Many small to mid-size business owners may be asking themselves, “What is ERP?” Still, many may also believe this software is designed soley for large enterprise and government organizations.

But it was back in the 1990s that the term, “enterprise resource planning” was shorted to ERP by Gartner Research. Then, the What is ERP focus was on material requirements planning (MRP) and ERP evolved to include accounting, human resources, warehouse inventory and supply chain management, to name a few of the integrated processes in today’s software.

In time, ERP platforms handled a business’s core processes and reaching beyond the enterprise into governmental and even non-profits.

Then, the software was deployed as an on-premise offering, costing thousands of dollars and many months—sometimes years—until full implementation.

Forbes: “…catalysts accelerating Cloud ERP growth”…

Today, the digital landscape has shifted to cloud offerings, like Microsoft Dynamics ERP, and as a contributor to Forbes points out, one of the reasons is the “hybrid” approach. The latter allows companies to combine their existing legacy programs with cloud options that ultimately enhance business processes, as noted by Forbes contributor, Louis Columbus:

“Hybrid ERP systems are enabling enterprises to make the most of their legacy, on-premise ERP systems while scaling their IT strategies to align with and accelerate current and future customer-driven business models. Hybrid ERP systems are especially valuable for manufacturers who rely on diverse sourcing, supply chain, production and service operations as they can unify a company across diverse locations.”

Scalable vs “one-size fits all”

That’s the mantra behind the cloud migration. No longer do customers need to settle for a single (large) investment in ERP that remains underutilized until sometime in the future.

Instead, developers have factored in the scalability of their ERP systems to accommodate business cycles that are forever in flux: upward and downward.

Still curious What Is ERP? Have more questions about the Microsoft Dynamics software we provide? Contact us for more information on cloud-based ERP/CRM software.

Written by J.H. (Consulting Team)

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