What is ERP software?
Enterprise resource planning software is commonly termed as ERP software. This software combines all the enterprise functionalities and methodologies into one platform with software and hardware components to combine various important back-office functions into a single integrated system throughout a company. An ERP system made-up of a series of applications or modules that are faultlessly connected together through a common database, which enables different departments or operating units like human resources, accounting and finance, production, and distribution to collaborate, to organize activities, and to share information.
Every business, either it is small sized, medium sized or big sized, can get benefit from an ERP software. This software can deliver greater productivity as well as cost effectiveness. These software can also help to create a way of thinking for business process management, allowing them to describe best practices, formalize different activities, and make more efficient cross-departmental functions. In the non-existence of this software, a big company may find itself with lots of software applications that do not effectively interface and talk to each other. Several tasks that need to interface with each other may include human resources management, manufacturing, marketing, distribution, logistics, inventory, invoicing, shipping, accounting and so on. Without the right this software that integrates all of these functions, it can be a pretty complicated system for an organization to handle.
Types of ERP Software Modules:
After understanding the meaning of ERP software, let’s come on types of this software modules. Usually, this software comes as a set of modules that gives the option to administrators to run some or all of the modules. Administrators can also add some modules afterward as business requires change, or when employees demand particular functionalities. The types of ERP software modules commonly found are:
1. Manufacturing: Manufacturing is also one of the this software modules that provide a quick picture of current stock, future requirements, and past orders so that management can be able to track trends and to make sure that supply meets demand.
2. Human resources: It also allows employees and HR representatives to review, and revise documents, vacation calendars, paperwork, and other information through the Enterprise Resource Planning interface. This makes the workflow more efficient by giving access to everybody in the company to the human resources that directly affect their work life.
3. Sales: It allows workers to see historical and current sales data, to manage out-of-stock inventory, to view outstanding orders, and to analyze sales by client, product, time of year, and other factors.
4. Accounting and finance: Accounting and finance module of ERP software allow managers and financial experts to work with business accounts, financial reports, cash book accounts payable, accounts receivable, and other ledgers. These modules provide business analytics and reporting functions to enhance the ability of a company to run reports and assemble compliance requirements.
5. Marketing: It provides analytics approach into web operations, general idea of existing operations and return on investment (ROI), combines marketing materials into one place so that marketing staff can see documentation and product specifications when generating new operations.
6. Customer service: ERP software allows customer service representatives to log calls and other service oriented contacts, to view transactions of all customers, and to search sales data for a record of purchases of consumer. This helps customer service employees to provide the highest level of customer service to every client, and to track client satisfaction regarding missing, damaged, or faulty items.
All of these were the modules that are commonly found in ERP software.
