What is ERP Core And What Does It Cover?

What is ERP?

ERP or Enterprise Resource Planning is a type of software used by businesses to manage their daily operation. The automated system controls every core functionality from the supply chain to customer relationships management.

An ERP possesses the following characteristics.

• It’s developed with reliable and stable technology to support your business for a very long period.
• It secures all the data consistently, and the system user can check them at any time they want.
• The system gives essential updates and notifications for every issue regarding your business operations.
• It helps to make your decisions quickly by presenting all the data in visualized forms.

Core Features of ERP And Their Benefits

ERP software has the ability to maintain all the aspects of a business. So, based on your business type and goal, you can add as many functionalities as you need while developing a system for you.

Despite that, some ERP Core features cover the basic fields of a company. The features and their benefits are as below.

Integration

One of the most significant benefits of ERP is the central control of every aspect of a business. With the Business Intelligence (BI) components, ERP software collects real-time data and performs analysis to provide accurate insights.

Further, it helps a company take action immediately for any error and find new market opportunities.

Automation ERP

In this modern era, operating a business in a traditional way is quite hard. You can’t handle so much data at a time with a manual system. To make your business more dynamic, ERP provides the ability to automate your repeatable business tasks like keeping records of purchases, customer data, employee data, and everything.

It reduces the chances of error and completes the task in a short time. You can utilize your resources in other fields.

Human Resource (HR)

The HR or Human Resource Management handles all the functionalities related to the employee of an organization. It works with payroll, hiring process, timekeeping, employee monitoring, and many more. The automated process keeps track of everything accurately and saves time as well as minimizes the chances of human errors.

Accounting ERP

ERP accounting module works with things like accounts payable, accounts receivable, budget, forecasting, and general ledger. An ERP solution for a large-scale business can perform more advanced tasks like tax management, revenue recognition, multi-currency managing, etc.

Financial management

While running a business, one of the core tasks is to determine the use of funds. The Financial management module tracks the financial data from all departments and provides critical business reports after analyzing them. It makes cash management easier. That is why it’s a must feature for every large organization.

Tracking and Visibility

No matter how many physical outlets your business has, the ERP system lets you access real-time data and report all the business operations to you. This is a very powerful functionality that makes you understand all the business matrix in a short time.

Customer Relationship Management (CRM)

Gathering customer data helps you understand their behavior pattern that assists you in expanding your business. Because of this, ERP software includes CRM functionalities to keep track of order history, contact details, etc.

The feature also handles marketing campaigns to reach target customers more efficiently. And if a business has a POs purchase system, CRM features can guide to manage that too.

Data Analysis and On-Time Reporting

An ERP system record real-time data and always update its database. It also shows important business data through graphs, tables, etc., which gives you a brief idea of the current situation. Moreover, the on-time reporting helps you optimize current operations and provides a better service.

Sales and Marketing

The sales and marketing module of an ERP solution makes the selling process more manageable. It makes it easier to sell, upsell, manage purchase orders, quotes, commission, etc. The system can also track complex details such as profit margins and ratios.

These accurate data help the sales and marketing team drive more leads, execute successful campaigns, and track customer activity more efficiently.

Supply Chain Management (SCM)

The Supply Chain Management feature handles every aspect from inventory to logistics and distribution. The automatic system completes tasks like purchase orders and transfer orders, etc.

It also notifies you if a product is about to be out of stock. If your business has multiple outlets, you can monitor the inventory of each place easily.

Manufacturing

Product planning, production monitoring and forecasting, sourcing raw materials, assembly management, and many more – ERP manufacturing tools expertly handle the overall manufacturing process.

What Should Your ERP System Include?

After seeing the list of ERP core features, you must be wondering what you should include in your business, right?

Well, the ability of ERP software is limitless. But you should only include the module your business needs to avoid extra cost and hassle. So while you are developing a solution for yourself, just make sure that the system is compatible with your current business goal.

To Conclude

After learning what is ERP core and what does it cover, you must understand how vast this system is. You can enjoy different benefits based on the specific features you add to your system.

A compatible ERP solution can add wings to your company regarding the size of your business. So, implement this innovative technology to reach your goal and enjoy the unlimited benefits!