What is Enterprise Resource Planning (ERP) software?
We explain the acronym and what exactly ERP software does
So, what is ERP?
ERP stands for ‘Enterprise Resource Planning’, it is another term for business management software.
ERP software can incorporate a number of different functions and features, in essence it is software that allows an organisation to manage their business end-to-end. An ERP can unite your operations to provide power, visibility and complete control so your business moves as one.
The software is designed to integrate and streamline your main activities to make them more efficient in terms of time and resources. In short, giving you more control. Businesses often use ERP software to collect, store, manage and understand busines data from all their internal processes. An ERP system provides organisations functionality to manage warehousing, manufacturing, payroll, HR, inventory, sales, customers and other operational requirements.
It gives business owners an overview of the entire business – often in real-time. Each part of the business has access to up-to-date and relevant information at all times. If implemented correctly it provides a business a single view of their entire operation.
ERP software gives businesses the ability to streamline all their workflows – with the flexibility to grow as their business expands.
Understanding ERP software
This feature will give you a brief understanding of what an ERP is and how it benefits your business.
Once reserved exclusively for big business, ERP software is now a mainstream option for any sized business. Even small-to-medium sized businesses. With a raft of functionality designed for complex businesses with unique requirements, ERP software has everything for every kind of business.
To get a better understanding of who benefits and to see some examples, visit our case studies hub. You can read and watch how numerous businesses, like yours, have implemented ERP software to great effect.
It’s not easy running a business, especially complex businesses who rely on processes. That's why ERP software is designed to help businesses streamline and integrate every aspect of the operation, and make faster, better-informed decisions.
Cloud ERP or online ERP software is accessed via the internet, often browser based, and is paid for on a subscription basis. The software itself isn’t owned or licensed by the end user but is provided as a service – which is why online solutions are also known as Software as a Service (SaaS) solutions.
Cloud ERP is a good solution for many businesses because it offers enterprise-level ERP software at an affordable monthly price – as well as the flexibility to easily scale up and down. MYOB Advanced is a good example of a Cloud ERP.
On-premise ERP software, such as MYOB Exo and MYOB Greentree, are installed on a server that is physically located on the business premises. Hence 'on-premise'. Usually, the license for an on-premise system is sold on a perpetual basis (a one off expense) and often with on-going support fees to maintain the ERP software.