Monday, April 5, 2010

Why some people think ROI on ERP is low

The root cause of this problem lies with the planners Positive thinking and determination to act on reality is what help ERP solution yield a desired profit and good return on investment. Even though the promise of what an ERP can do is high, the planners often fail to look at how the users are likely to view this "improvement."

ERPs take away the old way of working and people are not ready to give away the old system even though they understand it is not bringing the desired result. When they are asked to give up what they know and what they used to, you often get resistance to using a new software system.

ERPs also threaten the fragile balance of power and control. The old system allows departments and some individuals to control the type of information that gets out - and control the way data gets disseminated. The new system keeps check on all that and a proper working environment has been created in the organization.

If any organization spending millions on an ERP solution with no success, then they must understand that the technical problems they faced were minor compared to the human reactions against these changes.

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ERP's MRP gives crystal clear picture

Provides an added dimension of visibility
FOR any growing business enterprises it is important to have a reliable and user-friendly ERP system with a genuine MRP module.
Eresource ERP's Material Requirements Planning can organize, schedule and reschedule materials as far into the future as required.
Eresource ERP's MRP gives you an instant picture of projected inventory investment levels, as well as projected new purchases in accordance with your plan. Projections can be made on any MRP cycle. This provides an added dimension of visibility for directing the planning focus on the most significant areas of your investment. This also helps you to validate a plan financially and make swift adjustments before committing your cash.

Some of the most important components of MRP modules are described here under:
Purchase Management
Purchase Management is a very important component of the materials management module. This module is fully integrated with other modules in the system. It supports all phases of materials management, materials planning and control, purchasing goods receiving, inventory management and invoice verification. Good communication between all participants in the procurement process is necessary for purchase management to function smoothly. Purchase management communicates with other modules in the system to ensure a constant flow of information. It works side by side with Finance and Sales & Distribution management modules.

Inventory Management
Inventory Management system allow you to manage your stocks on a quantity and value basis and plan, enter, and check any goods movements and carry out physical inventory. In the inventory management system the physical stock reflect all transactions resulting in a change in stock and thus, in updated inventory levels. The user can easily obtain an overview of the current stocks of any given material. For each material, not only are the stocks in the warehouse shown, but also the stocks ordered but not yet delivered, reserved for production or for a customer, and the stocks in quality inspection can be monitored.

If a further sub-division by lots is required for a material, one batch per lot is possible. The batches are then managed individually in the stock. Special stocks from the vendor or from the customer are managed separately from your company's own stock.

The aim of the eresource ERP's Material Requirements Planning (MRP) document is to supply information that will enable the company to have enough inventory on hand to fulfill demand. Eresource ERP's MRP module can provide the basic needs of keeping inventory levels low and fulfilling customer expectations for on time delivery.

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ERP for indians SME

Achieve a solid competitive edge

SMALL and medium enterprises (SMEs) in India are the one who have greatly benefited from implementation of eresource ERP. ( Many companies have been utilizing eresource ERP to improve production processes and reduce related costs with enhanced inventory management,property tracking, and input/output control, which enables more effective implementation of popular and proven best practices.

eresource ERP package can streamline and automate an unlimited number of important functions such as accounts payable, accounts receivable, activity management, benefits administration, and billing, invoicing and cost tracking.

With eresource ERP, companies can also improve cash management, while manufacturing firms can practice more effective capacity planning and cost containment.

Additionally, eresource ERP system provides robust and comprehensive business intelligence and decision support capabilities, leveraging a data warehouse or operational data store to make centralized, timely business information readily available to all those who need it.

There are variety of modules for businesses to choose from, including engineering, finance (which includes powerful forecasting and general ledger functionality), and human resources/human capital management. Each of these modules is designed to improve the way these vital back office departments operate, collaborate, and share information. Companies can also optimize labour utilization, eliminate lag times in production schedules, and improve the effectiveness of materials management through the use of eresource ERP manufacturing applications.

At the core of eresource ERP applications lies powerful and complete financial management, which allows accounting staff members to more effectively track net cash flow, accelerate and manage order to cash cycles, and better negotiate and execute purchasing agreements.

eresource ERP system can also deliver significant improvements in other areas, enhancing many non-financial processes such as payroll, quality control, resource allocation and scheduling for project management teams, supplier relationship management for purchasing and procurement departments, and training and time and attendance tracking for human resources groups.

eresource ERP system also enables companies to maximize the utilization of both human and financial resources, better track vendor managed inventory and other off-site or remote stock, and significantly improve workflow management by better planning, mapping, and executing key processes across the business.

With eresource ERP, companies can achieve and maintain a solid competitive edge, reaching the zenith of productivity and cost-efficiency.

For more information kindly visit:

OR Please Contact us at:
TMA House, 1st Floor,Road No 16, Plot No. 6,Wagle Industrial Estate,Thane (West) 400 604, Maharashtra, Tel: +91 22 25827692/+91 22 25828775, e-mail (Sales):, e-mail (Help Desk): helpdesk@eresourceerp.comWeb site:

The ultimate economical ERP framework in India

T o reach creation distinction, you require to have   a   constructive and well organized enterprise resource planning (ERP) framework in yo...