7 REASONS TO INVEST IN AN ERP SYSTEM
Posted by: RAMAN on  3rd August 2016
IT'S A FAMILIAR TALE:
Your business has expanded rapidly and the current staff is being pushed to the maximum. every working body is buried in paperwork, deadlines are being missed ,and you operations are a tangled mess. If you are nodding your head, it might be time to invest in an enterprise resource planning (ERP) system.
ERP software consists of a suite of integrated applications that provide a real-time view into core business processes and facilitate information flow between business function .ERP system help business manage everything from product planning to shipping and payments along with other capabilities like tracking resources ,project statuses ,payroll and more.ERP system can be an out-of-the-box solution or completed customized.
- Financial accounting
- Management accounting
- Data services
- Customer relationship management
- Project management
- Supply chain management
- Order processing
- An ERP system can benefit businesses in the following functional areas.
MOST POPULAR ERP SOFTWARE PROVIDERS:
There are many ERP system providers but below are main players:
EPICOR, Microsoft, Dynamics, Oracle, SAP, INFOR.
7 SIGNS ITS TIME TO ADOPT AN ERP SYSTEM:
There are hundreds of reasons that your business may be ready for an ERP system. We’ve complied the main reasons most business determine they are ready to invest in ERP software.
ACCOUNTING TAKES LONGER AND MORE DIFFICULT:
Without ERP, accounting are forced to reconcile across different system and manually enter information .with ERP, you can communicate across department with ease real time info and at your fingertips.
SALES THE CUSTOMER EXPERIENCES ARE SUFFERING:
If you’re using different processes across the company, it becomes nearly impossible to have the correct inventory .and if you don’t have the necessary number of products in the correct location, you can significantly affect a customer experiences.
YOUR SOFTWARE SYSTEM IS TOO COMPLEX AND TIME CONSUMING:
Using different system for each process creates unnecessary work & confusion .for, eg if sales, accounting, and the warehouses all use different software to manage operations, man house must be spent filling in the gaps and co-coordinating the information flow between department.
SPENDING IS OUT OF CONTROL:
An effective ERP solution is a large investment of time and money in the beginning, but in the long sun it will save your company big time on both. the philosophy behind ERP system is that streamlining the many components that go into business operations and having access to invaluable data, cuts inefficiency that lea wasted time & money.
ONLY SPECIFIC PEOPLE HAVE ACCESS TO IMPORTANT DATA ABOUT BUISNESS:
ERP systems increase and improve interactive internally as well as between customers and suppliers.erp system make reliable information available at each person’s fingertips.
YOU HAVE A LOT OF OUTSTANDING CASH:
A faster order to cash cycle usually results in more cash flow outstanding cash flow results in less cash flow.
THERE IS A DISCONNECT BETWEEN DEPARTMENTS:
Without ERP to bind everything together department aren’t coordinated. This allows for mistakes to be made and without a system in there are slow response times for correcting mistakes.