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Explain the benefits of the ERP system. |
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Answer» (1) Improved resource utilization: Resources such as Men, Money, Material and Machine are utilized maximum hence increase productivity and profit. (2) Better customer satisfaction: Without spending more money and time all the customer’s needs are considered well. Because the customer is the king of the market. Nowadays a customer can track the status of an order by using the docket number through the Internet. (3) Provides accurate information: Right information at the right time will help the company to plan and manage the future cunningly. A company can increase or reduce production based upon the right information hence increase productivity and profit. (4) Decision making capability: Right information at the right time will help the company to make a good decision. (5) Increased flexibility: A good ERP will help the company to adopt good things as well as avoid bad things rapidly. It denotes flexibility. (6) Information integrity: A good ERP integrates various departments into a single unit. Hence reduce redundancy, inconsistency, etc. |
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