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What are the business areas covered in an ERP?

Collage representing the 5 business areas covered by ERP

Written by Laura Schomaker

January 26, 2023

As a holistic solution, modern Enterprise Resource Planning (ERP) software covers a lot of ground. Unlike legacy solutions that focused on one area of your business. ERP is a single management system that can handle a lot more, while also unifying your team onto a single platform. What are the business areas covered in an ERP? Anything and everything. In fact, the list is so long, it might be easier to mention what ERP can’t handle!

Business Areas Covered by ERP

The Supply Chain

Efficient supply chain management is more important than ever, especially after the last few years of chaos. An ERP platform can be helpful in supply chain management in a variety of ways. Specifically, it provides an integrated management system to streamline and automate various business processes across different departments and functions. Some examples include procurement, inventory management, production planning, logistics, and distribution.

This can help to improve data visibility, coordination, and efficiency across the entire supply chain. As a result, businesses enjoy better decision making, cost savings, and customer service. Some of the specific ways in which an ERP system can support supply chain management include:

  • Automating and streamlining purchasing and inventory management processes, including tracking inventory levels, reordering, and receiving goods.
  • Improving production planning and scheduling, by providing real-time visibility into inventory levels, demand forecasts, and capacity constraints.
  • Tracking and managing logistics and distribution, including shipping, and receiving, transportation planning, and tracking of deliveries.
  • Improving collaboration and communication across different departments and functions, such as sales, marketing, finance, and operations.
  • Monitoring and analyzing key supply chain metrics, such as inventory turnover, lead times, and delivery performance, to identify areas for improvement.


Many envision ERP foremost as an accounting solution. So, it’s no surprise that it has a big impact on your accounting department. By automating business processes, ERP can make things go faster and more smoothly in the accounting department.

Your C-Suite can also enjoy guaranteed access to the latest, real-time data on your business’ financials with ERP. Finally, submitting everything from expense reports to budgets to accounting gets much easier thanks to ERP’s digital workflows. They allow your team to worry less about paperwork and spend more time working.

Customer Service

Today’s ERP solutions typically come with a CRM, or Customer Relationship Management solution. One common roadblocks hindering quality customer service is that customer data can change from one department to the next. With a CRM, you can see every customer touch and ensure data is clean and consistent. This includes everything from contact information to orders, making it much easier to keep your customers happy.

Marketing and Sales

The concept is very much the same for marketing and sales. An ERP system provides a centralized database for customer and sales data. This allows for more efficient tracking and analysis of sales trends and customer behavior.

Then, the information can then be used to inform marketing strategies and improve targeting and personalization of campaigns. Additionally, an ERP system can automate the sales process. It streamlines order processing and inventory management, which can improve customer satisfaction and increase sales.

Human Resources

Yes, even your HR department will be happy if you implement an ERP solution. How does ERP impact human capital management? There are many ways.

It can track employee performance, manage payroll and benefits, and plan for future workforce needs. An ERP can also automate HR processes, such as onboarding new employees, tracking employee time and attendance, and managing employee benefits. Additionally, an ERP system can be used to manage compliance with labor laws and regulations. This includes tracking employee vacation time and ensuring compliance with equal opportunity laws.

Want to learn more about the unexpected benefits of ERP and business areas covered by ERP? Let’s talk!

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