Streamlining resources and investing in the valuable time a company spends around efficiency means increase in the valuable time employees have to perform substantive work. This can also lead to a reduction in paperwork that can, otherwise, be redundant at most. The implementation of ERP software can smooth processes within a business, improving the overall ROI (return on investment) of an organization.
With an automated control system that enables businesses to manage core processes around finance, human resources, services, etc., a business can contribute to the increased efficiency of the workforce by utilizing time more effectively. While the thought of implementation of an ERP system may raise brows across the finance department, it’s important to remember that such a system also can greatly benefit a company’s bottom line.
Here are a handful of the ways an ERP system can improve ROI for businesses.
ERP software is built on a single platform, which can be used to monitor various databases controlled by different departments throughout the organization. Users benefit from this integration because it allows better decision making that enables business professionals to improve operations.
Conversely, when data is hosted in multiple platforms, overseeing and managing the system becomes more difficult. When approached in this way, data must be collected and then used to generate reports and data-driven analytics. While the process is much more involved, and requires more time, making an integrated system significantly much more desirable.
Updating and managing data for different functions across an organization can cost a lot of money. It’s an exhausting task that involves a lot of effort from staff, who can be responsible for submitting duplicate entries or various other manual mistakes that can hit a company’s profits.
An ERP system provides a platform that helps to reduce human intervention — and with this, it also helps to eliminate mistakes that can cost the company considerable amounts of money. Savings on the financial side also help to protect resources; employees who are working in better systems with safeguards to protect against error typically have a better work quality and happiness in their positions. Employees that are dedicated to learning a system and working in it are able to fine-tune processes and increase ROI. It’s understandable that ROI will increase over time, due to the performance of the ERP system.
Learn more in How to Improve Efficiency With a New ERP System.
Data and Governance
ERP software has many benefits — the most obvious is that it brings up-to-the-minute results in real time. Information is available to the entirety of the company, on premise, working virtually or in the field. Platform security provides access to reliable data, which allows both leadership and staff to make the most educated of decisions at a moment’s notice. The more agile a company, the better it will perform.
Cloud-based ERP systems offer another significant advantage: mobility. No matter where employees are located, they are each able to access information anytime and anywhere a Wi-Fi or mobile internet connection is available. With personalized dashboards, individuals or departments are able to see insights that reflect the current ecosystem of the business; views are determined by the user and also the functions they serve.
With an ERP there are an array of areas that can be better managed, such as production, distribution, warehousing, and more. Keeping track of the activities in these areas, through an ERP system, can provide a company with timely information on inventory; for instance, what is in stock, on the way, or needed.
When inventory is under control, there are fewer shortages or interruptions that can cause issues with efficiency. Through insightful enhancements, the software enables businesses to plan future production well in advance.
Operating costs can be cut considerably when an ERP is in use. When implementation is given ultimate consideration it is able to perform functionality that can elevate the work a team does. Procurement and payment tools help to reduce material cost, while the software also easily handles improvement around staff allocation in efforts to reduce overtime and labor costs, and additionally knocking down incurred administration costs and other regulatory compliances.
It’s a collection of information that helps to improve ROI for a company, and implementing an ERP system will help to bring results sooner. Look forward to running a more organized business, reducing needed processes such as manual data entry, etc. — all of these points can help business leaders to reduce wasted time and money.
Understanding a business is ready for a cloud-based ERP is only the first part of the journey; the remainder is finding a partner that offers understanding of various capabilities, as well as how to implement efficiently. CCS Technology Group combines its cloud expertise with business continuity insight to develop, implement, monitor, and support effective cloud-based solutions.
Acumatica’s Modern CFO ERP Buyer’s Guide offers ERP insights for business leaders who are ready to take their company into the modern technological age. The easier working is, the more freedom a company will have to achieve its goals. Read testimonials and contact us to learn more about how to implement a cloud-based ERP system to improve processes and efficiencies that can jumpstart a company’s ROI.