What is an ERP System?

ERP (Enterprise Resource Planning) is a process utilised by companies to manage and integrate the key departments of their business, from marketing to purchasing to HR.
ERP systems are software applications that offer integrated business management capabilities. Many organisations rely on a single ERP software application to tie together a multitude of business processes and enable the flow of data between them.

Without an ERP system most businesses would have to run multiple IT systems for different departments and transfer data between them manually. With ERP software solutions, departments can still manage and organise their own IT procedures, however they can also access data from other departments. Having all departments use the same ERP interface provides true data integrity.

Today, ERP systems are critical for managing businesses of all sizes, in all industries, throughout the world. Many business owners see their ERP system as a vital mechanism needed to run their organisation.

The advantages of ERP systems
It’s impossible to ignore the impact of ERP systems in today’s business world and the countless benefits they provide.

Key business benefits of ERP systems include:
  • Real-time information access - allows for improved reporting and business insight
  • Accurate cash flow figures - provided through improved invoicing, procurement management and inventory planning
  • Greater team collaboration - data can be easily accessed and shared
  • Consistent infrastructure - all staff have access to the same platform that has the same functions and capabilities
  • Improved business efficiency - well-defined business processes increase productivity
  • Reduced risk - thanks to dedicated security resources
Will an ERP system work for your business?
Most ERP systems are highly versatile. This allows companies across many industries to implement a suitable ERP system based on their own business needs. Industries that are highly likely to benefit from implementing an ERP solution include:
  • Automotive
  • Construction
  • Distribution
  • Education
  • Healthcare
  • Hospitality
  • Industrial Services
  • Manufacturing
  • Retail
In general, it’s not a case of if a business will benefit from implementing an ERP system, but when. As a business grows it’s important to ensure that each department is aligned and has access to the relevant data, making ERP systems highly desirable.

There are many different ERP solutions out there, so it’s important to research the different software packages available to find the one that will work best for your organisation.

Like any business tool, it’s also important to ensure that you plan ERP system implementation accurately to prevent mismanagement and costly down-time. The successful employment of an ERP system depends on accurate project planning, training, methodology, and time management.

ERP implementation doesn’t have to be a scary ordeal though. In a recent survey based on ERP execution in manufacturing companies, two thirds of respondents rated their ERP implementations as successful or very successful (67%) and only 1 out of 315 respondents described their implementation as a failure. This shows how successful ERP software can be if instated correctly.

Does Sage software work as an ERP system?
Yes, Sage 200 and other Sage offerings are ERP systems that connect data and improve company efficiency. Many see Sage as just an accounting software, but Sage 200 is much more than this. Sage 200 Professional offers a full financial accounts package plus CRM, Stock Control, Manufacturing and Project Management as additional modules. There are also many plug-in solutions for Sage 200 that enable users to manage supply chain, e-commerce, payroll and document management, making it a true ERP solution.

Both Sage 200 Standard and Sage 200 Professional are available as cloud-based applications, allowing users to access business-critical data anywhere at any time.

If you’d like to know more about ERP systems or Sage 200, please contact our sales team on 01423 330335 or email us at

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