June 9, 2021 nadia

Advantages and disadvantages of an ERP

New in 2021: the end of ERP?

2021, ah, what a sweet year for our companies! Here is an announcement that will reassure you. More than ever this year, you must boost the productivity of your teams and simplify your sales process. Indeed, between teleworking and video meetings, it becomes essential to arm yourself with analysis monitoring tools that will revitalize your troops. Today we tell you all about ERP, Excalibur’s real sword of business management.

What is an ERP? What are the differences with a CRM?

ERP and CRM are compatible. Indeed, the merger of these two solutions within your company is a cocktail that will optimize the management, productivity and efficiency of your company.

A CRM (Customer Relationship Management) is software that supports you in managing the sales process: from the prospecting phase to the finalization phase of the sale. Its objective is to optimize the customer relationship follow-up time, to facilitate the visualization of the progress of the current project and thus to increase the sales of your company. The solution will automate certain business tasks to promote sales productivity.

An ERP (Enterprise Resource Planning) tool is analysis software. It allows the company to reduce its production costs using KPIs (key performance indicators). It also promotes the exchange of data between different departments. Indeed, this tool aims to optimize the internal processes of a company in order to support it in the management of its administrative tasks (invoicing, HR, purchasing, etc.).

What are the advantages of an ERP?

  • Centralization of all data to optimize the search for information.
  • Real-time data sharing facilitating the flow of information and internal exchanges.
  • Support for decision-making based on statistics which allows you to be reactive in case of emergency.
  • Accessible on several devices connected to the internet, thus adapting to teleworking conditions.
  • Optimization of certain costs, for example for SaaS ERPs, maintenance is carried out by the publisher.
  • Access to information is standardized and consistent, it is verified by all members.
  • Project teams are trained in a single tool
  • A tool allowing standardize internal processes to have a certain consistency at the levels of achievements.
  • It is the scalable solution that adapts to technological innovations and market developments.

What are the real drawbacks of ERP?

  • Implementing ERP software within the company takes time. The analysis of current needs is taken into account to customize the interface and the training of the project team until the software is fully implemented.
  • The cost of the product license, 5,000 to 12,000 € per user (hardware + license + integration + training + maintenance),
  • The wrong choice of software can cost your business dearly. Make sure it meets the expectations and needs of your teams.
  • Setting up an ERP in a business is not a simple step. rigor is essential both in the configuration and in the data updates.

You understand correctly, the implementation of an ERP will be your best weapon in terms of productivity and return on investment.

So? are you ready to integrate an ERP into your teams? What if you developed it to measure?