Experts expect e-commerce to get as much as 14% of the global retail industry.
As it is getting bigger importance, managing all aspects of this important sales channel is key to ensure the maximum profitability out of it. Online businesses must now look for more efficient solutions to manage their stocks, promotions, supply, finance, and logistics.
In this context, developing an Enterprise Resource Planning (ERP) system may become of capital importance for companies to ensure the best possible e-commerce management.
So, in fact, what is an ERP? And how beneficial may its impact be on your business?
What is ERP?
Enterprise Resource Planning (ERP) is a software able to merge different aspects and processes of a company into one big multichannel system.
It combines business management applications such as Information Technology (IT) services, inventory software, warehouse management, and HR and allows them to work together harmoniously.
Your e-commerce will benefit from an ERP as it unifies data sources within your company making your business more manageable and easier to update.
For example, if a customer makes a purchase into your website, ERP software will automatically update your inbound data: send the customer a confirmation email, draw the item out of your inventory data, create a shipping label allowing the customer to track their and even allow you to measure the profit you made from the sale.
How can it be beneficial for your business?
Implementing an ERP into your company ensures to keep an eye on multiple departments at once.
This improves your decision making and avoids costly business mistakes.
Your company will be ahead of competitors choosing to stick to traditional solutions that may not have the same cost as an ERP but are far from being this efficient.
Enables the management of the existing data on customers, products, sales, accounts, inventory, shipping, etc.
This will significantly increase your forecasting abilities thus reducing your business’s costs and allow you to be proactive in your market.
Updating the stock manually can lead to human errors and time wasted.
ERP solutions automatically update stock, ensuring accurate and real-time data.
This will allow you to keep an eye on your stock and more importantly to improve your inventory costs as you will keep only as much stock as you need in your warehouse.
Such operations will be beneficial in reducing your overhead costs and in reducing customers’ fulfillment time.
Business success relies on many factors and one of the most important factors is bringing different departments to work together in harmony
Implementing ERP software within your company will centralize your data and always give you real-time updates no matter the user.
This will boost collaborative interdepartmental efforts and improve the efficiency of the whole structure.
Customers want to keep track of their order.
ERP constantly updates order tracking and alerts customers automatically on the delivery progress and date.
It will lead to better customer satisfaction thus to better customer retention and loyalty.
Every business manager’s goal is to improve income and reduce costs of the business.
Relying on an ERP solution to assist your finances’ service, reduces the error’s possibility and gives clear insights on your GMV, income, and charges.
The ERP being one source of accurate, real-time information, your decision-making and forecasting ability will be improved.
This will allow you to be proactive and will prevent delays on your operations and will eliminate the risk of being caught off guard.
Choose your ERP solution wisely and you’ll be able to generate a powerful ROI for your company.
Implementing an ERP within your organization may be costly, and you may face difficulties to bring your workforce to use the software to its full potential.
Is it worth it? Definitely. ERPs benefits largely overcome its disadvantages and most certainly enhance your business solidity and income as stated in a survey conducted by Oracle: it is said that 95% of companies improved their business process and the average time for ROI is just 2.5 years.
In today’s highly competitive business environment, this solution may be a huge success factor.
Would you choose to make your business evolve?