What is an enterprise application? Examples & benefits

Most businesses rely on technology adoption to run more smoothly and efficiently. These tools make tasks easier and help boost employee productivity.

One example is an enterprise application. It uses advanced tech like automation and data analytics to help companies manage and improve their operations. These applications can make a business more efficient and competitive when used well. 

They’re especially useful for companies that want to increase their return on investment (ROI) while keeping costs down.

In this article, we’ll break down what an enterprise application is and why it’s important and give examples of different types. We’ll also cover the benefits and challenges of using these tools so you can make an informed choice for your organization.

What is an enterprise application?

An enterprise application helps businesses simplify and automate their work. These tools can improve productivity, efficiency, and teamwork across different departments.

Unlike apps for personal use, enterprise applications focus on improving business processes. They can be as simple as a customer management system or as advanced as AI software that handles everyday tasks.

This reduces manual work and makes processes easier to manage. Enterprise applications can also be part of a single system that manages data, tasks, and resources in one place.

Why is an enterprise application important?

An enterprise application is important because it helps businesses run daily operations more efficiently. It also allows companies to grow without raising costs too much.

For example, it can automate tasks in HR, payroll, marketing, and data entry tasks. This frees up employees to focus on more important work instead of repetitive tasks.

Enterprise applications also include tools like project management software and data analytics. They help businesses offer personalized services that better meet customer needs.

What are the main types of enterprise applications?

Several examples of enterprise applications are available. 

So, we’ve compiled a list of the top 7 types of this tool: 

1. Human resource management (HRM)

Example: Rippling

HRM systems are handy for HR professionals because they make managing tasks much more efficient, from hiring to retirement.

This system keeps all your employee and candidate information organized. It also helps with planning benefits and makes sure payroll is accurate. By streamlining the hiring process, it can boost employee retention and engagement.

HRM systems also offer training opportunities and track things like onboarding progress. They handle time and attendance and sync this data with payroll. 

Plus, they assist with workforce planning, monitor performance reviews, and support succession planning. They cover all the bases for managing your team effectively.

2. Business intelligence (BI)

Example: Looker

Let’s break down how business intelligence software works. It takes raw data and turns it into useful insights that help with making smart business decisions. You’ll have access to all kinds of data—historical, current, internal, and even from outside sources. It can also handle more complex data, like social media content.

With this software, you can analyze the data to see how your business is doing and plan your next steps. It helps you make better decisions by spotting problems, identifying market trends, and finding new opportunities.

Having a clear view of current data can improve how you make decisions and drive your business forward.

3. Customer relation management (CRM)

Example: Salesforce Sales Cloud

A CRM helps manage all your interactions with current and potential customers. The whole point is to strengthen those relationships and boost your business growth.

CRM tools pull in data from various sources and use AI to help you manage these relationships across marketing, sales, digital commerce, and customer service.

You get a unified customer profile on a single, secure dashboard. This profile shows purchase history, order status, and ongoing service issues.

This setup keeps everything organized and helps you stay focused on making money. By really understanding your customers, you open up more cross-selling and upselling opportunities, which can lead to better business and higher revenue.

4. Enterprise resource planning (ERP)

Example: Oracle Cloud Enterprise Resource Planning (ERP)

Think of enterprise resource planning (ERP) as a system that helps organizations manage all their daily activities. This includes everything from accounting and procurement to project management, risk management, compliance, and supply chain operations. Plus, it has tools for planning, budgeting, forecasting, and reporting financial results.

What’s cool about ERP systems is that they link up different business processes and ensure that data flows smoothly between them. They pull data from various sources, which helps avoid duplication and keeps everything accurate. This means the information you get is reliable and consistent across the board.

In a nutshell, an ERP system connects people, processes, and technology within a business. This connection is key for driving business transformation and making operations more efficient.

5. Supply chain management (SCM)

Example: Sage

Supply chain management (SCM) involves overseeing manufacturing duties, including obtaining raw materials to deliver the final product. While people often think of SCM as just logistics, that’s only one piece of the puzzle.

SCM covers a bunch of areas. These areas include procurement, product lifecycle management, planning, logistics, and order management. It also deals with global trade, handling international suppliers, and production processes.

To make SCM work well, companies need to look at their supply chains from the customer’s viewpoint. It’s not only about getting products delivered on time; it’s about ensuring everything runs well at every stage—before, during, and after the delivery.

6. Contract lifecycle management (CLM)

Example: Ironclad

Let’s talk about contract lifecycle management (CLM). It’s all about managing contracts from the very beginning to the end. This means this software can create contracts, negotiate terms to get approvals, execute agreements, and keep track of performance. It also includes managing renewals or expirations.

Using CLM software can streamline this process. It centralizes all your contract data and automates vital tasks. Without it, managing contracts can be pretty slow and disorganized. This leads to inefficiencies and a higher risk of losing essential data.

CLM software can update employee contracts for HR teams and ensure they follow laws. Finance and operations teams can also keep track of contracts and reduce data loss.

7. Product lifecycle management (PLM)

Example: Teamcenter 

Let me explain what product life cycle management (PLM) is all about. PLM helps businesses handle every stage of a product’s life, from design and development to distribution, marketing, and sales. It’s all about speeding up the time it takes to get products to market and making the whole process more cost-effective and efficient.

One of the great things about PLM is that it brings different teams together. Using a standardized process improves communication and encourages teams to solve problems collaboratively. When teams work well together, businesses become more efficient.

This teamwork cuts down the time to market and increases flexibility. Plus, PLM helps reduce waste and improve product quality by breaking down complex tasks into simpler steps.

What are the benefits of an enterprise application?

The most important advantages of using an enterprise application are:

Betters customer experience

Enterprise applications are ideal for boosting team performance and improving the customer experience. Think of tools like CRM systems or business intelligence software. When your team is more productive, it means customers get better-quality products.

These applications also help with customer success by creating more meaningful interactions. You’ll see higher satisfaction and loyalty when you build better customer relationships. For instance, looking at customer data helps you design loyalty programs that customers value.

And here’s another perk: enterprise applications can analyze data based on the type of customer. This helps you create tailored solutions that keep customers coming back.

Lowers costs

Enterprise applications help businesses streamline operations. This results in more efficient processes and employees. This boost in efficiency can help lower costs. With the extra time saved, employees can focus on new ways to increase revenue with the additional time saved.

Often, businesses use different systems for different tasks. For instance, you could use a finance system for payments. Other employees might use a supply chain system to manage orders and deliveries. When these systems don’t talk to each other, it leads to a lot of duplicated work. Rather, enterprise applications can create one platform where all systems can work together.

Allows you to grow at a quicker rate

Enterprise applications can help organizations grow their operations and manage resources more effectively. This flexibility makes it easier to control costs and stick to budgets.

Many of these enterprise applications are cloud-based, which is a huge advantage. With cloud solutions, businesses can quickly change the tools they need. Unlike on-premise systems, you don’t have to spend a long time changing your infrastructure.

Cloud providers have the necessary infrastructure in place. So you can add extra services whenever you need them. And when the extra demand goes away, you can easily scale back to your original setup.

Improves the productivity of employees

Enterprise applications help boost employee productivity by automating repetitive tasks and reducing manual work. They also make it easier to keep all information in one place, so employees don’t waste time hunting for data.

With these tools, employees can quickly respond to questions and concerns. They also have more time to spend with customers without feeling rushed.

When productivity goes up, employees have time for creative problem-solving. Plus, with the right tools and processes, employees feel less stressed. This kind of environment makes them more motivated to work together.

Allows your operations to be more efficient

An enterprise application connects all a company’s tools and services. In this way, you can make business processes more efficient. It helps you get better results while using fewer resources and creating less waste. This means you save time, effort, and money on tasks.

With everything running smoothly, businesses can offer better value to clients. It also makes using employee skills and technology to provide personalized services easier. This, in turn, helps attract and keep top talent, which supports long-term growth.

When efficiency improves, employees can tackle complex problems and get creative. So, they spend less time on repetitive tasks and more on engaging work.

What are the challenges of implementing an enterprise application?

The main challenges of putting in place an enterprise application are:

More end-user support needed from IT

When your team starts using a new enterprise application, there will likely be some bumps along the way. They might run into issues as they get used to the new tool.

Without proper support, users can get frustrated, progress can slow down, and you might not see the technology’s full return on investment (ROI).

To help with this, consider using adoption software alongside the new tool. It can guide employees through the learning curve and reduce the need for constant IT support. This way, the transition will be smoother and more efficient.

Lack of a structured communication strategy

Clear communication is key when making any change, big or small. Without it, people might get confused and resist the changes more.

It’s a good idea to set up a solid communication plan to avoid this. This should include:

• Meetings to announce the changes and explain what’s happening.
• Training sessions will go over the details and help everyone understand the changes.
• Communication channels where employees can ask questions and discuss the changes.

This approach helps everyone stay on the same page and smoother the transition.

Integrating various types of tools together

Combining old systems with new applications can be tricky. Older systems often don’t work well with modern apps.

The more outdated your legacy applications are, the harder to integrate them. To fix this, look at various enterprise applications. Make sure they can work with your current setup.

Driving end-user adoption and reducing resistance

Getting employees to embrace new tools can take a while. This is especially true if they’re used to doing things the old way and are hesitant about change.

To make the transition smoother, make sure the new software is user-friendly. Provide guides specific to each role and offer plenty of support resources. 

Also, a change management plan should be put together to explain the benefits of the new tools. This will help everyone see why the change is worth it and make them more likely to board.

Choose an enterprise application solution that is right for your needs

Enterprise applications can boost a business’s efficiency. They offer real-time analytics that helps us make smarter decisions for long-term growth.

These tools also enhance communication and teamwork between departments. Plus, they improve customer satisfaction by providing better management and engagement features. For example, CRM software helps track customer interactions and data. ERP tools streamline key business processes.

HR management software makes handling recruitment, onboarding, and performance appraisals much easier. When choosing a new enterprise application, just ensure it fits your specific needs. Consider your goals, resources, budget, and user-friendliness.