How AI is Changing the Future of ERP Software?

Despite being a relatively new technology, AI (Artificial Intelligence) is making serious waves in the market. By 2020, it is expected that almost every new piece of software on the market will be gripped by the AI technology in some form. Be it eCommerce, Finance, Insurance, or health sectors AI is delivering the best solutions everywhere.

ERP software, which promises operational efficiency as a defining characteristic, is also no different than the other. ERP software is proving a breeding ground for the implementation of such future-forward technologies. AI is playing a very vital role in improving ERP software using Machine Learning (ML) and Natural Language Interfaces. 

If we talk about AI-driven ERP software, there are numerous examples of it. Many ERP software also includes a number of microservices integrated with a cloud platform. There are many companies and organizations that have already implemented the number of AI-based tools for its ERP solutions, which include digital assistants, analytics, data insights, financial controls, and smart supply management. 

ERP System With AI

AI as technology appears to imitate human performance. AI ERP systems can recognize patterns, provide advanced analytics, make predictions, and automate finances, routine tasks & sales. AI-driven software can do all these tasks with the blink of an eye. Thus masking businesses more efficient, functional and gives insight into their data. Along with that, AI also improves the user experience through interaction.

  • Advanced Analytics

The major application of AI is to work with massive amounts of data enabling real-time and precise data insights. Let’s take an example –  AI can analyze the search and ordering behavior of customers belonging to different categories. This analysis will be helpful for you in tailoring your products as per the needs of a certain audience.

  • Financial Management

AI is transforming our way of interaction with money. AI in finance is paying dividends. With AI, you can give customers smarter, more convenient, safer ways to access, spend, save and invest their money. Along with all that, it can also automate quarterly and monthly processes and closing operations by verifying reports for accuracy and comparing account balances between independent systems. Like – AI can categorize invoice data into different accounts and distinguish between a phone purchase and a monthly phone bill.

  • Forecasting

As you know, Artificial Intelligence is capable of processing historical data. Analyzing that data, AI can make predictions for the future. In this way, AI-driven tools can identify seasonal patterns in any business. Depending on the patterns, it can offer suggestions on whether you should decrease or increase production. This will not only reduce the forecasting cost, but the forecasting will be quite accurate. Consequently, it will help you in managing the production and reduce the risk of underproduction or overproduction.

  • Warehouse Management

AI-driven ERP systems can examine numerous demand forecasting models that too with accuracy, adjusting to different types of variables, including variations in demand, and introduction of new products.

  • Interdepartmental Processes

It is quite a daunting task to connect sales, inventory, and accounting if done manually.  However, with AI, it can be done easily. AI can manage the huge amount of varying data, thus, making it the perfect solution for creating a centralized platform.

  • Production Processes

AI can minimize the waste of resources with predictive diagnostics and identifying the processes which use too much energy. When integrated with an ERP system, Artificial Intelligence can also detect inefficient processes and suggest a solution that will cut costs. 

  • Human Resources 

AI can handle the human resource and customer service domains as well. Nowadays, there are many AI-enabled ERP software which is proactive. This has the advantage when a company needs to analyze the data to find out what employees need a raise. Apart from that, it can also accelerate the recruiting process by analyzing data on the skills and experience of applicants. 

  • Sales Automation & Customer Service

Nowadays, if you will get in touch with the customer support team or sales team of any company, you will find that initially chatbots that are powered by AI responses to your query and conduct the sales triangle. Later, it is automatically assigned to employees of that company after evaluations. 

  • Improves User Experience

Artificial Intelligence plays a major role in improving user experience through interaction. Depending on human input, AI can make intelligent decisions which in turn can make the application faster and more smooth experience for the individual user. 

Looking For AI-driven ERP Software?

Possibilities Artificial Intelligence adds to the ERP system is not only limited to these ways.  While ERP software has always been able to integrate and manage various functions within an organization, AI takes this integration to another level by analyzing large amounts of data, making predictions and suggesting the next steps. At Asterro, we can help you to select and develop AI-enabled ERP software that increases your operational efficiency and improves your customer experience.

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