ERP In Ethiopia

ERP In Ethiopia

Ethiopia-erpEthiopia is a democratic country situated in East Africa. It can be considered as one of the oldest independent countries and the second largest in terms of population in the entire African continent. Surrounded by Somalia, Eritrea, Djibouti, Kenya and Sudan, this country has a rich cultural heritage. Ethiopian Orthodox Church which is one of the oldest Christian churches, acted as a symbol of the independence of Africans throughout the colonial period.

Ethiopian Economy – A Sneak Peek

Agriculture dominates the economy of Ethiopia with 85% of the total employment which accounts for about 46% of the GDP of the country. With promising prospects and a huge domestic market, it tends to be one of the fastest growing economies in the world. The Ethiopian economy grew at over 10% from 2004 -2009 and was the fastest growing non-oil economy in Africa. Many sectors like Finance and Insurance, Telecommunications, Retail and Transportation Services are under the state control with an expectation of a very bright future. Though it possesses full potential to become the regional economic powerhouse, the closed economy with Government interventions has suppressed its growth potential. Besides Agriculture, the economy of Ethiopia broadly depends on Fishing, Minerals and Mining, Manufacturing, Energy, Tourism, Transport and Forestry. Fishing includes a small part of economy with freshwater fishes only. Minerals like soda ash, opal, coal, tantalum deposits are found in plenty for the mining activities. Gold can also be found in significant amounts in this country. Ethiopia is also the largest producer of coffee in Africa.

Enterprise Resource Planning (ERP) in Ethiopia

ERP Systems have been successfully implemented in many enterprises in Ethiopia. After implementation, ERP Software provides tremendous benefits like quality improvements, optimum utilization of scarce resources and cost reduction in the organization.An ERP Suite plays a critical role in integrating and automating the business processes in an enterprise. ERP in Ethiopia has helped in exposing the Ethiopian enterprise to the best practices and processes adopted internationally and serves as a catalyst to enhance their productivity and efficiency as well.  Increasingly Ethiopian enterprises are witnessing and realising the tremendous benefits a versatile and powerful ERP System brings to an enterprise and the imperative need for them to start their own enterprise automation journey as well with the implementation of a suitable ERP Solution in their enterprise too.


Some Benefits of anERP System Implementation in the Manufacturing Sector:


  • Improved Visibility: AnERP Software captures, stores and serves all the data which is important for the organization.It also helps to store the important documents in a single database common to all functions and this information can easily be shared whenever required in future at the click of a button. Since every user is working on the same database it creates a system of only “One Version of the Truth” across the enterprise.
  • Prevention of Errors in Data Entry: An ERPBusiness Management Software helps in eliminating all the data entry errors easily. e.g. It does not allow the user to save a Form until all the mandatory fields have been entered. Thus the possibility of incomplete data being captured is eliminated altogether. The ERP System also updates the entire data throughout the organization and can therefore provide the latest transactional data without any errors or time-lag.
  • Consistent Directions:ERP can decrease manufacturing errors and improve the quality of the finished product effectively. The software helps to provide a step by step guide to the employees to perform their functional processes in a sequential manner and in the right direction.
  • Efficient Collaboration with Customers, Suppliers and Employees:The ERP platform helps in connecting with business partners, clients, suppliers as well as employees. In today’s challenging and extremely competitive business environment this is a critical requirement as any enterprise needs to constantly satisfy the needs of all these 3 sections for sustenance in business.

Effective implementation of ERP in Ethiopia is very crucial to seamlessly automate, review and control a business across all its departments and locations and in real time. Production quality can also be far better than manual labour intensive processes used traditionally earlier.