Enterprise resource planning (ERP) is more important than ever for businesses in these tough economic times. It improves operations and impacts cost savings for small to medium enterprises (SMEs). ERP software is an asset that allows your business to operate and plan more efficiently.
The capabilities of ERP include automating processes, integrating and protecting your data, producing better business intelligence and increasing productivity by managing supplies. All activities and processes surrounding customer service, inventory, products and supplies become interconnected using ERP.
So, what are the main benefits if implementing ERP software in your SME? Here are the top five.
Consolidates IT costs
While ERP software can be a large investment, it improves efficiencies and consolidates your IT costs. ERP can include different modules, for example:
- HR management
- supply chain management (warheousing)
- customer resource management
This means you can build your ERP using only the modules you need for your business. No longer will you need separate software for each of these which means lower IT and infrastructure costs. Also, it improves productivity and reduces training costs as your staff only need to learn one system instead of multiple applications.
it improves productivity and reduces training costs as your staff only need to learn one system instead of multiple applications
Customise to suit your business
ERP software is completely customisable. You can pick and choose what your business needs and ignore what you do not need. This allows your ERP system to grow with your business.
You can also choose how to implement your ERP software. Either install it on your premises or offsite in the cloud. When choosing a cloud-based solution, everything is handled offsite by your ERP provider.
Automates and streamlines business processes
Implementing ERP software allows you to automate and streamline your business processes and systems. This further enhances business efficiencies and productivity as it produces consistent results that reduces mistakes which lowers costs allowing you to improve your business operations.
Enhances supply chain management
For a business turning over inventory or if you are a manufacturer, ERP boosts your supply chain management. A well-designed ERP platform can:
- shorten lead times
- improve on-time deliveries
- enhance demand forecasting
- improve inventory management and procurement.
And, these are only a few of the benefits of ERP in manufacturing and distribution businesses. It unifies your supply chains, accounting and payroll into one application so you can stay in control with minimal stress.
ERP also helps to improve profitability as it reduces oversupply and holding too much inventory on hand or manufacturing too much stock. Instead of guessing stock levels, ERP gives you true insight into your sales, production and delivery schedules.
Using ERP gives you total transparency into every part of your business with easy access to data. You have more control of your working capital when you know exactly where you stand with inventory levels including stock or supplies still in transit to you.
All your organisation’s data is accessible from a centralised location which allows your staff to better collaborate to streamline completing tasks. With complete visibility you have more consistent workflows which allows you to track all departmental processes efficiently. This allows for quick decision-making as you have access to the full picture of your business instantly in real time.
Want to find out more about ERP for your business? Contact us now for a free consultation, chat with us or call 1300 305 009 to find out how ERP can enhance your business operations.
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Small businesses struggle to budget their IT operation and often spend inefficiently with a less than a great return on their investment. Rightsize Technology understand. We deliver a minimum 30% reduction on IT overheads as a dedicated outside IT department for our clients. Our unlimited 24×7 support, both on and offsite increases business productivity and capacity, enabling their business to grow efficiently and effectively – we’re the Rightsize for growing small businesses. Talk to our team today for more information.