ERP Systems for Business Operations
How Business Engineers Use ERP Systems to Power Business Operations
Behind every smooth-running company, there's an invisible powerhouse making it all work: the ERP systems.
Whether it's managing inventory, processing payroll, or tracking sales in real time, Enterprise Resource Planning (ERP) systems are the digital backbone of modern organizations.
What is an ERP System?
An ERP system is an integrated software platform that connects all key areas of a business into a single source.
Popular systems include, but are not limited to:
- SAP
- Oracle NetSuite
- Microsoft Dynamics
- Odoo
- Infor, Epicor, etc.
Instead of having multiple disconnect systems, an ERP allows departments to share real-time data, automate processes, and reduce duplication or delays.
ERP Modules at a Glance
Here are some core modules typically found in ERP systems:
- Finance & Accounting Module: tracks expenses, revenue, assets, and ledgers
- Inventory Management Module: monitors stock levels and warehouse operations
- Procurement Module: manages purchase order and supplier relations
- Sales & CRM Module: handles leads, orders, and customer data
- HR & Payroll Module: manages employees, benefits, and payroll
- Manufacturing Module: tracks production planning and execution
- Project Management Module: plans and monitors project tasks and budgets
How do Business Engineers Use ERP Systems?
As a business engineering graduate, you won't just be users. Instead, you are the strategic enabler who sit in between IT teams, business managers, and end-users. So, this is how business engineers can help in building ERP systems.
1. Analyzing Business Needs
First, gather requirements and data from different departments. Mainly, the questions will revolve around:
- What's slowing down the process?
- What data do we need to automate?
- Where are the pain points?
Tools that can be used to assist this step include:
- Interviews
- BPMN diagrams
- Root cause analysis
- KPI mapping
2. Designing Process Workflows
Map out the "as-is" and "to-be" processes to show how things work now and how they'll work with the ERP.
For example, a comparison to show how the manual purchase approval system works and its new automated, role-based digital workflow.
Tools that can be used to assist this step include:
- Flowcharts
- BPMN
- Value stream maps
- SIPOC diagrams
3. Configuring and Testing ERP Modules
While business engineers may not be developers, they can help configure ERP systems and support user acceptance testing (UAT). Hence, business engineers are often responsible for:
- Customizing fields and workflows
- Working with ERP consultants to set up modules
- Testing if the system meets business requirements
Tools that can be used to assist this step include:
- SAP GUI
- Odoo backend
- Sandbox environments
- Test case scripts
4. Enabling Data-Driven Decisions
One of ERP's biggest advantages is its real-time data visibility. Business engineers help build dashboards or define KPIs that allow managers to track performance and make better decisions.
Tools that can be used to assist this step include:
- Power BI
- Tableau
- SAP Analytics Cloud
- Excel + ERP data exports
5. Training & Change Management
Even the best ERP won't work if people don't use it properly. So, some supports may need to be provided, such as:
- Training sessions for users
- Change management plans to ease adoption
- Writing user manuals and SOPs
Business engineers will help in bridging the technical "how" with the business "why."
Why is it Important?
ERP systems are complex but powerful. That's why companies are now implementing ERP systems. However, without a clear understanding, this system won't work well.
Business engineers can help bring out the full potential of the implementation of this system. Why so?
- Business engineers understand business logic
- They think in systems and processes
- They can communicate with IT and users alike
SDG's: 4 - Quality Education
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