ERP eCommerce – Connected IT, Ireland’s leaders in ERP consulting, have noted a significant increase in the number of companies upgrading their ERP software systems, as a means of improving their businesses and ecommerce platforms. Why is this so, you may ask?
The current global business environment has seen consumers migrate in their droves to online shopping. As a result, companies have had to very quickly adapt their business models and strategies to meet changing patterns and behavior.
Most leading companies by now already have an e-commerce platform in place. But what has quickly become clear, is that the level of functionality and quality of experience on these platforms, are the two key determinants of how competitive they remain.
Modern organizations of all sizes have either introduced completely new ERP software into their e-commerce businesses or upgraded their existing systems with new software. This has helped to improve efficiencies, increase productivity, generate customer loyalty, and even grow revenue.
Ecommerce and ERP software systems are a natural fit. To be successful in the highly competitive online business environment, an e-commerce platform needs to deliver a seamless, positive, and rewarding experience for online shoppers. It is precisely these characteristics that ERP is able to deliver.
A successful e-commerce ERP system, helps to integrate critical functions, provides high quality data, and improves efficiencies throughout the business. These benefits transfer directly to the e commerce related functions, resulting in a better overall online shopping experience for customers.
WHAT IS AN ERP SYSTEM?
ERP eCommerce is an acronym for Enterprise Resource Planning. ERP software serves to automate and integrate the core areas of a business. Its objective is to improve efficiencies through better decision making and the utilisation of resources.
An individual system can be made up of multiple modules for different core business departments and activities, all of which affect the business of e-commerce. These core areas include production, accounting, procurement, sales and marketing, supply chain management and whatever other departments management deem necessary.
Each module draws data from participating departments and updates a central database – allowing management a complete overview of the business.
ERP SOFTWARE AND E COMMERCE
On-line commerce is fast, furious, and ever evolving. Competition is immense and organisations must constantly find ways to become more competitive and profitable.
Success in e-commerce means making things as easy as possible for shoppers in their search, decision making, purchase and post-purchase activities. Long-term growth and success for operators, depends on their ability to streamline processes, ensure supply efficiencies, and reduce costs.
For ERP eCommerce, ERP plays a vital role. ERP software provides for the rapid flow of salient information, allowing the business to have a full site of data that is relevant to achieving all of the above.
Live data such as customer profiles and behavior, inventory levels, pricing, sales orders, sales volumes and conversions, logistics and the like, are available to management as an aid to effective decision making, and in the introduction of improvements where necessary.
ERP essentially makes customers the initiators of every order, replacing the need for manual order-taking. Once a new order is active, the system takes over in a seamless and efficient manner, right through the funnel, from order to delivery. This in turn, helps to alleviate human error and improves the customer experience.
ERP BENEFITS FOR E BUSINESS
To fully appreciate just how much a well implemented e commerce ERP software system can be of benefit, consider some of the many advantages:
Better Customer & Supplier Relations
ERP systems allow for companies to maintain a comprehensive centralised database of customer information and CRM functionality. Marketing promotions can be tailor-made, more effective sales leads generated, and communication from order to delivery greatly enhanced.
Supplier loyalty is also encouraged, because suppliers are kept in the loop and ordering is better forecasted and managed.
Improved Management of Inventory
ERP software allows for a complete oversight of inventory management and logistics functions. Product ranges and sales volumes through e-commerce tend to be much bigger than that of traditional distribution. ERP allows for the processing of larger volumes of orders, with speed and accuracy, and for more efficient delivery and inventory control.
More Efficient Financial Controls
Real-time high quality financial data is a major benefit of ERP. Better financial analysis allows for more focused financial management and the ability to make more informed decisions. It enables companies to forecast more effectively, balance stock holding levels, manage debtors and creditors and even to appoint the most appropriate vendors.
Increase in Productivity
ERP automates many of the time-consuming functions that are often performed manually, such as bank reconciliations, sending supplier notifications, communicating with customers, producing reports and the like.
The speed and efficiency resulting, helps to improve and increase productivity, allowing for re-allocation of resources, more optimised workflows, the generation of more projects, and increased output.
It is worth noting that there are many unsuccessful implementations of ERP systems. This are often due, either to new system not integrating with existing system, or to choosing a new system that is not appropriate for the existing business model. This can be highly frustrating and de-motivating to affected employees and can even make the business more inefficient.
The key is to choose a professional ERP consultant like ConnectedIT.com, who have a long-established record and 100% success in Ireland, for helping clients with the integration of new software systems.
Connected IT works closely with clients of all sizes, to develop appropriate and effective ERP software systems, that delivery business growth and a healthy ROI.