Enterprise resource planning, known as ERP, is the unification of various resources in an organisation or business into a single computer system that meets the demands of all of the various departments.
The benefits to this include better interconnectivity and communication between departments and smoother start-to-finish operations.
ERP systems have become a means to support and speed up the whole process of the supply chain cycle. Traditional ERP systems provide various kinds of benefits such as a mature system functionality and abilities of greater customisation and integration. In the past decade other software applications, however, have seen a shift to cloud computing that has become one of the fastest growing segments of IT industry.
Most ERP packages comprise the following modules: financials, retail, inventory management, sales and distribution, customer relationships management (CRM), business intelligence, sales force automation, and point of sale.
Certainly, every business ERP system is expected to have enormous benefits: increased productivity; reduced operating costs and flow of information; and improved performance management.
It is important that you upgrade your ERP system when you notice the following red flags:
Don’t hold on to outdated programs because you feel comfortable working with them
• When your ERP doesn’t effectively communicate with other systems, it creates dual data entry processes and a disconnect in an otherwise effective workflow. In addition to integrated systems you also want your ERP software to cooperate with current browsers, platforms and modern protocols. This will help the user and will also improve customer experience.
• End-of-life or end-of-support means that the software has reached the end of its useful life and that updates and patches will no longer be released for the product. Initially you won’t be able to notice a change when EOL has been reached; it will keep working in the same way for a short time, but it will face problems in due course.
• By sticking to your legacy software you’re missing out on cutting-edge features and new levels of functionally. It is important to understand that while you’re sticking to the outdated software your competitors are upgrading and are using the newest features to gain a competitive edge in the market.
• As your business grows, the number of users, processes and number of contracts also grows. To help manage your business and customer relations consider implementing adequate CRM software that can grow with your needs and your business.
An effective and modern ERP system is a powerful tool that can help your business operate in the competitive market. It is necessary when looking for an upgrade to discover the best product for your company because this is a resource meant to increase productivity, not cause confusion.
While it can be somewhat tricky to determine when to upgrade your software, red flags will greatly influence your decision. ERP software was created to make a business run more smoothly and effectively, so don’t hold on to outdated programs because you feel comfortable working with them. Make the jump, take the educated risk and reap the rewards of efficiency.
http://isl.com.mt/products/ebs/
Robert Azzopardi is the business development manager at Information Systems Ltd.