Benefits of ERP Systems to Your Businesses

Modern businesses have invested in ERP (Enterprise Resource Planning) services to optimise their processes for efficiency and foster growth. The game-changing technology has helped companies protect and save their data in a centralised place.

Top IT companies like Pechant Telec Ltd have designed user-friendly ERP software with seamless integration and scalability that is ideal for your business operations. Learn more about the go-to system and why you should invest in it.

What is ERP?

The term ERP stands for Enterprise Resource Planning. It is a software system that helps you run your company efficiently by merging all the business functions and processes. Today, organisations use the technology to run their operations.

For instance, most companies have departments, including finance, HR, manufacturing, supply chain, services, and procurement. Centralising their operations makes it easy for managers to coordinate everything seamlessly.

What are the advantages and disad

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vantages of ERP?

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An ERP system has many benefits, making it ideal for your business. Find out why you should invest in ERP for your business and some of the cons that come with it.

Benefits of ERP systems

  • An ERP enhances efficient business reporting using the right tools with real-time information. It helps customise reporting across all departments and access the latest performance from each section.
  • Companies can step up their customer services by putting all the customer information in one place for easy access. The process facilitates faster solutions and a more personalised experience when customers need assistance.
  • Another beauty of ERP is having centralised data from different departments stored in one place. It enhances efficiency in processes.
  • The system also enhances better invoicing and collections tools to bring cash in faster to the business.
  • An ERP increases productivity by automating many processes, thus reducing the time needed to look for something. As a result, employees can use their time and energy on other, more valuable tasks.
  • It enables faster and better decision processes since managers can access all relevant information from the departments that can assist them.
  • Modern ERP systems are flexible and mobile-friendly. You can access information anywhere using mobile phones, tablets, or laptops. It is ideal for companies where employees often travel for fieldwork.
  • Manual data entry or processes require long paper trails and much space. Fortunately, with ERP, you will save on space and the bulkiness of carrying documents.
  • An ERP promotes team unity and collaboration since departments no longer have to work separately.
  • ERP systems make it easy to provide accurate forecasts because they contain more comprehensive information from the departments.


Disadvantages of ERP systems

  • The cost of purchasing and installing an EPR system could be higher, depending on your provider.
  • It requires staff training on the technical aspects of the system and how to use it. The process may cost the company more money and time.
  • Another challenge with the ERP system is developing a solid data conversion strategy. Some tools may fail to give you the correct result for your investment.

Types of ERP systems

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Photo Courtesy/ Getty Images

ERP systems have three main types with different experiences. Each company has its preference depending on its efficiency and cost.

On-Premises ERPs

An On-premise ERP software is solely owned by the organization buying it and installed on their computers and servers. The company also enjoys complete control over the system. Therefore, you need to hire IT specialists to maintain and update your software regularly. The most common ERP tools under this category include SAP ERP, SYSPRO ERP, and Microsoft Dynamics GP.

Cloud ERP System

A cloud-based ERP system is modern and web-based, accessible from anywhere at any time, including your mobile device using the internet. It runs on a provider’s cloud computing platform, delivered as a service Saas (software-as-a-service).

In this system, businesses do not own the software but instead lease it on an annual or monthly subscription basis from the providers.

Hybrid ERP

The hybrid ERP option combines the on-premises software with a private or public cloud for storage, services, or computing. It is relatively cheaper and provides the reliability of on-premise systems. Hybrid ERP also offers flexibility, hence popular among long-term users.

ERP examples in different industries

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ERP systems are commonly used in manufacturing, construction, distribution, retail, and healthcare industries. These sectors require accurate, real-time information and effective business processes to compete and thrive.

  • Wholesalers integrate inventory management, purchasing, and logistics functionality to ensure on-time delivery and efficiency.
  • Manufacturers also rely on the ERP system to produce quality products, manage their assets, control overtime costs, and handle customer returns. The system also helped them monitor stock movement, identify the best-performing products, and manage procurement.
  • Service companies like health, accounting, tax, IT, legal firms, and engineering require real-time mobile ERP technology to manage their services effectively on schedule.
  • Retailers also use modern ERP services to integrate their data for identifying, configuring, purchasing, and shipping products.

Which company offers the best ERP services?

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One of the market leaders in providing ERP services is Pechant Telec Ltd. The Kenyan company is known for consistently delivering innovative and efficient software to businesses of all sizes in Kenya. Pechant Telec Ltd also provides excellent customer support and training to ensure that your team maximises the potential of the ERP system.

Steps for successful ERP implementation

Every ERP software needs a proper implementation for it to work well. Here are some tips to help you successfully implement the best software for your business.

  • Have a clear vision and maintain focus on the ERP solution.
  • Involve everyone from the management team to employees.
  • Assign a team to work together in implementing the project.
  • Ensure you understand and document your procedures to help you select and design the best system for your business.
  • Be flexible when applying the ERP software in your organisation.
  • Address the needs of all staff, including those who will use the system.

In conclusion, an ERP system represents a significant change to a business if correctly implemented. It is essential to check everything to ensure your selected system meets all business needs. Pechant Telec Ltd provides free consultation on the best ERP solutions for Kenyan businesses, which makes it stand out from the competition.

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