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Difference Between CRM and ERP

Difference Between CRM and ERP

To understand the difference between CRM and ERP, we will study the definition of each of these terms and look into the various aspects within both these terms.

CRM or Customer Relationship Management is a computer software specially designed to capture all the transactional details between the client and the customer. Companies who implement CRM are usually those who want to serve their customers in an efficient manner, build a long term relationship and have great customer satisfaction.

ERP or Enterprise Resource Planning is a business management software to improve overall performance, profitability and productivity of a business and usually comprise of core processes required to run a company. ERP integrates various functions and departments like purchasing, sales, operations, manufacturing, inventory and logistics to smoothen the process, workflow and information sharing across the organisation.

difference between crm and erp

Below are the key difference between CRM and ERP

ERP is an integrated software that covers various departments and functionalities within an organisation while CRM primarily covers modules that are customer-related such as Sales, Marketing, Customer Service and Field Service. In Dynamics 365, these modules are part of the CRM functionalities, while a combination of the various functions would make a complete ERP solution.

ERP consolidates information provided by various functional areas within an organisation such as CRM, Supply Chain Management (SCM), Human Resources, Inventory Management, Manufacturing – which also means that CRM is a subset of ERP.

Both solutions work seamlessly in business management solutions like Dynamics 365 and provide organisations with the opportunity to increase productivity and profitability.

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