| Recently there appears to be an increased
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| | - Reduce Operating Cost.
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| amount of interest in Enterprise Resource
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| | - Facilitate day to day management.
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| Planning (ERP). Originally adopted by
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| | - Eliminate data silos by creating a
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| manufacturing organizations, its main
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| | single, centralized repository of timely,
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| focus was for the management and control
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| | accurate business data.
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| of inventory. Since then the functional
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| | - Enable more effective resource
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| scope of ERP solutions has grown, and as
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| | allocation and management.
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| a result so have the benefits and
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| | Whilst these benefits mentioned are
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| adoption by other industry verticals
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| | significant they are only true benefits
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| within the wholesale and distribution
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| | to a business if the ERP model is a good
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| segment, including those within small and
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| | fit for the company. A particularly good
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| medium enterprises (SMEs).
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| | fit is for companies that need to
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| Typically organizations juggle several
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| | formalize their business processes and
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| different business applications to manage
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| | activates across multiple departments.
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| the intricacies of their business. But
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| | These companies are generally trying to
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| now businesses understand that they need
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| | deal with multiple versions of the truth
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| to stop wasting resources managing these
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| | across the business due to their
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| multiple "silo" systems and improve
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| | disparate systems. This prevents managers
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| visibility for better decision making via
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| | from making good business decisions. An
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| a single centralized seamless system.
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| | ERP solution can help enforce good
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| Most ERP solutions contain a range of
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| | business processes and consolidate the
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| modules to improve a variety of
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| | information to provide an accurate cross
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| back-office functions, including:
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| | departmental picture of the "state of the
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| - Financials & Accounting: includes
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| | nation".
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| functionality such as general ledger,
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| | When considering an ERP solution it is
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| cash management, accounts payable and
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| | advisable to consider a single vendor
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| receivable, and fixed asset management.
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| | solution that provides the flexibility
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| - Time & billing: includes features for
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| | and modularity of adopting the different
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| billing/invoicing, time and expense
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| | ERP functional areas. Implementing ERP
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| management, and Project/Job monitoring.
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| | within a company also comes with a need
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| - Supply Chain Management: includes
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| | for a cultural change within the
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| management around Inventory and Order
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| | organization. A 'lets do it all now',
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| Fulfillment.
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| | otherwise known as a 'big bag' approach
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| - Employee Management and Productivity:
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| | can be a far too overwhelming transition
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| Human Resource Management, Employee
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| | and difficult to manage. Just like any
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| Activity Management and Administration.
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| | software implementation the solution will
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| At a high-level some benefits that can be
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| | only be as good as the people that use it
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| expected from implementing an ERP system
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| | so user adoption is critical. When
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| includes:
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| | evaluating ERP solutions it is just as
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| - Improve decision making & strategic
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| | important to consider the quality of
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| planning.
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| | professional services provided by the
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| - Improve productivity with greater
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| | vendor just as much as the core solution
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| visibility and more automated back-office
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| | capabilities. The successful delivery and
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| processes.
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| | adoption of an ERP into a company will
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| - Ensure accountability and compliance
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| | enable the solution to perform to its
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| with auditable accounting.
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| | full potential and provide great results.
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