At a certain growth stage, a company’s existing tools no longer meet its business needs. Finances are spread across multiple spreadsheets, resource planning is done manually, and information about teams and workloads is stored in disconnected systems. This leads to a loss of control over expenses, errors in profitability forecasting, and inefficient operational management.
In such situations, companies begin seeking a centralized solution — typically, an ERP system.
What Is ERP: A Brief History and Types of Systems
ERP (Enterprise Resource Planning) systems evolved from MRP (Material Requirements Planning) solutions used in manufacturing back in the 1960s. Today, they are comprehensive platforms that integrate finance, HR, logistics, sales, inventory, and other processes into a single digital ecosystem.
There are several types of ERP systems:
On-premise: Installed on a company’s internal servers.
Cloud-based: Accessed via a web browser and updated automatically. SHERP’s ERP system falls into this category.
Hybrid: A combination of on-premise and cloud infrastructure.
Choosing between an on-premise or cloud-based ERP system depends on the company’s specific needs and the overall cost of the solution.
Key Advantages of a Cloud-Based ERP System
A cloud-based ERP system offers several important benefits:
- Companies don’t need to invest in building or maintaining IT infrastructure.
- The system can scale with business growth without additional spending or complex upgrades.
- Technical maintenance, updates, and cybersecurity are handled by the provider, allowing internal teams to focus on core business activities rather than infrastructure issues.
Every company handles sensitive data, and when that data isn’t protected, it’s not just numbers at risk — it’s trust. That’s why we leverage AWS Web Application Firewall (WAF) to protect our applications from common web exploits and malicious traffic.
How ERP Works in Practice — Real-World Edge Cases
ERP systems enable businesses to manage core processes automatically — from resource allocation and revenue tracking to task execution and profitability. However, their true value lies in unifying all data and workflows in one centralized platform.
In other words, ERP is your company’s real-time control panel.
Imagine a fast-growing company: financial data is scattered across Google Sheets, employee records are maintained manually in Excel, and several specialists sit idle on the bench — only brought in during emergencies. A designer, assigned full-time to a single project, ends up spending two hours a day on marketing tasks. Managers are forced to make decisions without a clear view of workloads, budgets, or progress.
The company starts losing profitability, becomes less transparent, and underutilizes its resources.
This isn’t hypothetical — it’s based on a real case from a service company that adopted SHERP.
After implementation, the team gained centralized resource control and real-time analytics — solving key operational challenges:
Inefficient Resource Use and Rising Costs
Without transparent planning, specialists often work outside their core responsibilities. For instance, a designer assigned full-time to a project spends 1–2 hours per day on marketing tasks, reducing their effective utilization to 75–87.5%. This increases operational costs and decreases efficiency.
ERP systems track employee workloads in real-time, detect anomalies, and optimize resource allocation — lowering costs and boosting productivity.
Declining Profitability Due to Lack of Visibility
When there’s no clear plan for resource utilization and cost allocation is inconsistent, margins drop. ERP systems automate Delivery Gross Margin calculations, helping companies detect unprofitable initiatives and make informed decisions.
Shadow Work and Ineffective Planning
Developers and designers are often pulled into multiple tasks without prioritization, delaying key projects. ERP platforms offer Capacity Planning tools that help managers identify team overload or underutilization and quickly adapt to changing conditions.
Uncontrolled Bench Time
Idle specialists can cost companies $100,000–$200,000 per year. ERP systems provide real-time productivity analytics, allowing for better rotation planning and reducing unnecessary downtime — minimizing overhead, and increasing efficiency.
Manual Work and Reporting Errors
Manual data entry wastes hours and increases the risk of human error in reporting. ERP systems fully automate reporting, reduce manual tasks, and deliver accurate, real-time data for better business decisions.
When to Implement an ERP System
Start by Identifying Operational Pain Points
Do you clearly understand who is doing what? How much are you spending on bench time? How many hours do your employees spend on project work versus “shadow” tasks?
SHERP is often implemented when manual process management becomes unsustainable – when spreadsheet data conflicts, decisions are made on instinct, and profitability is calculated by manually reconciling Excel files.
Clearly Define Your Implementation Goals
For some companies, the goal is budget transparency. For others, it’s better control over resource utilization. SHERP is designed specifically for IT companies, and we understand your business needs — from staffing to reviewing grade structures.
Choose a System That Already Solves Your Problems
SHERP includes pre-built modules for Time Tracking, Delivery Margin, Bench Management, and more. You don’t need to integrate multiple tools or build custom solutions from scratch. The logic is already in place to prevent losses — before they appear in your reports.
Support and Maintenance
With SHERP, you’ll work with a dedicated team that adapts the system to your company’s structure, migrates your data, and configures key features. We train your HR, finance, and delivery teams — not just how to use the platform, but how to make smarter decisions with it.
We respond quickly to all requests — from setup to third-party integrations.
SHERP is a cloud-native system built on AWS. We take care of technical support, updates, security, and platform stability — so you can focus on growing your business, not maintaining infrastructure.
Want to see it in action?
If you’d like to explore more real-world examples, feel free to check out our case studies — and see how SHERP has helped companies like yours transform operations, improve efficiency, and boost profitability.
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