How Can an ERP System Improve A Company’s Productivity?
ERP Modules |
Point of Sale |
Stock (Inventory) Control |
What is ERP?
Enterprise Resource Planning, also known as an ERP System,
has gained much interest over the last few years, because of its core
focus on the day-to-day running of a business. An ERP system looks at a
company holistically and incorporates various business functions into
one software feature. Configuring an ERP system can be complicated as it
encompasses many parts of the company with different levels of
complexity and variable costs. An ERP system varies between industries
and the needs of each, but its primary function is to provide a
simplified, automated way for businesses to run, for a more effective
and organised business structure. The goal is to bring order to a
disorganised system, making workflow a smooth user-experience, from the
CEO right down to the receptionist, with a straightforward process.
Most ERP systems will incorporate some, if not all, of the following functions:
- Vehicle Loading and Schedules
- IT Helpdesks
- Supply Chain Management
- Managing Human Resources
- Manufacturing of Goods
- Integration of Multiple Branches
- Automated Systems
- Point of Sale
- Managing Serial and Batch Numbers
- Job Costing
- Coordinating Multiple Currencies
- Contracts and Communication
The Benefits of an ERP System
core focus of an ERP system is to share information across all areas of
a business so that information is available in real-time and data is
only captured once. This provides accurate and up-to-date information
for the decision-makers in the business and empowers employees to work
Some of the benefits of using an ERP system include:
- Saving you money
Automating your processes means that you free
up costs on administrative and operational costs within the business.
Staff can actively manage day-to-day operations and prevent further
delays that inevitably cost the business money. An organisation can take
advantage of inventory efficiency and in return, reduce excess costs
within the business.
- Well-organised business processes and daily operations
- Data is available centrally across all business functions, making it easily accessible.
- An ERP system meets the needs of automating business processes.
- The decision-makers can access all data, operations, and production in real-time - no waiting for feedback.
- Easily automate tracking processes, particularly across multiple branches.
- Consolidated software programs
industries struggle with the use of numerous software programs for
different business functions and various departments. An ERP system
eliminates the data silos that come with using multiple programs,
consolidating all the information.
- Real-time data
With an ERP
system, data is available in real-time, allowing your business to
respond to ever-changing market conditions, efficiently and effectively.
It enables you to make informed decisions based on readily available
information and reports, to accurately report on data and determine
forecasts for the business.
- Easily traceable information
An ERP system assists companies to easily track stock and business information, for a more streamlined business process.
- Business flexibility
systems quickly adapt to the changing needs of your business, so as
your business grows, so will your ERP system. An ERP system is equipped
to fit any size business, and the system will adapt to your business
goals. Tailor-made ERP systems are also available, to suit your business
or industry and its requirements.
- Maintain customer satisfaction
ERP system makes efficiency and accuracy easy, allowing you to deliver
better customer service and maintain strong customer relations.
How an ERP system improves productivity
An ERP system is configured in different ways
to achieve the desired business results based on the core objectives,
which can determine the level to which it improves productivity in the
business. The points below outline some of the ways that an ERP system
can improve productivity:
Finance is at
the core of every business, and it is imperative that the finance
department is operating efficiently. ERP software gives comprehensive
visibility into how the finance department performs, allowing management
to view the accounts with the full integration of the business’s
analytics readily available. This eliminates the need for performance
reporting and additional feedback meetings.
Implementing an ERP system can improve your:
- Financial statements and reporting
- Cash flow
- Asset management
systems allow for quick and easy access to information that managers
require to make well-informed business decisions, without having to wait
for feedback from the relevant departments. The ERP software allows
users to define their specific objectives and what their KPIs are, and
pinpoint their target market.
Improve Project Management
project management software helps determine a teams performance and is
able to keep a record of all the necessary details of the business or
task. Workflow is centralised at one point to avoid overlapping
responsibilities and team confusion. There is no need for employees to
waste time searching for information in other areas, with it all
consolidated by the ERP system.
The 5 Project Management features of an ERP system include:
- Resource allocation
- Corrective action
- Real-time information access
- Cost estimates
- Change order
Effective Holistic Solution
ERP systems are implemented correctly across a business, they transform
the financial, operational and human resource aspect of an
organisation. Companies on the forefront of innovation are implementing
ERP software to improve the way data is shared across an organisation,
reduce internal costs, increase efficiency, and improve processes across
their organisations. An ERP system fits in with any industry, be it
retail, corporate, industrial, and even small businesses, assisting with
the day-to-day operations of the company, and the ever-changing
Bridges Information Gaps Across The Business
systems bridge information gaps across different departments within a
business allowing managers to see a more holistic view of companies
finances and critical issues. With easy access to all company processes
and data, managers can make quick and informed decisions to improve the
productivity of the business. The ERP system eliminates time loss and
ultimately financial loss, with its ability to provide the necessary
information for all departments, in one centralised destination.
Some of the key business issues that are supported by an ERP system include:
- Efficient and professional customer service
- Accurate cash management
- Quality control for every aspect of the business
- On-time and reliable delivery
- Error-free inventory capturing
- Lack of productivity and wasted time
Does an ERP System Sound Like the Right Fit For Your Business?
Omni Accounts is ready to implement an ERP system in your business today. Learn more about an ERP System by talking to one of our qualified consultants today - an Omni Accounts
consultant is ready and willing to answer all your questions and help
you get started on selecting the right solution for your business.
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