Why You Can’t Ignore ERP Solution For Your Small-Medium Business
Enterprise Resource Planning (ERP) is an efficient tool for managing information. It helps to collaborate with all departments, manage resources, reduce cost & wastage, take quick decision, better customer support and foster growth.
A Modern ERP implementation can automate your business and manage growth of all sized organization from start-up to global enterprise. .
For instance, a global giant like LG Electronics has 114 subsidiaries, and more than 82,000 employees across 40 countries. They have centralized their HR management and increased productivity by implementing the automated ERP solution.
Entrepreneurs often suffer from a crippling fear of financial failure. Most of the time their main objective is to get the maximum revenue with minimal investment. As a result, they find it's expensive to automate their business with ERP.
A myth goes around- ERP is only for Big Enterprises!
But do you know a recent survey of the Aberdeen Group stated: Small businesses experienced a 36% reduction in the time it takes to make decisions because of ERP software.
To ease your tension, in this article we will show every edge of ERP solution for your business.
Problems of Manual Management
The biggest downfall to control your business manually is the hurdles of connecting all departments for a smooth workflow.
An organization consists of various departments and these departments need to continuously share information and collaborate with each other in order to run a project successfully.
However, this task is too difficult to handle manually. There is a high chance of customers dissatisfaction, resource wastage, data redundancy, and unnecessary workload.
Manual Management is responsible for-
- Inconvenient communication
- Inventory wastage
- Inaccurate scheduling
- Delayed deliveries
- Losing orders
- Non-compliant operations
- Spending hours in validating reports
- Unsatisfied customers
Therefore, you can eliminate excessive workload and inessential monotonous activities by automating your business with ERP Solution.
ERP Solution to Centralize Your Business
ERP centralizes all the information about your business and makes you able to streamline the flow of information. All of your business processes become connected end to end.
Also, It integrates all the function of different departments such as inventory, accounting, human resources, customer relationship management (CRM) into one system to share all the data across the entire organization.
Why Small-Medium Businesses Need ERP Solution
Integrate your business data and process across multiple departments and locations with one system.
ERP can help your organization to increase productivity, quick process of the orders, meet customers expectation, minimize the resource and data management cost and maximize your profit.
Moreover, it is easy to implement in your business, train-up the user and maintain the overall process from one easy interface.
As a result, it holds the same benefit for all sized business. Small-medium businesses also can get the best pay-off of their investment from ERP.
Centralize Data Management System
A typical organization has many departments and these departments continuously communicate and exchange data with each other. The success of a company lies in effective and smooth communication with these departments as well as an associated third party like vendors, customers, and outsourcers.
In a smart ERP solution, all the information is maintained at a central location and is shared with different departments.
With every move of your company, the central database will be updated automatically and keep track of all transaction.
Therefore you can get a bird's eye view regarding your company's activities from anywhere and anytime from your ERP solution.
Improved Productivity of Your Team
Suppose, a customer sends a request to sale department, then the sales department will collaborate with other departments of inventory, production, HR, finance etc through the centralize ERP database and complete the order in an organized way.
There is no chance of inventory wastage. Moreover, you can ensure a proper production schedule and on-time delivery by distributing data across all the departments.
In this way, you can increase business revenue and customer delight.
You can measure your business productivity with real-time analytics reports of inventory, customer insight, human resources, financial statements and supply chain capabilities.
It helps you to make better decisions, future strategies and cut the best revenue.
Moreover, it gives you a high return of investment by giving you the access and monitoring power of all information across the organization.
Therefore you can easily respond to any complex data request more effectively and process the data in an organized way.
Improved Customer Relations
With integrated customer relationship management, you have all your customers data at your fingertip. So you can easily interact with your customers, manage their requests, improve customer relationship and make new revenue opportunities.
It allows you to process customer's orders and completer them in a disciplined way. You can minimize your response time as well as delivery time with the successful integration of CRM.
Moreover, you can monitor your customer behavior and other insights from a single screen. It will nurture your relationship with your customers and increase satisfaction.
Therefore you will get more loyal clients for your business. Also, you can formulate concrete strategies for new lead generation.
Modern ERP ensures data accuracy and no duplication with the ability of real-time update. All the actions of your business automatically update to your system instantly. Therefore, it minimizes the risk of data inconsistency and unnecessary repetitions.
As we mentioned before, it allows you to open communication and share information through a centralized database.
Through a single system, you can store, process, share, monitor, and access data frequently. So, there is no chance for data re-entry or overlapping.
In addition, modern ERP systems have a smart security solution through firewalls and built-in protection resources to protect your data accordingly.
Challenges of ERP Solution
Whether the size of your company small, medium or large, ERP solution can hold huge benefits for your business. In spite of these facilities, you should account some requisition, scope, and effects before ERP implementation in your business.
Here, we enlist some challenges that any SME owners can face to start ERP implementations at their company.
ERP is a very standard system. Phase by phase implementation makes it more complex. The technical team, user and management should come simultaneously to make the ERP implementation successful.
The business process may change; the user needs training or budget may need some adjustment. All these events can make the ERP Complex for implementation.
Inbuilt Old Concept- Small Business Do not Need ERP!
A few years back, a large enterprise is the key organization who use ERP. It was very costly then. However, in today's, there are still small companies who hold the mentality that Small Companies do not need ERP.
Therefore, SME owners are often glued into the same concept.
Low Budget Allotment for ERP
Financial support often leads an ERP project in the wrong direction and small to medium companies often end up with an ineffective ERP solution. Often the main reason behind is the Accountant has a lack of IT knowledge. They fail to estimate how ERP can bring ROI and profit for them.
Small Man Power
Small business usually has less man force and they always get involved to get new business and clients. So, it is hard to allocate extra time for ERP implementation and get habituate with it. Also, there is a possibility of insufficient
Employees Love Old Stuff
Not only ERP, but people also resist any new things by nature. Therefore when you will want to integrate a new system like ERP to your business, your employees may refuse to use it.
Though you may meet some obstacles in the path of centralizing your business with ERP still it will give you the best output within a short time. You can bring all the departments of your business under one roof and manage all the movements with few clicks.
Which ERP Solution is Right for Your Business?
As a small business owner, you may hesitant to automate your business with ERP solution due to the fear of excessive cost or complex managing system. However, nowadays many software companies are offering a different type of Smart ERP Solutions for easy collaboration within an organization.
They simplify the system architecture with an easy interface to install, implement, maintain and upgrade. Therefore, you can choose a CMS platform for developing your ERP system that is easy to design and modify.
WP ERP is a WordPress based ERP solution to operate the workflow of small to medium businesses with powerful HR Manager, CRM & Accounting tools. It accelerates the growth of 10,000+ Businesses over the globe last 5 years.
This flexible yet feature-rich plugin allows you to operate all the departments of your business from a single platform. Moreover, it is very user-friendly and needs one-click activation to get started. Additionally, it has 20+ modules and extensions to maximize your business growth and minimize the effort.
Well, now you have a clear idea of how difficult and backdated it is to maintain your business manually. In this era of globalization, you should have the facility to operate your business through one system from anywhere and anytime.
Don't get bothered with your budget if you are a small business owner. ERP solution has the same benefits to accelerate your business growth and increase revenue. The size of your business has no bindings anymore to integrate with Modern ERP Solution. You can customize your ERP solution that will both fit your business and budget.
So, pick an ERP solution for your small business and get ready to reap its benefits.