What Is the Difference Between CRM and ERP Software for Small Business?

In today’s era, customer relationship management (CRM) and enterprise resource planning (ERP) software are trending. These software solutions are similar in a variety of ways and can be used to boost up the profitability as well as scalability of any business. CRM and ERP Software for small business are overlapping in certain areas. But they’re entirely different in their core functionality. So you have to initially review them separately. Here we’ll explain both ERP and CRM separately. We will see how they can play a role in enhancing business sales as well as efficiency.

Customer Relationship Management (CRM)

As abbreviated CRM is a customer relationship management software that is specially designed to interact with an organization’s potential clients. It is utilized to automate, organize and synchronize customer services, sales, and marketing department of an organization. Software is specially developed by understanding all aspects of customer experience that help in keeping them happy and improve their loyalty to the business. CRM is used to manage the entire process of lead generation, prospect handling, and customer support till the process of deal closing. After a successful deal closing, software is helpful to maintain a relationship among business and its valuable customers. So, they’ll prefer to repeat business with your organization.

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Enterprise Resource Planning (ERP) for Small Business

This software helps in improving business efficiency by automating all of its important processes. It allows a business to circulate standardized information within all relevant departments. Management and employees simply enter information into an ERP software and enable its real-time exposure for all departments. Problems in any area can be easily deducted with easy information flow. ERP Software for small business allows the departments to plan defect handling and problem identification for each department. It offers a complete method to streamlining critical business procedures within the organization.

Difference between CRM & ERP software for small business

CRM

•          CRM is used by the customers for front office activities
•          It works to increase sales volume for a business by streamlining the processes
•          CRM software automates customer services efforts
•          Complete customer interaction with the organization can be tracked with the help of CRM
•          Software help in creating Data Reports
•          Easy to share customer profile with all co-workers
•          Enable easy collaboration with the sales team
•          Manages all business contacts and prioritize leads

ERP

•          ERP software for small business is used to manage by business for all backend activities
•          Improve the efficiency of all financial data
•          Efficiently standardize business repetitive and challenging processes
•          ERP cut down the business cost
•          Reduce workload by automating redundant tasks
•          Facilitate business with better project planning
•          Human resource and Payroll management
•          Automate entire employee lifecycle