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5 Key Benefits of a Modern ERP System

In this current era, where multichannel has become a real focus for all organisations, retail ERP systems have never been so important. Even SME’s have embraced the multichannel concept and are looking at ways to cope with their larger business operations.

Regardless of the size and sector of your business, ERP is what keeps you in the game! ERP stands for “Enterprise Resource Planning’ and is a term that refers to software application used to manage information more efficiently throughout a company and its operations. Understanding how an ERP solution can positively impact your business is critical. It will enable you to illustrate the return of investment (ROI) your organisation will receive from the ERP system implementation.

Distilling over 25 years of expertise in the sector, here are our 5 key benefits of choosing a modern retail ERP system.

1. Single view of information for outstanding communication

No longer will the shipping department have to notify accounting or sales each time that merchandise leaves. No more unrealistic lead times promised to your customers! The whole idea of an ERP system is to gather the entire company into a unified system, allowing all departments to share a common vision and coordinate in real time. By having a fully integrated modern solution, your business will benefit from this wide interaction, creating greater communication and collaboration between all departments, partners and customers. All the information is in one system so employees have access to the data they need when they need it!

2. Reliability of business data

The starting point for good information is the raw data – this is collected and collated within the system and because it sits within a single integrated application and a single database, the quality, integrity and accessibility of the data is second to none. Easy access to accurate, timely and relevant information can enable you and your workforce to take quick and informed business decisions. Many surveys have revealed that ERP systems help companies plan better and be reactive to change in demands, competition and unexpected disruptions.

Better planning brings many advantages, and tighter management of your inventory is just one of them. With ERP, you will gain control over inventory replenishment, ensuring that you have enough on hand to meet anticipated orders, while keeping excess stock to a minimum

3. Enhancements and efficiencies

Access to accurate data has never been so fast. The availability of information as well as the user friendliness of the system allows businesses to be more responsive and to keep up with fast-moving markets. One of the biggest benefits of retail ERP is that it really helps provide complete business-wide visibility; for example by pinpointing which product, which area of production, or which department is saving on costs or is behind.

In addition, tools such as “critical path” are proactive ways of helping to ensure targets are met. ERP promises companies increased efficiencies and cost-savings. In these tough economic times, who wouldn’t be interested?

4. Better financial and business-wide reporting

Creating a more harmonised financial environment will help customise and improve your reporting capability rapidly. Many of our clients historically relied on spread sheets which was not only time-consuming but also prone to human errors and getting misplaced. ERP systems eliminate manual processes and duplication of efforts. For instance, as they seamlessly integrate financials with E-commerce, it enables to automate billing and generate invoice from sales order in a click of a button. ERP systems go even beyond cost and time savings; they can really assist you in taking strategic decisions as spending and cost allocations can be closely watched.

5. Stay connected wherever you are

With the rise of internet, apps and other smart devices, it is essential to stay up-to-date with current trends. As newer technologies keep emerging, you may be missing a lot of great features with your existing enterprise resource planning system. The latest buzz words are “mobile ERP integration”. As companies and their staff are becoming more decentralised, newer ERP software provides mobile functionality so that you can stay connected and well-informed on your business processes and performance at all times.

In conclusion ERP systems build your competitive advantage. Not only will it help you understand the market demand and respond to it in real-time, opening doors to a better customer service, but it will also enable you to take well-informed business decisions, optimise on costs, improve efficiencies and facilitate business growth. In the end you need to be confident that the money you invest will pay back handsomely.