Clarify your doubts about the two main business management solutions
ERP, CRM, BI… The strong business competitiveness and the rise of business management technologies is causing more and more organizations to seek to implement some of these management solutions.
But not all companies are clear about all the uses and benefits that implementing some of these management software in their businesses can bring them, and they have doubts about which option is the one that best suits the needs of their company.
Each solution is designed with different purposes, so it is necessary to be very clear about the objectives that are intended to be achieved when implementing any of these systems. For this reason, in this post we are going to talk about the two main management solutions, clarifying the differences between ERP and CRM .
Comprehensive vision of the company vs. vision of customers and sales
A CRM (Customer Relationship Management) , is a tool that is responsible for managing sales , customer relations and the development of marketing campaigns . For its part, an ERP (Enterprise Resource Planning) is an enterprise resource planning software . This goes far beyond customer relationship management, since it allows us to have a comprehensive vision of the company , by managing production, logistics, inventory, distribution, invoices and accounting.
Having clear what is an ERP and what is a CRM, we are going to see what are the main differences between both management systems:
As you can see, both have different purposes. While the ERP is more oriented to the administration and management of the business , and the objective is to control the costs of a business; a CRM is more focused on increasing and managing sales and customers.
By focusing on almost all areas of a company. The implementation process of an ERP is usually longer than that of a CRM. Since it covers fewer areas and its implementation is easier and more agile.
Having different purposes, the modules that make up both systems are also different. An ERP is made up of various modules related to the various areas of a company. (logistics, production, distribution, billing, accounting…); while a CRM consists of modules for managing customer service , Dynamics 365 Sales and marketing .
Being easier to implement and controlling fewer areas of the company, the cost of a CRM is lower . In addition, the cost of an ERP is also higher because it is used by more people within a company. The more licenses purchased (both ERP and CRM), the higher the price.
An ERP is ideal for the management of medium or large companies. Since a company that is too small is not going to be able to take advantage of the full potential of the system. On the other hand, a CRM can be adapted to smaller companies .
That they are different solutions does not mean that they are incompatible, both can be integrated with each other . The most important thing is that you are clear about the needs of your business, the size and the price when choosing the best option to control and grow your organization.