What is ERP?
What is ERP?
The Difference Between ERP Past and Present
ERP is the abbreviation of Enterprise Resource Planning.
This is an operational management software that integrates enterprise processes. It uses a modular approach to manage the main financial accounting, supply chain, operations, reporting, manufacturing, sales and human resources activities in the enterprise's internal value chain. In the past, companies would use some form of financial and operational systems, but most of them could only handle daily business processes and could not establish associations. The difference between modern ERP and the past is that it integrates these different processes into a management platform and shares a single database to facilitate collaboration and build a smooth system.
New generation ERP, continuous improvement of management
Since its birth, ERP has been continuously improved to match the development needs of modern enterprises. Due to its integration, the functions of ERP have also expanded to different operational levels of enterprises. However, the new generation of ERP capabilities are more than that: under the impact of current innovative technologies such as artificial intelligence, big data, and cloud computing, ERP has a new application positioning. ERP has become the core platform for enterprise intelligent operations in the era of digital transformation.
Is your ERP ready for digital transformation?
Facing the new business model changes brought about by digitalization. In terms of strategic planning, enterprises should stand at the strategic commanding heights and think about how to deeply integrate business models and digital technologies. At the execution level, process reengineering is the foundation of digital transformation, and its core is the modernization of ERP: ERP is splitting into a series of "smart +" solutions to fill the gap between factory equipment and digital operation layers, and through a certain middle platform function, it is connected to the equipment layer of the enterprise to implement data-driven.
Integrate the enterprise value chain and support enterprise intelligent transformation
Therefore, ERP has overturned the positioning of enterprise management software in the past. No matter what stage the technology evolves to, or what challenges the industry faces, ERP's core position in enterprise operations will not change. In the future, ERP will continue to accumulate wisdom and data assets, release data value, and create winners who have the first chance to win.
Why do you need ERP?
Common business troubles, you are ready to use ERP!
Regardless of the type of business, there are always different management aspects that need attention. As the scale of business operations grows,
From accounting to factory management, from trade to channel management, simple enterprise e-use has gradually reached bottlenecks!
Decision-making level:
High uncertainty | Low visibility of the problem | Unable to mine gold |
Are you increasingly powerless to explore changes in the external environment? If you cannot increase the time and frequency of analyzing market intelligence, you will not be able to improve your company's foresight ability! | Can you fully grasp the decision-making information before the problem becomes a crisis? If you cannot monitor the business process, you cannot see the overall situation and accurately hit the target! | Have your competitors' forecasting capabilities improved significantly? Are they making decisions faster than you thought possible? Without business intelligence analysis capabilities, you cannot create a knowledge environment! |
Management:
Poor process control | Business opportunities are repeatedly missed | Capacity is difficult to assess |
Are there any links in your process that are not working as expected? It is impossible to accurately calculate how many parts are needed for each process, either too many are idle or there is a shortage of materials! | Are you missing out on fleeting business opportunities? Your business is losing orders because you cannot grasp the correct inventory of finished products or raw materials in real time! | Do your factories lack production scheduling? Materials and delivery dates are not under control! Today's inventory may become tomorrow's burden! |
Operation layer:
The operation time is too long | Manual data integration | Unable to record properly |
Do you spend a long time on job processing? The numerous original documents make it easy for manual work to be missed, which wastes time and increases company costs! | Do you spend too much time re-entering data? When information cannot flow smoothly between systems, work costs cannot be connected to finance! | Do you use Excel to record customer repair records? When information between stores cannot be communicated and the headquarters cannot analyze relevant data, customer satisfaction will decline! |
What benefits does ERP bring to you?
The main purpose of ERP is to optimize business resources, integrate the business management of the enterprise, and achieve the technology and concept of business efficiency.
How to correctly introduce an appropriate ERP?
Before introducing a suitable ERP
Since most enterprises do not start from scratch in terms of informatization, they expect appropriate information systems to maximize overall benefits.
The import method can be selected like this
When enterprises are implementing ERP, "consulting" plays a crucial role in the effectiveness of system implementation. Whether choosing an information company, a business management consulting company, or a system implementation service planned by the enterprise itself, there are three types of implementation methods:
Comprehensive introduction | Progressive import | Fast import |
Completely eliminate the existing system and directly replace it with a complete ERP system, achieving the goal of enterprise process reengineering through drastic changes. | Select a unit or department and import the required modules at one time. Once the system is stable, you can then import the entire system. This can save a huge amount of money but will take time. | According to certain management and operation planning requirements, you can choose to import the module first, which can achieve rapid import, but you will face the risk cost of re-planning in the future. |
Focus on the "entire life cycle" of the enterprise to ensure the realization of ERP benefits
When you decide to introduce ERP, no matter which method you choose, you must break away from the traditional system carrier thinking. The realization of application value by enterprises can be divided into four stages, namely, demand perception stage, solution introduction stage, management improvement stage and operation optimization stage.
Full-service value-added services to support enterprise transformation
"Find the right people and do the right things" can make the introduction of ERP system achieve twice the result with half the effort. In different life cycles, through corresponding training sharing, indicator deployment, management improvement and transformation support, the application value of different stages of the enterprise can be enhanced.
What ERPs can meet your growth needs?
Meet the application needs of enterprises at all growth stages
The above content should give you a general understanding of why enterprises need ERP, the benefits of implementing ERP, and the key to successfully implementing ERP. Next, we will introduce how ERP works and ERP for enterprises at different development stages and operation scales.