When It is The Perfect Time To Bring ERP into Your Business Infrastructure
It is true that most businesses are hesitant about implementing an ERP software into their business infrastructure until they felt the absolute need of it. It is mainly due to the great investments involved in development and implementation of an ERP software. However, it has been proved that businesses that went for ERP implementation at a prior stage have realised great returns on investment. Though the time to implement ERP varies from company to company and their business situations, there are some approx reasons which determine when is the right time to implement an ERP solution.
Vision & Solutions is one of the earmarked companies offering versatile ERP solutions in Sydney as per their specific needs of businesses. Thus, here is the explanation on the behalf of its eminent ERP experts when it is the appropriate time for businesses to switch to an ERP-based infrastructure.
#1 Business struggles hard to manage disparate software systems
Much before the concept of ERP, business organisations used several software systems to take care of the working of different departments. Accounting, sales, customer services, inventory, back-end and front-end operations ran separately. When a business struggles to manage information and data assimilated in these separate systems or fell in short of manpower for their operations, an ERP is needed to be implemented. It integrates all the systems together so that the operations of every department relies on one central database.
#2 Expansion in major aspects
When the product transactions or daily volume of cash transactions increase along with the expansion of the business, it is suggested to implement ETP software to automate sales and invoicing. Doing things manually become too difficult when transactions in a business get manifold. Processes like input of purchase orders, inventory updating, manual checking of stocks, invoice processing, order dispatch records, billing, etc. become tedious. For this, ERP is highly recommended which automates these, leaving more time for after-sales services and administration.
#3 Accounting is no more possible manually
For most businesses, a stage might come when employees in the financial and accounting departments find difficulties in manually entering the data in the accounting systems and in preparing financial reports by reconciling financial information from various systems. It might take ages, thereby wasting much of the productive time for businesses. In such a scenario, ERP implementation is a much-needed step as it incorporates all financials into one core database, and staff need not have to spend much time on cross-putting or reconciling data, rekeying figures manually.
#4 Customer services section needs serious attention
A business grows in size, a key challenge to them is inventory management which is required for ensuring that there is no shortfall of supply in relation to demands at any market. When sales, inventory and customer or purchase departments are separately managed, there are higher chances of misleading information on demand and stock conditions. With the implementation of an ERP, staff from these separate department can get up-to-the-minute information about demand and prepare their stocks accordingly.
While these suggest the best situation to adopt an ERP system into your business infrastructure, even a great ERP software can fail dismally to deliver its benefits if not implemented correctly. Thus, make sure you seek consultation from specialists beforehand and implement that ERP software which will best serve your business.
