An ERP, or Enterprise Resource Planning system, is software that unifies a business's core processes — such as operations, workflow, billing and finance — in one connected system. Instead of separate tools that do not talk to each other, an ERP shares data across the whole operation.
In plain terms
Where a CRM focuses on client relationships, an ERP is broader: it ties together how work is delivered, billed and accounted for, so the business runs on one backbone.
Example
A firm's orders, invoices, tasks and accounting all read from the same data, so an order raised in one place automatically drives the work and the books.
Why it matters
An ERP removes the reconciliation and re-keying that come from disconnected systems, giving one accurate, real-time picture of the business.
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