Weekly questions to consider when creating your posts. These questions are a jumping off point to asking your own questions, pose new ideas, and provide explanations and examples backed by careful analysis. Apply class concepts, terms, and theories too. Refer to Assignment 12 for additional details.
- Important acronyms to know:
- ERP
- CRM
- What is the purpose of ERP?
- What are some of the issues with legacy systems?
- What is the purpose of a CRM?
- Who uses CRMs?
- What are the similarities and differences between ERP and CRM?
- What do velocity and veracity mean, and how do they relate to data integrity?
Sophie Chen says
ERP stands for “enterprise resource planning”; it’ purpose is to standardize, streamline, and integrate processes across a wide range of business functions. Essentially, ERPs help manage business process and finances by integrating all necessary processes into a single system. Legacy systems may run into problems sometimes because it is often hard to keep everything running at a fast and efficient pace. Also, there may be issues with security since all the data is in one place. As companies begin to expand and try new technologies, legacy systems are slowly becoming outdated or incompatible with new technologies. I liked this resource (https://www.bairesdev.com/blog/7-problems-with-legacy-systems/) if you want to learn more about legacy systems.
CRM stands for “customer relationship management”; its purpose is to manage a company’s interactions with current or potential customers. A CRM system can span across an entire enterprise’s infrastructure, and CRM systems can link up information about current or potential customers. CRM software should be viewed more as a strategic process to understand customer needs rather than a platform. Salesforce is one of the world’s most trusted and used CRM platforms. In Max Labs, we designed a software for Riley to keep track of all her potential investors, including contact and company information, meeting notes, investment amount, and past and future meeting dates. We keep designing our platform to be more efficient for storing information, and our data could be accessed from all users in the company.
CRM and ERP are different in the sense that CRM focuses on sales force automation and converting leads into contacts while ERP aims to coordinate the process of producing and delivering products to consumers. ERP manages financial information about sales. CRM keeps track of the contacts who ordered the products. ERP and CRM serve different purposes but ultimately work towards a shared goal: to increase company information organization.
Jinzhou Situ says
Hi. Sophie
I think your explanation is very detailed and I learned a lot. I think it is amazing that your understanding of CRM is extended to salesforce, which makes me understand the application of CRM more deeply.
Madeline Elia says
Hi Sophie,
I like that you brought up the MaxLabs assignment that we did in class. That one was tedious, not gonna lie! I felt like I was working on it forever. Riley had lots of data, which also changed at times. When something did change, however, everything else would update automatically. Not to mention it would update across different platforms. Sometimes we’d have to go to the app and do things on there (or vice versa, I don’t remember), but those changes would carry over to the desktop version. That was very convenient and is definitely a great tool for businesses.
Julia Grugan says
Hi Sophie, thanks for your response! I thought what you mentioned about legacy systems was really interesting. Do you think it will eventually be so costly to keep legacy systems running that they will be phased out altogether, or do you believe that advents like APIs can keep legacy systems relevant in the new age of IT? Also, do you think that it’s more dangerous, security-wise, to have all your data consolidated in one place, or to have your data spread out in various centralized locations? I would initially think the former, but I know with IaaS and SaaS there are additional security concerns, so I was curious as to your thoughts!
Levan Lobjanidze says
Thanks for the reply. I think smaller and detailed ERPs are the future. Even with the big corporations, most likely AI will do most of the labor so small user-friendly ERPs will take over.
Jinzhou Situ says
The full name of ERP is Enterprise resource planning, which is a software system that can help organizations manage some core businesses. The full name of CRM is Customer relationship management, which refers to a big data platform used by management to analyze the data exchanged between enterprises and customers, and then make business decisions. The purpose of using ERP is to allow companies or organizations to effectively utilize and manage overall resources. The problem with legacy systems is that their maintenance costs are high, which will increase the operational burden of the enterprise, and it is not compatible with many software. The purpose of using CRM is to understand customers through the collection of customer information and to improve customer satisfaction and attract new customers. Generally, the person in charge of sales management within the enterprise will use CRM, because the essence of CRM is to increase the customer flow of the enterprise. The similarity between ERP and CRM is that both have the function of sharing data, and both can increase the company’s profitability. The difference is that ERP is oriented to enterprises and internal, while CRM is oriented to customers and focuses on external things. Velocity means the speed of data generation and transmission, which can determine how much a set of data can be transmitted into the system within a certain period of time. Veracity means the accuracy of data transmission, which can determine how complete the information in a set of data can be.
Sophie Chen says
Hi Jinzhou,
I think you did a really good job of differentiating the differences between CRM and ERP as well as including well as stating the purpose for each. I definitely agree that the person in charge of sales management would be the main person using CRM, but that the data can be shared/access with anyone in the company.
Montajim Khan says
Hi Jinzhou, I’m glad that you mentioned that legacy systems not only expensive to maintain but also it’s not compatible with many software today. Also did a great job of explaining what is velocity and veracity. I wonder what is more important for a company is it velocity since it’s fast or veracity because of accuracy.
Madeline Elia says
Hi Jinzhou,
I like how you explained the difference between ERP and CRM. ERPs are basically working behind the scenes to make sure everything is working smoothly and that the product/service is being made, and CRMs are more focused on the customers who want to buy it. Their similarity is that they’re able to take all the data they collect and combine it, share it, and keep it consistent all across the board.
Ishaan Joshi says
Hi Jinzhou, I think you did a really good job at explaining the key factors of ERPs and legacy systems. I think if you are a company in todays generation it is important to understand how to invest in your future. With todays generation being so technology driven, abandoning legacy systems and investing in to ERPs seems like a more efficient and less costly way to do things.
Isel Sainte says
Enterprise Resource Planning (ERP) is a system that helps manage day-to-day business processes in all departments. A great example of ERP is the example we used in class about the steps to order pizza. The ERP makes the process simpler. It is in real-time, so everyone knows the updates through the system. ERPs have Customer Relationship Management (CRM). These manage the interactions with new and potential customers. This is great for the sales representatives because it will help them close the deal faster. ERP is to again help the process in order to make a sale-interally. CRM is to help maintain contacts that will want to purchase the item you are selling-externally. Velocity has to do with speed and how quickly the data is moving within the system. Veracity has to do with whether the data is put in correctly.
Justin Bonfiglio says
Hey Isel,
When reading over your response I noticed how easy it would be for someone who has never heard of a ERP or a CRM to learn and understand what they. Your explanations of them are quick and easy to understand without going on about thing that aren’t important. Also I’m glad that you talked about the veracity and velocity of data. When I saw the questions for the first time I had no clue what those words meant in a business standpoint even after looking them up. Your response though made them make a lot more sense in that velocity is the speed of the data moving in a system while veracity is the accuracy of the data.
Nicholas DiGiuseppe says
Hi Isel,
Your post is very clear and your explanations on veracity and velocity are excellent. Before reading your post, it was kind of unclear to me exactly what the difference was between the two terms, but after reading your post it became much clearer to me.
Justin Bonfiglio says
An ERP (Enterprise Resource Planning) is a process used to manage companies and connect important parts of a business such as sales, inventory, and marketing together via one collective software. Having and ERP allows everyone within a company to all have the same information to allow the company to be more efficient and connected. Another system that coincides with an ERP would be a CRM (Customer Relationship Management). A CRM is a software that is used to record new and keep old customer information stored in one place. The type of information saved could be anything that could be useful when trying to make a sale such as names, numbers, emails, and many other important pieces of information. This information all being saved in one giant database is vital when it comes to salespeople in business to business communication, since being able to keep track of all the information of the other company will make the selling company look more reliable, trustworthy, professional, and most of the time will be able to make the sale because of it. The two systems, ERPs and CRMs, as both important for a company to have and you want both working together. ERPs focus more on helping the company run a successful business and connecting their finances and operations to one database, while CRMs focus more or storing and managing the interactions and information with customers that a company has. In a ERP it will tell an employee what they need to do while a CRM will give them the information to do it. Without one you are bound to have many problems of overlapping customers or not remembering information about the customers, leading to less productivity, and most likely leading to the loss of a sale.
These types of problems are not as common with companies who set up and efficiently use these systems properly thanks to the technology of today. Back in the day, the early forms of these systems are known as legacy systems. This is just a term for saying slower and older information systems that are outdated and outmatched when comparing to newer more modern systems. These outdated machines would be considered to have low velocity, which means that the data and the speed at which is moves in the system is slow. Newer systems would be quick acting and move almost instantly meaning that the data has a higher velocity. The information stores in both machines are still both labeled as the veracity of the data, meaning the higher the veracity, the most accurate, precise, trustworthy, and reliable the data is. Newer systems will find ways to automatically incorporate information rather than hand entering, making them more likely than not have a higher veracity then a system entered by hand.
Sheree Owens says
Hey Justin! I think you did an excellent job explaining the differences between ERP and CRM systems and their benefits, I agree that technology and automation have made using these tools a better experience for users and it is super essential for having a successful business.
Julia Grugan says
Hi Justin, thanks for your response! I was interested in what you mentioned about velocity and veracity. Do you think there is overlap between the two? Could legacy systems that operate slower, for instance, compete with faster systems in terms of veracity, or do you believe that advances away from legacy systems will automatically improve veracity along with velocity. I believe that there is probably some overlap between the two, but I’m not sure that it’s a direct one-to-one relationship. I’m curious to hear your thoughts!
Madeline Elia says
ERP, or enterprise resource planning, is a type of software that helps businesses operate more efficiently. ERPs simplify business processes such as supply chain management, procurement, and accounting. ERPs also combine the data from these processes. These systems are often cloud-based, which means that changes to data, or an update to the ERP, will reflect automatically. Any business, big or small, benefits with an ERP because their business will be much more efficient. CRM stands for customer relationship management. These systems are mainly used by those in sales and marketing, but could also be used in HR, accounting, and other areas that are customer-oriented. Where ERPs tend to focus on making and fulfilling orders, CRMs focus on the customer support side of the business. These systems can store customer contact information, email and social media campaigns, and website metrics. For businesses with physical locations, they may want to track customer traffic. Despite these differences, CRMs are similar to ERPs in that they increase efficiency and lower costs.
Sheree Owens says
CRM (Customer Relationship Management) tool purpose is to help you store customer information such as email, address, point of contact, and additional business information. It can be used to store user behavior, how long a customer has been with your business, purchase records, and notes on sales interactions. This tool is used to optimize your sales and marketing processes and improve customer service across your organization. It can help you identify sales opportunities and manage marketing campaigns while nurturing customer relationships. Professional services, sales teams, marketing teams, B2B companies, customer service, consulting firms, insurance, and banking are examples of industries and professionals that use CRM.
Isel Sainte says
Great job defining what CRM is. What helped me better understand what they do was your examples. The examples made me think of how they send newsletters. The users sign up and their information is stored but then late retrieved in order to send it.
Ivan Uliganets says
• ERP, or enterprise resource planning, is a process used by companies to manage and integrate the important parts of their businesses, often via software to connect planning, purchasing inventory, sales, marketing, finance, human resources, and more. Many ERP software applications are important to companies because they help them implement resource planning by integrating all of the processes needed to run their companies with a single system. Customer relationship management (CRM) is the combination of practices, strategies and technologies that companies use to manage and analyze customer interactions. The goal is to improve customer service relationships and with CRM software you can keep track of customer service issues, find sales opportunities, and store contact information for customers and prospects all in one place. What is the purpose of ERP? ERP provides a host of services for companies trying to improve how efficiently they operate. Tracking and managing things such as production, cash flows, raw materials, payroll, and purchase orders. What are some of the issues with legacy systems? Data breaches, ransomware attacks, and cybersecurity problems Legacy Systems Make Security Worse. Legacy Systems Are Not Cost-Effective to Manage – support for older systems are typically much more costly because it takes a lot more time for developers to provide continuous maintenance and updates.
o CRM
• Undertakes sales, customer service and experience
• Emphasizes customer management, and interactions to improve marketing presence
• Typical users: sales and support employees
o ERP
• Focusses on the company’s internal processes and management
• Cover the entire business, manages all major activities, improves back-office functionalities
• Strives to reduce overhead and cut costs via automation
• Typical users: decision-makers
Shivam Joshi says
The purpose of Enterprise Resource Planning (ERP) is to integrate and manage a company’s core business processes, such as finance, human resources, procurement, inventory management, and customer service, using a single software solution.
Issues with legacy systems include outdated technology, limited scalability, high maintenance costs, and difficulty in integrating with modern software solutions.
The purpose of Customer Relationship Management (CRM) is to manage a company’s interactions with its customers, including sales, marketing, and customer service, in order to increase customer satisfaction, loyalty, and advocacy.
CRMs are used by companies of all sizes, from small businesses to large enterprises, to manage their customer interactions and relationships.
Both ERP and CRM systems aim to improve business efficiency and effectiveness, but ERP focuses on managing a company’s internal processes, while CRM focuses on managing customer interactions and relationships.
Velocity and veracity refer to the speed and accuracy of data, respectively. In the context of data integrity, velocity refers to the speed with which data is generated, processed, and transmitted, while veracity refers to the quality, accuracy, and trustworthiness of the data. Ensuring high velocity and veracity are essential for maintaining data integrity.
Isel Sainte says
Reading your explanation of issues with a legacy system automatically made me think of a system I used at my previous employer. The system sounds just like a legacy system. I am not 100% sure if this is an actual legacy system but I googled it and it came up. I attached a link to what it looked like. I hated the system because it was sooooo outdated. We constantly had issues with it.
https://th.bing.com/th/id/R.f68ab7b95b97a0faa389fcaf17e9a898?rik=1AGDom2%2foazf%2fg&riu=http%3a%2f%2fwww.1asig.ro%2fpictures%2fxprimm%2flegacy-screen.jpg&ehk=Nyr0MNPZcuxXK%2fYbVpWkSauWYWWtCX7qE0kpNfcyDwQ%3d&risl=&pid=ImgRaw&r=0&sres=1&sresct=1
Assia Snineh says
Hey Shivam,
Your explanation was very well and very informing about ERP and CRM’s, as well as velocity and veracities!
Montajim Khan says
Enterprise Resource Planning, also known as “ERP,” is software or a system that helps an organization manage everyday tasks such as accounting, supply chain, engineering, and many more. The purpose of ERP is to manage data, and how the data is being used for the company pretty much ties things together to collect and share data from multiple sources. According to Oracle, “Today, ERP systems are critical for managing thousands of businesses of all sizes and in all industries. To these companies, ERP is as indispensable as the electricity that keeps the lights on.” I guess you can say ERP is an important element in running a business and CRM customer relationship management. The people who use CRM are sales, marketing, HR, and accounting. I also find CRM important because it “helps find new customers faster,” such as closing deals, and makes things quicker and more efficient for customer service. Or if you give your customer a hard time, the person who would leave a negative review versus the customer who is treated well will get a positive review. Both ERP and CRM play an important role in managing a company. ERP deals with the software and system, and CRM plays the part of how to handle people. The similarities both involve keeping the company lights on.
Montajim Khan says
Website:
ERP:
https://www.oracle.com/erp/what-is-erp/#:~:text=Enterprise%20resource%20planning%20(ERP)%20refers,compliance%2C%20and%20supply%20chain%20operations.
CRM:
https://www.oracle.com/cx/what-is-crm/why-crm-is-important/#:~:text=By%20intelligently%20storing%20and%20managing,It%20also%20enhances%20customer%20service.
Assia Snineh says
Hey Montajim,
This is a great explanation about CRM and ERP and how they are used and who they are used by. Customer due tend to leave bad reviews when given a hard time and nobody would want bad reviews to lower their sales and income.
Assia Snineh says
ERP is a type of software used by businesses to manage day-to-day business activities such as accounting, procurement, project management, risk management and compliance, and supply chain operations. A comprehensive ERP suite also includes enterprise performance management software, which aids in the planning, budgeting, forecasting, and reporting of an organization’s financial results.
ERP systems connect a variety of business processes and allow data to flow between them. ERP systems eliminate data duplication and provide data integrity with a single source of truth by collecting an organization’s shared transactional data from multiple sources. Customer relationship management (CRM) is a technology that allows you to manage all of your company’s relationships and interactions with current and prospective customers. The purpose of an ERP is to monitor daily business operations such as accounting, procurement, project management, risk management and compliance, and supply chain operations. CRM software’s purpose is to provide all of the necessary tools for businesses to retain customers and, as a result, achieve sustained sales growth. Many people and almost all businesses around the world use CRM’s. For example, car dealerships, real estate agents, hotels, insurance companies, etc…
Yi-Lun Ma says
Hi Assia,
You have explain the ERP and CRM very clearly, and you also included some example for the CRM. What kind of company need to use this two type of software or can you give me the example of the company?
Yi-Lun Ma says
The Enterprise Resource Planning(ERP) is the system to help you manage everything that you need to do. ERP including, “Integrates function, Streamlines processes, and manage core business.” The benefit of the ERP is integrated database, collaboration, flexibility &Mobility, and the lowers cost. A CRM is a piece of software that is used to store both new and old customer information. All information that can be helpful when attempting to close a deal, such as names, phones, emails, and numerous other vital details, may be preserved.
Levan Lobjanidze says
Enterprise resource planning (ERP) is a system of software applications that manage daily business operations in various fields. Corporations providing a product or service use ERP to be efficient. ERP are mostly used to communicate between companies inner departments such as: production lines, accounting, logistics, management, marketing etc. ERP puts data in one system accessible for each department. Live updates from each of these departments makes daily operations smooth and accurate. ERP also helps company management to plan for future depending on data and perform business analysis. Efficiency is the one word that we can describe ERP with.
There are different types of ERPs: Tier I ERPs, Tier I Government ERPs, Tier II ERPs, Tier II Government ERPs, Tier III ERPs, and Tier IV ERPs. For most of the business, tier four ERP would work just fine. Sometimes going for the higher end ERP without actual need for it can damage a business. Lately smaller more industry specific oriented ERPs are being developed, and they compete with big major ERP providers. But until now most of the ERP market it divided between, Oracle, SAP, and Microsoft.
Lamine Karamoko says
Customer Relationship Management (or CRM) is something that is used to help organizations better manage their interactions with customers. The main reason why people use CRM is to “improve customer satisfaction, loyalty, and retention, ultimately driving business growth and profitability” (from the playbook of retention). CRM is used to manage customer information, track interactions, and automate customer service, sales, and marketing processes. An example would be Salesforce and how you can use that to build connections with potential clients. With the use of CRM, organizations can provide personalized customer experiences, improve communication, and increase customer engagement. This enhances customer loyalty and retention, ultimately increasing the revenue. CRM also helps organizations to identify high valued customers and prioritize their needs. It can also enable targeted marketing and sales efforts which can improve the efficiency of these activities and increase their effectiveness. In conclusion, CRM is used to help organizations build and maintain strong relationships with their customers by understanding and meeting their needs effectively.
Robert DiBrino says
Hi Lamine! You are absolutely right that a CRM can help an organization enable targeting marketing and sales efforts. With proper integrations, the platforms can even let an organization know when a piece of marketing material is downloaded or an article is clicked on. Again, to you point, this helps identify high value clients hopefully resulting in higher sales!
Sahid Kapadia says
In the class, we discussed about RFID. there is something very similar to it which I suspect most of uses. It’s called Near Field Communication (NFC). It is basically a wireless communication technology through which devices which has NFC can exchange data by simply touching them or bringing them close enough; typically within few centimetres. Overwhelming majority of smartphones, smartwatches has this technology. One of the most common use of NFC is to make payments through your phone/smartwatch. I personally usually use my iPhone to purchase something from the vending machine that’s located on 6th Floor in the Alter Hall so I’ll tell you the way I have to use it. 1. Double click my button that I use to (un)lock my phone. 2. Select the card I want to use. 3. For Authentication it uses face id. 4. After it verify my face I simply bring my phone near the black kind of thing where you insert your card or cash. 5. On the screen it shows like a message that’s the transaction is approve and near instantly I receive a notification on my phone of the transaction. Another common use of it is to transfer data between compatible devices. I know if you have an eligible samsung phones you can use NFC technology to transfer anything from your photos to your files. This is just one of the technology that’s fairly similar to RFID. Do you know any other kind of technology that’s similar to NFC or RFID?
Aidan Morgan says
Hey Sahid, your connection of RFID and NFC was great and gave me new knowledge that I previously did not know. With your definition of NFCs, I definitely agree that RFID are similar! The Disney World MagicBand is a prime example of how it could be a RFID and NFC as it does work wirelessly and exchanges data when it approaches devices.
Aidan Morgan says
Enterprise Resource Planning, or ERP, is a software or system that integrates important and vital aspects to a business. ERP help businesses to manage day-to-day processes and operations across finance, human resources, supply chain, and more. ERP systems can be beneficial as they integrate financial information into one system, unifying a business’s financial reporting. They also integrate order management making distribution much simpler and less error-prone all around. Some key features of ERP systems are real-time operations, a common database, and consistency. There are various types f ERP solutions that range from Tier 1 ERP to Government ERP solutions. Customer Relationship Management, or CRM, is a method for managing a company’s interaction with both current and potential customers while using past interaction data. CRM helps companies to understand their customer groups and respond quickly to the desires of their customers. CRM software is used to help understand customer needs better and how to meet those needs and enhance the company. In using CRM effectively, businesses can increase revenues by offering better customer service, helping staff close deals faster, and retaining customers while creating new ones. Both ERP and CRM are similar as they handle contracts and companies and details on orders. They are different however as CRM systems focus on the sales and support of organizations and do not do the actual work of producing and fulfilling orders as ERP users focus on the process and logistics of producing the widgets.
ERP: https://www.cio.com/article/272362/what-is-erp-key-features-of-top-enterprise-resource-planning-systems.html
CRM : https://www.cio.com/article/272365/customer-relationship-management-crm-definition-and-solutions.html
ERP vs CRM: https://www.cio.com/article/228400/crm-vs-erp-whats-the-difference-and-which-do-you-need.html
Leonid Kovalchuk says
ERP stands for Enterprise Resource Planning. It is a business process management software that allows an organization to use a system of integrated applications to manage the business and automate many back-office functions related to technology, services, and human resources. ERP systems track business resources—cash, raw materials, production capacity—and the status of business commitments: orders, purchase orders, and payroll. The applications that make up the system share data across various departments (manufacturing, purchasing, sales, accounting, etc.) that provide the data.
ERP (Enterprise Resource Planning) is an integrated system used to manage an organization’s resources, including product planning, sales, development, procurement, inventory, and accounting. Its purpose is to streamline and automate the various components of a business to improve efficiency, accuracy, and productivity. ERP also helps businesses make better decisions with its powerful analytics, insights, and reporting capabilities.
1. Lack of Security – Many legacy systems feature outdated security protocols, leaving them vulnerable to attack.
2. Limited Support – Older technologies are being phased out, leaving companies with few options for technical assistance.
3. Expensive Upgrades – Regularly upgrading older systems to support new technologies and standards can be a costly endeavor.
4. Outdated Technology – Legacy systems may not be able to keep up with modern computing requirements and may be at risk of becoming obsolete.
5. Poor Interoperability – It’s often difficult to integrate new technologies into a legacy system due to compatibility.
The purpose of a Customer Relationship Management (CRM) system is to help businesses manage customer information and interactions efficiently. CRM systems can streamline communication, store customer data in one central location, keep track of leads, increase sales and improve customer service. CRM systems provide analytics and information to enhance decision-making, spot trends, and help businesses increase efficiency, customer satisfaction, and profitability.
CRMs are used by businesses to organize and manage customer and lead data, including contact information, purchase history, and interactions. Because of their ability to automate processes, CRMs are also used for lead nurturing, marketing automation, sales forecasting, upselling, customer support and loyalty programs.
Sami Barhoum says
What is the purpose of ERP?
ERP or enterprise resource planning is a system that integrates all of the different aspects used in a business including purchasing, planning, inventory, sales, HR, and more. There are many different benefits with integrating an ERP.
The first benefit being you can get a better view and understanding of your business, By integrating an ERP system it helps businesses understand the main goal or picture to determine other problems within that business that can be improved.
Another benefit of an ERP system is that it helps better communication within the business. When different departments try to communicate within each other information can get lost, data could be wrong, and communication may be off. An ERP system helps reduce repetitive procedures, and lacking communication, and helps everybody within that business have the same up to date information.
I work at ADP, and we have a similar ERP system that I pitch to my clients to help them store all that information so for example when year end comes, they have all the data they need in one cloud base.
The link below is a good image that shows what an ERP does, and how it helps.
https://www.projectline.ca/hubfs/Feature%20Images/What-is-ERP-F-1200×627.png
Amgad Elamin says
Hello Sami,
ERP systems are very complex but somewhat simple to use. from your graphical example I can see the integration of ERP systems in our lives. they allow business to expand and grow while staying organized and connected.
Anthony Marquis says
Hey Sami, I love your example on ERP systems and it really shows how this system ties in with our personal lives. They allow us to connect in many different ways and also helps us stay connected overall.
Nicholas DiGiuseppe says
Business decision making comes from the data analysis that is exchanged between the customers and enterprises and we can refer to this as Customer Relationship Management (CRM). The ultimate goal of CRM is very simple: to increase customer satisfaction as well as gain new customers by going through customer feedback/information. ERP stands for Enterprise resource planning, which can significantly help organizations manage businesses because it is a software system. Both ERP and CRM have the capabilities of increasing company profit, as well as sharing useful data. The main difference between the two is that CRM functions externally while ERP functions internally. Even though both have different functions, they are still both equally important to understand and use in everyday business. In more simple terms, while CRM focuses on the customers, ERP focuses on the enterprises. Velocity refers to how fast the data moves in a system while Veracity measures the data’s accuracy level.
Amgad Elamin says
Hello class,
Enterprise Resource Planning (ERP) is a software or a system that integrates functions while streamlines processes that manage the core of business. ERP is widely used in many industries across the world. For example, while working in the airline industry, I used ERP system to help finding reservations and make adjustments. My part was very small in comparison with other users such as upper management. Another example of ERP is TUportal. It allows students, teachers and staff communicate effectively to achieve common goals. These systems eliminated long lines at college registrar office. Moreover, communication can be prompt and easy to access. ERP lowered costs and improved the decision-making process in addition to data integrations. Almost all fields use ERP systems such as marketing, HR, finance and risk management and more.
On the other hand, Customer Relationship Management (CRM) is customer focused system. An example of CRM is Amazon.com. their system collect data, pick recommendation and support if customers encounter issues. The main purpose of CRM systems is to create a positive customer experience. Happy customers return to buy more and recommend products to their friends and families. Another example of CRM is Salesforce. In lab, we learned how to create email messaging and automate responses.
Robert DiBrino says
An ERP is an enterprise resource planning system. This system is used to help manage the day to day business processes. This includes operations across departments such as finance, HR, procurement, distribution, etc. The system is critical to running a smooth operation as it integrates with all of the processes necessary to keep the business running. A CRM is a customer relationship management system. This system helps to manage the interaction and relationship a company has with their current or potential customers. The system helps to store all relevant information and can report on this data for analytic purposes. What makes these two things similar? Both systems enable a company to streamline their processes and gather their information in one place. This will naturally result in the organization being more efficient. However, these two systems are quite different. CRMs are typically used by sales and support organizations. With these organizations being customer facing, they do not participate as in-depth with the internal distribution process. On the other hand, ERPs are typically used by internally facing and supply related individuals. In these departments, they handle the distribution process of the product, but are usually not integrated into the customer facing process. Recently, I have learned a lot about CRMs between our learning of Salesforce, and my girlfriend’s job at a software company that is also a CRM, but in the nonprofit space. Below is a link to the company she works for! Ultimately, both of these systems are built with the goal of efficiency in mind, and can be a great asset to a company if used properly.
https://www.donorperfect.com/
Anthony Marquis says
The main purpose of an ERP system is to properly increase an organizations efficiency by managing and helping improve how a company’s resources are being utilized. This is in order to show the importance of reducing or improving the number of resources, at the same time without sacrificing the quality of performance of a businesses growth and profits. Some issues that couold be caused by Legacy Systems include, cybercrime, data breaches, expensive maintenance, compatibility, and that it crashes very frequently. The main functions of a Customer Relationship Management system is to provide businesses with useful data in regards to their customers, and the system also helps connect businesses with its customers as well. CRM’s are used mainly by sales types of companies that truly want to connect with their customers in the most efficient way possible. ERP and CRM systems connect with each other because they both work with managing a customer database. Velocity is the speed in which a company receives data, for example in different social media posts, while Veracity is defined as the accuracy of information and data that will often determine a company’s confidence level.
Ishaan Joshi says
Enterprise Resource Planning (ERP) is software that automates business processes like accounting and finances. An ERP helps create a system that is easily accessible to employees across all departments. Legacy systems are old and outdated and will become incompatible with modern technologies. Along with these, legacy systems are more costly and cause security concerns. Finding people to fix these systems will become more and more expensive the older they get because of the constant reduction of expertise in the field. Customer Relationship Management (CRM) helps manage interactions with customers and prospects. CRMs help in keeping a place to store customer data and manage interactions and relationships. ERP and CRMs are similar in that they are both software that use automation to cut down on work. The differences are that these two softwares are both targeted towards different sectors. ERP focuses more on internal operations within the company, while CRMS is geared more toward general functions such as marketing, recruiting, and customer service.
Preston Cain says
The acronym ERP stands for enterprise resource planning, which is a software that is beneficial for businesses. This software allows for a company to connect different divisions of the company together on to one platform that works as a software to make the business operate more smoothly. This form of software integrates the business to make easy connections with different parts of their system. On the other hand CRM, which is customer relationship management works closely with ERP in terms of making connections but for this it is for the customer. When ordering food online CRM is used to update the store in real time that you placed an order, such as ordering through an app for Chick Fil A. There system will update them that there is an order that needs to be made. CRM can also be used for companies to share data about a customer to make assumptions on what they will order, say if they are a returning customer.