Enterprise Resource Planning (ERP) and Customer Relationship Management (CRM) are two sides of the same profitability coin. ERP and CRM are similar in many ways, as they are both used to increase the overall profitability of a business. Though similar in effect, ERP and CRM systems use different approaches to increase profits. ERP focuses on reducing overhead and cutting costs. By making business processes more efficient, ERP reduces the amount of capital spent on those processes. CRM works to increase profits by producing greater sales volume. With a standardized repository of customer data, it’s easier for everyone, from executives to sales reps, to improve customer relations. In turn, those improved relations translate into increased brand loyalty and profits. Whether a business needs both systems largely depends on the size and complexity of the business. Even for a small business, a CRM system is better than a haphazard collection of customer data stored on hand-written notes, in numerous emails, or, worse yet, contained solely in the head of a sales rep. Customer relations are the lifeblood of any business—CRM exists to keep that blood pumping freely.