SME manufacturers perform several activities every day at their business. Counting inventory, creating a strategy for resource allocation, creating reports, meeting regulatory compliance, and order management are a few of them. Many software solutions are available to simplify these complex processes, and two of the best options for manufacturers are ERP software and TranZact.
Both come with various features and capabilities, such as inventory management, production planning, and quality control, to automate processes and increase business producitvity. In this blog post, we will compare ERP vs TranZact, which will help you find out which is better for your Indian SME manufacturing company.
What is ERP Software?
Enterprise Resource Planning (ERP) software is a digital solution used in several industries, such as manufacturing, automotive, banking, healthcare, telecommunication, retail, distribution, and more. It brings all business departments on one platform, whether human resources, finance, procurement, inventory, production, or sales. It collects and analyzes historical and real-time data to help you make informed decisions required for your business.
ERP system inventory management helps you manage your inventory, raw materials and finished goods. It allows you to reorder raw materials when required and helps you reduce inventory holding costs. The other modules of ERP software, such as risk management, ERP analytics, and business intelligence help you organize work orders, distribute resources, predictive maintenance, and more. ERP is suitable for large enterprises that are involved in multiple operations, such as manufacturing, banking, marketing, and more.
Read here to understand What Are the Benefits of ERP System?
What is TranZact?
TranZact is a cloud-based software solution designed to digitise business operations for Indian SME manufacturers. It helps you automate and improve processes from enquiry to dispatch. It can be integrated with barcode technology to speed up your inventory management process while reducing manual errors. TranZact inventory management software also allows you to manage multiple warehouses from one place. You can also integrate TranZact with other tools like Tally to improve your finance management.
The best thing about TranZact is that it can be implemented within 14 days. This is a good thing for SME manufacturers because a longer implementation period can cause them downtime and financial losses. TranZact also offers 24*7 chat support to help manufacturers with their queries. With TranZact, you can improve product quality, order management, and customer satisfaction.
How is TranZact Different from ERP?
ERP offers many modules to integrate all business operations, while TranZact offers specific modules to fulfill the requirements of SME manufacturers. Let’s learn how TranZact is different from ERP.
1. Focus Industry
The main difference is the purpose of both software. TranZact is specially developed for Indian SME manufacturers. It supports all types of SME manufacturers, such as electrical, electronics, plastic, chemical, printing, packaging, and more. On the other hand, ERP is complete business management software for many types of industries, such as automotive, media & entertainment, healthcare, banking, and more.
2. Implementation Time
TranZact takes only 14 days to complete the implementation in any manufacturing company without downtime. You get one point of contact from start to end. They also provide lifetime chat support. On the other hand, complete ERP implementation can take several months and even more than a year. The actual ERP implementation time completely depends on the vendor, size of the business, types of required features, infrastructure, and more.
3. Features Offered
TranZact offers all the common and advanced features that are needed to fulfill manufacturing needs. It improves the complete manufacturing cycle from inventory management and production planning to quality control and supply chain management. Some of the unique features, like accurate MRP reports and multi-level BOM creations, helps SMEs to improve their planning and execution processes for manufacturing. But ERP offers advanced features for general business needs that are suitable for large enterprises. It includes workforce planning, finance management, resource planning, and more.
4. Flexible Solutions
TranZact is designed to resolve various challenges faced by Indian SME manufacturers. Therefore, it offers flexibility to get only the required features to meet your specific manufacturing needs. For example, if you have to manage different types of raw materials in bulk, then you can integrate barcode technology with the TranZact inventory management system.
Similarly, you can add multiple stores in the system to manage them from one place. On the other hand, you need to get a complete package of ERP software at a time as you don’t have enough options to choose specific modules that closely relate to your manufacturing operations.
5. Integration Ability
TranZact can be integrated with Tally, Busy, AfterShip, ZOHO, and EASYECOM, which are frequently used by SMEs to manage different tasks. Every business is unique and has specific requirements. Thus, TranZact’s integration capabilities improve data flow in the organization and help manage different processes, such as accounting, communication, and coordination.
On the other hand, ERP software offers integration with third-party applications like CRMs and e-commerce platforms to fulfill the requirements of basically large enterprises.
6. Easy Documentation
TranZact allows SME manufacturers to manage their documents easily in a place. Whether quotations, purchase requisitions, purchase orders, invoices, or order receipts, it helps you create and manage them according to your specific requirements. TranZact also allows you to stay compliant with GST regulations to avoid legal issues. It improves transparency over each operation in your manufacturing business.
On the other hand, ERP offers separate modules to manage documents in any business. It also requires technical expertise to create and manage documents for procurement, inventory, warehouse, account payables and receivables, make a general ledger, prepare key reports, and more.
7. Flexible Pricing
When comparing ERP vs TranZact, the pricing plan is one of the main differences that makes these two software apart. TranZact offers a free plan for manufacturers to manage their basic requirements like advanced lead management. It further offers small, medium, and enterprise plans for manufacturers to choose from according to their requirements.
To learn more about TranZact’s Pricing Plans, click here.
ERP pricing plans may vary based on the vendor, integrated modules, the size of the business, the type of implementation such as cloud-based, on-premises, or hybrid, and other factors. It can be expensive for small and medium manufacturers.
8. Easy-To-Use Dashboard
TranZact is an easy-to-use software that comes with a user-friendly dashboard. The developers of TranZact understand that it can be expensive for SME manufacturers to hire additional high-tech employees just to operate the software. This is why they have developed the TranZact in such a way that anyone with basic skills can operate it.
On the other hand, ERP software may be complicated to access due to loads of features. You need to provide proper training to your employees to operate it. This is also a major difference between the two software that we observed when comparing ERP vs TranZact.
Understand the Advantages and Disadvantages of ERP.
How Both TranZact and ERP Working Together can help SMEs?
Both software are useful in their own ways and can sometimes be used together to improve productivity. Let’s learn how TranZact and ERP can help SMEs together.
1. Better Customization
If you adopt both TranZact and ERP, then you can have better customization options for your unique requirements. For example, if your business is focused more on distribution, then you can use ERP for inventory management and TranZact for production purposes. Similarly, if you want inventory management software for small business, then you can use TranZact, and for banking and accounting activities, you can use ERP software.
2. Improved Data Management
When you want to make informed decisions for your business, it is important to collect and analyze data. When you have both TranZact and ERP in hand, you can improve your data management. It can help you identify bottlenecks more easily so that you can prevent downtime. It can also help you with predictive maintenance of machines and increase the productivity of your business.
3. Optimized Process Management
ERP and TranZact together can help you improve your processes based on your requirements and goals. For example, ERP software can help you with demand forecasting, customer relationship management, and manage accounting activities. On the other hand, TranZact’s small business inventory management tool helps you manage your raw materials and finished goods more efficiently.
4. Adaptability To Changes
SME manufacturers need to increase or decrease their production volumes to improve their demand management. When you use both ERP and TranZact in your company, you can adapt to changes more easily. Both software can help you rearrange work orders and distribute resources in real time to achieve your production targets. It allows you to modify your strategies to fulfill current orders and prepare for future orders.
5. Scalability For Growth
ERP and TranZact together can help you grow your business according to your goals and market trends. For example, TranZact inventory management software is best suited when your manufacturing business is in the growing phase. When you are ready to expand your business to retail, distributor, or above level, an ERP inventory system can help you manage additional data and operations like HRMS.
ERP & TranZact: A Complete Manufacturing Inventory Software/ Solution
Based on ERP vs TranZact comparison, we saw that both software offer various features to manage your inventory. TranZact is the best inventory software for small business and ERP inventory software is more suitable for large enterprises. However, ERP & TranZact together can be a complete manufacturing inventory management solution for businesses of any size, whether small, medium, or large.
If you are running a small manufacturing business and planning to expand, then you should adopt both ERP and TranZact. It can improve your procurement and production activities and contribute to better product quality. It can also help you improve your financial management and comply with the required rules and regulations set by the government and manufacturing industries.
Grow Your SME Manufacturing Business with TranZact
In this ERP vs TranZact comparison, we found that ERP is suitable for large enterprises, while TranZact is best suited for small and medium businesses. TranZact offers all the modules of ERP solutions that are needed in the manufacturing industry.
It offers solutions like multi-location inventory management software, production planning software, manufacturing ERP software, and more to improve processes from enquiry to dispatch. It also improves your document management by increasing visibility and transparency.
Implement TranZact today to improve your manufacturing cycle and the productivity of your small and medium-sized manufacturing business.
FAQs
1. Is TranZact a better choice than ERP systems for small business inventory management?
Yes, TranZact is a better choice than ERP systems for small business inventory management because it is specially designed to overcome the challenges faced by Indian SME manufacturers.
2. What is the difference between ERP and TranZact in terms of business management software for SMEs?
ERP systems offer features to integrate all departments in businesses, such as human resources, CRM, Banking, and Financial management. On the other hand, TranZact is more focused on processes like inventory management, production planning and scheduling, and quality control.
3. What are the main differences between ERP and TranZact for SME manufacturers?
The main differences between ERP and TranZact for SME manufacturers are as follows.
- ERP is designed for all businesses, but TranZact is designed for Indian SME manufacturers.
- ERP can be complex, but TranZact is easy to use.
- ERP can be expensive, but TranZact offers flexible pricing.
- ERP implementation can take several months, but TranZact can be implemented in only 14 days.
- ERP requires training to operate, but TranZact can be operated with basic technical skills.
4. How does TranZact improve inventory management for small businesses compared to traditional ERP systems?
Traditional ERP systems can be complex and expensive for small businesses to improve their inventory management. However, TranZact offers features like multi-location inventory management and barcode integration to improve small businesses' inventory management.
5. How does TranZact handle the specific inventory management needs of SME manufacturers?
TranZact handles the specific inventory management needs of SME manufacturers in the following ways.
- Creating a unique item ID for each.
- Categorizing each inventory item.
- Providing current stock details with units of measurement.
- Allowing the use of multiple pricing points.
- Setting min/max stock levels.
- Sending alerts via email and WhatsApp.
6. Which software, ERP or TranZact, is better suited for scalability as a small business grows?
TranZact is better suited for scalability as a small business grows because it allows for the management of additional data and operations.
