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CRM vs. ERP - What’s the Difference?

CRM and ERP offer powerful tools to boost your organization’s profitability; some CRM and ERP features overlap and many systems are integration compatible. Some ERP systems even include lightweight CRM or CRM-like features, but there are significant differences between the core principles and functionalities of CRM and ERP.

What is CRM?

CRM stands for Customer Relationship Management and is specifically designed to increase sales from new and repeat customers. It is also designed to improve customer relationships by enabling you to create a consistent, high-quality experience for both customers and prospects. CRM is about improving your ability to connect with prospects and ensuring timely, reliable, consistent, and quality service as those prospects become customers.

Better customer relationships create loyal customers, and loyal customers increase your long-term profitability. Therefore, CRM is beneficial to your sales support and marketing teams. A well-implemented CRM system can help your team:

  • Improve response time
  • Pursue new leads and opportunities more effectively.
  • Create, automate, evaluate and iterate marketing campaigns
  • Streamline sales processes
  • Analyze purchasing patterns
  • Ensure quality customer service
  • Automate repetitive tasks

What is ERP?

ERP stands for Enterprise Resource Planning, designed to improve your business processes efficiency to reduce overhead and cut costs. While CRM focuses on prospect and customer interactions, ERP focuses on all aspects of your business. As CRM focuses on boosting sales, ERP focuses on reducing costs, increasing visibility, and streamlining processes.

Therefore, ERP can benefit any division in your enterprise and help your team:

  • Track business processes
  • Send alerts across departments
  • Plan enterprise-level strategy
  • Process orders, update accounts, and trigger alerts
  • Manage manufacturing and supply chains
  • Track recruiting and hiring
  • Manage payroll, benefits, and personal information

Join us next time, as we continue our journey of learning canvas apps.Click here to learn more about Imperium's Power Apps Services. We hope this information was useful, and we look forward to sharing more insights into the Power Platform world.

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