What is ERP System?
What is ERP system and How does it Work?
ERP stands for Enterprise Resource Management. Enterprise Resource Planning is a process of collecting and organizing business data with the help of a software. An ERP System contains a variety of applications which automate your business functions. In simple words, ERP Solutions will ease the operations of the company while improving the handling of resources, staffing, material gathering and much more.
If you are looking for the best ERP system, Smart Access Technology can help you out. To better understand the concept of ERP, let’s dive into the history of ERP.
The History of ERP Practices
Businesses have always tried to manage business resources in one way or another. A few years back, they didn’t have a name for it but the concept was still the same. The idea is to manage the practice without spending all the recourses in terms of money or people. One of the very first attempts to do that was the EOQ Model which was a paper-based schedule system. This was soon replaced by MRP Tool in the late sixties. This tool came up with a variety of variations. In the nineties, a major shift was seen in the ERP world with the rise of infusing computer software in resource planning tools. After the infusion and a couple of years passing by, the latest form is cloud ERP.
Types of ERP
When you are on the hunt for best ERP System by an amazing ERP software company, you will find many options depending on your industry, let’s look at a few of them.
Apparel ERP – As evident by the name, apparel ERP handles all the operations that come with the pressure of keeping up with the ever-changing fashion trends.
Automotive ERP – ERP tools are essential for the management of inventory, controlling quality and scheduling appointments.
Cannabis ERP – This ERP system manages everything from planning to distribution of legal manufacturing of ERP.
Construction ERP – Managers of construction industry need a one-stop solution for the management of labour, raw materials, subcontractors, projects and the list goes on.
Education ERP – These systems are used by higher education institutes such as colleges and universities to manage everything from billing to grading.
Manufacturing ERP – It is also known as MRP. It offers support for planning, workload management, and general inventory management.
All in all, any industry can benefit from the best ERP solutions. You just need to pick one that fits your business and fun fact, you can get it custom designed as well.
Importance of Choosing an Industry Specific Solution
There is always an option of choosing a general ERP system but it will not work as well as an industry – specific ERP. An ERP accounting and HR software will not work optimality for other industries. For instance, manufacturers will need a system for sourcing materials as opposed to grading assignments. Similarly, ERP accounting software will work well for any accounting firm rather than the manufacturing industry. At Smart Access Technology, we create a custom ERP software to fit your own needs.
Different Types of ERP Implementations
There are also different operational types of ERP software:
On-Premise ERP – This particular kind is deployed on the in-site devices. It is best suited for startups and small to medium-sized companies.
Open Source ERP – Like any other open-source code, you can make changes to your ERP Solutions and customize it according to your changing needs.
Cloud-based ERP – A cloud-based ERP System will offer a cloud hosting service rather than on-premise deployment. It is best suited for large enterprises which have large volumes of data, and have a workforce in different locations around the world.
This was the first instalment for an introduction to ERP. There is a lot more to it but if you are just looking into the subject, this was the perfect bit of information without overwhelming you. We hope you found this article helpful and we cleared a few of your concepts. If you have any specific questions about ERP, leave them down in the comments and we will get back to you.