How To Build An ERP System
ERP software developers can help businesses prevent any kind of mistake leading to financial, time and other losses by taking care of the entire business process chain. Imagine you make a really big deal with a customer. But the next day it was found out that the company is out of inventory to finalize it. Neither you nor the client is satisfied. Unpleasant situations like this can be prevented with a well-tailored software solution. It is no surprise that many companies are resorting to custom ERP development to prevent such cases.
You can polish business processes and avoid wasting money by using ERP software solutions.
What is ERP?
ERP is called as Enterprise Resource Planning Software, which standardizes, streamlines and incorporates business processes in all divisions, including accounting and finance, human resources (HR) and supply chain, procurement and sales, etc. Not only does it helps to automate back-office operations, but also it stores and transfers terabytes of sensitive data easily and improves strategic decision making.
Custom ERP System Development
The process of developing your enterprise resource planning system is rather complicated but worth it. You will get the core privilege — ideal compatibility with your company’s processes, which will pay off.
You need to follow the process of development if you want custom ERP software. ERP is a repetitive process as the firm needs new modules often and according to their requirements.
We would like to provide a brief roadmap of how to build an in-house project.
- Define the Project Goal
Here the client tells the developer what is their goal behind investing in the development of custom ERP software. The client and the IT department that manages the implementation will consider a justification for completion of the project.
- Developing a Blueprint and Wire framing
Like in most activities, a blueprint serves as the basis for the entire project, and it should be well defined. The custom system blueprint provides complete detail on the implementation process, the timeline and the tools to be used. It is a document created by every individual involved with the target system. This includes the system developers (whether in-house or outsourced), organization managers, IT leaders, and at times the end-user of the software. They are all essential in the creation of the master plan.
Wireframing involves stating the components involved in the custom ERP development process, is it the sales, HR, accounts, procurement and so on. This creates the foundation of which of the business operations and the data to be integrated with the system.
- Choose the right technology
You should pick the right tech toolkit for developers to build a web-based enterprise resource planning app:
- Hosting: You can host an ERP system in the cloud or on your local server. Most enterprises choose the first option because the cloud is considered more secure and requires no constant in-house maintenance.
- Database: Choose a reliable database for storing company data. Usually, you have to choose between relational and non-relational databases. This choice will decide the organization and use of data in your system. Relational/SQL databases are better suited for small companies that have a demand for standardization. NoSQL or non-relational databases likely better fit complex data infrastructures because they allow data storage in various easily manageable formats like JSON files.
At this stage, technical decisions should be made regarding:
- Hosting (local or cloud)
- Database (MySQL, Oracle SQL, PostgreSQL are the most popular)
- Tools and languages (Java, Python, .NET are used extensively for developing ERP)
This is when the system is evolving. But it’s not the end.
- Test and Review
Now, it’s time for the developer to test and review whether the system meets the said requirement or not. There are two ways to review this:
- They can use specific data to test if the system meets the features and functionality specified in the blueprint.
- The developers can also release the system to some people. They would use the ERP system as the end-user. it is a very comprehensive way of checking the ERP system.
Benefits of ERP System
Here are some of the main reasons and benefits why organizations use ERP systems:
- Finance & Accounting
- Provide business leaders with real-time visibility into their operations.
- Provide business leaders and teams with instant access to their global supply chains.
- Enable business leaders to identify challenges, uncover opportunities, and make faster decisions that impact different areas of their businesses.
- Help automate and streamline tedious tasks and redundant processes.
- Give employees the tools and data they need to be successful.
- Provide a single point of truth for organizations.
- Can often be accessed from anywhere (off-site and from mobile devices).
- Help increase productivity among your team.
- Make it easier for teams to collaborate, and with third-party vendors.
- Offer powerful reporting and forecasting tools that you can use to make informed decisions about the future of your business.
- Keep data secure and help you ensure that your business continues to operate in compliance with global regulatory laws and guidelines.