What Is a Core System?

A central and fundamental set of software applications and technologies that support the core functions of an organization and its business critical systems is referred to as a core system. These functions can encompass a wide range of activities, including:

  • Customer relationship management
  • Human resources management
  • Finance and accounting
  • Supply chain management, etc.
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Key Features of a Core System:

  • Comprehensive nature ‒ It covers multiple critical areas of an organization's operations.
  • Highly integrated ‒ It allows a seamless flow of information and data across various departments and functions. 
  • Great scalability and adaptability ‒ It’s capable of accommodating the evolving needs and growth of the organization. 
  • Robust security measures ‒ These measures are provided by a core system to protect sensitive data and ensure compliance with regulations.

Types of Core Systems

  1. Enterprise Resource Planning (ERP) Systems: From finance to human resources, manufacturing, and supply chain management, these systems integrate various business processes into a unified platform. A low-code database like Kohezion can be a great example of a system that can cover ERP capabilities.
  2. Customer Relationship Management (CRM) Systems: These systems don’t only store and analyze customer data, but they also track sales and marketing activities while providing insights to enhance customer engagement and satisfaction.
  3. Human Resources Management Systems (HRMS): The goal of HRMS systems is to automate and digitize HR processes. This includes employee onboarding, payroll management, benefits administration, performance evaluation, and talent management. 
  4. Supply Chain Management (SCM) Systems: To optimize the flow of goods and services from suppliers to customers, SCM systems handle inventory management, demand forecasting, order processing, logistics, and warehouse management.
  5. Financial Management Systems: As their name suggests, these systems handle financial transactions, budgeting, accounting, and reporting. They provide accurate financial data and enable financial planning and analysis.
  6. Content Management Systems (CMS): Managing and organizing digital content (like documents, images, videos, and web pages) is the main purpose of CMS systems. They facilitate content creation, editing, publishing, and retrieval.
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