Suppose you feel like your production facility can’t meet production schedules and you’re experiencing high costs or overstock. In that case, you might want to invest in an enterprise resource planning (ERP) solution to alleviate these problems. At present, an ERP has become an essential tool for numerous manufacturing facilities, particularly those seeking to maintain their competitive edge.
An ERP manages all the company’s customers, products, employees, and suppliers. Moreover, these computerized systems integrate and support the business processes and help control or calibrate the resources within any manufacturing facility.
However, it’s important to note that not all ERP systems are the same since some are tailored to specific industries, and others are equipped with advanced cloud technology. For this reason, it can be overwhelming to choose the right ERP solution. To make your search easy, here are the core features of an effective ERP solution:
1. Integration Capability
This ERP feature is a significant part of what makes the system different from other business solutions. While most standalone solutions take pride in their ability to integrate with some systems, there’s nothing like a suite of apps built to work together. Integration also ensures the countless capabilities offered by an ERP system works together properly.
An ERP offers an intuitive and fully-integrated platform through which you can conduct, monitor, and analyze data-driven tasks. In addition, an ERP collects, analyzes, and stores data across every department through a database.
Analyzing and storing data across departments ensure seamless communication within your business. Businesses today no longer need to work in silos because of an effective ERP solution. Working from a source of information prevents discrepancies with associated costs and errors.
Integration also enables your business to work with different components at once. For example, with an integrated customer relationship management (CRM) feature, users may access customer information and order history in one system.
Data analysis provides insights into business trends and may provide predictions based on previous practices. Accurate predictions may boost efficiency on an organizational scale, which ensures improved productivity and smooth operations.
2. Data Analysis
Since an ERP is already processing and collecting data from all your business functions, it’s wise to capitalize on that information through analysis. The good thing about ERP is that it works by finding patterns and trends in your processes, enabling users to reflect on specific tasks’ effectiveness and offer forecasts for future business decisions.
ERP analyzes data relating to every business operation, including production statistics, client data, sales data, and more. For example, an ERP may help you create a budget, predict demand, and analyze your human resource (HR) functions. Data analysis provides easy access to critical business data and provides you with the tools you need to track organizational efficiency and productivity.
3. Compliance With Industry Regulations
All industries have their own set of rules and regulations to maintain good standards with their product delivery. Also, there are tax-related and finance-related standards specific to every country.
In practice, it’s hard to stay updated with the constantly changing industry standards and regulations. However, with advanced ERP solutions, compliance isn’t a problem anymore. The ERP may manage and handle the tax-related requirements from the start with every transaction that happens via electronic invoicing, billing, and so on. Therefore, you don’t need to waste effort and time filing for taxes at the end of the year.
4. Marketing And Sales Features
Providing sales quotes is a big part of overall marketing and sales management efforts. Sales forecasting apps use sales funnel status tracking and historical data to make better projections for sales in the future.
Marketing and sales features within an ERP solution may also include the following:
- Point-of-sale (POS) capabilities to help register-based or in-person customer payments
- eCommerce capabilities to help host online shopping carts and product catalogs
- Order entry to communicate order requirements and create sales orders in the organization
An effective ERP helps streamline processes across different workflows and departments. Referred to as automation, it’ll help limit the necessary manual input and time to complete the tasks.
Initially, an ERP was made to link and automate business operations processes. It helps connect departments by automating processes when specific procedures or steps become complete. As a result, it helps knock down barriers businesses have in terms of silos. With the best ERP solution, data can be kept in a centralized location, allowing users to access it whenever necessary.
6. Remote And Mobile Accessibility
An ERP system that understands the growing need for data anywhere and anytime is only successful in this age. A cloud-based ERP system not only supports the remote working culture but it’s also less expensive, unlike on-premise deployment and maintenance costs. Users can also share and access information from remote locations or allow them to make mission-critical decisions anytime.
Since most people are more connected to mobile devices than laptops, remote and mobile accessibility are crucial features of an ERP. With such functionality, the business may ensure that the employees stay updated with the latest business-related dynamic information.
Reporting is another essential feature of an effective ERP, designed to sort and gather data, help analyze results, and create engaging visuals. This feature may appear in various forms and refer to as many things. For instance, reporting features can be data visualization, dashboards, bar graphs, pie charts, and Gantt charts in other solutions.
Reporting features happen in all kinds of business software, and reports can be made from every data type. It may include marketing success levels, contact management, lead management, and sales activity.
The primary goal of reporting features is to boost reporting by providing visual data display capabilities and intuitive reporting interfaces. Such features can make a difference in achieving your business growth goals. You’ll be able to make more informed decisions like identifying issues before they happen and enhancing how you operate your business.
Selecting an ERP solution can be challenging. Aside from the above features, there are other capabilities and features to consider. Depending on your niche or industry, choosing an ERP provider with a good reputation and industry experience is crucial. This way, you can be assured that you’ll get an ERP that will meet your needs and work best for your business.
I am Tristan who loves to ride and spend time with my jenny (horse) and my love Mark. After completing my graduation, I have been working as an accountant in a private firm in Cologne.