Is SME an ERP?
By Mark Stair

SME has gotten to be such a great solution for service companies, that we recently asked ourselves “Is SME an ERP system”? Just like any interesting question, it really made us think…
First we had to ask, what is the definition of an ERP system? So of course we jump over to wiki http://en.wikipedia.org/wiki/Enterprise_resource_planning to get the definition. Here are a couple key points:
1. “An ERP system is a business support system that maintains in a single database the data needed for a variety of business functions such as Manufacturing, Supply Chain Management, Financials, Projects, Human Resources and Customer Relationship Management.”
2. “An ERP system is based on a common database and a modular software design. The common database can allow every department of a business to store and retrieve information in real-time. The information should be reliable, accessible, and easily shared.”
3. “To be considered an ERP system, a software package must provide the function of at least two systems. For example, a software package that provides both payroll and accounting functions could technically be considered an ERP software package.”

So starting with the easiest part is point number 3. Based on this definition, SME is DEFINITELY an ERP! SME has over 30 modules for various business functions. On the sales and sales force automation (sfa) side, SME has sales lead and prospect tracking, proposals, direct marketing, and email marketing. On the customer or CRM side it has customer equipment, account, and contract tracking. Of course SME also handles Projects, Work Orders, Technician resource scheduling, subcontractor management, receivables, inventory, asset tracking and help desk management. The only problem with this definition is that it’s too simplistic because you would also say that QuickBooks is an ERP and probably most other business software programs.

So looking at number 1 above, SME definitely meets this definition for service companies. SME doesn’t handle manufacturing unless you consider your “product” is installation and service orders so the “manufacturing” is the processing of these orders to get the work done. Other than that, SME handles supply chain (inventory management), financials (invoicing and payments), projects, human resources (technician dispatch and scheduling), and Customer Relationship Management.

Ok, so finally question 2… Well yes, SME meets this definition also. SME uses a single Microsoft SQL Server database (with many tables!!) and a modular software design. Data is available in real-time and is reliable, accessible and easily shared.

So technically, SME meets all the definitions of ERP. However there are a couple definitions that we don’t meet:
• ERP systems tend to cost millions of dollars to purchase and deploy.
o Sorry, SME can be deployed from thousands to tens of thousands of dollars. So if you are looking to get a bloated IT budget you will have to find a more expensive solution.
• ERP systems take months to years to setup and deploy; again per wiki “A small project (e.g., a company of less than 100 staff) may be planned and delivered within 3-9 months; however, a large, multi-site or multi-country implementation may take years.”
o With our QuickBooks integration and the initial sync, some companies get up and going on SME within hours.
o Most companies do the SME install, sync with QuickBooks, setup, and training in less than a week.
o A few companies need custom design and more complex data migration and can take a couple months to fully migrate to an SME solution.
o However, no matter how you slice it with SME, you will be up and running 10 times faster than other ERP systems, so your staff will need to work on areas of your business that produces value such as sales, marketing, service work, customer relations rather than fiddling with a software solution for years. Where is the job security in that!

So, in summary, SME is an ERP solution without the bloated cost and deployment times. In addition, with the integration with QuickBooks and our new partnership with Tableau for analytic reporting, you have a powerful ERP solution for service businesses.