Understanding ERP Modules ROI India is crucial for businesses planning to invest in an ERP system. Beyond the basic ERP functionalities, modules like asset management, human resources (HR), and customer relationship management (CRM) deliver major benefits. But how do you measure their return on investment? Here’s what you need to know to make informed decisions.
Why Focus on Asset, HR, and CRM Modules?
Asset Management Module
Keeps track of fixed and movable assets, schedules preventive maintenance, logs repairs, and calculates depreciation accurately. Reduces downtime, prevents unexpected costs, and extends equipment lifespan — translating directly into savings.
HR Management Module
Automates hiring, onboarding, attendance, payroll, leaves, and performance tracking. This reduces administrative workloads, improves employee engagement, and ensures compliance with labor laws.
CRM Module
Centralizes customer information, manages leads, automates follow-ups, and analyzes sales pipelines. Helps sales teams close deals faster, improve customer satisfaction, and increase revenue.
How to Calculate ROI on ERP Modules
Identify Measurable Benefits
Track time saved on manual processes, reduced paperwork, faster service delivery, and improved employee productivity.
Assign Monetary Values
Quantify cost reductions from avoiding asset failures, manual payroll errors, or lost sales opportunities.
Measure Implementation & Operational Costs
Include customization, training, and support expenses over a defined period, usually 12–36 months.
Use a Simple ROI Formula
ROI = (Monetary Benefits – Total Costs) ÷ Total Costs × 100%
A positive ROI indicates the module adds value; a negative ROI suggests a need to review processes or training.
Case Example: ROI from CRM in an Indian SME
An SME using a custom ERP CRM module saw lead conversion rates improve by 25% within 6 months, resulting in an additional ₹15 lakhs in sales. Implementation costs were ₹5 lakhs, giving an ROI of (15 – 5) ÷ 5 × 100% = 200%.
Benefits of Measuring ERP Modules ROI
Helps prioritize which modules to implement first
Justifies ERP investments to management or investors
Provides a clear business case for ongoing improvements
Tracks post-implementation performance
FAQs – ERP Modules ROI India
How long does it take to see ROI from ERP modules?
Most businesses see measurable results within 6–12 months post-implementation.
Do SMEs in India need asset management modules?
Yes. Even small businesses with vehicles, equipment, or IT assets can benefit greatly from tracking and maintaining them properly.
Are CRM modules worth it for B2B companies?
Absolutely. CRM modules help B2B companies manage long sales cycles, nurture relationships, and boost repeat business.
Conclusion
Calculating ERP Modules ROI India is essential for understanding how modules like asset, HR, and CRM contribute to efficiency and growth. Measuring and tracking ROI ensures you get the best returns on your ERP investment.
Call to Action
Need help assessing which ERP modules offer the best ROI for your business? Contact Tech4LYF today for an expert consultation.