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.

ERP for Manufacturing Companies

Enterprise Resource Planning (ERP), a most desired application by manufacturing companies. Manufacturing is the most challenging environment and it is very difficult to manage the processes once the company starts growing rapidly. In this situation, most of the business owners try to adopt the latest and most lively applications to ease the difficult situation. ERP is one software application that will automate the entire business processes so that there will be smooth flow of communication between the inter departments.

In the production environment, the production manager has to take care of the scheduling the work orders. Work order tracking is the most challenging issue for the production manager if there is no proper automated system in place. To schedule the process in the production environment, the production manager needs to hold the information on the machinery strengths and capability of the resources. Due to lack of information, it is very difficult to the business manager to schedule the work orders and get the results on timely basis. This ultimately leads to the higher lead times to get the final product. ERP implementation with the help of supply chain management software automates the entire production process and helps the production manager to track the work orders in the system. This will give the opportunity to schedule the work orders properly get the results on time.

The production environment is considered to be the backbone of the manufacturing company. If the business owners don’t have the relevant information on the product resources and capabilities, it is very difficult for him to take the further decisions like increasing the man power and procuring the new machinery etc. If the business owner knows the capabilities of the production resources, he can easily evaluate the resource strengths against the output. This is where the business owner decides to go for utilizing the existing resources optimally or bring the new resources to increase the productivity and profitability of the company.

If you track the origin of the ERP, it is actually designed to plan the manufacturing resources and later on, the application has been expanded to take care of the entire functional departments in the organization.