What is an ERP or PGI (Progiciel de Gestion Intégrée)?
ERP, Enterprise Resource Planning, is the master tool in a company that allows for the management of all operational processes by integrating several management functions: order management, stock management, price management and product creation. Generally, products are not created in the PIM but are imported from the ERP into the PIM for enrichment and distribution.
Enterprise Resource Planning (ERP) is a centralized IT system that integrates multiple business processes into a single architecture. These processes typically include accounting, sales, marketing, human resources, production management, supply chain and inventory operations. By streamlining these different areas, ERP provides a global, up-to-date view of the business to facilitate decision-making and improve overall business performance.
By using such a system, the company gains greater visibility of its operations and optimizes efficiency by automating repetitive tasks. The centralization of information in an ERP system reduces the need for multiple data entries, thus lowering the risk of error. It also fosters internal collaboration, as all staff have access to the same data in real time. Benefits include lower operating costs, better inventory management, and a significant improvement in customer satisfaction thanks to faster, more reliable order processing.
Key components of an ERP system
An ERP system is made up of multiple IT modules, each corresponding to a specific area of business management. These modules can be flexibly integrated according to the specific needs of each organization. For example, a manufacturing company may require a more sophisticated production management module, while a service company may focus on CRM (Customer Relationship Management) and project management.
These modules rely on a single database to ensure the integrity and consistency of information. Frequently used modules include :
- Financial and accounting management
- Purchasing and inventory management
- Customer Relationship Management (CRM)
- Human resources and payroll management
- Production and supply chain management
- Business intelligence for data analysis
ERP selection and implementation
Selecting and implementing an ERP solution is a critical step, requiring in-depth analysis of the company's needs and business processes. It's important to choose an ERP solution that matches the company's size, sector of activity and strategic objectives. ERP customization and deployment can vary considerably in terms of complexity and cost, requiring rigorous preparation and project management, often accompanied by specialized consultants.
Single access to reliable, up-to-date data helps to eliminate information silos and standardize operations across all company divisions. This fosters improved coordination and more informed decision-making, both of which are key to reacting quickly to market changes and customer needs. What's more, the ability to integrate new technologies such as AI and advanced analytics paves the way for a constantly evolving, learning organization.
Impact of ERP on performance and business practices
Integrating an ERP system into a company's information system radically transforms its business processes. It enables continuous optimization through workflow automation and improved information flow. ERP is a key vector of digital transformation, as it centralizes data and makes them accessible in real time to all company players, thus fostering a data-driven culture.
Thanks to the continuous improvement provided by an ERP system, numerous case studies show increased productivity, optimized resource management and improved customer satisfaction. For example, companies such as Cisco and HP have reported a significant reduction in costs and time-to-market following ERP implementation, underlining a substantial return on investment.
The relationship between ERP and PIM
The link between a PIM (Product Information Management) system such as Quable PIM and an ERP system is essential: PIM optimizes the management of product information and data, providing a valuable complement to the ERP system. This enables synergy between product data and other company processes. More than 300 major brands in 85 countries have chosen Quable PIM to enhance their omnichannel management, and integrate it seamlessly with their ERP systems.
What's the best-known ERP?
The most widely recognized ERP in the business world is undoubtedly SAP ERP. SAP is a German company which, for decades, has equipped numerous large corporations, SMEs and multinationals with its management solutions. Its ERP system is renowned for its robustness, customizability and vast ecosystem of modules to meet the specific needs of different industries.
Difference between SAP and ERP
SAP is a brand name, whileERP is a category of software. SAP offers ERP solutions, but there are other competing ERP systems such as Oracle, Microsoft Dynamics 365 and Cegid. Each of these solutions offers different features that can be more or less adapted to a company's needs.
Enterprise standards from Resource Planning
ERP standards are crucial to ensuring that management systems meet performance, security and compliance requirements. They establish guidelines for ERP software development practices, as well as for implementation and maintenance. For example, ISO standards, such as ISO/IEC 25051, define quality criteria for commercial software, including ERP. These standards are important for companies, as they ensure that the ERP solutions they adopt are high-performance and secure.
ERP systems are a cornerstone for companies seeking to increase productivity and optimize their business processes. By centralizing information and automating tasks, ERP systems are powerful tools for increasing efficiency and responsiveness. With the integration of other specialized systems such as Quable PIM, companies have a complete solution for performing in the digital age.
Find out more about product information management in our glossary.