The Use of ERP for Improving Business Performance

Enterprise resource planning, commonly known as ERP, is software that integrates business operations and helps a business in better management and performance. Do you know ERP has been known and approved for its high performance and effectiveness in a business? This software helps in the most effective, time-consuming, and resource-saving planning that utilizes less time and resources while providing maximum quality and productivity.

ERP helps plan and schedule projects and resources and helps keep track of day-to-day activities so that the projects are completed on time and allocated budget. The software has also been proven to track the employee’s performance that assures incentives entirely based on employee’s performance with no biases or favoritism.

ERP can manage and improve every business activity, including accounts, sales, marketing, production, and design, engineering, and risk management. This software has been improving business performance and making it sustainable and of high quality. Some of the common appraisal of business performance by using ERP are:


1. Automation

Automation is the biggest factor that has been enhancing the businesses performance after implementing ERP. With the integration of business data, the employees and the managers are automatically guided for the tasks, requirements, and the action that has to be taken.

For example, the ERP software mentions the tasks and their deadline. It notifies the department’s manager and the employees timely about the deadline and how to complete the task that helps in saving time, money, and raw materials.

2. Transparency

ERP software is developed with effort, time, and quality; otherwise, the big investment can lead to huge losses for a company. The ERP software assures data security and makes sure that employees and managers who are actually performing get incentives, rewards, and promotions.

There are dedicated software development team that provides excessive features in ERP software for monitoring the work done by employees closely. They secure data that no other person can excess and monitors and provides an accurate record of data, tasks, resources, and deadlines.

3. Process Management

ERP integrates business activities and makes process management smooth and effective. It centralizes different business operations and provides one solution to manage all the resources effectively.

The centralization of data helps the people in authority keep track of all the business activities easily and helps departments communicate with each other. For example, the manufacturing department manager can communicate timely with the supply chain vendors for raw material ahead of time so that manufacturing does not stop.

4. Customer Satisfaction

With the ever-increasing trend of E-commerce, customers interference in business activities has changed. They now want to know complete information about their order and want to track the order until they have received it. This tracking is only possible if companies adopt ERP.

E-commerce businesses that have implemented ERP are reported to provide a better customer experience and increase revenue. After the implementation of ERP, the customer-business relationship has strengthened that reflects the importance of ERP in improving business performance.


ERP has been a key in the appraisal of business performances. It has proven to provide better business management and saving time, money, and other resources. ERP has strengthened the department-department relationship.

In e-commerce, ERP has proven to improve the customer-business relationship by providing tracking opportunities and timely delivery of products.

The use of technology has consistently improved business performance, ranking, and revenue. ERP has been beneficial if it is appropriately implemented. The development of ERP software as per the business model is a complex process that is required to be carefully handled.

ERP is for sure helping businesses to grow. The only requirement is to train the employees for change and hire experts from for software development and implementation; otherwise, the significant investment can negatively turn the business’s whole financials.

Salman Zafar
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Originally posted 2021-04-12 11:23:46. Republished by Blog Post Promoter

1 thought on “The Use of ERP for Improving Business Performance

  1. Well said! You really did an awesome job tackling this topic even though it’s quite a complicated topic. You surely put a lot of effort o this as there are so much knowledge and insights which shed light to the ERP industry.

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