This article is for all you entrepreneurs out there who have heard about Enterprise Resource Planning (ERP) software and want to know what the hype is all about. ERPs serve as a foundation of information for your organization.
Simply put, it’s software that integrates all the information you’ve had in other software applications and streamlines it so that all data can be found in one single platform. This allows you to stay on top of areas like sales, inventory, customer satisfaction, human resources, and finances because it’s all located in one system.
Now that businesses are slowly but surely shifting towards digital transactions, here’s a list of reasons why your business should have an ERP system to survive the ever-changing landscape of entrepreneurship.
1- Your business is growing.
This is the most basic reason as to why your business needs an ERP system. A growing business is good news for any entrepreneur but it comes with a bigger responsibility of keeping up with the needs of your customers through proper supply and CRM.
With a growing business, you will quickly find out the importance of prioritizing your business needs. There are certain ‘must-haves and can-waits’ when starting your business. Ultimately, you need to use a much more efficient means to conduct your operations without breaking a sweat. You also need a secure system that will allow you to maximize your time and resources without fear of a data breach that will affect everything you’ve been working hard for.
But don’t think that ERP systems are only good for growing businesses. If you have the budget, include a good ERP system like JD Edwards Software right from the get-go so that you no longer need to transition in a few months or so.
2- Your business is using too many software programs for daily tasks.
It’s easy to make the mistake that you should invest in a number of tools and software to start your operations. In fact, you may have been doing this all along. Your accountant might be checking payables and receivables in one application, while you have to check for sales using another tool.
But this gets tiresome really fast. It gets troublesome, too, especially if you know that an ERP system can combine all these essential business processes in just one software program.
Aside from efficiency, you avoid the risk of making mistakes as each piece of information is stored and processed in separate systems. By having a single database, you are assured that all your front and back-end information are kept in one secure location.
3- It’s hard to pull out your basic information.
The efficiency and productivity that ERP systems can offer you are valuable because it saves you precious time in pulling out information about your company. With your business on the rise, it might take a long time to crunch all the numbers or update your database, especially if you need to export and import it back to another software application.
4- It’s getting harder and harder to stay on top of your finances.
It’s obvious that you need to get an ERP system pronto when your accounting is already getting out of control. If you still force your accounting staff to run the numbers based on a paper trail, then you are wasting the time, effort, and resources of your employees. It’s counterproductive, too!
If you invest in a good ERP system, your finance department will not be overworked and will most likely improve their accuracy and productivity.
5- You’re experiencing difficulty in dealing with sales and CRM.
As your company continues to grow, you will face the challenge of keeping up with demand and supply. When your inventory, sales, and customer demand are kept in separate platforms, it can wreak havoc to your entire operations. This means it will take longer for you to stock up on popular products which would probably lose you customers and affect your reputation.
All this guesswork and inefficient processes will be addressed by a proper ERP system. Plus, your CRM will get a considerable boost because your customer support team will also have the latest info on sales, inventories, and shipment to appease troubled customers.
The Bottom Line
Now you know how important it is for you to invest in a good ERP system. All that’s left is to figure out which ERP software you should choose for your everyday operations.