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An Introduction To Enterprise Resource Planning (ERP) For Startups

Running an eCommerce business requires strategic planning. You can achieve that by using valid and updated information to make essential decisions. For that reason, you may want to choose the right tool to collect, analyze, store, and share data. ERP software can help tremendously in this regard.

Business owners and managers have used spreadsheets for several years to manage data. However, as technology evolves, spreadsheets have become less effective and are now being replaced with enterprise resource planning (ERP) systems. You can also consider eCommerce ERP integration and boost the growth of your online business.  

This article introduces you to ERP software for your startup company. You’ll learn its benefits and how to choose one in the market. But before going further, you might want first to get a brief definition of ERP software. Read on.  

ERP Software Defined 

ERP software is a computer application you can use to manage all your business processes. These include procurement, accounting, sales, risk management, marketing, human resources, asset management, project management, and others. In simple terms, ERP is a program that automates business processes to help manage daily activities in an integrated system.  

Why You Need To Include An ERP System On Your Business Website 

Sometimes, deciding whether or not your startup or small business needs to install an ERP system can be daunting and overwhelming. This is true especially if you’ve never used any major software in the past. However, it can bring several benefits to your company.  

Some benefits of purchasing this software for your business include:  

  • Minimized Costs


Like any other business owner, your primary goal is usually to maximize your business profits. One of the best strategies to achieve that is by keeping costs at the lowest level possible.  

You can do several things to minimize your business costs. One of them is installing this software.  

Installing an ERP system can cost your business a heavy initial capital outlay.  However, it’s worth the investment in the long run.  

Manual data planning solutions like spreadsheets will require you to employ several workers to perform the work. This increases your labor costs. You can avoid that by installing an automated ERP tool. It’ll eliminate the need to work with numerous workers. A few of them will be enough to feed data to your computers.  

It’s also good to note that having different tools for specific business processes can cost you a lot of money. For instance, you must utilize the money to train your team to use every single tool. 

On the other hand, you’ll need one system only with integrated ERP. This reduces training requirements for end-users, thus minimizing costs.  

  • Enhanced Data Security

Another major benefit of installing this software in a business system is to secure your business data. This is especially important now when cybersecurity attacks are rising rapidly.  

When hackers and other online criminals invade your business networks, you can lose essential data. The good news is that this software can enhance the security of your online data. It comes with features that help control who can access and edit your company information. ERP system also provides a centralized backup location of your business’s essential data.  

  • Improved Efficiency And Productivity

Installing ERP software means automating all your key business functions. It helps avoid manual and tedious steps. For that reason, your workers will complete tasks on time and focus on other productive activities. With improved efficiency and productivity, your company will likely expand. 

  • Assured Government Rules And Regulation Compliance

You must remain compliant with government regulations for your business to operate for the foreseeable future. If you fail to do so, you might incur huge costs in fines and penalties.  

The government has laid down regulations to follow when sharing data in various sectors. However, sometimes you might be unaware of the minute details of the set regulations. That’s one of the many reasons you might want to install ERP software into your business systems.  

Most ERP systems are designed to help your business comply with industry and government regulations when managing and sharing data. This helps you avoid paying unnecessary fines or risking being forced to close down your store.  

  • Improved Customer Service

Better customer service is essential to the success of your company. It involves taking care of your clients by providing quality services.  

It might be challenging to manage your customers’ data well with several applications in your business system. That’s why it’s advisable to have an ERP software.  

ERP software provides a centralized location where you can store and retrieve customers’ information. This enables teams in various departments to collaborate when finding solutions to customer needs. It’s one of the best strategies to improve customers’ experience and satisfaction.  

How To Find A Suitable ERP Software 


As you’ve seen in the previous section, there are many benefits of having an ERP tool in your business system. However, you must find a suitable or personalized solution.  

You can install suitable software by:  

  • Finding A Scalable Solution 

Scalability is one of the many things to consider when buying an ERP tool. This is especially important if you have plans of growing your small business into a giant in the future.  

Scalability is the ability of the selected ERP software to continue accommodating your growing business. It ensures you’ll not need any other new solution to manage your business. The chosen software should be able to support your startup today and even when it expands.  

  • Comparing Price Versus Quality Of The Solution

Price and quality are two essential things to bear when buying ERP software. However, some business owners only consider the price and forget the quality. 

Finding a cheap solution can help save a few coins. However, it might fail to provide long-term benefits. Why? Some cheap automated tools are of low quality and not durable.  

At the same time, you need to note that high prices don’t always reflect the best quality. Therefore, before you opt for any ERP solution, ensure its price reflects its quality.  

  • Finding This Software From A Reputable Vendor

It’s no doubt that the functionality of the selected ERP tool will majorly depend on the service provider. A company known for the best solutions in the past will likely provide good software.  

One of the best ways to determine the reputation of any ERP software vendor is by reading online reviews. A firm with more positive reviews than negative ones might be reputable. Strive to source your ERP software from such a company.  

Takeaway on ERP Software

Purchasing ERP software is the best way to grow your business faster. It allows you to store and manage data more efficiently. Make sure you find a suitable solution from a reliable service provider.  

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