In our second blog in the series about Enterprise Resource Planning (ERP) software, we look at practical examples of what an ERP system can do for your business. Have you always wondered how an ERP system can affect your bottom line? Have a look at some the advantages below and let us know what you think.
If you haven’t yet read the first blog in this series, you can read it here.
Ultimately, an ERP system streamlines the functions within your business, making it more efficient and productive. It’s as simple as that. It is also as simple as making a move from accounting software to an ERP solution. Here are some of the reasons why we say this, and why you should consider implementing it for your business.
An ERP is a customisable business system
Today, there are a multitude of ERP solutions that are built specifically for certain industries, like manufacturing, distribution, abattoirs and engineering, that focus on enhancing and improving core functionalities and processes. This means that you can run each part of your business effectively, whilst having all your data in one place. As industries have become more specialised, industry-tailored systems have been developed that are built on industry best practices that fit your business needs and ensures that your operation runs optimally.
Complete operational oversight
Implementing the correct ERP system in your business enables you to view the information that you need to make strategic business decisions at the click of a button. Data, reports, financials, and operational progress reports can be easily drawn up in real-time. Having complete insight into each department means that you can pick up red-flags before they become major problems, as well as identify areas of opportunity to grow the business.
Efficiency through integration
Businesses that depend on paper-based processes generally rely on spreadsheets to collate information. This causes multiple versions of the document and companies bear the risk of acting on bad information from fragmented solutions. An ERP solution automatically collates data into a single system, resulting in accurate and reliable digitised information that can be shared and integrated between employees. This will result in a more efficient organisation that bases their decisions on accurate information.
With better information flow, employees are given the correct tools to confidently make informed decisions. This will also result in increased productivity, as employees have instant access to the information they need and can therefore speed-up the operational processes within various departments and business functions.
Having an integrated ERP solution means that tasks can be allocated to certain employees or departments. This makes it easier for managers to keep track of who is responsible for certain tasks without having to resort to micro-management. This creates a transparent environment where employees are accountable for specified tasks, giving management the control to easily track the process and status of these tasks in real time. Storing data in one, central system means that there is one version of the truth, which reduces the amount of duplicated entries and minimises the chance of information being manipulated. Authorisation parameters gives access to certain staff members when dealing with sensitive information. This ensures that information is kept secure and contained within the business environment.
In conclusion, the correct ERP system serves as a platform for your company to make faster decisions, embrace new opportunities, and drive profitable growth.
We’ll be posting more articles about ERP, so make sure you keep an eye on our blog for more.