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Business Done Better: The Fundamentals and Advantages of ERP Software

Modern businesses consist of countless moving, constantly interacting parts. From accounting to procurement, project management to compliance, tracking and managing these disparate elements can seem nigh-impossible. Fortunately, there is a solution: business computers using enterprise resource planning software.

Enterprise resource planning (ERP) is a type of software designed specifically for businesses that manage every aspect of their operations. With an ERP, a company can have one shared platform for all of its functions.

The Basics of ERPs

In the past, a business's various departments were managed separately, whether on paper or its own digital platform. Any communication or collaboration had to take place on an individual, unstructured level. This inevitably led to miscommunications and data silos, as one team failed to share information with another. With an ERP, however, a business can have a single shared platform for its entire workforce.

At their most basic, ERP systems consist of a single shared data structure and database. This ensures that all information a business uses is normalized, with the same terms, definitions, and user experiences across the board.

For example, if a company manufactures pipes used in plumbing, an ERP ensures that a particular pipe made from a specific material and in a certain shape will always have the same name, serial number, cost, specifications, etc. This helps ensure there is never miscommunication between teams when it comes to inventory management or customer orders.

An ERP's shared nature also makes it easier to track critical data like the cost of manufacturing, sales numbers, and customer feedback, giving a business better insight into its workflow. The ERP also serves as a platform for sharing this data, ensuring that insights don't stay confined to just one team.

ERPs work best on dedicated enterprise computers, as these computers boast both the processing power to support such software and the security features needed to help protect such sensitive data.

The Evolution of ERPs

Like any other piece of technology, ERPs have changed and evolved since their initial inception in the 1960s. Two of the most significant changes in recent years have been the development of cloud-based ERPs and ERPs compatible with tablets and mobile devices.

  • Cloud-based ERPs: In the past, an ERP was something developed and implemented in-house. While this meant that the ERP could be customized to the business's specific needs, it also meant that the internal IT team had to handle maintenance, updates, and security, adding to their already considerable workload. Cloud-based ERPs, however, are hosted on remote servers, reducing the IT team's responsibilities and making it easier to scale the ERP. As most operate on a subscription-based model, all you need to expand your operations is to go up a tier.
  • Tablet and mobile device compatibility: Historically, ERPs have been designed and programmed with desktop PCs in mind. However, the rise of tablets and mobile devices has greatly expanded computing's flexibility, and ERPs have had to expand their functionality to keep up. An ERP compatible with business tablets is perfect for inventory management, as employees can use a built-in barcode scanner to automatically update what's in the company's inventory. Sales teams can then use this data to determine what's selling well versus what's not.

Key Benefits of ERPs

By implementing an effective ERP solution, businesses can reap multiple benefits, including:

  • Higher productivity: By providing better internal reporting, better customer service, and a more consistent infrastructure, an ERP helps businesses achieve a faster, more efficient workflow.
  • Simplified IT: By consolidating myriad sales systems, inventory management systems, and accounting systems into one platform, IT teams have fewer programs they need to perform maintenance and updates for.
  • More accessible communication: Having the entire company on the same system and using the same terminology makes it easier for employees and teams to collaborate and share information.
  • Scalability: ERPs can easily scale up or down depending on the needs of the business, handling more transactions, users, and data as the company expands.
  • Better security: Modern cloud-based ERPs integrate dedicated security resources and preclude teams from installing potential malware.
  • Easier inventory management: Continually updating an ERP ensures that a company has full insight into what it has in its inventory, which helps prevent over- or under-stocking products.
  • Cost savings: With better inventory management, less spent on IT, and faster turnaround on projects, a business can save money in the long term by investing in an ERP.

Support ERPs with Cybernet Business Computers

An effective ERP can improve a business's operations at every level, from the accountant's desk to the warehouse. Of course, implementing a software solution like an ERP also requires an effective hardware platform to support it.

If you're looking for enterprise computers compatible with a wide range of ERPs, contact the team at Cybernet Manufacturing. We'd happily explain how our computers and Windows tablets can support your business.

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About Kyle Johnson

Having earned his Master's in English from Sonoma State University, Kyle works as one of Cybernet’s Content Writers, which has given him the opportunity to learn far more about the healthcare and industrial sectors than he ever expected to. When he isn’t exploring and writing about these topics, he’s usually enjoying life in Orange County or diving into a new book or tabletop game.