One important aspect of business intelligence is business resource planning. These plans refer to the processes used by businesses to manage the different resources of a business and strategize an efficient way to best make use of them. Being able to properly allocate the resources of your company allows you to guarantee that you are doing everything you can to maximize your efficiency. To do so, proper business resource planning is needed to formulate the perfect solution for you. These solutions can take two forms: business resource management or enterprise resource planning. In this article, we will take a look at the different resources that go into your business, the different ways to manage them, and see which method would be the best way for your company.
Business Resource Management vs Enterprise Resource Planning
The resources that go into your business are numerous. These resources range from human labor, financial resources, infrastructure, IT, inventory, etc. Going into more detail, we can outline how these resources affect your business specifically, and which resources are focused on by business resource management and enterprise resource planning.
- Business resource management focuses on the previously mentioned resources by managing them so that they are used efficiently. This is done through the use of a model that maximizes the output of these resources by minimizing the input. This is done by first documenting the different processes that your business performs on a day-to-day basis. With this documented, the next step is to map these processes out so you can have a visualization of what resources your business is using and how they are being used. From here, you will need to determine if there are better ways to perform your tasks, such as assessing whether you are spending too many resources on one task, rather than having an even distribution. For instance, labor might be spread out unevenly across your business, with employees being tasked with assignments that do not match their skill set as much as another one. Or, you may be a manufacturing company that might have an issue with ensuring the quality of your product. A well-crafted business resource management system will be able to pinpoint the problem and reduce inefficiencies.
- Enterprise resource planning, on the other hand, is technology-focused and aims to integrate the business processes of your company. What this means is that with the use of software, you are able to collect and analyze your data in an organized manner, and make decisions about your use of resources. While at first glance this seems like a more efficient way of business resource management, the difference is that enterprise resource planning primarily focuses on resources, such as payroll, purchasing, invoicing, inventory, and manufacturing, and its impact on the core business processes of your company. It does this by providing real-time updates on these processes. Having all this data in one place is the purpose of enterprise resource planning, which is to provide you with quick and easy access to all the vital information of your business.
What a Finalized Business Resource Plan Can Do
Once you have determined what resources your business should be most concerned with, you can determine which method to choose to effectively manage them. As previously said, two potential solutions for your business can take the form of either a business resource management system or an enterprise resource planning system. While both plans share a goal of improving productivity and profits, they go about this goal in different ways. These two methods have their own distinct advantages and disadvantages, so it is important to choose the correct business resource plan best suited to your company.
- Business resource management aims to map out your business process and analyze the different resources that go into it. And based on this information, you can determine if there is a better way of performing these tasks to make sure that resources are not being wasted or mismanaged. By mapping out your business tasks and resources, you have the advantage of having a clear plan for all your employees to follow, prevent any potential resource mismanagement issues, as well as have a visualization of how efficient your business is.
- Enterprise resource planning is primarily done through software that integrates the core resources of your company into one place. This information can be stored locally or be cloud-based, and be shared across departments in your company. And, not only do you have all this information stored at once, but this information is also continuously updated, eliminating the need to manually do so. This allows all your departments to be on the same page when making decisions. While you still need to determine the most efficient use of your resources manually, having enterprise resource planning allows you to improve productivity by eliminating the time needed to prepare all this information beforehand, get straight to decision-making, and have the necessary information available to your employees allowing them to work more efficiently.
As you can see, these two methods cover similar but ultimately different goals. So, if your primary concern is whether your business is as efficient as it can possibly be, then a business resource management plan might be the solution for you. If you need quick access to the data of your core business resources stored in a single place, accessible to all relevant department heads, enterprise resource planning can give you the software you need to do this. However, you can implement these systems together, and reap the benefits of both. By doing so, you gain the centralized data of your business through enterprise resource planning. And with this data, you can then implement a business resource management system more easily. By having both systems in place, you can optimize the use of resources in your business with the most up-to-date data about your company.
Whether you decide to go with business resource management, enterprise resource planning, or both, due diligence is needed to document all this information and implement them into a working system. This is a time-consuming task that requires technical knowledge about business intelligence to be done successfully. This is why to effectively manage your resources it is best to hire a technical and documentation writer to write up a business resource plan due to the amount of time and effort it goes into creating one. Managing resources is an effective way to ensure the maximum efficiency of your company. So, a poorly written plan would hinder your company’s success. EDC’s technical writing and documentation services have both the technical knowledge, and documentation skills to provide you with the right business resource planning for your company.
How EDC Can Help
Whether you need a team of consultants to produce a complete line of documentation or a single technical writer for a brief project, Essential Data’s Engagement Manager will lead the project from start to finish. At Essential Data Corporation, the quality of our work is guaranteed. Contact us today to get started. (800) 221-0093 or email@example.com
Written by Stanley Chu