When is it Time for an ERP?
- On July 12, 2022
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- Business, Business Management, Business Software, Business Solutions, Business Technology, enterprise resource planning, ERP, Growth, increase efficiency, increase profit, inventory management, inventory technology, operations, SAP, SAP Business One, SMB ERP, Softengine, Software, technology
When is it Time for an ERP?
Most start-up businesses do not operate on a comprehensive ERP solution because there is not enough data, sales, or employees to require a robust software. Options such as running on Excel spreadsheets or utilizing smaller level management software such as QuickBooks are substantial enough for businesses just getting on their feet. However, this window of the start-up phase can close sooner than many think. As sales begin to increase, more employees are required to support the growth, and inventory requirements are becoming harder to keep track of. At this point, it may be time to consider moving to a completely integrated software solution such as an ERP.
It is always a daunting decision to transform a business’s digital model, but in many cases where data influx is becoming too difficult to manually track, store, and organize, it is often necessary. ERP stands for Enterprise Resource Planning and is a software that completely integrates all internal operations into one database. No more worrying about where a sales order is located or searching for hours trying to find historical records. ERP solutions make data management and entry hassle free and drive growth, productivity, and help companies gain competitive advantage in today’s digital world.
In today’s blog, learn some of the tell-tale signs that it is time to consider making the move to an ERP solution.
It is Becoming Increasingly Difficult to Meet Customer Demand: This is one of the largest signs that an ERP implementation may be necessary to sustain business growth. Customer satisfaction is at the heart of all business. Happy customers make returning customers which then leads to company loyalty and trust. As a business builds this loyal customer base while acquiring new customers, it can be tricky to meet the demand while operating on spreadsheets with little visibility into inventory levels. By implementing an ERP, users gain complete visibility into inventory levels and throughout the entire supply chain from purchasing, production, and shipping (1).
Siloed Departments: As a business begins to grow, inevitably more employees are required to manage the operations and tasks. As more employees join different departments, silos can occur where information is not being transferred properly between departments. Silos can have extremely detrimental effects on the accuracy of information communicated because of the lack of collaboration and mutual understanding of data. ERPs allow for greater levels of collaboration because cross-departmental data is located on a single shared platform (2).
Data is Becoming Difficult to Manage: Clean, accurate data is a necessity for running a successful business. When operating on software that cannot support large influxes of data, the information can quickly become skewed, lost, or faulty due to human error. With the help of an ERP, data is always secure and organized in its specific categories. Accurate data means the most accurate operations, and this can be difficult to streamline using software such as spreadsheets.
Employees are Stuck Performing Manual Tasks: There are many tasks that require manual, human input to be completed properly, however, there are a multitude of business processes that have the ability to be streamlined and automated utilizing business software. By implementing an ERP, internal processes can be automated which results in greater accuracy due to the elimination of potential human error and allows employees to allocate their time to more important tasks. In turn, this increases employee productivity and ultimately greater overall business performance.
In conclusion, these are just a few examples of how to know when it is time to consider an ERP implementation to continue to efficiently grow a business. There are a plethora of benefits that ERP solutions offer businesses of all sizes. SAP Business One is the leading ERP solution for small to midsize businesses that are experiencing growth and wish to manage their internal operations with increased levels of accuracy and efficiency.
Here at Softengine, we are ready to help you take your business to the next level with SAP Business One. With our client-first approach, we walk you through the entire implantation process to make it as stress free as possible while continually offering 24/7 support after go-live.
Learn more about SAP Business One with our overview guide on our website: https://softengine.com/product/sap-business-one/
Contact us for inquiries about if SAP Business One is a fit for your business: [email protected]