Running any business rests on organising its departments in a structured, coherent way. Which is why most of them decide to use ERP software. This versatile, complete, capable tool has every feature you need to optimise and standardise your operations across the board. What is logistics ERP? What is it for? What sets it apart from WMS software? And how do you choose your ERP? Here is a closer look.
What is ERP software? Definition and purpose
As the acronym says, ERP software (Enterprise Resource Planning) is a resource management system built for businesses. In French it also goes by the abbreviation PGI, for Progiciel de Gestion Intégré. Look closer and it is a strategic approach to optimising your entire production chain. From procurement to delivery at the customer’s door, the programme improves how your operational departments are organised. In short, the software was created to make running the company easier. Through its various features, it standardises the information system across every branch of the business: resources, sales, accounting, stock control, production and delivery services. That way it avoids the inconsistencies that come from departments communicating badly.
The features and functions that define ERP software
Integrated management software first appeared in the 1970s and comes in several versions. They are all built by a single developer, but each has specific functions and its own licence, and each brings different advantages.So on one side you have ERPs dedicated to your particular sector, and on the other more general ERPs. They can meet your needs just as well and help you reach your goals. In the same vein, some ERPs can be hosted on the company network while others live in the cloud. Bear in mind that an ERP solution is a modular system built on a set of interconnected services, so inside the programme you will find several groups of software, each with its own features.
General software
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- Human resources administration, including hiring and training new recruits
- Preventive maintenance of equipment and management of technical services
- Help with project management and keeping to deadlines
- Product quality control
Accounting software
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- Accounts management: control of debits, receivables, cash flow and so on
- Asset management: collecting information on capital and reporting company data
- Cost accounting option: assessing movements in the company’s costs and income
Logistics software
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- Production planning
- Stock control, stock takes and stock management
- Managing purchasing and procurement processes
- Managing orders, sales, invoicing and deliveries
The job of an ERP system is to connect every department for better management of the business.
Logistics ERP and WMS software: what is the difference?
The two are complementary and do different jobs. A WMS (Warehouse Management System) specialises in running the warehouse day to day, while an ERP focuses on stock.
Read more about WMS software in this article.
Why have ERP software?
Using management software works entirely in a company’s favour, and it brings three major benefits: better logistics management, higher productivity and better customer satisfaction.Standardising the information system makes communication work, which simplifies every process (sales, delivery, budgeting, stock control and so on). Its many options also let you get tasks done faster while avoiding inconsistencies between departments. Real-time access to the database heads off problems that could otherwise appear mid-operation. Better still, by centralising activity, an ERP makes decisions easier when circumstances demand them. Financially, it gives you a firm grip on the budget through integrated management of cash flow and the rest. And by automating tasks, it helps you cut operating costs. Adding ERP software to your network also guarantees the traceability of your management operations. That is a lot of reasons why this tool is essential for any business.
The top 7 ERP packages for 2022-2023
Here are the best ERP packages for optimising logistics management. The right one is the one that meets your needs and suits the size of your business.
1. Oracle Netsuite
Capable, powerful and complete, Oracle Netsuite has taken off with businesses. It has a range of features, logistics management among them, plus a business intelligence option for building and circulating activity reports. As a bonus, the software lets you tailor it as your needs change.
2. SAP
SAP is built specifically for micro-businesses and SMEs. It offers ERPs with the functions you need to run your company, product lifecycle and human resources management among them.
3. Sage 300
Like the previous two, Sage 300 is one of the leaders in the ERP market. Ideal for medium-sized businesses, it handles a range of processes: invoicing, drawing up quotes, steering the business and procurement. Note that Sage 300 also comes in a top-end version for large companies.
4. Syspro
Syspro is the ERP for manufacturers. Its features match what manufacturers and distributors need commercially. In practice, the software improves supply chain management and helps you make better decisions.
5. Cegid
Cegid is a French ERP publisher and a real help to accountants and HR managers. It sells three ERPs aimed at SMEs that want to run their operations more efficiently. Cegid XRP Ultimate, for instance, has 37 features and 30 additional modules.
6. Microsoft Dynamics
The strength of Microsoft Dynamics lies in how effective it is, but above all in its flexibility and reliability. It gives small and medium-sized businesses features they can tailor to their needs, covering sales, finance, customer service and human resources.Because it is tied to the wider Microsoft Dynamics 365 platform, it can be combined with other Microsoft applications.
7. Divalto
Divalto, another French software publisher, is also among the most capable ERPs. Its many features, its customisable standard version and its modern interface earn it a place in the rankings.
How can ERP software improve your logistics management?
On the logistics side, management software lets you:
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- reduce stock
- send orders out when they are due
- predict the right moment to restock
- get an overall view of every operation
- calculate stock levels and lead times
That is how it helps you manage the company’s operations precisely. Its various features also let you:
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- track the status of orders
- fulfil orders from a specific warehouse
- transfer stock between your warehouses
- book stock in at a particular location
Find out how Shippr also helps you improve your logistics management when it comes to delivering your parcels. Contact us directly through our form so one of our business experts can talk through your needs and the solutions that fit them.
