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ERP contribute a lot of values in any business. But it totally depaend upon how well your ERP is implimented.
ERP helps an organization in many ways :
First and foremost : It helps in organizing data by reducing redundancy, Same data is available across to everyone and they can use it according to their own requirements .
Flaws in the process gets rectified with ERP implementation.
Everybody in the process get to know their roles and responsibilities.
Data remains safe and secured
It helps to integrate various aspects of the business to one single platform. Data input for one department is data output for other and without any discrepancies .
Data is available online and gets updated as soon as it is entered in the system and saved.
It leads to paperless office environment. It provides easy approval process online. Alerts and delays get notified immediately.
Dependencies on individual gets reduced substantially.
Reports and analysis becomes simplier and meaningful.
Data for decision making is available on a single click.
Many more advantages that cannot be quantified in terms of ROI.
An ERP implementation project is essentially a business process improvement project which (if well selected, effectively implemented, and aligned to the approved business strategies) ultimately translates into improving business performance.
You can view the whole company's status / position / Growth in one single login.
ERP helps to run all function of a business smoothly in good practice, minimize cost & save valuable time. It also assists to take decision promptly through various data analysis for business development.
Advantages of ERP
Integration :
Integration can be highest benefit of them all - practically, the only really good project aim for implementing ERP is reducing data redundancy and redundant data entry. If this is set as a goal, to automate inventory posting to G/L etc. then it might be a successful project. Those companies where integration is not so important or even dangerous tend to have a hard time with ERP: ERP does not improve the individual efficiency of users, so if they expect it, it will be a big disappointment - ERP only improves the cooperation of users.
Efficiency :
Generally, ERP software focuses on integration and tends to not care about the daily needs of people. I think individual efficiency can suffer by implementing an ERP - so the big question is that whether the benefit of integration and cooperation can make up for the loss in personal efficiency or not.
Cost reduction :
It reduces cost only if the company took accounting and reporting seriously even before the ERP and had put a lot of manual effort in it. If they didn't care about it, if they just did some simple accounting to fill mandatory statements and if internal reporting did not exists of has not been financially-oriented, then no cost is reduced. If you can get a good estimate on next years sales by asking "Hey Joe, how it's going?" then don't ever think on implementing an ERP.
Fewer personnel :
Same as above. Less reporting or accounting personnel, but more sales assistants etc.
Accuracy :
People are accurate, not software. What ERP does is makes the lives of inaccurate people or organization a complete hell and maybe forces them to be accurate (which means hiring more people or distributing work better), or it falls.
Profit or bankrupt
