Choosing the right ERP system helps commerce businesses streamline operations, sync data across departments, and scale efficiently—whether through cloud, on-premise, or hybrid solutions.
Ever wonder how big companies keep their departments running smoothly together? That's where ERP (Enterprise Resource Planning) comes in. Let's break down what ERP is, how it works, and how to pick the right system without all the corporate jargon.
Simply put, ERP is software that helps businesses manage their core processes. It pulls data from across your company - supply chain, sales, HR, manufacturing, accounting - so everyone's on the same page with real-time info.
ERPs started back in the 1960s as inventory management systems for manufacturers. Fast forward to today, and they've evolved into powerful tools that help businesses make smarter decisions and boost profits. The industry is expected to hit $49.5 billion by 2024 - that's how important these systems have become.
An ERP system creates one central database where all your company info lives. Think of it as looking under the hood of your business engine while it's running.
Some major benefits include:
This is the traditional setup where you own the data centre. Big companies often prefer this because they have the cash and resources to handle maintenance. But it's slower to deploy, requires full-time administrators, and makes changes difficult.
About 65% of companies now choose cloud-based systems. These are accessed over the internet rather than installed locally. They typically come with subscription pricing, include all maintenance and updates, and can cost up to 46% less than on-premise solutions. They're also easier to integrate with E-commerce platforms and faster to deploy.
This newer approach lets organisations keep their legacy ERP systems at headquarters while smaller business units use different (often cloud-based) solutions. It's more affordable than forcing one system on everyone and easier to implement.
You might need an ERP if:
Talk to everyone in your company about what they need from an ERP. Have each team create must-have and nice-to-have lists.
Set specific goals like reducing inventory by X% or improving manufacturing cost quotes by Y%.
Provide vendors with a script of key functions you want to see or give them a goal and see how they respond.
Ask past clients about kept promises, surprises, and things they wish they'd known beforehand.
Understand all costs: upfront, maintenance, support, and recurring fees.
Research if they're financially stable or likely to be acquired.
Best for commerce businesses
Shopify's Global ERP Program lets selected partners integrate directly through the Shopify App Store. They've partnered with Microsoft Dynamics 365 Business Central, Oracle NetSuite, Infor, Acumatica, and Brightpearl.
This gives you access to up-to-date inventory, product, order, and customer data. Your information flows securely between Shopify admin and your ERP without third-party connections.
Why I picked Shopify: Shopify is the go-to platform for e-commerce businesses, offering a seamless, scalable solution with powerful integrations. Its Global ERP Program is a game-changer for merchants managing complex operations, ensuring real-time data sync without relying on third-party tools. While Shopify is feature-rich and beginner-friendly, transaction fees can add up if you don’t use Shopify Payments.
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Best for CPG businesses
Settle's dashboard shows you all the important stuff at a glance - payments, bills, and tasks you need to tackle.
Settle is basically a cash flow management and financing platform built for small businesses, especially those selling packaged goods (CPG). It bundles together tools for procurement, inventory management, automated bill payments, and financing when you need extra cash.
Why I picked Settle: This platform makes paying vendors super simple with its AP automation, and it comes with bank-level security without forcing you into setup fees or long contracts. The best part? Everything lives in one place - vendors, purchase orders, bills, and payments - so you can actually see what your products truly cost. No more messy spreadsheets to track your COGS. Their inventory forecasting also tells you when to reorder stuff before you run out, which helps keep your finances healthy. It's perfect if your business is growing fast and you're juggling lots of vendors and products.
Settle standout features & integrations
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Best for stores with multichannel sales strategies
See your customers' full history so you can personalize how you talk to them.
Brightpearl plugs right into your ecommerce platforms to handle multichannel sales without the headaches.
Why I picked Brightpearl: If you're selling across multiple channels, you need your data to be in sync - that's where Brightpearl shines. It grabs, stores, and backs up all your info in one place, so you can make smarter decisions like matching your marketing to how people actually shop. It handles everything from accounting and marketing to sales for businesses of any size. As your company grows, Brightpearl scales with you, with different service tiers to make sure you've got the right support.
Brightpearl Standout Features and Integrations
Price: You'll need to contact them for custom pricing. Free Trial: They offer a free demo so you can see if it's right for you.
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Best for E-commerce intelligence
See every detail of all your purchase orders in one place.
SAP ERP is a cloud platform that gives even smaller ecommerce companies the same powerful tools as the big players.
Why I picked SAP ERP: This platform lets you track customer behavior, simplify how you work, and spot product trends without breaking a sweat. It connects with your ecommerce store to show you exactly what's in stock by recording every transaction, customer, delivery, vendor, and inventory level. This kind of visibility is gold in today's growing ecommerce world. SAP includes all the essential tools small and medium-sized ecommerce businesses need, plus access to over 500 add-ons so you can customize it for your specific industry. It's perfect if you've outgrown your current systems or want to replace multiple programs with one solution.
SAP ERP Features
Price: Contact for custom pricing.
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ERP implementations can go wrong - companies have written off millions in failed projects. Common risks include going over budget (most ERPs cost 3-4 times the initial estimate), security vulnerabilities, employee training needs, and vendor dependency.
To avoid these pitfalls, clearly define your objectives, evaluate your IT needs upfront, and create a way to track success from the start.
