. This transparent environment creates some kind of urgency in employee mind so that they will utilize their time more productively. All these things directly or indirectly affect the Return on Investment in a positive manner.


These are the advantages you can get by implementing an ERP applications in the business environment.

1 comment:

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Manish