6 Reasons why you should use an ERP system to grow your business

ERP software

Think about this – the global ERP software market had a value of $35.81 billion in 2018 and it is projected to reach $78.40 billion by 2026. Would these numbers be so high if the impact of these systems was insignificant?

Obviously, the numbers presented above are impressive, but what can a person not familiar with this kind of system make of that? People who have never used this kind of software have a hard time figuring out why ERP is so important to many companies.

Well, considering the time we live in, every wise businessman needs to learn (at least) the basics about ERP systems and how they help companies improve their operations.

So, if you’d like to see how you can benefit from using an Oracle ERP implementation system, take a look below.

What is an ERP system?

An ERP system (Enterprise resource planning) is a kind of software that numerous companies use to handle daily business tasks and activities.

These can range from accounting, procurement, risk management, regulatory compliance, and project management to supply chain operations.

A comprehensive system of this kind also includes enterprise performance management, which is another software feature that can help with plans, funds allocation, predictions, and reports of financial results within a given company.

This kind of system combines various business processes and syncs them so that there is a good data flow between them. ERP systems eliminate data duplication and provide data integrity through the collection of an organization’s shared transactional data coming from more than one source with a single source of truth.

Therefore, if you want help with managing your business, you should definitely consider checking out this kind of software.

For a start, head over to giants such as Oracle ERP, a top-notch system. However, before you actually start using it, make sure that your employees go through Oracle ERP training where they will get acquainted with the system.

Still on the fence about this? Take a look at some serious benefits you can enjoy if you invest in this kind of software.

Benefit 1: Money and time saver

There is no denying that various ERP packages are a big investment. On the other hand, there is also no denying that they have a great ROI. The point is to go through the sticker shock. 

Now, the way this kind of system saves money for you is actually through the unification feature. ERP systems unify the current systems of your organization. These can include product development, accounts payable, and so on.

On top of that, your employees will have a single system where they will be able to access all the necessary tools in order to do their job.

And, when you unify systems, you actually help your staff utilize their time more efficiently. Your employees won’t have to look for a piece of information across multiple platforms. With a single and centralized database, all pieces of information are easier to retrieve.

To make it even better, your employees won’t need to be trained to use several systems. They will only need to learn how to use one. And, that will save you money.

Benefit 2: Automation

ERP systems help companies achieve real business process automation. A system of this kind helps manage important tasks every day across an organization which, in turn, frees up staff to focus their efforts on more important work.

When all the menial tasks get out of the way, your team members will have more time to deal with the more important tasks that require their personal attention and a lot of effort.

Thanks to the automation benefit, the productivity levels will be boosted. However, you will also reduce operating and overhead costs which can only be good for your company.

With no ERP system in place, you can’t really have cross-departmental collaboration and prudent workflow execution. 

Benefit 3: Operational efficiency

When you invest in an ERP system, you are actually investing in better operational efficiency.

This is really good since error-prone, awkward, manual processes can really drain a company’s money and time.

Businesses should automate critical activities and thus augment business process efficiency. This goes regardless of how big or small your company is or what industry you’re in.

However, one thing that matters – making different teams work as one. That can be quite difficult. Luckily, with the help of a good ERP system, that becomes reality.

Benefit 4: Improved accounting and financial reporting

No serious company can afford to mess up accounting or anything related to finances. That is why keeping track of finances should be one of the top priorities of every entrepreneur who is looking to grow their company.

The way you “handle numbers” can tell a lot about your company. And, when you are going through a growth phase, you can’t really allow a mistake in this area. When a company starts growing, the complexity of transactions becomes overwhelming. This makes it difficult for your employees to do all the accounting.

On top of that, manual data entry considerably harms your productivity levels at the office.

But, with a centralized system, this becomes a relatively easy task that can be done with little to no chances of mistake. When you have an integrated ERP system that keeps track of all incoming and outgoing transactions, things become more convenient and easier.

This kind of system will eliminate the need for repetitive data entry work and it will increase the visibility of crucial operational data.

Benefit 5: Security and law compliance

Playing by the book is a must. And, a centralized system (ERP) can help you ensure that back-office operations are in sync with the regulatory rules of your industry.

All good ERP solution providers monitor compliance and regulatory changes. They then update the features of their systems whenever there is a change or need to better help you meet the new requirements.

ERP systems simplify data processing and streamline internal processes and they also improve the security thanks to features such as regulated data access and built-in firewall systems.

The integration of multiple processes into a single unified system makes it easier for your system administrators to control and monitor the security of the software you have at the office.

Benefit 6: Flexibility and mobility

When you have an ERP system in place, data from various departments of an organization is streamlined into a unified platform.

Since modern workplace trends like BYOD (bring your own device) are becoming more popular, there is an increasing need for flexibility in enterprise software. This kind of benefit is becoming an essential factor for people when deciding whether or not to invest in this kind of software.

Well, ERP systems today can process multiple functions by leveraging a centralized database with the aim to provide clear and accurate information to any user anywhere on any device.

Remote access to the database and critical numbers save time and effort and all the work will be delivered in a timely fashion with no harm to quality.

Final thoughts

There is no doubt that you will have to leverage technology if you want to maintain control over processes and stay ahead of the competition as your company starts growing.

And, if you can clearly see that an ERP system can help you with that, wouldn’t it be wise to at least consider investing in this kind of system?

Sit down and do some thinking, maybe the benefits displayed above can really pay off to your organization. If you want to be better than the rest, you need to consider different ways to achieve that.