2007 has taken off on a great note with ERP treasure chest offering all basic functionalities for your business in one package. Development is vegetative in IT world and growth can be seen in various segments, these changes are inevitable, whacking business growth.
ERP, Enterprise Resource Planning covers basic functionality of your business regardless of organizational business. All business vertical are utilizing ERP solutions for best business practices. ERP software package provides solutions that cover all functionalities of a business. Peeping behind ERP development we find traditional software development system that does not have proper communication network, database system are not unified so no dynamic changes in real world can be seen. ERP software package business solutions provided a unified database where all the changes made are reflected in real world. Change in one module is reflected in subsequent modules interlinked without communication gap, updation is very fast. Let us take an example, HR department, Payroll department, financial department all are interlinked as information from one is needed to serve and drive the other department, earlier departments needed to wait for information from other departments to proceed as updation where not dynamic and the departments needed to request for data.
With ERP development, ERP software solutions provide unified database and data synchronization across various modules, reflecting changes in real world.
ERP implementation provides customization of software to suit your business needs or an enterprise can modify business processes to Best Practices (modifying functionalities of in compliance to your business). ERP implementation involves cost, change in employees work nature depending on business size and change scope. ERP implementation may involve third party companies and vendors, they are responsible for consulting, customization and support.
ERP Consulting is the first step of ERP implementation. Basically this includes planning, training for using the ERP product, how ERP can be incorporated in your business, how it will improve your existing system, extracting complex data, optimizing system, implementing Business Intelligence, testing the implementation. System architect designs overall workflow of the system, dataflow and processes triggers. Then the business consultant goes through the existing business processes and compares to ERP system processes, configuring ERP system to your business needs. Technical consulting may make some modification in the software to fulfill your business needs.
ERP Customization is the second step of ERP Implementation, involves writing new user interfaces and code. Customization is more complicated so companies accept Best Practices.
ERP implementation and customization has provided rich interface for effective communication, more secure working environment as computer security is added benefit. Companies may face problem in future if they do not analyze properly the existing business system and there may be improper matching of existing business processes to that of processes in the ERP system.
Proper investment, proper planning, training, implementation, testing and protecting industry policies make ERP Implementation a success.
Inspite of the myriad services and benefits the software solution offers it has its own limitations: limited customization, re-engineering (best practices) very often leads to loss of competitive advantage, ERP implementation is very costly, ERP vendors charge very huge for license renewal. Also, ERP are too rigid to adapt to specific workflow and business processes of few enterprises leading to failure. Network maintenance is an integral part of the system and a link failure will bring the complete system to stand still. Resistance to sensitive information reduces the effectiveness of the complete system.
ERP development in India has seen an exponential growth as India is hub for international offshore IT outsourcing. India is a developing nation and small and middle sized companies have started heeding to improving their business solutions.
About the Author:
Rakhi, is a SEO content writer at Icreon Communications Pvt. Ltd., e-tomato, provider of customized & enterprise solutions. e-Tomato helps clients to implement enterprise solutions by integrating and customizing SAP Business One software package.
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