Do you need an ERP?

Wondering whether you need an ERP?

Answer the question, 'Do you want to grow' and if the answer is yes, then YES you need an ERP.

Every small and mid-sized business needs the best in management software to stay efficient and competitive.

1) Improve Efficiency: There are countless processes and systems going on in a company. Lots of applications and databases that might not be integrated. Lots of information that might not even be formally documented. While SMEs have long been working like this in the past, in this competitive world, things need to change to improve profitability, productivity and growth.

ERP streamlines all the processes providing companies with the right information when required which in turn improves efficiency and reduces cost. It helps management take fast action to changes taking place in the market.

2) Getting rid of inconsistent and inaccurate information: Its important that different departments in a company deal with the same truth rather having different versions of it. ERP helps do just that. All departments are interlinked and deal with one source of information. It helps the senior management assess the company performance properly.

3) Helps in objective setting: Problems in business are quickly identified, objectives set and monitored easily because of the consistent data source.

Change focus from TCO to ROI

Time has come for the SMEs to change focus from TCO: Total cost of ownership to ROI (Return on Investment). Rather, for all endeavors that you indulge into, please focus on how you can extract the maximum from it rather than how much you have invested in it.

Traditional ERPs were so expensive that the entire focus was on the TCO. However, with the On Demand ERPs coming in, it is easier to shift focus to ROI. The investment in these products is so low that you can start looking at profits pretty soon.

Do not forget to incorporate the business benefits in the entire scenario. These benefits could be:

1) Improvement in the on time delivery
2) Optimum inventory
3) Less stock outs
4) Reduced administrative costs
5) Back office efficiency etc

While TCO is important to note, do not forget the benefits. Would definitely help you adopt new technologies faster and hence, move faster in the industry!

How Important is an ERP for SMEs?

As it turns out....very! Especially in these times of slowdown or turmoil or downturn or..whatever you might want to call it!

ERP is today a hygiene factor in companies...its not something you might want to think about. Its something you would not be able to do without.

If you are an SME, how can you think of growing or countering competition without ERP in place that gives you access to information, helps you manage your inventories, sales, purchase, vendors etc etc?
There were times when the cost of ERP used to scare the hell out of small companies. But today with On Demand ERP coming in, it has become extremely within reach and budget!

With as low as Rs. 25000 per month, you can get a full fledged ERP system installed. Which also means, you don't have to face a big dent in a go and then keep justifying the cost for the entire year!

With all this available at your disposal, you definitely don't have a reason to lag behind!!

Sysblitz.com: We are ready..Are you?