4 things about ERP that you wanted to know
1. Hold on, what is an ERP system?
ERP, or Enterprise Resource Planning, is a type of software that allows you to manage multiple core business processes such as transactions, accounting, and reporting.
In the past, ERP systems started as complex software that was proprietary, and only affordable for larger companies. It required consultants to implement the software, powerful computers to run, and an on-site IT team trained to manage and maintain it.
However, with the advent of Cloud-based and Software-as-a-Service (Saas) ERP systems, they have become more affordable and simpler to implement and utilize, as compared to the traditional on-premise ERP system.
2. What can an ERP do for my small business?
With its origins dating back to the manufacturing industry, ERP has grown from exclusively catering to large companies with specially tailored software, to include smaller sized companies with an off-the-shelf solution that’s easier on your office computers (and your wallet).
Advantages of using an ERP system include:
a) Improved productivity & efficiency
95% of businesses find that ERP systems improve their business day-to-day operations and processes.
Instead of having each department use different software, using an integrated ERP system consolidates data and reduces delays in sharing information across departments. This also removes the need for keying in the same data in different locations, minimizing human error.
With mobile and cloud-based solutions, you can even work remotely and achieve a better work-life balance. This is all the more pertinent today in a COVID-19 world.
b) Better business performance that drives growth
Informed decisions can be made as business data is consolidated in one space. Most ERP solutions also offer Reports that can provide more insight into the business’s performance at a click of a button.
c) Lower operations cost
Surprisingly enough, using an ERP solution might allow you to save costs as compared to buying different software for specific departments. Data automation also frees up precious resources that can be utilized in other aspects of the business.
d) Better security
Access controls and role-based access management features allow you to control what a user can see or do in the system. This ensures any confidential information is kept away from prying eyes.
3. What should I look for before getting an ERP for my business?
Before you start browsing for your next ERP solution, here are some additional factors you should consider:
a) Does it simplify my process?
You can’t get different results by doing things the same way. — Richard Moran
Look for an ERP system that allows you to focus on business instead of arcane processes that don’t add value to your company. It is important to maintain flexibility while adopting best practices, especially for small businesses. After all, if you need a system admin to manage your ERP and its business processes, it cuts into your gains from implementing the system in the first place.
b) Are there any hidden costs?
Don’t jump the gun! ERP systems can be a significant investment for SMBs. It’s good to explore your options and weigh the pros and cons before choosing a specific ERP software. You might be attracted by the advertised low cost, only to find that the feature you require is only available on a more premium plan.
Other than the initial purchase, you should also consider the downtime and subsequent costs incurred when transitioning to a new software.
Look for providers who have a clearly defined, transparent pricing plan and are easy to migrate to.
c) Can my employees use it?
Adopt an ERP system that is easy to learn, has a modern UI, and has good support with a self-help website. Flatten the learning curve and see how employees adopt the new system.
Openly communicate with your employees the changes to be done, introduce the change in phases, and provide proper training. Some ERP software also allows you to import data from other ERP systems, easing the process. They might even include training packages in their plan to help you with the transition!
4. How expensive is it going to be ?
Historically, ERP systems have been associated with high costs and tedious implementation processes that took months. These factors served as significant blockers for most small-medium businesses (SMBs) to adopt an ERP system, despite its vast advantages.
However, long gone are the days where ERP systems were only reserved for larger companies. The current ERP market is more accessible to smaller enterprises with affordable off-the-shelf solutions, allowing SMBs to scale their business effectively.
You can easily sign up for an ERP system, evaluate, and decide if the system is right for you. All this without spending a single cent! There are many that offer a trial period, but we at Deskera give you a free user for life so you can start off immediately. Coupled with attractive monthly pricing and no lump sum investments, this makes ERPs a very affordable option for small businesses today.
What are you waiting for? Try one out now!
Get your hands on one of the many ERP solutions available today. See how it works for you, check out a few demos, or just sign up for one of them and play around the system to get a good feel.
If you want to try out an ERP system for free, head over to our website (www.deskera.com) and sign up for free today.
