Glossary · Business software

What is ERP?

See the example

DefinitionBusiness software

ERP

Also called enterprise resource planning, business management software

ERP (enterprise resource planning) software runs a business's accounts, sales, purchase, stock, production and people on one shared set of records, so each fact is entered once.

Term 24 of 65, A to ZUpdated

What it means

Most small businesses start with separate tools: accounting software, a billing app, stock in Excel, payroll with a consultant, leads in WhatsApp. Each holds its own copy of customers, items and amounts, and someone retypes between them. An ERP keeps one copy. A sales order reserves stock, the delivery moves it, the invoice posts to the ledger and the GST return, and the payment clears the customer’s balance, without re-entry.

Example

Kaveri Agencies, Mysuru, before and after:

Task Separate tools One ERP
Invoice a delivery Retype items into billing Make the invoice from the delivery
Stock after a sale Update Excel at day end Stock moves when the delivery is submitted
GSTR-1 Export, clean, re-key Prepared from the invoices already in the books
Salesperson’s view Calls the office Sees stock and the customer’s balance, if allowed

Common mistakes

  • Buying every module on day one and rolling them all out at once.
  • Moving years of messy data instead of clean masters and opening balances.
  • Choosing by feature list alone, not by who will support you after go-live.

In MyRecords

MyRecords is a business management system for small and medium businesses in any country — accounting and tax, sales and purchasing, inventory and point of sale, HR and payroll, CRM, support, team chat and analytics in one place. Our team builds it, customises it to the way you work and hosts it on your servers or ours, with unlimited users and only the modules you choose. See the modules or get a quote.

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