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What is ERP Software?

June 20, 2022

What is Enterprise Resource Planning (ERP)?

 

Enterprise Resource Planning is a method of integrating and managing important parts of a business. It’s done with ERP software applications, which are often central to a company’s operations.

They are loaded with tools and features to implement resource planning, bringing together all the processes required to run the company into a single, centralised system.

ERP software systems can integrate things like:

  • Finance
  • Supply chain
  • Planning
  • Buying inventory
  • Marketing
  • Sales
  • Projects
  • Manufacturing
  • Human resources

Virtually anything that is part of the running of a business can be covered by ERP software, making management easier and more efficient.

 

What is an ERP system?

 

An ERP system is a piece of advanced software that brings together all of a business’s core processes in a single place. You can think of it like the brain of the business. It is filled with all the information and connections that are fundamental to the healthy operation of the body of the business.

Using a single system to manage all the data and processes involved in running the business keeps accuracy high and facilitates data-based decision making. In the past, such a system would have required a business to have some powerful hardware on site, but cloud computing has made ERP systems far more accessible to companies of all sizes.

 

The Benefits of ERP Software

 

Modern ERP solutions are often based in the cloud, and there are many benefits to making use of them:

  • They provide remote and home working opportunities.
  • You get global, real-time access to key management information like e-commerce reporting.
  • They can be integrated with many ecommerce and CRM systems at once.
  • They can also be integrated with various other software systems.
  • They streamline processes and offer rich automation features.
  • Cloud based systems can be much cheaper than traditional, on-site ERP systems.
  • Monthly license fees are more manageable than a big upfront investment.
  • You can deliver easily in a shorter time period.
  • They are scalable.
  • Maintenance and upgrading is simple and affordable.

 

How do I know if I need ERP software?

 

Businesses should be constantly evaluating the effectiveness of their existing systems and exploring the possibility of improving or replacing them. You know your business better than anyone, but if any of the following things sound familiar then ERP can help.

  • Your business is starting to outgrow its existing systems and processes.
  • You are struggling to get visibility of KPIs, so decision-making feels like guesswork.
  • Different business functions are relying on different, disparate systems.
  • You have an over-reliance on outdated database software and spreadsheets.
  • Your business doesn’t have the necessary flexibility to move into new markets.
  • Your existing systems are costing you a lot of money to maintain and upgrade.
  • Your current systems are holding you back from growing.
  • You are struggling to meet the expectations of your customers.
  • You are finding that the security of your systems is inadequate.
  • Your systems are unable to leverage the latest technologies.

 

ERP Software Deployment Options (On-premise/Cloud/Hybrid)

 

ERP adoption experienced rapid growth through the 1990s and into the 21st century. But the costs of implementing these systems were soaring as businesses demanded more and more functionality.

This required a lot of hardware because systems had to be run through technology that was on-premise, meaning a server room with large machines was often required. Hardware and software licenses required capital investments and their value depreciated over time.

On-premise implementation is still a solid option, and if you have the capital then you get the advantage of being able to customise the solution without limitation. You also get exclusive use of the system and resources. But the cost of doing this can be high and it really is considered an outdated way to use ERP software these days.

The cloud has brought about subscription-based access to ERP systems. With cloud-based ERP, you get use of third-party servers to run your ERP systems in exchange for a monthly fee. There are different packages that offer different levels of dedicated servers and bandwidth, so you can choose what works for you. Some businesses even opt for a hybrid ERP model, combining on-premise ERP with cloud ERP to get the best of both worlds.

 

Examples of popular ERP Software

 

There are some very familiar names in the ERP world. NetSuite is recognised as one of the leaders in the industry, having been an originator in the realm of cloud computing. NetSuite has a powerful and richly-featured cloud ERP system that is used by many businesses around the world.

Another big name in the sector is Sage 200. It is a powerful business management solution designed for small to medium businesses. It has all the features you need from an ERP solution to centralise operations in a single location.

Sage 200 has two offerings, Sage 200 Standard which is completely cloud-based, and Sage 200 Professional which is on-premise and cloud connected. You can read more about the differences between them in our article – Sage 200 Standard Vs Professional Compared.

It’s also becoming highly popular to use cloud-computing platforms like Microsoft Azure to host traditional on-premise ERP software in the cloud.

 

How Eventura Can Deliver your ERP Project

 

The accessibility of a modern ERP system via the cloud makes them a no-brainer for any company that wishes to thrive and grow. With the power to centralise a wide range of operations for businesses in commerce, manufacturing and a wide range of other sectors, it empowers companies with the tools they need to flourish.

Eventura is focused on quality and continuous improvement, and we bring these principles to our work in delivering your ERP project. Whatever your needs from your ERP system, we can deliver a bespoke, optimised solution that will meet them comprehensively.

We have a history of success in helping clients achieve their goals and implement systems that work perfectly for them. With recognition as one of the top 25 SME culture leaders in the UK, our reputation is one of excellence.

If you have any questions or would like to enquire about getting an ERP project, you can request a free call back here.

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