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Top 5 Reason Why Companies Undertake ERP (Enterprise Resource Planning).  


Joined: 2 years  ago
Posts: 65
November 14, 2017 7:21 am  

There are Various Reason Companies undertake ERP (Enterprise Resource Planning).

Here is the top 5 reason why Companies Undertake ERP (Enterprise Resource Planning.

  1. Integrate financial information : As the CEO tries to understand the

company’s overall performance, he may find many different versions of the

truth. ERP creates a single version of the truth that cannot be questioned

because everyone is using the same system.


  1. Integrate customer order information : ERP systems can become the

place where the customer order lives from the time a customer service

representative receives it until the loading dock ships the merchandise and

finance sends an invoice. By having this information in one software

system companies can keep track of orders more easily, and coordinate

manufacturing, inventory and shipping among many different locations



  1. Standardise and speed up manufacturing processes : Manufacturing

companies -especially those with an appetite for mergers and

acquisitions—often find that multiple business units across the company

make the same transaction / recording / report using different methods

and computer systems. ERP systems come with standard methods for

automating some of the steps of a manufacturing process.


  1. Reduce inventory : ERP helps the manufacturing process flow more

smoothly, and it improves visibility of the order fulfilment process inside

the company. That can lead to reduced inventories of the materials used to

make products (work-in-progress inventory), and it can help users better

plan deliveries to customers, reducing the finished good inventory at the

warehouses and shipping docks.


  1. Standardise HR information : Especially in companies with multiple

business units, HR may not have a unified, simple method for tracking

employees’ time and communicating with them about benefits and

services. ERP can fix that.

Tags: Companies undertake ERP, ERP Market, ERP System, ERP Software. Accounting ERP, Manufacturing ERP.

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