The Crucial Role of ERP Software in Efficient Supply Chain Management

By khameleon

Do you experience delays in your supply chain? Are you losing money because of supply chain inefficiencies?

Managing a supply chain with multiple suppliers and players can become overwhelming without the proper software.

Using an all-in-one easy-to-use enterprise resource planning (ERP) software, you can improve operational efficiency, lower overall costs, and improve your customer’s experience.

In this article, we will explain:

  • What supply chain management means
  • The role of ERP in supply chain management
  • The benefits you can get from using ERP software

Let’s begin with the basics.

What is Supply Chain Management?

Supply chain management is the controlling of the entire flow of goods and services from manufacturers to end-users, and everything in between. This includes steps such as planning, production, logistics, and shipping.

The goal of supply chain management is to ensure all processes are efficient and to accelerate cash flow. Using supply chain management is the best way to assure you fulfill demand and have satisfied customers.

So how do you ensure efficient supply chain management?

Role of ERP in Supply Chain Management

Using ERP software can make a huge impact on the efficiency of your business. From automating mundane tasks to free up space for more important steps, to providing visibility of your entire operations.

According to one report, 97% of respondents said that supply chain management takes up a big chunk of their employees’ time.

Here are the key benefits of using ERP software for supply chain management:

1. More Effective Planning

Using ERP Software can help you determine what parts you need from your manufacturing partners to finish your projects. When you manually assess what you will need to fulfill your customers’ orders it leaves room for error. One small mistake can throw everything off and lead to delays and bottlenecks in delivery.

role of ERP in supply chain management


With ERP software you can pull data from your warehouse supply, sales forecasts, and past trends to determine the perfect plan of action.

2. Enhanced Forecasting

Keeping track of your delivery life cycle is vital to keeping costs low and your supply chain running efficiently. With ERP software, you can see all of the parts for your finished goods from all of your various manufacturing partners.

You can ensure that you have ordered the correct amount of products from your suppliers and when their estimated delivery date is in order to keep up with the needs of your projects. When you use an ERP solution you can become aware of any changes in availability and delivery so you can see alternative solutions and take action before it is too late.

Automated Systems Simplify Forecasting

Without an automated system, it’s difficult to keep track of every part you need from all of your manufacturers. Therefore you won’t know if you are missing crucial parts for your project. This can lead to a delay in delivery and to you losing a potential lifetime customer to competitors.

The best part is you don’t have to walk all the way to your warehouse to find out if you have the parts you need from your manufacturer, you get notified automatically the second it comes in.

3. Reduced Project Delivery Bottlenecks

With improved planning and management comes better project delivery. ERP software built for resellers, and project delivery organizations, optimize your service workflow which in turn gives you real-time data and reduces errors. You can keep track of what you purchased from your suppliers and what processes are needed to assemble products into finished goods.

role of ERP in supply chain management


It allows you to easily find the necessary labor and mechanical resources to keep assembly moving smoothly. Additionally, you can keep track of whatever was used in assembly to make sure it is documented in the bill of materials (BOM).

4. Greater Visibility

ERP software allows you to see your complete supply chain across all departments so you can make more informed decisions. Additionally, you are able to target problem areas and identify opportunities in your processes as well as amongst your resources and staff.

This also helps for improved consistency amongst all employees with their communication with vendors and customers, as well as internally. Even out in the field employees can access any vital information and get alerts with cloud-based ERP software.

5. Improved Relationships

If you are looking to create better supplier relationships and improve your customer service you should be using ERP software, like Khameleon.

improve customer and supplier relations

With ERP software you can track any communication your team has with a supplier. Another benefit is you are able to make sure suppliers are meeting expectations which can help create repeat partnerships. Additionally, you can manage quotes all in one spot to make purchases more efficient.

ERP software also gives you the ability to improve your customer service. By improving partnerships with manufacturers and suppliers, you can meet orders on time. Improving your supply chain accuracy allows you to satisfy more customers creating loyalty and lifetime customers.

6. Seamless Shipping

Track your entire journey from production to shipment with ERP software to optimize your process. By collecting data on shipment and delivery you can ensure that everything is on schedule and make corrections if they aren’t in real-time.

ERP software also helps you keep a record of shipping documents to ensure quality and reduce human errors.

With ERP software you can also create and automate invoices, sending them out once your customers’ products have been shipped.

7. Mitigated Risk

Disruption to supply chains can be damaging to your company. Being able to respond to problems in real-time is crucial to alleviating any potential risks. For example, it can alert you to any shortages your manufacturing partner may be experiencing due to a global pandemic before it is too late.

role of ERP in supply chain management



Delays can not only cost you money but also your business’s reputation. That means you need visibility of your entire supply chain at all times. Which as we mentioned earlier, ERP software can help with.

Additionally setting up automated processes reduces the risk of human errors. Even the best-trained staff members are bound to make the occasional mistake.

Manage Your Supply Chain with Khameleon

Looking for an ERP software to begin optimizing your supply chain management? Khameleon is here to help.

An industry-specific ERP software like Khameleon is built specifically for project-based dealers and system integrators and their supply chain needs. Khameleon makes it easy to streamline your workflow and improve efficiency across your entire organization with one, easy-to-use software.

See Khameleon in action. Get a free personalized demo today to see the role of ERP in supply chain management and begin transforming your business.


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