Before going to Salesforce.com training, firstly we are going to learn about what is an ERP, What is CRM, difference between ERP and CRM. We know that Salesforce.com is a CRM. But what is Customer Relationship Management? To know high level understanding about CRM based on small example.
Difference between ERP and CRM
What is CRM ?
Customer Relationship Management is the full form for CRM. CRM is a term used to maintain and analyse customers interactions throughout the lifecycle.
Different CRM products.
- Salesforce.com CRM.
- Siebel CRM.
- Peoplesoft CRM.
- Sugar CRM.
- Microsoft Dynamics CRM and many more.
What is an ERP ? ERP definition
Enterprise Resource Planning is the full form for ERP. Enterprise resource planning (ERP) is one the business process management software which allows an organisation to use a system of integrated applications to manage the business and automate many back office functions related to technology, services and human resources.
Different ERP products
- Oracle e-business suite.
- JD Edwards.
- Momentum and many more.
Example:- ProMobile Ltd is a company that manufactures and sells mobile phones. So what do you think various business units involved in Pro Mobile Ltd Company.
Business Units of Pro Mobile Ltd.
Based on above example you will understand clearly about the difference between ERP and CRM.
Enterprise Unit.(manufacturing unit).
The main aim of this manufacturing unit it to manufacture mobiles. In Enterprise unit there are sub categories they are
- Inventory Management.
- Resource Planning.
- Product Planning.
- Product Cost.
After manufacturing mobile the company has to sell the product. Here the Sales unit sells the product. In Sales unit we have sub categories they are
- Customer Information.
After Selling mobile, the product definitely requires Service. The Service is done by expert service unit. In Service unit there are sub categories they are
- Social Customer Service.
- Customer Care.
If we observe the difference between Enterprise Unit, Sales Unit and Service Unit, the main difference is Enterprise Unit is involved in back office. Here Sales Unit and Service Unit are involved with customers hence they are customer centric. They form the front office. Sales Unit and Service Unit know about customer, market, they interact with the customers. All information regarding customers present at Sales Unit and Service Unit.
So Enterprise unit is known as Enterprise resource planning (ERP) and Sales Unit and Service Unit are called as Customer Relationship Management(CRM).