Enterprise Class Software
The difference between application software and Enterprise Class software is the integration of the financial system into the business process software. Separating the financial system from the business process software significantly reduces the value of the solution.
The first business software package most parts or repair businesses purchase is application specific. The primary goal is to automate the point-of-sale or work order process. Also, many businesses start automation by using accounting oriented products to streamline the accounting process.
As the business develops, the owner or manager may want an integrated parts inventory system or automatic purchasing system AND may want all of this business activity to automatically update the accounting system. This is where application specific software packages run short and users step up to enterprise class software. In automotive, engine rebuilding or truck repair businesses it is best if these enterprise software packages are customized to their business needs. A typical enterprise package will contain solutions for the following parts of the business.
1) Service (Repair)
2) Inventory Management (Parts)
3) Sales or Marketing (Customer Relations Module – CRM)
4) Manufacturing (Materials resource planning)
5) Purchasing
6) Finance (Accounting)
7) Payroll
The main difference is the integration of accounting into the application specific software programs automating the rest of the business. Many mature enterprise software packages go well beyond these applications and provide many additional software solutions to a growing business.
Since each of these applications use a common database, a business owner can access the information or update the information from any of the business applications. This eliminates the need for entering information twice or information not getting from one software application to another.
For example: A bar code scan on a box received, automatically updates the accounting package that the inventory has arrived and the subsequent invoice can be paid. It automatically knows if this is a partial shipment or a complete shipment. You can choose to pay for what was received or wait until the rest of the order is received. Every detail of the business is tracked continuously, providing instant information about your business performance.
Enterprise software packages typically take many man-years of development and stable systems typically have been in practice in the field a good number of years. As a result, good enterprise software packages are typically more expensive than application specific software packages. Always look at the completeness of your vendor's solution. How broad is their application suite? How long has it been in use by real businesses? Will it meet my needs as I grow?