ERP Benefits and How it Can Help Business Growth in 2021

ERP Benefits and How it Can Help Business Growth in 2021 - ERP benefits - Kinspeed Limited

Growth is essential for small to medium businesses and driving revenue is often the key strategy. Much of the challenge facing small enterprises today centres on customer experience and reducing complexity – revenue growth and cost reduction. Ultimately, in a society keen to reap the benefits of automation technology, delivering a competitive service relies on a forward-thinking approach to business management.

What are the Challenges Facing Small to Medium Enterprises?

Naturally, there are industry-specific challenges facing every business, from supply chain through to customer service. But growth barriers are common to any business trying to scale.

Having genuinely useful insights to work with makes all the difference. Without understanding restraints on productivity, or having accurate sales forecasts and real-time financial status, how can any business navigate the complexities of growth?

Service development can be a significant barrier. Keeping pace with technological advances and the resulting change in customer expectations, requires a significant shift in organisational culture and infrastructure. Companies such as Amazon ceaselessly raise the bar when it comes to customer experience. Endlessly convenient, this level of service has transformed customer expectations, whether a B2C or B2B relationship, customer service excellence is the norm.

Controlling costs is always a business challenge. Technological development is having a significant effect on the relationship between a business and its customers. As expectations evolve, fuelled by the ease and speed of digital technologies, businesses unequipped to keep pace may find costs spiral out of control when attempting to meet even the basic expectations of today’s customer.

What are the Advantages of ERP for Business Growth?

Enterprise Resource Planning integrates all business processes into one unified system. The overall benefit is that ERP collates all data, where it is always up to date, easy to access, and scalable.  NetSuite and Sage are leading ERP suites which work on a single dataset to give better visibility across the business.

Integrated ERP will automate countless processes, replacing manual operations which can supress productivity and accuracy. A good ERP implementation will automate order entry directly from an ecommerce site and from business customers via EDI, FTP, mail parsing or AWS – reducing lead times and increasing accuracy.

Purchasing can benefit from purchase order automation which ERP will calculate based on sales and inventory – maintaining healthy, accurate stock levels. Finance will reap immeasurable benefits from ERP, for example automatically updated exchange rates across multiple currencies. Real-time, connected data means finance have constant visibility of the company financial status which will alter in response to events such as an unpaid invoice – facilitating swift decision-making and preventative action.  

Integrating all department activities into one future-proofed system works to streamline processes across the business, removing the siloed culture. Managing customer relationships becomes effortless, by comparison, when every department is linked together by ERP. Accessible, real-time data clearly demonstrates how each element of the overall fulfilment process is performing – KPI tracking across departments is a game-changing feature of ERP for many organisations.

ERP benefits

Will ERP Benefits Help My Firm?

ERP software reduces complexity which can hold an organisation back, through poor productivity or rife inaccuracy.  Without this a business becomes agile and will respond to threats and opportunities efficiently and effectively, leaving its competitors behind and powering growth. We can all think of businesses who have rapidly expanded to dominate their respective markets; the secret to their success lies in their forward-thinking approach to growth.  Without exception they recognise the barriers that will hold them back and plan to circumvent them.

Some of the best-known UK brands like boohoo and Slimming World have used the benefits of ERP to eradicate barriers to growth in their organisations – their success speaks for itself.

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