An Ultimate Guide To ERP Solution Development

Originally published at opengeekslab.com on August 12, 2020

Active introduction of digital technologies accelerates the growth of demand for ERP solution development. If small businesses can manage without ERP system integration, in case of mid-sized companies and enterprises ERP software implementation becomes vital.

In this post, OpenGeeksLab discusses custom ERP software development, its must-have features, and the advantages company gets adopting ERP business solutions.

What is ERP Solution?

Enterprise Resource Planning (ERP) is a system of integrated software solutions developed for the optimization of business processes across different departments within one organization. It ensures easy information and management share between departments making them synchronized. ERP solutions also cover sales management, delivery management, accounting, supply and distribution management.

It integrates diverse operations to provide a general productivity boost, make administrative processes more time-efficient, and reduce expenses spent on resource planning. The system is usually implemented as mobile ERP software or web-based ERP software.

ERP business software solutions consist of several modules that are connected to a common database. Modules work independently and can be easily included in or excluded from active usage.

As a rule, ERP business solutions offer the following basic modules:

1. Financial Management

2. Customer Relationship Management (CRM)

3. Sales & Marketing

4. Human Resources (HR)

5. Supply Chain Management (SCM)

6. Manufacturing

7. Inventory Management

8. Service Management

ERP solutions fall into two major types:

  • Standalone Systems

Standalone solution is a product bought from a development company or distributor. Users have unlimited access to system services and can adjust it to their needs on the level of system settings or change the code, which is open after purchasing. Standalone system may be stored on company’s own or rented/IaaS servers.

  • SaaS Systems

With SaaS solution, company pays for access to ready-made system located on cloud services. Users can configure and adjust it up to their liking but the source code is hidden by the distributor, so customers cannot edit it.

Besides, enterprise resource planning software varies depending on the scale of the client company and complexity of its needs. Adopting ERP system, one may either buy a ready-made solution, like Sage Intacct, Sap, NetSuite, Microsoft Dynamix, to spare time and costs, or go for custom ERP software development to get an app perfectly fitting particular business case.

ERP Software Market Size

Despite substantial development costs, enterprise resource planning software market gradually develops covering even more market spheres. According to research, about 95% of companies using ERP apps have experienced improvements in workflow, and over 80% will recommend this approach to colleagues. Initially developed for manufacturing enterprises, the technology is now adopted by a wide range of industries.

By 2019, global ERP app market size reached $35.81 billion and, by 2026, will grow from $71.63 billion to $78.40 billion with a forecasted CAGR rate from 8.5 to 10.2 correspondingly. Cloud solutions stand apart, as they get more popularity now. In 2020, cloud ERP market size amounted to $45.3 billion, and it is projected to grow up to $101.1 billion in 2025, at a CAGR of 17.4%. The rise of cloud solutions also attracts SMEs that, according to forecasts, are going to capture up to 40% of market share by 2025.

Benefits of ERP Solution Development

Adopting enterprise resource planning system development, the company gets a wide range of benefits main of them being:

1. Business Processes Optimization

2. Internal Communication Efficiency

3. High-Quality Customer Service

4. Time Economy

5. Productivity Tracking

Essential KPIs

1. Set Up Clear Expectations

2. Define the Line

3. Bet on Right Technologies

Hosting choice depends directly on the solution type one has adopted, as it can be either local or cloud and requires different maintenance level after implementation.

If you cooperate with an outsource development company, developers select framework by themselves, though the most common options include JavaScript and its modes for frontend/backend development.

Deciding on a reliable database, one comes across two most popular options: relational (SQL) and non-relational (NoSQL) database. SQL databases offer a high level of standardization fitting small companies, while NoSQL databases store data in multiple file formats suiting more bigger companies with varied information types managed.

4. Mind UI/UX Design

5. Integrate with Existing Infrastructure

6. Test Applied Solution

Must-Have Features

The feature set implemented while ERP application development greatly depends on basic modules included in particular enterprise resource planning software. The most common app functions include:

1. Global Integration

2. Business Processes Automation

3. Real-time Operations

4. Common Database

5. Data Analytics

6. Accurate Reporting

7. Transparent Tracking

Need to Build Your Own ERP Solution?

Want to build a custom ERP solution for your company? Do not hesitate to contact us, as we possess all the necessary tools to develop ERP solution suiting your peculiar business needs. Still not sure about active actions? Book an online consultation with our experts right now to clarify your business needs.