Companies cannot do without Enterprise Resources Planning these days. An ERP system is required in all the small-scale, medium-scale and large-scale enterprises for the various advantages that it offers. From increasing the productivity to reducing the costs, the bottom-line of the financial statements are achieved with the help of an ERP system.
Given below are the top 5 benefits of using an ERP system:
- Information warehouse: ERP helps the businesses in managing all their separate sub-systems in one place. From production activities to warehouse management, from purchases and sales to financial statements, the businesses can manage their entire business activities on ERP.
- Efficient: A centrally-controlled ERP system, which can serve all sectors and segments of a business, will improve the efficiency of the business. By reducing the need for manual entries, the entire business is streamlined, so that all sub-systems can cohesively work together.
- Reporting with accuracy: At the end of the day, what the business requires are reports. These reports are useful in doing an analysis of the business operations and in highlighting the financial situation of the company. Instead of running numbers into Excel and doing calculations, a standard or customized report can churn the numbers in the way that the management wants, within no time.
- Security: The data in ERP is secure. Users can access the data only based on their access controls. With the proper restrictions in place, unauthorized access is monitored. The system also maintains a trail and keeps a track of the modifications done by the users.
- Lower cost: Implementing an ERP is a one-time investment, but it lowers the cost of operations in the long run. Instead of managing various stand-alone systems, which can cause delays and other technical issues, ERP allows managing the resources in a more efficient manner, thereby reducing the costs.
- Better CRM: The business can improve its customer relationship management with a good ERP system installed. With access to real-time information on fingertips, all the queries of customers can be handled in an easier manner.
Other than all these benefits, Enterprise Resources Planning system also offers easy scalability and improved data access. As the business expands, the processes and clients can be added without many complications. A system that can be accessed from anywhere and anytime, with the help of user credentials, is more efficient than the traditional stand-alone systems. A business cannot afford to ignore all these benefits.