ERP technology can give you the agility to respond to changing business needs rapidly.Below is the ERP Importance in business:
You Have Lots of Different Software for Different Processes
Spend a few minutes thinking about how employees at your company record, track and process information. Do accounting staff use one system for receivables and payables, and sales use another to enter into customer orders? Is the process of taking those orders and getting them fulfilled and into accounting a time-sucking manual process?
You Don’t Have Easy Access to Information About Your Business
If someone asked you what your average sales margin is, how long would it take you to find out? What about other key performance metrics, like orders per day or sales to date? For companies that rely on siloed systems and spreadsheets that need to be constantly updated and reconciled manually, it could be a long wait.The pace of business is faster than ever before, which means employees across your company need immediate access to key data. With an ERP solution, executives can get a holistic view of business operations at any time, while other staff can get the information they need to do their jobs more effectively.
Accounting Takes Longer and Is More Difficult
Often, the first noticeable signs that your company needs ERP software will come from your accounting department. If your employees rely on paper-based invoices and sales orders—and spend hours every week manually entering them into different accounting and sales systems—you need to consider how much time is being wasted on tasks that ERP software can handle in an instant.
The same goes for financial reporting—if it takes ages to consolidate or reconcile financial information across systems and through countless spreadsheets, an ERP solution can make a significant impact. With all financials in a single database, accounting staff won’t have to spend hours cross-posting information, rekeying numbers, or reconciling data manually. Your accounting staff will be more productive, freeing them to deliver critical reports without delays and frustration.
Sales and the Customer Experience Are Suffering
As companies grow, one of their biggest challenges is often inventory management. Ensuring that the right amount of products is in the right location at the right time is a vital part of business operations.When sales, inventory and customer data are maintained separately, it can create serious problems across your company. If you run out of a popular product, sales will be off until the next shipment arrives.
Meanwhile, if a customer calls to inquire about an order and employees can’t track it to see if it’s been shipped—or if it’s even in stock—your company will start to develop a poor reputation for reliability and service.With an ERP system, on the other hand, staff in every department will have access to the same, up-to-the-minute information. Customer-facing reps should be able to answer customers questions about order and shipping status, payment status, service issues, etc., without having to hang up the phone and check with another department.
Your IT Is Too Complex and Time-Consuming
One of the biggest downsides of having multiple systems across your business is that IT management can become a nightmare. Customizing these systems, integrating them and maintaining them with patches and upgrades can be complex, costly and sap critical time and resources.Rather than adding more software—and complexity—to an already ineffective system, ERP technology can give you the agility to respond to changing business needs rapidly. That’s why selecting an ERP provider like KnackTechs is critical.