The Need For ERP System for Retail & Commercial Industry




First we need to understand the basics of ERP System for Retail & Commercial — This Enterprise Resource Planning System is a comprehensive management system that connects systems of each department specializing in that division's assignments to all the other systems of your organization so that data sharing and communication is much easier amongst different departments.


ERP systems link accounts payable, stock-control systems, order-monitoring systems and customer databases with production information, distribution, marketing, planning, inventory control and human resources, summarizing everything into a single structure helping a corporation become independent and automated in their functioning by standardizing some basic formats that can be used in every decision in the company.

Use of ERP Systems in Retail and Commercial businesses


ERP is used in Supply Chain Management to contact numerous suppliers as needed; hence they focus on consolidation of the supply chain.

A proper ERP system implementation needs an investment of capital with proper planning, the right human resources and a thorough study of the business as well as its strengths and weaknesses.

How ERP is different from Accounting software, and CRM?

·         Accounting software has data such as invoices, general ledger, accounts payable and receivables, journal entries, fixed assets and liabilities, which further generate P/L statements, company balance sheets, cash flow statements and income statements which give us an idea of the organization’s current financial health, without reflecting any details about the future.

On the other hand, ERP system is an integrated resource management system that checks and follows all tangible & intangible assets like working hours, the life cycle of products, performance parameters, relations with clients, human resources and inventory along with all the mentioned accounting software functionalities.

·         CRM is a system for accumulating, recording and storing all data related to customer interactions and services. It aims to have an easy and all-inclusive source of client related data directed to increase revenue, retain the existing and trusted customers and their faith. Departments can collect data from each other through a common source easily. In contrast, ERP system does not only improve communication but also gives your company a clear picture of your market position and shows where all problems exist currently and how to go about them accurately.

The process of ERP Selection and Implementation

·        Do all the planning in advance and pay attention to small details in the company data. Do your research for which system is best suited for your firm.

·        Be open to changes as they will bear fruit in time.  Use ERP system that is flexible and sustainable to future changes and plan ahead for the future.

·        Implementing ERP system will result in changes to company’s work procedures. So, make sure that your company’ staff follows them with regular checks.

·        Proper training is required for complete implementation.

·        Implementation period varies with how large a firm’s business is, customization, the number of modules, the scope of process changes and the level to which clients are ready to take actions to cause a change. Modular structures are carried out in stages.

Customization

Customization of ERP Systems as per the company's requirements might result in increasing implementation time. But it improves clients’ reception, provides superior features that are made specifically for the requirements of those clients.

In the next articles, features and advantages of related and complementary solutions will be introduced including but are not limited to Enterprise Asset Management (EAM) Solution, Enterprise Service Management (ESM) Solution, Enterprise Project Management Solution, Enterprise Operational Intelligence (EOI) Solution, Process Manufacturing Solution, Customer Relationship Management (CRM) Solution, Supply Chain Management (SCM) Solution, High Tech Manufacturing Solution, Business Intelligence (BI) Solution and more.

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