Wednesday, July 18, 2012

Advantages of Web based ERP

Web based ERP software is an ERP system that runs on a web server and the user requires a web-browser to work on it. A web based ERP software has to be hosted on a reliable web server so that the application is secure and always ready for use. A web based ERP system also requires lesser in house IT infrastructure as compared to a client server system. 

A web based ERP software has to be developed based on a three-tier design and the system should have a light weight user interface to minimize the data transfer during each cycle. The presentation layer should include all the web forms and the business layer contains all the business logic of all the modules of the web based ERP software. The data layer includes the sql server database.

Web based ERP system has many benefits compared with a client server system. This is the reason why many companies are now opting for web based ERP system as compared to a client server system. The requirement of server management software and associated licensing is eliminated in a web based ERP software. The most important advantage of a web based ERP system is it can be used from anywhere and anytime. For example, data such as sales orders can be entered from any location. By having a web based ERP system, the need for IT staff to maintain an in house ERP infrastructure is eliminated to a large extent. Training the staff on a web based ERP system is much easier as any computer with an internet connection at any location can be used for conducting training sessions.

Web-based ERP system permits organizations, especially SMEs who have limited infrastructure, to conduct its entire business though this medium. An effective web based ERP system automates all internal functions of an organization to ensure that benefits of e-commerce are delivered to the entire organization.

As all the operations are performed through online, a lot of time can be saved by using a web based ERP system and also all dealings and transactions becomes transparent.

There is no doubt web-based ERP system will surely do a lot of good for SMEs in their business process. It is the easiest and cheapest way they can find in extending their presence in the widely spread global market.

Enterprise Resource Planning and Return on Investment

Though many organizations spend lot of time and money researching, analyzing and justifying an enterprise resource planning (ERP) purchase, they hardly spend any time to scrutinize whether the application performs satisfactorily and gives the required output.
If organizations don't establish specific performance metrics, it will be very hard to gauge how well that product is working to meet their objectives, let alone correct any performance gaps.

Given that ERP system is somewhat expensive, some might wonder why more organizations don't engage in a thorough, after-the-fact audit. Reasons range from a lack of involvement by senior management to anxieties about whether the project will live up to its promise-and whose feet will be held to the fire if it doesn't. And somewhat surprisingly, after-the-fact audits are often skipped because no one agrees on what precisely constitutes a successful ERP program.

When the majority of the people you ask not may not sure about what an ERP is, it makes little difficult for your to search for the people who may know it thoroughly. On a technology level, ERP software integrates a company's departments and functions into a single program running on one database, a valuable step forward for improving efficiencies, because integration speeds up business processes.

For a HR manager ERP system is something different application from a production manager. For him it is a system for the employees to interact with each other. But getting bogged down in definitions is beside the point. The point is whatever methodology you use to measure your ERP, it should be applied consistently across the organization at specific points following the implementation.

How often you measure your ERP system will depend on the size of your organization and the depth of your software change. Typically, an audit should occur halfway through the implementation, again at three-quarters of the way through the implementation, and when it's complete. Then, you should follow up every quarterly.

There may be some further questions that how can the ERP application be measured up? Only a systematic, disciplined approach to measuring ROI can provide the answer. However, if the ERP audit focuses only on productivity gains, such as how many steps it takes to complete a shipping label, you won't get the clear of ROI. To get a clear picture the audit must take into account how well employees interact with the ERP system software. Whether the system empowers them to accomplish key tasks? How quickly do they adjust with its functioning methods? To get the actual result, user surveys should be conducted immediately after the training period and again six months later.

A polite approach to the employees to enquire about the functioning of your ERP system could get you closer to the software and its functioning. It will help you understand any shortcomings in the system as well as the need of further training to the employees which could make them more comfortable with the system. A logical and systematic approach to the ERP system by the employees is a must for a good result that ultimately reflected in the organization's return on investment (ROI).

Importance of Sales and Marketing module in ERP system

It is important to know that the Sales module which also known as Customer Relation Management (CRM) in an ERP system is the most important and essential function for the existence of an organization. Sales module in an ERP system manages the functions of domestic and export sales of a company. This is the module that maintains the customer and product database.
Functions of sales module also includes the interacting inquiries, order placement, order scheduling and then dispatching and invoicing form the broad steps of the sales cycle. Stock transfer between warehouses is also covered by this module. Apart from all these functions Sales module also carry out the task of providing analysis reports to guide decision making and strategy planning.

Organizations always wanted to have a good and fighting sales and marketing force to compete in the market. A comprehensive sales and marketing ERP module will help a company stay competitive and streamline their sales and marketing activities.

Sales and marketing module in an ERP system allows activities such as contacting customers and tracking of each customer orders right from placing an order to dispatch of material for that particular order and customer. This module also helps allows sales executives to contact customers and follow-up each and every sales invoice and receive payments for such invoices.

Another important aspect of sales module is it allows management to monitor sales target achieved by individual marketing personnel as per the target planner for each marketing personnel. This feature in of the sales module in the ERP system enhances the working of the marketing department and ensures personnel are not on the right direction.

A good sales and marketing module also has features to track lost orders and identify the reasons for loosing those orders. Business partners and franchises are a common phenomenon in today's world. Latest ERP software will associate marketing personnel to their business partners and franchises and allow them to track and monitor their performance.

ERP sales module can also track sales trends over different periods and prepare the report, Sales forecast can be made using this module as well as provide all over sales and marketing activities of the company.

The ERP module offers an effective customer complaint management tool which also includes repairs processing and document management.