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What is ERP? | ERP Meaning | ERP Example – Kenya

Streamline Key Processes

Gain greater control over your business with SAP ERP Software Systems. Streamline key processes, gain greater insight and make decisions based on real-time information – so you can drive profitable growth.

What is the Meaning of ERP System?

ERP or enterprise resource planning system is a software that manages an organisation’s daily business activities. ERP system connects business processes and departments while collecting transactional data from multiple sources. As a result, ERP systems improve controls, eliminate duplication and provide data integrity.

Today, ERP systems have little resemblance to the ERP of decades ago. ERP software system intelligently helps you run your entire business, including processes in finance, human resources, manufacturing, supply chain, services, procurement, and more.

Why Implement an ERP Software?

With an ERP solution, you can store data about your daily business tasks in one secure, centralised system. This provides essential insights into the overall health of your company, including areas for improvement – and ensures financial and regulatory compliance. Departments from across the enterprise can collaborate in real-time, from anywhere allowing access to integrated information giving managers reliable data for accurate reporting, planning and forecasting. Some of the benefits of an ERP System include;

Cost savings and improved ROI efficiency. Increased productivity and efficiency as a result from the integration and automation that ERP systems provides
Improve business insight. Improve decision making with a single aggregated source of truth and real-time data
Manage Regulatory Compliance. Manage and monitor compliance with regulatory standards, and even set up alerts for non-compliance
Mitigate and reduce risk. Automate core business operations, manual tasks, and reporting. Reduce human errors, and free up employee time and resources
Enhance collaboration. Break down communication barriers for efficient collaboration and coordination to improve job efficiency.
Improve supply chain and distribution network reliability. Use demand-driven MRP to forecast supply and demand and prepare for fluxes in orders and supply chain
Scalability. Consistent infrastructure for streamlined operations can grow as your business grows
Optimize customer and partner management. service, customer relationship management, as well as partner and supplier management with insight from seamless shared information

With the right enterprise software systems, productivity will increase across your company. ERP systems allow employees to streamline processes and automate many labour-intensive tasks, freeing up time that can be better spent elsewhere.

ERP Modules – Why is SAP Business One right for your ERP Software needs?

Click on the individual functional module to explore the value it adds to your business Module List

Financial Management and Control

Sales and Customer Management

Purchasing and Operations

Inventory, Warehousing and Distribution

Demand Planning, Production and MRP

Project and Resource Management

Service and Maintenance

Business Intelligence

Reporting and Analysis

Intercompany Consolidation

ERP Modules – Why is SAP Business One right for your ERP Software needs?

Click on the individual functional module to explore the value it adds to your business Module List

ERP Examples – Industries we Serve

Customers in 20+ Industries
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Industry Specific Solutions

Wholesale

SAP ERP Discrete and Process Manufacturing

Discrete & Process Manufacturing

Retail and Trading

Food & Beverages

SAP ERP Project Construction and Engineering

Project Construction & Engineering

Metal Processing

Packaging

Plastics

Chemical and Pharma

Real Estate

Mining

Agri-Business

Medical Device & Components

Industrial Machinery

Automotive

Transport & Logistics

Energy

Hospitals

Hi-Tech Electronics

Professional Services

ERP Examples – Industries we Serve

Customers in 20+ Industries
Click and explore our
Industry Specific Solutions

Types of ERP Deployments – Cloud ERP vs. On-Premise ERP

Cloud ERP, or SaaS ERP, is hosted on your provider’s cloud platform and managed by their IT team. On-premise ERP, on the other hand, is installed on your own hardware and servers and managed by your IT team or a partner.

Businesses are increasingly embracing the cloud when it comes to ERP deployment options. In a recent survey, 63% of businesses selected cloud ERP software over on-premise ERP.

The Total Cost of ERP

The cost of ERP depends on the software vendor, the modules selected, and the deployment method. Generally speaking, cloud-based ERP has lower costs than on-premise ERP because there is no hardware that needs to be purchased – and no expensive in-house IT experts that need to be hired. The vendor handles the maintenance and charges the customer an annual or monthly subscription fee, usually based on the number of users.

When calculating the return on investment (ROI) and total cost of ownership (TCO) of a new ERP implementation, the initial and ongoing workforce costs are just as important as the software selection and deployment costs. With cloud and hybrid options, new factors must be evaluated. For example, software maintenance, facility, computer capacity, downtime, recovery, security, privacy, and IT staff costs are all important considerations. As mentioned, cloud options significantly reduce both capital and operating costs – improving both ROI and TCO.

SAP – Worlds Trusted ERP Systems Brand

For 50 years, SAP has been proudly helping enterprises of all sizes – in all industries and geographies – run at their best with ERP Systems. Discover how we can help you take the lead in your industry with ERP system designed for every business need.

Intelligent automaton – Only with automated, end-to-end business processes can you run your mission-critical operations efficiently – and get your enterprise working together as one.
Instant insight – Deliver instant insights to each role within your organization that are available from anywhere so you can run with agility – and adapt to the unpredictable.
Industry best practices – Leverage industry capabilities built on next practices and a complete business technology platform to transform your business – and expand innovation.
Trusted Brand:

- SAP customers generate 87% of total global commerce ($46 trillion)
- 99 of the 100 largest companies in the world are SAP customers
- Approximately 80% of SAP’s customers are SME
- #1 software company in Dow Jones Sustainability Index for 15 years

Three Signs That You Need and ERP System

If you’re reading this and struggling with your legacy software system, you probably already know that ERP software implementation is in your future, but here are the signs that you definitely need new ERP software starting today:

The basics aren’t letting you grow: Perhaps you’ve been doing fine with basics, but if your current software is putting limits on your market expansion and ability to grow on a global scale, it may be time for a better ERP system that does.
You’re dealing with disparate systems: As technology changes, you’re noticing that your disparate systems don’t work well together. You may notice that your new accounting software isn’t compatible with your old HR system, and you’re tired of wasting time and resources trying to stitch a solution together.
You can’t meet customer expectation: If your staff and customers are mobile and your system isn’t accommodating them, it’s time to invest in an ERP system that meets everyone’s needs. If you feel like you can’t afford to invest in meeting your customer’s expectations, and you’re not willing to give your staff the tools they need to succeed, you’ll lose them to a competing business pure and simple.

TIP: If you or your staff is asking for a new system and there’s a resistance to an ERP software change, one of the ways to combat this is to schedule a demo so everyone can see what’s out there. Plus, when everyone feels like they’re included in on the decision process it’ll make implementation of the ERP system much easier.

Why some Businesses are Afraid to Embrace ERP Software Implementation

Despite all the options out there, some companies are still hesitant about implementing ERP software. There could be many reasons why, but where there’s a fear, there’s a solution.

FEAR: How do I know I’m choosing the right ERP solution for my business – You don’t have to find the perfect ERP software solution to fix everything. ERP software should be able to take the best of the business processes you’re using now and bring them together under one system, while letting everyone in your organization view the same information. This is where your choice of at technology partner is important.
FEAR: We can’t afford a major ERP Software overhaul – A software solution doesn’t have to be an all or nothing implementation proposition. Software solution modules can be purchased separately depending on your business needs. This will help your team ease into the implementation piece of ERP software and it’ll save having to invest in a major software renovation without knowing whether or not the functions you’re adding will pay off.
FEAR: We don’t want to lose the systems we have in place now – As we mentioned, any ERP solution you choose should work with what you’re using now but also include features that can help in your future growth. For instance, if the software you have mostly handles the financial, supply chain, and manufacturing sides of your business, you may want to look for a solution that brings in a strong business intelligence component.

How To Select an ERP System

Picking and deploying an ERP system can be a daunting task with many software solutions to choose from. When selecting an ERP system, it is important that the software meets the needs and goals of your company while having the support required to implement an ERP system. Here is a quick checklist to review when first comparing between ERP Systems to help narrow down your options.

Checklist for Selecting an ERP System
Does the ERP software/vendor that is being considered:

Meet your system requirements?
Meet/align with company goals?
Integrate/compatible with current existing systems?
Have partner Network/Availability for local support?
Offer training/support options?
Have references and recommendations from customers?
Continuously improve and develop to utilize new technology and adapt to challenges?

Once the ERP system options have been narrowed down to solutions that are most compatible with your current systems and goals, it can be helpful to review the benefits and features of the systems with key decision makers of the organization. Having the insight and support of these decision makers can boost adoption and support of an ERP system implementation throughout the organization.

ERP History: The Rapid Evolution of ERP

Computerized business applications were born in the accounting and finance world in the 1960’s using mainframe computers. These pioneering applications were faster and more accurate than manual processes – but were expensive, limited in functionality, and still slow. Before long, these applications spawned the development of dedicated, standalone solutions such as sales order processing and manufacturing requirements planning (MRP).

In the mid 1980’s, competition in the manufacturing sector was exploding and new tools were required. New MRP II software integrated accounting and finance, sales, purchasing, inventory, and manufacturing planning and scheduling – providing the manufacturer with an integrated system.

Near the end of the 1990’s, ERP was introduced. ERP transformed the technology sector by serving a broader range of industries and by combining MRP II, human resources, project accounting, and end-user reporting.

In the short span of the 21st century, faster Internet speeds and new development tools have again revolutionised ERP suites. The introduction of browser-based software paved the way for cloud ERP software, a breakthrough that has expanded both the reach and the functionality of ERP solutions.

Today – in the era of digital transformation – modern ERP systems are increasingly taking advantage of new intelligent technologies such as AI, machine learning, robotic process automation (RPA), the IoT, natural language processing (NLP), and in-memory databases. They provide businesses with the ability to run even more efficient processes, leverage up-to-the-minute insights from both transactional and unstructured data, and ultimately remain competitive in a time of unprecedented change.

The Future of ERP

Digital transformation is speeding up – and ERP is at the core. As enterprises adopt digital technologies in every part of the business, they are fundamentally changing the way they operate.

According to Gartner, one of the core digital business accelerators is to “banish drags” – in other words, eliminate any negative force that slows the business down, including outdated processes and systems. So, it’s not surprising that companies are already demanding more robust ERP systems.

Following are three major trends that build on the momentum we see today:

Cloud, cloud, cloud: Preference for cloud ERP will continue to intensify as more and more companies discover the benefits – including “anywhere” access, reduced cost of hardware and technical support, greater security, and integration with other systems, to name just a few. According to Panorama Research in their 2020 ERP Report, “More than half of organisations are selecting cloud software (63%) instead of on-premises software (37%).” As the speed of business continues to accelerate, cloud becomes even more essential.
Vertical integration: The tug of war between best-of-breed solutions and integrated ERP is officially over. Going forward, we believe that companies will demand the best of both worlds – a fully integrated ERP system with vertical extensions. This allows companies to get the specific functionality they need, without painful integration issues or data locked in information silos. We also see the shift toward ever greater flexibility, as business processes are tailored to individual company needs.
User personalisation: Staff, customers, and suppliers all want content and functionality that matches their specific needs or interests and makes them more productive. The changing demographics of the workforce, particularly in industries such as manufacturing, are also driving interest in low-code, no-code platforms. These platforms allow users to get the experience they want, rather than having to adapt to the software. Users can also expect customised dashboards, AI-driven search, personalised chat, and personalised workflows across devices.

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Its Time to Change

What is ERP? | ERP Meaning | ERP Example – Kenya

Streamline Key Processes

What is the Meaning of ERP System?

Why Implement an ERP Software?

ERP Modules – Why is SAP Business One right for your ERP Software needs?

ERP Modules – Why is SAP Business One right for your ERP Software needs?

ERP Examples – Industries we Serve

ERP Examples – Industries we Serve

Types of ERP Deployments – Cloud ERP vs. On-Premise ERP

The Total Cost of ERP

SAP – Worlds Trusted ERP Systems Brand

Three Signs That You Need and ERP System

Why some Businesses are Afraid to Embrace ERP Software Implementation

How To Select an ERP System

ERP History: The Rapid Evolution of ERP

The Future of ERP

Customer Stories

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