These days, Enterprise Resource Planning isn’t just for large companies. Whether you’re a large corporation or a small, family-owned business, Benefits of ERP Software can transform your business for the better.
Introduction
Don’t discount Enterprise Resource Planning (ERP) just because you’re a small to medium-sized business (SMB). Although ERP was once solely the territory of large corporations, nowadays, the cloud enables SMB’s to take advantage of its benefits as well.
No matter the size of your organization, ERP creates a competitive edge by integrating your business processes seamlessly. From Human Resources to the Supply Chain, ERP manages a deep range of business operations needed for your enterprise to thrive.
Still not convinced your business is ready for ERP? In this post, we’re sharing what ERP software is, why it matters for SMB’s, and the four main benefits of ERP software.
What is ERP Software? Why Does it Matter for SMB’s?
ERP is a business management software that empowers organizations to manage activities and improve efficiency through workflow automation.
ERP allows organizations to collect, store, manage and interpret data from their business activities in real-time. Through a shared database, they can view their essential business processes and resources all at once. Designed for automation, ERP facilitates flow between business functions and manages connections to external stakeholders such as customers and suppliers.
The costs associated with installation and maintenance has made ERP software more accessible for large corporations in the past. However, in today’s contemporary world, SMB enterprises are increasingly investing in ERP technology to streamline processes across departments, improve decision-making, and enhance productivity.
But that’s not all.
Below, we’ve covered our top four benefits of ERP software for your SMB enterprise.
4 Benefits of ERP Software:
1.) Increases business innovation
As a flexible and scalable system, ERP enables innovation and growth for enterprises of all sizes. By automating and integrating core business activities through ERP, organizations can focus their time and energy on other tasks that can lead to innovation. And with easy access to business information, everyone in the organization can improve decision-making at all levels.
2.) Improves business process efficiency
According to a report by Panorama, 95% of businesses improve some, if not all their processes post ERP implementation. ERP enhances a company’s business performance by developing the most efficient way to plan resources and optimize productivity.
For example, ERP implements workflows that streamline business processes, track employee performance, and analyze results. With this type of data visibility, business owners can determine the most productive methods and those that may need improvement.
3.) Standardizes processes
ERP standardizes and automates supporting business operations. By integrating information, businesses can speed manufacturing, improve employee communication, simplify procurement, and increase overall productivity
4.) Reduces IT costs
By offering accuracy and automation, ERP helps businesses cut operational and administrative expenses. Research by the Aberdeen Group reveals that ERP reduces operational costs by 23% and administration costs by 22%. Getting more work done for lower prices means business growth and improved profits.
Conclusion
Now’s the best time to begin exploring the possibilities of ERP for your SMB. As market competition continues to increase, employing management solutions can keep you in tip-top shape. With our list above, we encourage you to find your preferred software and experience the benefits of enterprise technology today.
Katalyst Software Services Limited focuses on helping SMBs select and implement affordable open source CRM and ERP Solutions, including SAP ERP. To learn more about our Enterprise Application services, visit our site and get in touch.
