Is ERP System Necessary For My Company?
Here we will advise you on the signs that indicate your Business should need an ERP System. Your company people are taking more time to consolidate financials for the month and the sales forecasts are more on guessing calculations than actuals. With business falling short of sales volume, customer satisfaction and you have no idea of available sales inventory currently present at warehouse. If any of this is happening in your business you should be considering to implement ERP system.
As every business or company is different from each other there is no fixed indicator stating the requirement for ERP system. Here we will give you stages at which your company might require an ERP system.
Understand how your employees track, process and record information. For example accounting staff use one system for receivables and payables and sales staff may use another system for recording customer orders which is going to be a tedious and time-consuming manual process. As by running different systems separately it can lead to confusions for the important processes which has to be ensured to run smoothly. Without sales and inventory data integration management tends to suffer similarly without updated information from accounting the marketing budgets, payroll process gets affected.
For integrating all the above process ERP is required which can integrate all these systems such that business is functioning with a single reliable source of information. This will ensure the staff to make better decisions more quickly and help them concentrate on growing the business even faster.
As someone raises a question of what will be the average sales margin, if you are using spreadsheets or un-integrated systems it is going to be a long wait to reconcile all data’s manually and arrive at a result. Nowadays, business pace is faster than before so you and your employees need access to key data immediately.
When you have implemented ERP system you have all systems integrated so your employees do have access to important data’s useful for business operations at any time while others can get the information which they need to do their jobs effectively.
First and foremost sign that your company must incorporate ERP software will come from accounting department. If your system depends on paper-based invoices and sales orders the employees has to spend many hours a week to manually enter them into different systems of accounting and sales for which plenty of time is being wasted which an ERP software can easily handle.
For instance in financial reporting if the systems information is not integrated it is very hard to reconcile all data but when using ERP software it can make a significant impact. With all financials in single place the accounting staff don’t have to spend time to reconcile data manually. Which will allow them to be more productive and help them to deliver critical reports with ease.
The most important segment for the company to grow is by improving sales and customer experience. In which inventory management is critical as it has to be ensured that correct amount of products are available at the right location and time which is the most vital part of business operations. When sales, inventory and customer data are maintained separately it can cause serious problems within your company. As if you run out of stock for a popular product the sales will be shut until the next shipment which is a serious issue. For example, in a ecommerce company if the customer calls to enquire about his order and staff couldn’t track the status of the product whether the order has been shipped it will cause poor reputation for the company.
While using ERP software you will have access to complete information or track of the order which will increase customer reputation either using online or through calling customer support. At the same time warehouse manager can monitor the stocks which are getting low and can reorder based on demand.
One of the major downsides of maintaining multiple systems across your business is IT management becomes a hard and un-fulfilling task. As customising each of the system based on each requirement tends to complex, time consuming and costly. Rather than using multiple software solutions an single ERP does the job of all other software’s. As based on requirement or updation only a single system is required to be addresses rather than multiple software upgrades.
With Nscript Web based ERP Software, system updates are no longer an issue, and new functions are easy to add as your business grows and changes.