Why Growing Companies Need ERP Software

Growing companies need Enterprise Resource Planning (ERP) software. Put another way, if your business is growing, you may need to upgrade your legacy ERP software. While software alone won’t make your business grow, executing a growth plan without the right software will be a bigger challenge than it needs to be.

What’s New in ERP?

ERP is not new. You could even argue that it’s middle aged. The core of ERP, which was created to help run big factories and logistical operations, came into existence in the early 1970s. ERP’s origins lead some to consider the software to be a “heavy iron” technology, suited to global giants and industrial processes. There is still some truth to this, but we are now into a new generation of agile, powerful cloud-based ERP solutions.

Cloud ERP, as exemplified by Acumatica, makes it possible to deploy sophisticated business management solutions without installing software or buying any hardware. It’s available over the Web, via a browser. Acumatica is an extensible system. It can do basic ERP workloads like accounting and financial management, orders and invoicing and so forth. However, from there, you can add a significant portfolio of modules. These include software for warehouse management, field service, Customer Resource Management (CRM), HR, industry-specific applications and on and on.

Grow Revenue with ERP

Used the right way, ERP can facilitate revenue growth. This happens when you take advantage of sales management tools and functionality like quote-to-order and product configuration. With these capabilities, you can engage more closely with customers, responding to their needs quickly and closing more deals. The order fulfillment and subsequent customer support features in cloud ERP keep the customer relationship on a solid footing—leading to more repeat business and client references. This is possible without ERP, but it will be a lot more work.

Save and Invest for Growth

Modern cloud ERP drives savings across the business, including Operating Expense (OpEx) and Capital Expense (CapEx). You can use the proceeds of these savings to invest in strategies that promote growth, e.g. marketing campaigns, new hires and so forth. In terms of OpEx, cloud ERP enables people to work more productively, using automated workflows to speed up business processes. The connected nature of the extended Acumatica system reduces manual process steps and re-keying of data into the solution.

The ERP toolset provides for improved scheduling of production operations and field service. With data analytics and visual dashboards, the ERP solution can help managers anticipate problems and react before they become expensive to solve. Advanced inventory management features give you the ability to conserve cash and cut down on costly mistakes like stocking merchandise for so long that it expires.

Protect Your Business, So It Can Grow

The last few years have demonstrated conclusively that a cyberattack is a costly distraction that then results in a huge remediation expense. A serious data breach, for instance, will probably put a damper on your growth plans for a good six months or more. ERP software does not guarantee security, however, modern cloud ERP solutions offer a number of security advantages compared to legacy systems. For instance, the system runs in a highly secure data center. The cloud architecture also makes possible a level of redundancy that protects you from outages resulting from attacks.

2020 promises to be a year of growth. ERP can be part of your success story. If you want to learn more about how cloud ERP can help your business grow in the coming year, let’s talk.

Additional ERP Resources

7 Important Qualities of Cloud ERP

Position Your Business for Growth in 2020 With Cloud ERP

7 Benefits of CRM Software (That’s Integrated with ERP)

Recommendations for Selecting a Distribution ERP Solution

What is the right ERP solution for your distribution business? Acumatica Cloud ERP has created an in-depth checklist to help you understand your options. Their hope, of course, is that you choose Acumatica, but the reality is they’ve done everyone a service by publishing the checklist. You could work through it and conclude that a different solution is right for your particular distribution business—especially as the industry undergoes a period of digital transformation.

The checklist is also a good reflection of the way we work with clients in discovering the best solution for their distribution businesses. It’s methodical and allows for the prioritization of needs. With ERP selection, it should never be a simple matter of feature-to-feature comparison. The best practice is to weight features by relevance to your business.

Overview of the Distribution ERP Selection Checklist

The checklist contains five categories of comparison for distribution ERP solutions:

  • Productivity—How a distribution ERP solution can make your employees more productive in their jobs
  • Functionality—The specific features and functions of the solution
  • Technology—The underlying technology that affects user experience, customization and administration along with integration with other systems, e.g. logistics, HR and so forth
  • Value—How the product maximizes features and functions vs. cost for the product’s lifetime
  • Risk—How the product minimizes risk and facilitates security (e.g. network and financial security)

Using the Checklist to Select a Distribution ERP Solution

Depending on your business, you may emphasize some of the five categories more than others. Productivity, for example, is often overlooked, but it shouldn’t be. The checklist forces you to take a hard look at issues like how intuitive the interface is for users. If it’s not easy to learn, people might find ways to work around it, defeating the whole purpose of the solution. Other productivity factors include having a single database, multi-currency capabilities, wikis and so forth.

Functionality is a critical area for evaluation. Even if you totally love a distribution ERP solution, if it doesn’t do what you want, the solution won’t work. Functional check-offs span features like support for multiple entities, financial management and quote-to-cash workflows. Sales order management and cost accounting are on the list, as are purchase order management and inventory management.

In terms of technology, the checklist encourages you to probe whether a cloud-based solution is “True Cloud,” meaning that it was designed natively for the cloud. This can make a difference in how well the solution works and how easy it is to change. Responsive design is also a significant requirement, given today’s mobile workforce and customers. Other technical issues of note include database export capabilities and the presence of a full relational database. This latter technical feature can be important for integration with other systems, audits and more. The value checklist items refer to financial aspects of the solution. Total Cost of Ownership (TCO) figures prominently into the value category, but so do non-monetary but value-oriented factors like scalability.

If you’re considering getting a new distribution ERP solution, we encourage you to work with the checklist. We can help you go through it, looking at how your business runs and how it competes to arrive at an informed, wise solution choice.

Additional Distribution Resources

Looking at 2020 Distribution Industry Trends with ERP in Mind

Benefits of ERP Software for Distribution Business Management

5 Reasons Distributors Need ERP Software

Position Your Business for Growth in 2020 With Cloud ERP

Will 2020 be a year of growth for your business? While it’s impossible to predict the future, one can still explore how new technology and practices can position your business for growth as we enter this new decade. Cloud ERP in particular, like Acumatica, can make a big difference in a company’s growth trajectory.

How Does Software Enable Growth?

Can software drive growth? No, on its own, software cannot do very much. However, when people, strategy and processes join forces with flexible, powerful cloud ERP solutions, the potential for growth can be startling.

What is cloud ERP? Briefly, solutions like Acumatica are browser-based versions of the classic Enterprise Resource Planning (ERP) applications. Yet, they go much further than legacy ERP. Acumatica, for example, offers add-on modules for manufacturing management, distribution businesses, field service, Customer Resource management (CRM) and more. It’s a complete business management solution, not just ERP. It’s cloud-based, so you don’t have to buy hardware or software licenses to use it.

Here are five ways cloud ERP, used in the right way, can facilitate revenue and earnings increases:

1. Save money and invest in your business

Cloud ERP saves you money on operating expenses (OpEx) by way of reduced IT overhead. You can cut capital expenses (CapEx) because you don’t have to tie up cash or take on debt for servers, storage and data center facilities. You can redeploy that capital, investing in new lines of business, marketing campaigns, money-making equipment and so forth.

2. Get closer to your customers and grow your accounts

With CRM and quote-to-order tools, you can grow your business by improving customer engagement. CRM gives you an overview of sales forecasts as well as the ability to dig deeply into the sales status of specific accounts. With CRM, you can also engage in meaningful marketing campaigns that turn prospects into customers and nurture existing customers so you’ll be top of mind when it’s time to buy. Learn more about integrating ERP and CRM.

3. Improve customer service

When you connect customer service, operations and sales using cloud ERP, you have the ability to deliver a consistent, high-quality customer experience. Customers who are well-cared-for tend to become repeat customers. Having a lower rate of customer churn makes it easier to increase revenue. You don’t have to replace customers who defected due to sub-optimal customer care.

4. Be more agile

Cloud hosting translates into flexibility of ERP solutions. Cloud ERP can add functional modules with relative ease. That way, if you want to make a move like adding 24-hour a day live customer support, you can add the software for the capability pretty much instantly. Similarly, if you want to extend your systems and integrate with those of other companies like suppliers or partners, the cloud Application Programming Interface (API) make as this a fairly straightforward, inexpensive and fast process. It’s certainly far simpler than using custom-coded connectors in legacy ERP solutions.

5. Get smarter by running analytics on your data

Your business data contains a wealth of potential insights that can help you grow your business. Modern cloud ERP makes this data available, with rich data visualization, analysis and reporting features.

Grow in 2020 and Beyond With Cloud ERP

Cloud ERP can help you start 2020 on a growth trajectory. You can get started now, working with us to understand your ERP requirements and formulate an effective implementation plan.

7 Benefits of CRM Software (That’s Integrated with ERP)

Everyone knows that “The customer is always right.” However, in a lot of businesses, there are two big difficulties with this piece of wisdom: They don’t know quite who their customers are and they may not have a good feel for what the customer wants or thinks. Customer Relationship Management (CRM) solutions offer a way to stay in touch with customers and keep them engaged for ongoing revenue growth.

These solutions, which started out as glorified digital rolodexes, now enable highly sophisticated sales forecasting capabilities, customer support, and marketing management. They also integrate with Enterprise Resource Planning (ERP) solutions—potentially giving everyone in the business a clear picture of the customer at any given point in time. With that in mind, here are 7 benefits of adopting CRM, especially when it’s integrated with ERP:

1. Improve customer relationships

This sounds pretty basic, but it’s one of the most important elements of a growing business. CRM gives your team the tools to be in touch with key accounts and stay engaged with them as their needs evolve. With CRM, you can instantly get a complete view of the customer, including proposals and orders in progress, new leads within accounts, customer service history and more.

2. Manage sales more effectively

CRM gives sales managers a total overview of customer accounts. Sales reps can use the CRM solution to create opportunities and build sales forecasts, one customer at a time. CRM creates accountability in the sales team, with the potential to drive revenue growth.

3. Understand the effectiveness of marketing campaigns

CRM solutions usually have marketing campaign execution capabilities, though in many cases, separate marketing systems integrate into CRM. Either way, marketing and sales managers can use CRM to track which marketing initiatives are creating sales prospects. And, of these prospects, which become accounts. Thus, CRM offers a way to show Return on Investment (ROI) for marketing campaigns. It measure how well marketing money is being spent.

4. Establish and maintain customer master data

Customer data, especially for accounts with multiple locations and contacts, can easily get disaggregated. With duplicates and missing data, customer data management and communication suffers. CRM gives your company a standard master data record for each customer.

5. Grow sales with quote-to-order capabilities

CRM, when connected to ERP and outfitted with quote-to-order functionality, lets all relevant stakeholders in the sales and order delivery process to know exactly how a particular customer relationship is doing with regard to orders. You can also keep customers in the loop on issues with quotes, e.g. delays in the supply chain that might affect an order.

6. Get better at upselling and cross-selling

With CRM, sales team members can be given suggestions on cross-sell and upsell, e.g. adding a service contract to sale of a product. Sales managers can also then track how well reps are doing at cross-sell and upselling.

7. Deliver better customer service

The customer support module is often activated when companies deploy CRM. Doing so provides mutual visibility between sales and support, which can be helpful in maintaining good customer relationships. For example, if customer support gets a seemingly minor issue from a customer, they can see on CRM that it’s a multi-million dollar account, so it deserves a high priority. Or, if a sales rep is calling on an account, he or she can use CRM to see existing support tickets.

We have worked with many companies on the implementation of CRM solutions, both on a standalone basis and as part of an extended ERP system. To learn more about CRM or see a demo, please visit our CRM page.

Additional CRM Resources

Which CRM solution is right for your organization?

4 ways a CRM helps you improve customer relationships

3 different approaches to CRM systems

ERP Selection Tips for Manufacturers

Chances are, if you’re in manufacturing, you already have software to manage your operations. It may be time, however, to think about updating that system. With competitive trends accelerating and customer preferences evolving relentlessly, manufacturers are under pressure to adapt and become more agile and better at what they do. New cloud-based Enterprise Resource Planning (ERP) solutions like Acumatica give you capabilities that easily translate into improvements in efficiency, quality and profitability. With that in mind, here area few selection tips for selecting the right manufacturing ERP solution.

Table Stakes

Any worthwhile modern ERP solution will have certain core features. Think of them as “table stakes” to be in the manufacturing software game. These include having a cloud-hosting option and the accompanying flexibility the cloud enables. Cloud computing gets you out of the capital investment (CapEx) you’re accustomed to with on-premises solutions.

A modern manufacturing ERP should also be extensible, with the ability to integrate with other systems using standards-based APIs. Mobility is a given, as is deep data management and analytics capabilities. Security is also “table stakes,” especially considering the emerging risks facing Operational Technology (OT) SCADA systems that may be linked to operational management systems like ERP.

Manufacturing ERP Selection Factors

Assuming the system you have in mind meets the table stakes, consider the following factors when making your selection:

  • It allows you to make decisions with visibility and collaboration. You should be able to use the ERP solution for internal collaboration as well as for coordinating processes with supply chain vendors and customers.
  • A good manufacturing ERP enables you to bring complex, customized products to market in a rapid cycle; it facilitates, rather than hinders, the adoption of new manufacturing methods and technologies.
  • You can manage resources and inventory to keep costs under control and minimize the amount of cash you tie up with inventory.
  • It offers powerful but flexible master production planning and control.
  • The solution handles complexity in the lifecycles of your various products, e.g. multiple versions, revisions, updates, end-of-life, etc.
  • It can easily handle complex product structures that generate Bills of Material (BOMs) with multiple levels.
  • You can set up and implement detailed routings that include processes that occur off of your shop floor.
  • Production scheduling is flexible.
  • Configuration management is easy to use.
  • You can use market data reporting to anticipate supply and demand for materials and finished goods.
  • Cost reporting is fine-grained enough to allow for rigorous cost management and cost cutting that doesn’t negatively affect product quality.
  • BOM costing and production costing allow for roll-up to design and production planning.
  • You can allocate overhead flexibly, by product, product line or business unit.
  • It integrates with the accounting system, including for multiple entities.
  • You can create production orders that track costs for materials, labor and materials as well as overhead that’s either fixed, variable or both.
  • You can integrate with Customer Resource Management (CRM) for sales tracking.
  • It provides Quote-to-Order-to-Invoice capabilities.

This may look like a long list, but it’s really just a sampling of what you should be looking for in a manufacturing ERP solution. We have worked with many manufacturers over the years in the selection and implementation of new ERP systems that are adapted for their unique business needs. If you’re thinking about upgrading your manufacturing ERP, we should probably talk.

Additional ERP Software Resources

How ERP Software Can Save Your Business Money

ERP Software 101: History and Modules Available

7 Signs that You Need ERP Software

Meeting the ASC 606 Compliance Deadline with Acumatica Deferred Revenue Accounting

Corporate accounting systems must be in compliance with the ASC 606 rule for revenue recognition as of December 15 of this year. This requirement will not be a problem for companies using Acumatica Cloud ERP’s Deferred Revenue Accounting module. Those that don’t have this software or the equivalent will be in a rush to get right with this important accounting rule. So, it’s worth taking a moment to examine ASC 606 as an example of how the interplay between software and accounting rules can affect financial reporting.

A Brief Overview of ASC 606 and Its Implications

If you’re a CPA, ASC 606 is probably not that big a deal. You should already know all about it. However, if you’re in IT and supporting the accounting department or a business analyst trying to build efficient financial workflows, a quick review of ASC 606 is in order. The Accounting Standards Codification (ASC) rule 606 is one of many rules by which companies control their financial reporting. ASC 606 is paired with International Financial Reporting Standards (IFRS) rule 15. The rule is thus known as ASC 606/IFRS 15. In the US, they’re being promulgated by the Financial Accounting Standards Board (FASB), the accounting profession’s rule-making body.

The goal of ASC 606/IFRS 15 is to standardize revenue recognition in accounting practices worldwide. Before these rules were adopted, revenue recognition was not subject to any global standards. Companies in different countries could recognize revenue on different bases. Revenue recognition relates to the period in which a company will claim a sale is actually revenue, for reporting purposes. As a result, it can have an impact on tax liabilities and many other aspects of financial reporting.

A quick cash transaction is easy. If you get paid $100 in cash in 2019 for an order that started and finished in 2019, you will recognize that $100 as revenue in 2019. However, what happens if you get $50 to start an order in 2019 and $50 upon completion of the order in 2020? Under the old rules, some companies might recognize all $100 in 2019 (and pay tax on it in 2019) while others will split it. The second $50 becomes “deferred revenue.” ASC makes everyone follow the same rules for these practices. It has implications for taxes, lending, incentive-based bonuses (e.g. revenue growth bonuses), share prices, entity valuation and so forth.

How Acumatica Deferred Revenue Accounting Enables Compliance with ASC 606

Acumatica Cloud ERP has a portfolio of specialized accounting modules. Deferred Revenue Accounting is one of them. It enables your accounting team to handle the detailed, potentially confusing revenue recognition requirements of ASC 606 in a centralized, intuitive and automated accounting workflow. In particular, the module helps users identify a contract with a specific customer—itself a major component of ASC 606. Revenue recognition is contract-based.

The module then identifies the performance obligations in the contract, such as revenue milestones for partial completion and so forth. It can determine and then allocate transaction prices to specific financial periods. Revenue is then recognized when the performance obligation is satisfied. Acumatica’s Deferred Revenue Accounting module can handle bundled contracts, multi-item contracts and related contracts. The system makes these aspects of ASC 606 compliance compatible with other accounting rules already in place.

Each company will have its own distinct revenue recognition requirements. Acumatica adaptable, allowing for Customized Deferral Schedules based on templates or created from scratch. Users can link schedules to specific transactions and line numbers on income documents.

To learn more about Acumatica’s specialized accounting modules, including Deferred Revenue, contact us today!

Additional Acumatica Resources

7 Signs That You Need ERP Software

Why Acumatica Outpaced NetSuite on the Most Recent G2 Survey

What’s New in Acumatica 2019 R1

How ERP Software Can Save Your Business Money

Can ERP save your money business? In our experience, the answer is definitely “yes.” Enterprise Resource Planning (ERP) software, used correctly, will drive savings in multiple categories of business operations.

ERP at a Glance

The term “ERP” has become a bit of a misnomer. When ERP made its debut in the 1970s, the technology was all about running big manufacturing plants and handling supply chains and logistics for industrial companies. This is still the core of ERP, but today, an ERP solution can do so much more. In fact, modern cloud-based ERPs like Acumatica can run virtually every aspect of a business. ERP does accounting now, along with service management, Customer Resource Management (CRM), project management, project accounting, Materials Requirement Planning (MRP) and more.

High-Level Cost Savings from ERP

How does use of an ERP solution translate into savings? In the big picture, it’s about operating more efficiently. ERP helps people work more quickly and accurately. Process automation cuts down on error-prone manual steps. Miscommunications about orders, inventory, logistics and so forth generally decline with the introduction of ERP. Learn more about the signs you need ERP software.

When we help a customer deploy ERP, they tend to notice right away how much faster everything starts to move. They didn’t realize before how seemingly minor things like chasing down paper bills of lading or returning phone calls slowed down operations. ERP makes people more productive. With people doing more work in less time, the cost doing business drops.

Part of the productivity gain comes from the centralization of all business management processes into a single system. There’s no more porting of data from operations to accounting software, and so forth. People get a continuous, real time overview of data regarding orders, support cases, inventory and the like.

Where ERP Saves Money, Specifically

On a day-to-day basis, we see ERP saving money for our customers in the following specific areas:

  • Better control over inventory control—Inventory costs you twice. There’s the carrying cost of parking cash in inventory. Then, you have inventory handling costs like shipping and receiving and related accounting tasks. ERP helps you automate many of these processes. And, up-to-date reporting and predictive forecasting—along with smarter production management—help you keep inventory carrying costs to a minimum.
  • A faster, smoother information flow—The centralized nature of ERP and its rich data reporting capabilities, coupled with automated notifications and task management, result in a smoother, faster flow of information across the organization. People can make more informed decisions and stop using email to manage workflows.
  • More coherent supply chain management—ERP enables you to coordinate purchasing and supply chain, monitoring dependencies and keeping everyone involved informed about the latest production statuses. Learn how ERP can promote a sustainable supply chain.
  • More accurate, timely invoicing—An ERP solution speeds your cash cycle with timely invoicing. Learn about the benefits of ERP for accounting and financial management.
  • The ability to anticipate, rather than react to problems—Data visualization and automated alerting can give your team the ability to see potential production and inventory problems in the making. This way, they can solve them or devise a response before they cause trouble.

All of this depends, of course, on how well you implement your ERP. The software alone won’t do much if your people aren’t making the most of it. This is where we can help. We have worked with many businesses on the implementation of Acumatica and other systems. For a demonstration of Acumatica or a consultation on how software can help your business run better, contact us today!

The Importance of Project Cost Management

Project-based businesses need more than basic accounting. The income statement has a section for revenue and a section for costs. This is great for preparing the tax return or reporting to shareholders. If you want to know how much you’re making or losing on projects, you won’t find it in the income statement. You’ll need specialized project accounting software.

Acumatica Cloud ERP can help. It includes Project Accounting Software that integrates with General Ledger, Accounts Payable, Accounts Receivable, Sales Order Management and other business management modules. Project accounting management enables project cost tracking (covering materials, services, labor and inventory items), budget reporting and billing based on specific project, task progress or completion percentage. Users can compare project costs with original and revised budgets while considering all project costs.

Project accounting figured prominently in Acumatica:

  • Split the budget into Revenue Budget, which can be defined by task or task and item, and Cost Budget, which can be linked to a revenue budget line to enable more flexible analyses of project balances and profitability.
  • View and track budget commitments for large projects lasting longer than a couple of weeks. With this functionality, you can monitor potential cost overruns, connected purchase orders, negotiated rates and other information from one location.
  • Bill for time, material and fixed price and manage the billing workflow without configuring the allocator, which makes it easier to bill for simple projects. Users outside the accounting department can review and edit invoices.

Relevant Project Accounting Applications in Acumatica 2019 R2

Acumatica 2019 R2 carries forward a full set of project accounting features. It incorporates useful applications to help businesses analyze and monitor the cost of projects, including:

  • Project Cost Accounting: View all project-related costs and use formulas to allocate shared costs and overhead expenses to specific projects. This is a benefit for marketing, construction, engineering and other project-based businesses.
  • Advanced Billing: Cost plus, fixed price, contract-specific pricing, milestone and time and materials billing can be managed. Resource billing rates can be modified as needed and labor and materials can be billed based on the type of work, the customer or project contract.
  • Time and Expense Management: Timesheets can be entered by employees, contractors and partners from any device or web browser. This improves accuracy and adds convenience to the Project Accounting Software.

Other Benefits of Project Cost Management

Cost tracking, budget reporting and flexible, accurate billing are just a few advantages of using Acumatica for project accounting. Other beneficial functions include:

  • Change Order Control: Make changes to the scope of a project, using all relevant documentation such as revenue/cost budget, class and commitments while defining workflows and approval processes. Audit trails and full visibility ease the release of change orders.
  • Project Quote Management: Improved control and management help simplify project sales and pricing while Acumatica provides support for more complex quote processes. Quotes can be created, updated and linked to CRM within the system.
  • Company-Specific Financial Periods: For organizations that have different fiscal year-end dates, financial periods can be defined at the branch level, especially if related business entities share vendors, employees and stock items.

Acumatica also supports multi-currency project accounting. Project managers and accountants can see actual revenues and costs and calculate profitability using the project currency, while customers can see costs in their native currency. With revenue recognition, billing rules can be defined to identify revenue from completed tasks or a percentage of project completion.

To learn more about Acumatica Project Accounting, contact us for a free product tour or software demo.

Additional Resources

How ERP Software Solves Your Business’s Top Financial Management Challenges

5 Benefits of ERP for Accounting and Financial Management

The Value of Implementing an ERP for Professional Service Organizations

Looking at 2020 Distribution Industry Trends with ERP in Mind

Distribution challenges loom as 2020 approaches. Issues include increased costs and unpredictable spending habits by the ever-more influential Millennial generation. Distribution businesses must keep up to meet their goals of continued growth. ERP software specialized for distribution offers a solution. Here is a selection of pressing trends in distribution that can be addressed by ERP.

An Increase in On-Demand Ecommerce

Consumers now expect to have the option to buy and receive goods from anywhere after placing orders from phones, cars and personal digital assistants like Alexa or Siri. Many of them demand same-day delivery. It’s not uncommon for retailers to offer two-day shipping, while Amazon offers next-day delivery to about 75% of the U.S. population. To compete, businesses must invest in logistics infrastructure improvements.

Acumatica cloud ERP facilitates this kind of on-demand experience. It incorporates a Customer Management Suite that enables businesses to respond quickly to requests, from first contact with a customer through the entire sales process. It also helps manage fulfillment, billing and after-sales service requests. Visibility into real-time sales data helps with forecasting while customers can access information via the Acumatica Customer Portal, thereby connecting CRM functionality with distribution operations.

A Shortage of Labor Resources

As logistics operations grow in size and complexity, the need for labor is increasing. But with low unemployment, it is becoming more difficult to find available workers who can fulfill the demand for same-day delivery, especially during peak shipping times like Christmas. Automation technologies are decreasing in cost at the same time. Robotics and software solutions are becoming essential in the logistics industry, just to stay competitive.

Acumatica streamlines logistics operations with accurate cost tracking, manual or automatic allocation of freight costs and management of multiple warehouses. It can factor in location-specific inventory, quantities and costs as well as help redistribute inventory from a central facility to other warehouses. Purchase orders can be automatically generated to replenish stock and sent to vendors with optimal prices and delivery times.

Tariffs on Foreign Goods Are Increasing Costs

Tariffs, particularly those on goods from China, are leading companies to relocate so they can sell products at affordable prices. Businesses are finding the need to rework their distribution models, modify their tracking systems and find new trading partners. At the same time, they must maintain their bottom lines, satisfy customer demand and keep up with their competitors.

With Acumatica, organizations can have full visibility into inventory, prices and cost-saving opportunities from a single data source. Reports can be accessed from anywhere, including on mobile devices, so data and analytics can be viewed in real-time via intuitive custom dashboards. Users can also see sales trends, product movement and market information.

Dashboards also provide useful information such as product and material replenishment, lot/serial numbers and shelf life and expiration dates along with details on the condition of stock, drop shipments and vendor selection and performance analyses. At the same time, the cloud ERP system reduces the risk of errors and avoids requiring data re-entry and reorganization. This improves control as companies rework their distribution processes.

Acumatica Distribution Edition

If you hope to grow your business or even stave off the ongoing threats that exist from competitors, you need an ERP solution designed for you.

Acumatica Distribution Edition delivers, giving your business control over their supply chain and logistics activities, including warehouse management, inventory management, and order management. Built in the cloud and customized for your needs, Acumatica helps companies improve customer satisfaction, reduce order times, and control costs across the entire supply and distribution chain.

Contact us to learn more.

Additional Distribution Resources

Benefits of ERP Software for Distribution Business Management

Making the Most of KPIs in Distribution

5 Reasons Distributors Need ERP Software

How ERP Software Solves Your Business’s Top Financial Management Challenges

Even the best-run companies face financial management challenges. Help is available from ERP solutions, as exemplified by Acumatica. They include financial management software along with a full range of accounting functions like general ledger, accounts payable, and accounts receivable. Cash, currency and tax management applications enable Acumatica to support businesses on many levels. Here’s a look at some of the more pressing financial management concerns and how Acumatica Cloud ERP software can help solve them.

Financial Planning

Financial planning is a process that involves looking at a company’s current financial conditions, as well as its strategic plan, and determining how to best allocate funds to achieve objectives. No matter what industry your business is in, financial planning is a must. Some challenges businesses face in this area include decentralized decision making, disparate data sources and the timeliness of data.

To resolve these issues, Acumatica provides:

  • A single version of the truth: Financial reports and personalized dashboards are available via a shared centralized database.
  • Artificial intelligence: From entry of individual data points to invoice scanning, documents can be stored electronically and instantly with the relevant transaction.
  • Automation: Workflows, approval limits, bank reconciliations, and the generating of managerial financial reporting data in pivot tables are automated.

KPI Reporting

Without using the right Key Performance Indicators (KPIs), it can be hard to identify where your business is under-performing, which can lead to losses and missed opportunities. Operating cash flow, working capital and a wide range of financial reports are needed. However, reliance on standard required reports doesn’t always deliver the kind of sophisticated support managers need to make financial decisions.

Acumatica goes beyond standard formats to generate special reports based on the organizational structure of your business. Reports tailored to specific departments, divisions, subsidiaries, products, etc. provide alternative views of data to expand analytical capabilities. With data available on-screen, in reports and in, for example, Excel format, trends and changes can be more easily seen and acted upon.

Inter-Company Accounting

During their natural course of growth, many companies acquire subsidiaries, which may be managed as separate entities. But does this mean requiring separate balance sheets and general ledgers for each? Without a means to reconcile each entity’s accounting into the parent company’s general ledger, inefficiencies and errors can plague your financial management process.

Acumatica provides inter-company accounting to enable financial management in increasingly complex scenarios. Managing multiple subsidiaries is simplified with functions such as:

  • Financial management
  • Customer relationship management
  • Distribution management
  • Project accounting
  • Field service

The cloud ERP’s real-time accounting system also helps your team avoid manual data entry into spreadsheets, saving time and allowing for more effective use of reports.

Security and Compliance

Data security and compliance are two of the greatest financial management concerns. A cyber-breach or fraud can expose sensitive data, while compliance issues can lead to hefty fines that can put your entire business at risk.

Acumatica increases security with its role-based access control. Financial data are safely stored in the cloud, and available via any device with a web browser. The ERP also addresses compliance on different levels, including the ASC 606 revenue recognition standard for businesses that enter into contracts with customers (for transferring goods or services) and the IFRS 15 standard to account for revenue generated from these activities.

These are only a few financial management challenges all businesses face, and just some features and benefits of the Acumatica cloud-based ERP. For a more thorough overview of Acumatica’s financial management capabilities and our solutions for implementing them, contact us for a demo.

Additional ERP Resources

7 Signs that You Need ERP Software

5 Benefits of ERP for Accounting and Financial Management

Calculating the ROI of Moving to Cloud ERP