To know what the best ERP System, you should know How To do Comparison for ERP Systems ?
Enterprise resource planning (ERP) software was originally developed for large organizations to manage their entire operation from a single software console. During their early days, they required loads of on-site servers and lots of individualized software customization. Today’s ERP implementations, however, are mostly delivered as cloud services, which makes them not only accessible but even attractive to small to midsize businesses. Largely for this audience, small reviewed enterprise-level general ledger accounting software solutions from vendors that are also able to extend their product suites to full ERP functionality.
For compare and evaluate the best ERP software—that’s the best enterprise resource management tools and some other ERP technology that I think you’ll find helpful.
The appeal of enterprise resource planning systems (ERP systems or ERP software) is easy to fathom. After all, who wouldn’t embrace the idea of business processes being compiled and maintained in a neat, easy-to-scale package? That’s probably why more of companies are planning to implement (or update their existing) ERP system according to a 2020 report.
The enterprise resource software market is growing exponentially as more companies get on board. In fact, it’s estimated that the ERP software market will be worth a whopping $71.63 billion by 2026; this is at a CAGR of 8.66% over the forecast period according to MarketWatch.
Enterprise Resource Planning System Comparison Criteria
What are we looking for when we select enterprise resource planning software for review? Here’s a summary of my evaluation criteria:
User Interface (UI): Is it clean and attractive?
Usability: Is it easy to learn and master? Does the company offer good tech support, user support, tutorials, and training?
Features & Functionality:
Accounting Functionality: How well does it integrate or include accounting software and tools?
Inventory & Warehouse Uses: How well does it integrate or include inventory processing tools?
Marketing Tools: How well does it integrate or include marketing features and functions?
Reporting and Analytics : Does it offer customizable, robust reporting, and analytics options to track business performance? Are reports easy to export, design, and share?
Integrations: Is it easy to connect with other tools? Any pre-built integrations?
Value for Amount: How appropriate is the price for the features, capabilities, and use case? Is pricing clear, transparent, and flexible?
On-Premise vs Cloud ERP: These are the two common deployment options. Is the ERP software cloud-based or delivered ? Would you need to work with the software vendors to undergo an ERP implementation and install it on site?
Real time updates: Does the system allow for real time updates on items like inventory, new purchase orders, or invoice payments? Keeping your software as up-to-the-minute as your business is will allow you to gain efficiency and reduce miscommunication.
When reviewing ERP software for the criteria above, it is critical to consider the specific needs of your business.
Lose and Gain
In initial review of the software suites, looked at the financial side, concentrating on the general ledger and examining overall usability, navigation, and workflow. In this cycle, went back to each vendor’s offering and examined it for overall ERP functionality and the availability of modules that enhance the financial management aspects of the system (and extend it into other areas of enterprise operations).
ERP has been around as a software category since the late 1990s. In that time, it’s evolved in a number of important ways, most notably that many have become cloud-enabled. The benefit to customers here boils down primarily to cost and scalability.
Because ERP systems are modular, traditional ERP systems often required multiple servers to fully function. There may be one server for the financial module, one for the back-end database, one for the inventory management system, and so on. Now tack on redundant servers for reliability and increased performance and you’re soon looking at a hardware and infrastructure price tag that can exceed the cost of the software. To market this technology effectively to SME customers, vendors are using the cloud to power their solutions and the Software-as-a-Service (SaaS) model to deploy it.
ERP software is best characterized as a category of categories: each instance of the software can be made up of varying features and modules that best suit the needs of the purchasing company.
Because of its complexity, onboarding for an ERP system can take anywhere from a couple of weeks to several years depending on the size and needs of the purchasing company.
As you research your next solution, pay careful attention to the feature selection, any integrations you can make to existing software not covered by those features, and the price of any custom or add-on features. You should also ask any ERP vendor up-front whether they have dedicated onboarding teams to assist you in those first several months and whether they charge an onboarding fee for any and all initial services.
Carefully consider any ERP software purchase. These systems can be expensive and will potentially manage the majority of your company’s data. You want to make sure you’ve chosen the right software before you start porting over all your databases. To ease your transition, ask your ERP partner if they provide onboarding support for data upload and integrations with other systems. You’ll also want to check that your ERP lets you own your data with easy exporting.
Enterprise companies often gain familiarity with ERP systems early, but rapid growth leaves them little time to shop for upgrades. Enterprises that are new to enterprise resource planning should pay special attention that the software covers as many aspects of the business as possible.
In your research process, calculate the cost and time for onboarding for each location, branch, or building, and consider whether some branches may need a less robust regional ERP in addition to the umbrella company’s software.
Finally, factor in that the introduction of a company-wide system like an ERP will need training across departments. Ask vendors what they provide in the way of online and in-person training sessions, or whether they can suggest training consultants they trust
Manufacturing companies will need to keep track of the manufacturing process and their supply chain. Distributors will need to track purchase orders as well as ensure proper order management, order processing, and warehouse management. Large enterprises might need everything from sales to marketing to manufacturing to distribution. Either way, businesses of all size need some type of ERP software system that fits their business needs.
Standardization of human resources information
Many ERP solutions provide Core HR products like payroll, scheduling, time clock, and benefits management. These modules connect the front of house, warehouse, and C-suite. With core HR features, an ERP system can use the time clock software to calculate payroll and benefits, and managers can access employee information when building schedules. Because employees are a company’s most expensive and valuable resource, it’s vital to connect the software that manages them with the rest of the enterprise’s data.
Inventory reduction
Inventory reduction
Whether it’s the number of widgets your company makes or the humans that install them, keeping more resources on hand than you need costs money. ERP solutions provide inventory tracking and analysis that allows companies to run leaner. Using technology like RFID tags, geofencing, and biometric data, ERP systems can track assets through their entire lifecycle from supply to sale. And many ERP systems will suggest inventory improvements over time. With reduced inventories, companies can repurpose storage space and cut down on their payroll costs.
Standardization of manufacturing processes
For large manufacturing corporations with several facilities, sharing manufacturing plans and best practices can be vital for product and process standardization. ERP systems allow manufacturing teams to store manuals, blueprints, regulatory information, and vital statistics for each process in a single, searchable location. This allows different parts of the company to replicate processes across county and country lines without sacrificing quality or speed.
Major features and modules of enterprise resource planning software
- Increased communication
- Reduced software overhead
- Benefits of ERP solutions
- Inventory and Procurement
- Order processing
- Supply chain management
- ECommerce
- Finance and accounting
- Human resources
The Best ERP Tools List
Here’s a shortlist of the top ERP systems:
NetSuite – Best customizable ERP software
Odoo – Best open source ERP software
ERPNext – Best free ERP software
Compiere – Best ERP for wholesale and distribution
Dolibarr – Best ERP for third-party integrations
webERP – Best retail management system
Delmiaworks – Best ERP for manufacturing companies
Microsoft Dynamics 365 – Best for Microsoft platform users
Oracle ERP Cloud – Best software system for ERP analytics
SAP ERP – Best ERP for scalability