The Top Three ERP Metrics

Part of a business measurement is to see how effective it is in the usage of Enterprise Resource Planning or ERP metrics. But the question in mind is how enterprise Resource Planning is defined and how it fits the company’s goals and objectives.First, it is necessary to define Enterprise Resource Planning before looking in to specific measurement of its components.  According to many experts, ERP is an acronym that does not really live up to its meaning. Resource may be scrapped with Planning. However, what matters most in enterprise Resource Planning is enterprise. ERP is a software program that integrates all data for accessibility. This means all employees who have ownership of a certain process will have an access to these data and several levels of access may exist. Some employees may change it and some cannot.A most common example is a customer ERP. During the times when technology was not yet that important and utilized in the customer service industry, the common method once a customer places an order is that it is written on a piece of paper. These pieces of order sheets are then carried to another department, probably the shipping department, and the orders are processed. Now, if a customer calls a customer service representative, the CSR does not know or does not have any idea what caused the delay for his order.With the advent of ERP software programs, all a CSR has to do is to check an audit log or a tool to see the status of the order. The order number is there, the product type and model is also there. All the CSR has to do is to update the tool and tell the customer of the status. There is no more need to transfer the customer from one department to another except in conditions where the front line CSR is not authorized to access a certain information.So how do we measure the metrics of an Enterprise Resource Planning software program? First off, it has to be accessible real-time. There is no use building an ERP system if it is not updated real-time. The reason being is that this will be used in a manner in which customers should be fed information that is true and correct the moment they called for help.The second one is accuracy. Customers should never be given inaccurate information. It is a fatal error to give them wrong information m\because this will significantly cost the company money once they call back. The time spent taking care of a customer who was misinformed could have been used to cater to another customer. An ERP system should provide up-to-date, fresh, and accurate information at all times.The last one for ERP metrics is usability. When using an ERP system, it has to be a system that does not need to be installed per place of application. Majority of companies use an ERP system in which there is one server that keeps all the data. What needs to be installed is just a program to run the ERP but it is not necessary to install the entire database per computer. This saves so much bandwidth and can literally make the business mobile.