If we talk about ERP, we are referring to an essential term in the business world. It doesn’t matter the industry or sector, as it has become an indispensable element for numerous businesses. And it will be even more so. Why?Due to the multiple functionalities it offers in any type of company, even more so in an environment that is already fully digital. In the realm of electronic invoicing, specifically, the role of these acronyms is fundamental and has been for a long time. But, what evolution is expected in ERP systems this year and in the medium term? That is what we discuss throughout these lines.
Origins of ERP and evolution to the present day
The acronym ERP stands for Enterprise Resource Planning and is already a very familiar concept for numerous companies across various sectors. Primarily for technology companies and organizations with a certain business volume, these three letters have been part of their daily routine for years. The reason is that it has become the ideal ally in this new digital era. As an example, the fact that 65% of Spanish technology companies were already using an ERP system in 2022, according to the consulting firm Devaim.
An ERP system is a digital business management tool that integrates and automates business processes on a single platform. Here we explain what an ERP is in more detail. But, the objective of this article is to understand its origin and its development to comprehend the functionalities they offer today and what their evolution will be.
The origin of ERP systems dates back to the 1960s. At that time, companies began to realize the need to integrate their information systems to improve efficiency and resource management. Back then, IT systems were fragmented, and each department had its own management system.
Since then, the evolution of ERP systems has been marked by several milestones:
- 1960s and 1970s.During this period, the first enterprise resource planning systems emerged, although they were not yet called ERP. These focused primarily on inventory management and production planning.
- 1980s.Broader business management systems became consolidated. These covered areas such as accounting, human resources, and inventory management. In fact, SAP’s first ERP system was launched this decade.
- 1990s.ERP systems gained popularity and became a standard tool for many companies. The integration of the Internet and related technologies began to have a significant impact on the management and use of ERPs.
- 2000s.At this point, ERP system functionality expanded further to cover areas such as CRM (Customer Relationship Management) and SCM (Supply Chain Management). Additionally, the trend towards cloud-based ERP began to gain traction.
- 2010s to today.ERP systems have continued to evolve to adapt to changes in technology and business needs. Thus, they are increasingly geared towards mobility, artificial intelligence, advanced data analytics, and integration with other emerging technologies.
Currently, ERP systems are essential for efficient business management, from small businesses to large corporations. In any case, their evolution is expected to continue in the future as technology advances and companies seek ways to further optimize their operations.
Functions and Features of Modern ERPs
Currently, the ERP software market is highly diverse. Multiple brands compete to design the best system. Likewise, the existing alternatives are very comprehensive and offer multiple functionalities to differentiate themselves and stand out in today’s competitive environment.
Specifically, the functions of current ERP systems serve to manage practically all areas of a business, as we show you now.
Financial Management
- General ledger.
- Fixed asset management.
- Management of accounts payable and receivable.
- Budgeting and financial planning.
- Tax management.
- Bank reconciliation.
Human Resources Management
- Payroll administration.
- Personnel administration.
- Talent and recruitment management.
- Employee training and development.
- Performance management.
- Labor regulatory compliance.
Inventory and Warehouse Management
- Inventory control.
- Warehouse management.
- Supply chain optimization.
- Asset tracking.
- Automatic replenishment.
- Order and purchase management.
Supply Chain Management or SCM
- Demand and production planning.
- Supplier management.
- Shipment tracking and logistics.
- Contract management.
- Transportation management.
Sales and CRM Management
- Sales opportunity tracking.
- Marketing automation.
- Campaign administration.
- Contract and sales management.
- Activity tracking and sales analysis.
Business Intelligence and data analysis
- Analytical accounting with real-time reports and analysis.
- Dashboards and customizable panels.
- Predictive analytics.
- Blockchain and data mining.
Integration and Compatibility
- Integration with other business systems.
- Compatibility with industry standards.
- APIs for custom integration.
- Support for different platforms and devices.
Security and Regulatory Compliance
- Access control and role management.
- Audit and change tracking.
- Regulatory compliance in specific sectors (e.g., financial, healthcare, or data privacy regulations).
Depending on the model you choose, you will enjoy different functions. However, these are the most common ones you’ll find in practically any modern ERP system.
The best ERPs for 2024 in Spain and worldwide
Considering these functionalities and based on easyap’s experience working with different models, this is our top-5 best ERPs for 2024, both in Spain and internationally:
1. SAP S/4HANA
SAP is one of the leading providers in the ERP market. S/4HANA is its main solution, which offers advanced features, such as real-time analytics, process automation, and various artificial intelligence capabilities. For all these reasons, it is already widely used by companies of all sizes and across a variety of industries.
2. Oracle ERP Cloud
Oracle offers a complete suite of cloud applications for your business management, including finance, human resources, supply chain, and more. Its ERP Cloud is highly scalable and designed to adapt to your company’s evolving needs.
3. Microsoft Dynamics 365
Dynamics 365 is Microsoft’s ERP and CRM solution. It offers a deep integration with other tools of Microsoft’s productivity tools, such as Office 365 and Power BI. Globally, it is known for its flexibility and its ability to adapt to various sectors and company sizes.
4. NetSuite
NetSuite, owned by Oracle, is a cloud ERP specifically designed for growing businesses and mid-sized organizations. It also offers a wide range of functions, including accounting, CRM, inventory management, and much more, all on an integrated platform.
5. Sage X3
Finally, Sage is a highly recognized enterprise software provider, and Sage X3 is its scalable ERP solution. This model is suitable for both small businesses and large companies. In turn, it allows you to enjoy functionalities such as financial management, inventory management, or supply chain management.
When choosing, you must carefully evaluate your needs. Consider your company’s size, industry, available budget, and the capabilities of each one. All of the aforementioned are examples of ERPs that will work wonderfully in 2024, but the best one for you will be the one that best suits your business and circumstances.
What does easyap have to do with an ERP system?
Furthermore, it is useful to consult with experts like easyap before implementing an ERP system, as we have extensive experience working with them. In fact, we design specific solutions that integrate with all types of ERPs. This way, we automate and streamline the invoice and payment management process.
easyap’s platform complements the functionalities of these ERP systems. It provides you with an efficient way to handle your incoming invoices and accounts payable process. Specifically, the most typical features of our solution are:
- ERP Integration. Directly connect your invoicing software with your ERP to automatically transfer invoice data to the relevant modules.
- Data Capture. Automatically scan and extract key information from your incoming invoices such as dates, amounts, and other details.
- Automated Workflow. Route invoices for approval according to predefined rules and your organizational hierarchy.
- Tracking and Auditing. Record all your invoice-related operations and activities in detail for auditing and regulatory compliance purposes.
- Reports and Analytics. Generates reports on accounts payable process performance and offers other key metrics related to invoice management.
Ultimately, easyap integrates with any ERP system to improve efficiency and accuracy in invoice and payment control. That is, it optimizes your financial processes. You just have to contact us so we can explain much more to you: other benefits and more functionalities, timelines, prices… We are waiting for you.
