ERP is an acronym for Enterprise Resource Planning. Enterprise Resource Planning (ERP) software applications help businesses to manage and connect information from all core areas of the organization with the aim of improving effective decision making. ERP software solutions promote visibility throughout the entire organization, allowing decision makers to improve business operations such as; inventory management, accounting, order management, human resources, supply chain, product lifecycle, customer relationship management (CRM) among others. ERP software should serve as the focal point for managing all important aspects of a business.
On premises or Legacy ERP systems are implemented with on-premise database systems (servers) used for storing and backing up information from the ERP application. Because ERP applications tend to connect different systems, the type of deployment chosen—on-premise, cloud hosted, cloud based (SaaS)— plays a big role in ERP implementation process.
For Cloud based (web) ERP or Software-as-a-Service (SaaS) ERP implementations ERP software applications are hosted using the ERP vendor’s external database or servers. The unique advantage with this type of system is the ability to have an ERP system up and running in no time, automatic upgrades, as well as reduction in hardware and support costs.
With this type of system, businesses have the ability to either move all ERP data storage to the cloud or operate in a hybrid or two-tiered ERP system, where data is stored both on-premises and/or in the cloud. Benefits include; mobility, data recovery services, and reduced costs.
ERP systems automate manual business tasks and processes to create a streamlined, cost-efficient organization that promotes productivity.
With the integration of otherwise disparate systems and processes, ERP systems improve communication between all aspects of a business from customer service, to accounting, to human resources.
ERP software solutions present a way for business managers to use interconnected dashboards to quickly analyze, report, and improve business performance across the entire organization.
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