ERP connects the various departments, suppliers and customers under one central system. The features of ERP can be utilized to realize the maximum benefits of the system.
The Enterprise Resource Planning system includes integrated functionality of modules like Manufacturing, Supplier and Purchase, Plant Maintenance, Human Resource Management, Sales and Distribution, Finance Resource Management, etc. Due to this feature of ERP, it can easily adapt to the operational execution style and make it more efficient. It connects the various departments, suppliers and customers under one central system.
The features of ERP can be utilized to realize the benefits of the system. ERP system aids in streamlining the work flow and provides a better customer service. It provides real time data which enhance the decision making. This system boosts the productivity of an organization and for realizing these benefits one should study the features of ERP well before implementing it.
Some of the features of ERP are as follows:
1. Manufacturing: This feature of ERP enhances the whole process of designing and building a product. It enables the business to create the best product in a cost effective way and efficiently by streamlining the product design, engineering and automating the scheduling of the production. This speeds up the manufacturing process to give the best possible product.
- Financial Management: Another feature of ERP is to streamline the accounting processes like accounts payable, accounts receivable, cash flow, budget, etc. The accessibility and accuracy of the key financial information is improved. Applications such as accounts payable, accounts receivable, general ledger, budget management, etc are included in the ERP software packages.
3. Supply Chain Management: One of the features of ERP is to support inventory management, purchasing, order management, logistics, procurement and supply chain management. This makes the business more efficient and effective. The supply chain management operations such as sourcing, storage of raw materials, scheduling and distribution of products can be managed more effectively.
4. Human Resources: This module provides a complete solution taking care of the recruiting, training, payroll, personal development, personnel management, etc.
5. Customer Relationship Management: One of the features of ERP is managing the Customer relationship. Addressing the requirements of the customers is important and this feature ensures a proper flow of information between the sales team and the marketing team so as to be able to address the customer needs and understand the buying pattern. 6. Plant Maintenance: With this module, the ERP system enables tracking of the spare parts and replacements and gives reports on the machine capabilities.
The other features of ERP are Excise Management, Total Quality Management, Supplier and Purchase Order Management, etc. These features make Enterprise Resource Planning implementation a wise choice according to the requirements of the organization. It has some disadvantages too but the features of ERP can be used to realize the many advantages if it is implemented in a proper manner.
The organization should study its requirements well and accordingly choose the ERP software. This way the features of ERP will be utilized in an optimum manner thereby streamlining the business operations of the organization and ensuring a smooth flow of data between the various departments of the organization.
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