Global competition generates a new standard of competence. Organization is challenged to increase their competitive advantage. The best way on doing so is by integrating information system, IT-enabling data transaction and communication. The transparent and accountable integration process of the whole line of organization is called Enterprise Resource Planning (ERP).
ERP works as a cross functional power, integrating various internal business processes, ranging from planning, manufacturing, financing, human resource management, to customer relation management. ERP collect data from different functions to a single database and present them in a simplified format.
Nowadays business faces more uncertainties then ever, which are caused by much complex factors, such as global economy, fierce competition, increasing customer demands, etc. With ERP implementation, the whole business process integration makes those challenges easier to manage and develop.
Here are the benefits of ERP implementation:
- To provide better business control
ERP system will provide more comprehensive data across business unit systematically, real-time, and easy to access. This provides tools for management to monitor and control the whole running business easily. ERP is also providing a precise data to make a better future prediction and decision.
- Simplify the business process
ERP will simplify the business process. The workflow will be more effective and the communication between functions will be flowing. ERP ensure the information is flowing smoothly and clear, free from error. Therefore ERP will provide better operational support and flexible customization.
- Increase employee efficiency
ERP system will distribute accurate information to the employee. They will no longer wasting their times to search for information they are needed. Therefore they can focus with their own core job so that their productivity will increase significantly. The increase on competency on decision making and the data readiness provided by ERP will definitely increase their individual creativity and improve their working habits.
- Integrated corporate ecosystem
A company will run perfectly when all stakeholders can perform their optimum performance and synergism each other to achieve the corporate goals. ERP system can integrate all units along with the ecosystem, such as business partners, supporting functions, vendors, and customers.
- Ready for future challenges
ERP will provide flexibility for a company to adapt with the future demands. Integration, better performance, and better information flow will increase company performance to make a better planning and preventive management on the future challenges. (aha)
