The integration of business processes with the help of an ERP system
An ERP system (enterprise resource planning) is a solution that links all business systems that you are using. Stop for a moment and think about all those systems.
You are probably using one for managing orders and supplies, another one for human resources, and an additional one for accounting. Wouldn’t it be much simpler if all this data can be accessed from one single place, in one single system? That is exactly what the ERP system like Microsoft Dynamics 365 Business Central does.
An ERP system stores information from various departments and business processes into a single database. That way, all employees can easily get wanted information at any moment.
What makes the ERP system special are various possibilities of its application. Different companies can use this same system in completely different ways, and every implementation is completely suited for a client and his needs. That’s why there are big differences in the ERP system depending on the type of company and the market it is doing business in.
Why use an ERP system?
Regardless of the ERP system you choose, its primary function is to simplify business processes and integrate them into a single unit. Depending on your business needs, you can use it for any of these business processes or for all of them.
Supply
The ERP system significantly simplifies the supply process and operates closely with the SCM system (supply chain module).
Sales and marketing
An ERP system like Microsoft Dynamics 365 Business Central simply manages the sales process, from client inquiries to creating bids, orders and invoices. More advanced solutions also enable tracking the delivery status and updated calculations of various tax rates. Combined with an integrated B2B eCommerce system, it can become an engine of successful online sales.
Production
A special module of the ERP system is intended towards increasing the efficiency of the production process and engineering. Such solutions simplify product planning and enable better monitoring and control of the production process.
Financial management
This specific module simplifies managing companies’ capital through better income and business expenditure monitoring. That includes standard accounting transactions, tax auditing, an oversight of business accounts transactions and creating financial reports for any department.
Client relations
The main goal of this module is to improve the quality of the service you are providing for your clients and to increase earnings per client. This module helps in lead conversion, solving user’s inquiries and attracting new clients.
Managing the supply chain
An ERP system can also significantly alleviate business processes regarding the supply chain, managing orders, business process automation, the production course and the return of goods.
Automatic reports
This module extracts data from other parts of the ERP, with the goal of simpler and quicker report creating in various departments. That way, the employees no longer have to waste time extracting data from individual modules
Business analytics
This solution enables the integration of data from more business systems, in order to easily make key decisions for the company, and enables analyzing and the visualization of all important elements of the business.
Project management
By connecting financial indicators and data on project activities, it is much simpler to evaluate the success or failure of projects that your business team is working on. With the help of such a tool, it is much easier to define whether the set deadline and budget are being met.
Ecommerce
The ERP system can become a powerful engine for successful online sales. A solution like this links your online sales channels with other data stored in the ERP system.
Who can use an ERP system?
Regardless of the type of product and service, the size of the company, or the market you are doing business in, an ERP system can significantly alleviate and improve your business. It proved to be an excellent solution for production companies that want to simplify business processes and reduce costs, and also for smaller companies that are already using a CRM system, but simply want more.
It also helps when you want better control over expenditures, activities, and resources in each project. A software solution like this can predict when a deadline is about to be missed or if you will need an additional workforce in order to finish the project in time.
If your company does business in a specialized market, like a food, drinks or health products market, then you will surely need a specialized ERP system that can solve your specific problems and business needs.
The advantages of using an ERP system
Once you have decided to implement an ERP system in your business, you can be sure that using it comes with a wide range of advantages. By optimizing business processes, an ERP system saves time for your employees and brings better business results.
Fewer costs
An ERP system connects business processes from various departments inside a company, which is why you can identify potential problems more easily. This also means that you are faster in solving them. That way you are decreasing the possibility that such situations affect the production process or business results in any way.
Higher productivity and efficiency
By using an ERP system, you can very simply automate different business tasks like updating the inventory, composing reports, or sales records.
The automation of the process brings significant time savings and also removes the slightest possibility for human error.
Precise and clear business reports
Business analytics is key for any type of business. Using this information gives you clear success indicators for each individual project and the whole business of the company. It also indicates if some necessary improvements should be done, if there is a need for any.
With the help of business analytics available in an ERP system, you can see if your business is “on the right path” at any moment and what adjustments should be done in order to have optimal results.
Regulations compatibility
Market standards are constantly changing and many companies have issues when aligning with new regulations. Many ERP systems also include the possibility of having regular reports on any changes in that area. That way you can timely align your business with new regulations.
Depending on the type of business and the needs of your company, an ERP system can take control of simple business processes or become a complex solution for the whole business. That is precisely why it is extremely important to choose the right ERP solution, but also an appropriate service provider that will spare you from any unexpected costs when implementing it
You need advice on how to achieve it? Contact us today to be presented with the best solutions for simpler and faster business processes and a more successful business.
