Never used an ERP system before? Not sure exactly what one is? Don’t worry: this very quick and straightforward guide will tell you the basics in just one minute.
What does ERP stand for?
stands for Enterprise Resource Planning.
What is an ERP system?
ERP software is a fully integrated system
handling every aspect of an organisation’s transactions and information and updating this information in real-time
An ERP system deals with everything from enquiries through to order processing, procurement, supply chain management and distribution to accounting, business analysis and reporting.
ERP systems often incorporate specific modules for production
and warehouse management
. These systems usually have many options
, such as payroll and HR functionality.
What does ERP software do?
ERP software automates processes
and facilitates the data flow between business functions
. Within an ERP system, information can be tracked in real-time, enabling up-to-the-minute visualisation with business intelligence
How does an ERP system differ from accounts software?
ERP systems can do everything accounts software can do and more. ERP systems go one step further by adopting a ‘cradle to grave’ approach
, often providing integration with CRM (Customer Relationship Management)
, process workflows, document management
systems. In this way, ERP provides the foundation on which to evolve
all of an organisation’s systems and optimise efficiency
Who uses ERP software?
Most ERP solutions can be tailored to suit any business
of any size, any type
and any industry
Every member of an organisation can use the same ERP software and all internal business processes are carried out within the same system.
How can ERP software improve a business?
In so many ways – but here’s just five:
- Improve efficiency
- Increase accuracy
- Reduce costs
- Make better informed management decisions
- Maximise profitability
So, there you have it: ERP explained in a mere 60 seconds. To find out more, visit the main De Facto website
About the team behind this blog post
De Facto Software's ERP (Enterprise Resource Planning) development team specialises in software systems that make your business more efficient. Find out more about our ERP software.