The Core Objectives Of The ERP Software
Peter Filinovich • onErp 8 years ago • 3 min read

Organizations implement Enterprise Resource Planning system to achieve the core objectives of the ERP. ERP requires a lot of investment and a successful implementation provides with lot of benefits too. The business owners implement ERP to realize the core objectives of the ERP such as streamlining the information between the various functional departments of the organization. The other objectives are getting an improved ROI or return on investment and the ERP acting as a decision support system. Organizations need to plan all the steps involved in the implementation process well in order to realize the benefits and prevent the chance of a failure.

The core objectives of the ERP are as follows:

1. Streamlining the information: ERP consists of modules that help in streamlining the flow of information between the various functional departments. The data of all the departments is in one database so as to ease information exchange. As one of the core objectives of the ERP, it integrates the data and provides for the employees to work as a team to achieve the same goal. The automation of the business process manages the resources in a better fashion.

2. Return on investment or ROI: Another one of the core objectives of the ERP is to make the business more profitable. Organizations go in for the latest technology to keep up with the competition and realize better profits. An improved return on investment is achieved with the implementation of Enterprise Resource Planning system if done in the proper manner. ERP is the ideal platform for the employees to utilize their resources and time in the most optimum way and contribute positively to the profits of the organization.

3. Decision Support System: ERP provides the management with real time data easily at any time. It is easy to access up to date data and take timely decisions. One of the core objectives of the ERP is to provide the right data at the right time so as to enable the management to take quick and correct decisions. This allows for better decision making and therefore ERP acts like a decision support system.

The core objectives of the ERP include to implement the best practices of business and to integrate the data. It aims at reducing the redundancy and the labor intensive manual processes used. This way the organization saves both time and money. It streamline the tasks and thereby increases the productivity. By eliminating the multiple systems, the organization can store and share data in a standardized way.

ERP reduces the costs and the core objectives of the ERP can be only achieved if it is implemented in the right way. Communication and coordination is required for preventing delays and failures. A proper study and planning is essential to realize the core objectives. A better ROI, smooth flow of data and support for decision making can be done when the top management is actively involved in the project. Every detail right from choosing the ERP package to post implementation maintenance has to be carefully studied and planned.

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