CRM VS ERP Which Software to Choose for Your Business
January 07, 2021
CRM VS ERP
Which Software to Choose for Your Business
A lot of businesses think that Enterprise Resource Planning System (ERP) and Customer Relationship Management System (CRM) are similar and overlapping in terms of handling the massive amounts of business information, contacts, and orders. Therefore, business organizations aiming at developing and expanding their business often ask what the main difference between the two is. Which one to implement at their workplace? In fact, both programs are developed to manage a lot of corporate or operational procedures, but each one is specialized in a different field.
Although many ERP service providers claim that CRM is not a separate entity, rather a part of the ERP domain. Much like HR, Sales, or Purchase, yet there is a difference between the two. Let's see what it is.
CRM and ERP are similar in purpose. Both of them work to improve business processes and increase profitability, but each system has distinctive basic functions and a different way of working.
The main users of CRM applications are from sales, while, the users of ERP are all the company's employees no matter what their field is. They can be factory managers, HR personnel, buyers, accountants, sellers, and many others.
ERP software improves all work processes inside an organization, and its users rarely come into contact with a client, unlike CRM. CRM's main focus is on making sales easier, fruitful, and more profitable, so CRM users are always in contact with clients.
So, as I said the users of CRM are completely different from the users of ERP. The main individuals in your association to have logins on both the CRM and ERP frameworks would be IT team who are given the responsibilities of analytics, integration and so forth.
How CRM works:
CRM's main function is to record and organize all the customers and sales-related data and make it easily accessible to all employees across the company especially the sales team who can make use of this information to set the current deals and plan the future ones.
In other words, once a company salesperson enters the data about a prospect, the sales team can make use of the client information and send a personalized newsletter prompting the customer to buy the service or product. Therefore, using the right CRM software at a business can effectively document and segment every single part of the client experience.
Also, CRM systems can make sales forecasts, increase opportunities, manage invoices/emails, and analyze market trends. CRM offers all the functions necessary to build new and maintain old customer relations. A CRM framework guarantees that customer relations are greatly enhanced by adding greater precision to customer data.
How ERP System is different
ERP system is also developed to professionally manage all business operations. However, while CRM's main target is the organization’s sales, an ERP system works in a broader spectrum. ERP integrates together multiple departments of the business. Along with managing sales, an ERP system takes care of managing inventory, sales, purchase, accounts, human resources, manufacturing operations, and many others. An ERP system enables the management to be fully connected with all business processes, making sure enterprises have standardized information which is readily accessed throughout every department. ERP makes all business procedures fully automated which relieves enterprises from manual data entry bringing by that more precision to data, thus, helping businesses to make better-informed decisions.
Key Functionalities of CRM and ERP
Of course, these functions of CRM and ERP systems are just the tip of the iceberg. Deep down there is a lot more to gain.
Both ERP and CRM frameworks enhance the workflow and bring great benefits to businesses as they offer a central easily accessible database for clients' information. However, an ERP framework is broader management of the business, taking care of every part, field, and procedure of the business. Thus an ERP system significantly reduces the operational costs of business enterprises.
On the other hand, a CRM magnifies the sales volume and fosters better customer interactions. It can give you a comprehensive overview of your customers' information. The unified database CRM provides, can easily provide you with customer information such as customer contact data, insights into their most recent collaboration, a brief about earlier meetings, and more in one click. In addition, it enables the sales department of your organization to maintain a connection with their potential customers and prevent losing any past information through a central database framework.
What to choose CRM or ERP
Since both systems offer remarkable advantages, business organizations seeking more growth, development and profits find themselves in confusion about which system to implement first and whether one system can replace another
To scale, organizations should definitely improve their sales and profits. Hence, good CRM software is required for the business. Then again, ERP software stores and organizes the data of all the business departments. Along with sales, ERP system brings precision to all other business activities with no disparity in operational characteristics. ERP helps with reducing the amount of capital invested in each business procedures, be it sales or any other. It generates insightful reports of each business undertakings, helping the organization in making smart business decisions, and taking real-time precautions.
So, what to choose? You want to improve your sales and profits so CRM is the answer for you, or if your aim is to develop and organize all your business departments and reduce all operational costs so ERP is what you need for your business?
What if you need both? That's a lot of expenses, isn't it?
Well, in this case, you can choose one of them according to what you need most, or you can do better "go for Odoo"
Odoo is two in one and more. Get a complete CRM by implementing Odoo ERP at your business end. The open-source ERP application comes comprehensive in action and each module adds great effectiveness for the management of specific business functions.
Odoo comes with 30 basic modules listing CRM, Accounts, Human Resource, Purchase, Sales, Ecommerce, Inventory, Manufacturing, Website, Project, Point of Sale, the list thus goes endless.
The large community of Odoo developers is constantly improving the Odoo ERP, deeply focusing on expanding the functionalities of each core module. If you implement Odoo ERP you won't regret it. Odoo is one of the fastest-growing open-source ERP with distinctive features. Each module is extensive, highly adaptable, and scalar.
To spotlight the power of Odoo, here we will list over 50 benefits of Odoo CRM.
1. Organize Customer Data
2. Increase Your Sales
3. Increase Overall Productivity
4. Improve Marketing Strategy
5. Real-time Status Updates of Sales Operations
6. Reduce Client Close-Time
7. Increase Client Close-Rates
8. Lessen Client-handling Costs
9. Increase Customer Satisfaction and Customer Retention
10. Reduce Customer Acquisition Cost
11. Organized Prospect Handling
12. Easy Internal File Sharing
13. Organized Sales Calls -VOIP Integration
14. Easy Elimination of Clients based on History
15. Customer Feedback Recording
16. Reduce Customer Churn Rates
17. Elimination of Repeat Calls
18. Efficient Task Management
19. Predictive Reporting For Smarter Business Decisions
20. Sales Pipeline to strike balance b/w lead generation and lead management
21. Integrates Business Emails
22. Send SMS manually or on automation
23. Automatic Payment Follow-ups
24. Easy Client Segregation based on Profits
25. Eliminated Data Redundancy and Duplication
26. Internal Team Chat Option
27. Setting Business Reminders
28. Analyze Customer Preference and Purchasing Patterns
29. Reduce Manual Labour and Manual Errors
30. Sales Analytics for Business
31. Easy Contract Renewals
32. Zero Data Leaks/Access Rights Issues
34. Increases Margin of Profits
35. Easy Assignation of Clients to Sales Team By Managers
36. Easy Generation of Customer Quotations and Invoices
37. Electronic Document Signing
38. The setting of Sales Targets
39. Rewarding Sales Team for Outstanding Performances
40. Mass Mailing Options
41. SMS Marketing
42. Social Media Marketing
43. Email Marketing
44. Big Data/Accurate Sales Forecast
45. Tight Security for Critical Business Data
46. Improved Business Scalability
47. Email Automation Features
48. Efficient Tracking of Sales activities
49. Automated Accounts
50. Seamless Calculation of Sales Commissions
51. Effective Time Management in Sales Operations
52. Integration of Gamification
53. Shortens Sales Cycles
54. Improves Customer Grievance Redressal Rates
55. Reduce Client Attrition Rates
56. Working With Remote Teams Made Easier
57. Appointments made organized and easier
58. Complete Sales Automation
59. Reducing Sales Training Expense
60. Enhance Support Service Performances
61. Easy Discovery of New Clients
62. Populate Website and Becomes Lead Generation Tools
63. Real-time overview of next actions
64. Increase Lead Conversions
65. Increase Customer Retention
66. Improve Customer Lifetime Value
67. Keep your Inventory Intact
68. Provides Performance Indicators
69. Gain Competitive Advantage
70. Integrates GPS to boost outreach
71. Smart and Intuitive Dashboards
72. Deeper Analytics via Integrating CRM with E-commerce
If you decided to implement Odoo ERP at your business, we – Boraq Group _ can happily do it for you. Boraq Group has long years of experience in all Odoo ERP modules such as CRM, Manufacturing, Accounting and Purchase, Sales, Warehouse Management, E-commerce, and Website. Our highly skilled teams of developers and consultants will provide you with the business software that especially fits your business needs. You can contact us at firstname.lastname@example.org
Keywords: CRM, ERP, Boraq Group, Odoo ERP, Manufacturing, Accounting and Purchase, Sales, Warehouse Management, E-commerce,