Benefits of Enterprise Resource Planning for Small Businesses

Benefits of Enterprise Resource Planning for Small Businesses

With the rise in data management and technology capabilities, it’s no wonder Enterprise Resource Planning (ERP) has become the lifeblood of modern business. However, many people still think of ERP systems as a tool only for large or medium sized companies. While that may have been the case in the past, the reality is that ERP systems are now a useful—and often necessary—tool for small businesses today. Just like with any software implementation, it takes careful planning to succeed, but with the proper research can lead to customized tools that meet your company’s needs and provide strong returns to fuel your growing business.

Benefits of ERP for Small Businesses


One of the key offerings of ERP systems is increased efficiency. By consolidating all of your departments’ information into one standardized system, it becomes more consistent and reliable. It also eliminates redundant processes like having to re-enter data into each department’s system or having to search through multiple platforms to gather valuable insight about the health of your business.


ERP also enables you to make more informed decisions about your business by offering you real-time statistics about sales, accounting, inventory, staffing, and many more key indicators of your business’s performance. This real-time data also allows you to more easily detect potential obstacles and pinpoint the appropriate response. Having an overall picture of how your company is performing and being able to quickly respond to the ever-changing business environment is especially crucial for growing small businesses competing to carve out their place within the competitive marketplace.H3: Information sharing

Finally, ERP makes it easier to access key data by placing it all at your fingertips within one consolidated system. Within a small business this is especially crucial, as employees often take on more than one role, making it essential for them to have access to information about multiple parts of your business, rather than just the one or two functional areas of the company their job titles fall under. ERP not only makes information more accessible to all, but makes it easier to share with one another as well. Promoting collaboration and team problem-solving can often be the launchpad for small businesses to grow and thrive, making ERP a key tool and unique opportunity.

How do I Know if I Need ERP?

Though it may look different for each individual business, the following are often signs that you are outgrowing your current management system and need ERP:

  • Your data is inconsistent, repeated or disorganized.
  • You are struggling to keep up with orders, shipments, etc.
  • You struggle to or are unable to get reports or key information about your business in a timely manner.
  • You have no way to forecast or estimate future costs, sales, etc.
  • Your business suffers from a lack of consistent communication or information sharing from one department to another.

Key Considerations

Though ERP is a fantastic tool, it does take proper execution to make it worth your investment. Remember that ERP is an investment—the upfront costs may seem high, but the returns of an effective implementation are well worth it. That being said, there are some important factors to keep in mind when deciding whether or not ERP is right for you and—if so—which system. Some crucial things to ask yourself are:

  • How much time can I afford to set aside for an ERP implementation?
  • How much am I willing to spend on an ERP system?
  • How much training will my employees need to learn to use a new system?
  • How much tech support and customizations do I anticipate needing?

Learn more about ERP and what an investment in business software can do for your business..

If you would like to be contacted by a member of our team to discuss how to tailor an ERP system to your business’s unique needs, fill out the form on ArcherPoint’s Contact Us page.

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