In this article, we will discuss in a simple way the main differences between these two technologies that are so important in the management of a company, and we will help you understand which one your company needs. The needs of the company will determine which of these systems is the best for your organization. The objectives of both systems are similar, but they are aimed at different levels of operation. Read more about the differences between a CRM and an ERP below, and if you dare, you can test yourself in the quiz at the end of the article.
- A CRM (Customer Relationship Management) is a system used to manage interactions with current and potential customers.
- An ERP (Enterprise Resource Planning) is a system for managing company resources.
Learn more about CRM systems
If you need to manage customer relationships, you need a CRM system.
CRM will help you better understand your customers and find more ways to engage with them. It can also help sales, marketing, and customer service teams get the most out of their efforts . If your job involves interacting with customers in any way, you should use a CRM tool to help you record all of these interactions and deliver a great experience for your buyers. The most powerful CRM systems, such as HubSpot or Salesforce, allow their users to use the artificial intelligence built into these products to improve data analysis and use.
In summary, a CRM platform will provide you with the following benefits:
- Record and analyze customer interactions
- Make better business decisions
- Build stronger relationships with your customers
- Share information centrally across sales, marketing, and customer service teams.
Do you know HubSpot CRM?
HubSpot ’s CRM platform includes all the tools and integrations you need for marketing, sales, operations, content management (CMS), and customer service. Each product is powerful on its own; together, they’re unmatched.
Do you want to attract more leads, accelerate sales, manage operations, streamline your customer service process, or build a powerful website? HubSpot is a complete CRM platform with all the tools you need to sell better.
Learn more about ERP
Enterprise resource planning (ERP) is a system used to manage a company’s business processes, including inventory and order management, accounts payable and receivable.
Unlike CRM software that manages customer relationships, ERP software manages back-office business processes.
What is the difference between front-office and back-office processes? Front-office processes are customer-facing and back-office processes are administrative.
Examples of back-office processes
- Administrative
- Financial/Accounting
- Human Resources/Talent Management
Examples of Front-Office processes
- Customer Relationship Management
- Used by Marketing, Sales and Service teams
Both CRM and ERP systems are designed to help companies streamline front- and back-office processes and increase efficiency.
- Both systems manage processes
- Both systems help to increase efficiency
- Both systems can be used in any industry
- Both systems can be used by large or small organizations.
Their objectives are similar, but they are aimed at different levels of operations.
- CRM focuses more on customer relationships
- ERP focuses more on business processes
- CRM is more focused on the outside
- ERP is more internally focused
- CRM is more visible to customers
- ERP is more visible to employees
The needs of the business will determine which of these systems is best for your organization.
The needs of your business will determine which of these systems is best for your organization. The goals of both systems are similar, but they target different levels of operation. If you need to manage customer relationships and therefore need a powerful yet easy-to-use CRM system, we can help. Get in touch with us.
Next, get to know one of the best CRMs on the market
