Your information holds your future opportunities. ERP software goes beyond basic accounting for a company-wide information pool and growth-oriented analysis.
Why Growth-Oriented Leaders Should Know About ERP Even if Their Accounting System is Running Fine
Are you operationally ready to expand? As your business grows, revenue increases and operations become more complex, you’re probably talking to your CPA more often. You’re asking questions about how to handle your growth. The first question you’re likely to have is whether, as you look at growth, financing, cost reduction and even going public, your accounting system will give you the numbers you need.
Marius Nel, owner of a managed IT services company in Atlanta, GA shares insights into Microsoft and Quickbooks tools for small businesses.
Quickbooks is Basic Technology, Expanded to the Cloud
Many smaller businesses use Quickbooks or a similar accounting package, locally run or online as a “cloud” version. There are potential cybersecurity risks, limited transaction history and control, and limited reporting and data sharing capabilities in these basic, legacy accounting packages.
Financial Professionals See the Advantages of ERP as a Plus for Your Company
ERP systems go beyond the simple data handling features of basic accounting packages and employ advanced enterprise database systems which secure your data and track any modifications. This gives financial professionals peace of mind when they run annual reports and file returns for your more complex operations.
What is the Basic Advantage of ERP Compared to Accounting Software?
ERP takes the features of basic accounting packages like Quickbooks and builds them into a more flexible, expandable and enhanced company-wide information system. As you grow, it expands to link your departments and divisions so that you, from your desk, can ask the questions you need to have answers for and get real-time data to help you make timely operational decisions.
Is Your Financial Reports Solid and Complete Enough to Count On?
Have you been thinking about aspects of your company growth like a closer relationship with your lender, or perhaps considering going public? ERP is a known quantity that helps you build confidence with those who can help you gain access to funding and investment.
Is ERP a Major Change for Workers?
It doesn’t have to be. For instance, Microsoft Dynamics ERP software not only gives you a lot more power, flexibility, and insight, it’s deeply integrated with Microsoft Office. That lets users start by accessing information using tools they already know.
The Ten Thousand Foot View of ERP as a Corporate Resource
Why it’s Called Enterprise Resource Planning
Unlike your accounting package, ERP goes beyond transaction tracking and manages your company information. That means you’re connecting your vendor and customer information, production and materials planning, employee data and scheduling information to applications that help you oversee and plan for the entire enterprise.
Typical Basic Functions, available enterprise-wide as needed:
● Accounting and Finance (and there the similarities end)
● Raw Material Tracking
● Supply Chain Management
● Production Capacity Oversight
● Human Resources Functions
● Human Capital Management
● Workforce Scheduling
Growth is Quicker and Simpler when Everything’s Connected
ERP prevents departmental information “silos” and associated delays. Information is centralized and shared, and processes move quickly because of it. Speed is a key element of company growth.
Keeping Up with a Fast-Paced eCommerce World
For some companies, the real-time capabilities of ERP are used to create extremely responsive ordering and shipping capabilities for must-have-it-now customers, and other upgrades to the modern age of business.
A Bit About ERP’s Own Growth and Evolution
ERP itself evolved. In the 60s it started as MRP or Material Requirements Planning which helped manufacturing track materials, eventually expanding to ERP for the whole enterprise. By the 1990s, fast tech industry growth and Y2K concerns led to widespread adoption of ERP. Recent additions include advanced customer relations management (CRM), business intelligence (BI), eCommerce and B2B connections.
Connecting Your Company to the ERP Revolution
If you’re thinking about the big picture for your company’s growth, you need software which meets your future needs and keeps you current with other businesses. Speak with your IT services company about your organization’s technology growth path, and whether ERP is right for you.