CRM vs ERP: What Are the Key Differences?


Put simply, CRM software is an interface through which a business and its customers interact, whereas ERP software manages internal resources to ensure a streamlined workflow. Hansen points out that CRM and ERP work hand in hand. While ERP relates to the internal functions of the business, CRM is the system that interacts with clients. Ultimately, the smart move for businesses is to implement both systems. “You need to keep an eye on both the internal workings of your business, such as finances and operations, as well as external processes, such as customer acquisition and retention,” says Hansen. Further, because they tend to work with related data, many vendors consolidate CRM and ERP functions into one comprehensive portal.


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