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The Benefits of ERP - Enterprise Resource Planning
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The Benefits of ERP - Enterprise Resource Planning
Jan 26, 2021Aptean Staff Writer
Regardless of your company’s industry, size or revenue, there are many advantages to be had by implementing an enterprise resource planning (ERP) system.
An ERP system brings all of your departments together onto a single platform. Your data is updated in real time, and becomes accessible from anywhere, allowing you to make informed decisions based on up-to-the-minute information.
This makes ERP the ideal foundation of your digital transformation journey and a pivotal technology in ensuring your business is as efficient and organized as possible.
Let's dive in to some of the most common advantages of implementing ERP.
Improved Productivity and Efficiency
The integration brought about by an ERP solution will introduce new efficiencies throughout your organization. With screens and reports designed for specific departments and tasks, every user will be working with the tools they need to perform their jobs. And with a single source of shared data, everyone will have the information they need at their fingertips.
Simplified, straightforward data entry and capture
Easy collaboration between departments
Exact forecasting of necessary resources prevents disruptions and delays
Today’s leading ERP software solutions are designed to keep you in compliance with financial regulations. Data is recorded in a secure manner that cannot be manipulated by users, providing you with complete, accurate audit trails. Beyond regulatory considerations, many of the features and functionality are built around best practices, allowing you to do business the right way.
Compliance with SOX and FISMA regulations
Manage your business according to GAAP and IFRS standards
Consistent process handling according to best practices
There are many ways in which an ERP system can reduce your costs across different areas of your business. Real-time visibility to supply and demand ensures that you don’t over-produce or over-purchase unneeded materials. Efficiencies and automation in your ERP software free you up to find more productive uses for your time. And the increased accuracy with which data is collected makes costly mistakes a thing of the past.
Flexible reporting solutions allow you to understand your financial position
Accurate, real-time data entry reduces administration costs
Error-free warehouse handling with an integrated mobile WMS
Automated, Streamlined Processes
Tasks that would take hours to complete manually can be performed instantaneously in an ERP system with the click of a button. Batching routines make it possible to post the day’s sales or purchase orders all together, and integration to the General Ledger can automatically create the related financial entries. The introduction of additional technologies, such as barcode scanning, can further automate the capture of data.
Complex processes can be standardized
Scheduling tools allow for the automated processing of records
Electronic Data Integration with suppliers and vendors creates further automation
The Benefits of Technology
A modern ERP system allows you to take advantage of the latest technologies. Built for flexibility, many solutions make it possible to enhance the out-of-the-box product to accommodate your unique business processes and reporting needs. And any good ERP system is fully scalable, meaning that it can grow alongside your organization.
Customization options allow you to maintain your competitive edge
Support across multiple devices makes information accessible from anywhere
Improved reporting and dashboard capabilities
Single Source of the Truth
Maybe the most valuable benefit that an ERP system can bring is that it gives you a “single source of the truth”. With all your users recording their activities in the same system, your information stays consistent and centralized. No more guesswork or trying to reconcile data from different programs; you can fully rely upon the information you’re getting from your software.
Real-time reporting gives an accurate basis for your decisions
Maintain a clear end-to-end picture of your supply chain
Trustworthy data that doesn’t require double-checking
Benefits of an Industry-Specific ERP
When selecting an ERP system, you'll have a multitude of choices from broad, generic solutions to systems built to meet the needs of specific industries.
Industry-specific ERPs are designed with specialized functionality to solve the challenges of your industry without costly customizations or add-ons. This not only allows you to unlock additional benefits that generic systems cannot provide, but also helps staff adopt the solution easily and ensures you get ROI more quickly.
The additional advantages of industry-specific ERP will vary depending on your industry and the specific vertical that you operate in. Here are just a few examples:
For food and beverage manufacturers, traceability is paramount. Choosing an ERP with features that enable end-to-end traceability, lot tracking and bi-directional visibility enhances food safety and compliance processes straight out of the gate.
An ERP with built-in warehouse management functionality streamlines receiving processes and helps optimize space management for consumer goods importers and distributors. And is particularly helpful for complex DTC operations.
Batch process manufacturers will find it helpful to choose a tailored ERP with built-in features to help manage recipes, control ingredient quality and avoid wastage.
Here at Aptean, we pride ourselves on our combination of detailed technical know-how and deep industry knowledge. Our experts know your industry inside-out and have designed our ERP systems from the ground up to solve your unique challenges.
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