ERP vs CRM: Which Is Better?

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ERP vs CRM which is better

ERP vs CRM: Which Is Better?

Today, businesses belonging to multiple sectors are rising through the ranks rapidly, all thanks to the power of automation. Any business that aspires to bring in enhanced efficiency and productivity knows that the secret lies in automating processes.

When it comes to automating processes, two of the most promising software solutions are Enterprise Resource Planning (ERP) and Customer Relationship Management (CRM). To understand the role of these two technologies and which one is home to more benefits, it is important to first understand what they are.

The primary difference is that ERP systems empower companies by helping them explore their true growth potential. How? They connect an organization’s financial and operational systems to a central database. CRM, on the other hand, helps manage how customers interact with their businesses. At times, they are even built on the same platform. But, the software is often bought separately and integrated as per the requirements.

As for this frequent question – Is CRM part of ERP; ERP systems include a CRM component, while others do not, but CRM software systems do not include ERP components. Let’s dive into the details to find out which one takes the crown in the battle of ERP vs. CRM system, all by studying their differences and benefits-

Differences Between ERP and CRM: Purpose and Perks

What Is ERP?

Organizations leverage Enterprise Resource Planning (ERP) software to manage daily or recurrent business activities such as accounting, procurement, project management, risk management and compliance, and supply chain operations. It also helps streamline inventory management, order management, and data related to services organizations. Driven by technology, it enables one to access and study data in real-time.

What is CRM?

This is a software that ensures seamless interaction between a business and its customers, both existing and potential, all by leveraging data analysis to study large amounts of information. CRM was first developed for sales departments and the features were known as sales force automation (SFA). Over time, the management of customer service interactions and marketing became important, and CRM was born. Sales performance management and sales incentive compensation are also included in some CRM systems, but they’re often sold separately.

Benefits of ERP

-A single view of all the processes of different departments
-Helps with streamlining core processes – sales order entry, product pricing, shipping and delivery, production, procurement, invoicing, and financials
-Automated authentication mechanism to keep a tab on the budget confirmation receipts
-easy access to sales figures and revenue to help them take effective decisions

Benefits of CRM

-A central repository to track all customer interactions
-Determining which audience to pursue based on data analytics
-Monitoring how sales teams are performing
-Understanding how to service customers efficiently and appropriately

Both CRM and ERP System bring their own treasure trove of benefits to the table. But, ERP serves are a more holistic solution given that CRM is one of the important pillars of ERP systems as well.

Contact PTS Systems and Solutions For Excellent ERP Implementation

We, as a leading ERP solutions company, dedicate ourselves to providing expert SAP ERP Implementation services that we can dynamically deliver across the globe. We have significant experience in managing global projects and ERP life cycle implementations. Our offering include:

-Business & Technology Requirements Reviews
-Dedicated Project Management Support
-Installation of new software on your required platform
-Data Mapping & Migration
-Design Workshops & Associated Documentation
-Implementation of any necessary configuration changes

-Acceptance Testing & User Training

Ready to take your business to newer heights? Start your SAP ERP journey with us today to avail its many benefits.

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