How Does an ERP Solution Help You Increase Visibility?
The goal of an ERP application is to empower its users to see everything that’s happening in their organization from end to end. With recent advances in both cloud storage and computing power, smaller companies can now afford complex database technologies. As a result, smaller enterprises no longer need to stack applications on to their accounting systems and then export data into numerous spreadsheets to try to figure out what's going on in their company. In terms of visibility, a cloud-based ERP solution provides you with two major advantages:
- You can produce customized reports for every functional area of your business. This increased visibility allows each department to measure Key Performance Indicators (KPIs) and to improve the results of the specific processes and goals they are accountable for.
- You can leverage customized dashboards to drill into reports that give specific managers and specific functions all the critical information they need to make smarter and more informed decisions.
The rest of this short article will provide a quick example of how integrated data and increased visibility make specific end users more effective leaders and managers.
The Business Owner and CEO
Business owners use a cloud-based ERP system like CBOS to manage their business processes and accounting; now they can use that same system to help them grow their companies. Financial management systems have traditionally been great gatherers of raw data, but raw data doesn't bring vision or growth. To do that is costly and requires more work to extract that raw information, create reports in excel files, and try to make some sense out of all that data. With a cloud ERP solution, you get a tool that allows you to build knowledge and vision directly within the software. The headache of managing disparate systems and scattered information immediately disappears.
As one example, you may have a challenge with replenishment of inventory causing customer fulfillment delays. In your executive dashboard, you'll have a graph that shows the current business trend – and clicking on that graph takes you to the transactional data that was used to create the graph. This way, you can understand the core issue creating that trend. The tool will give you the information you need to understand what is causing the issues, which could come from overselling/underselling a product, a growth in demand for a specific product or in some cases manufacturing delays on the floor.
This integrated data gives you a level of visibility that allows you to obtain crucial knowledge of everything that goes on in the organization, to make sure you are focused on making the right choices for your company in the right area.
A CFO will be able to look at past trends and see future liabilities. The ability to understand and access current balances, where they were in the past, and where they might be in the future gives them an ability to forecast accurately. Financial managers can evaluate all the numbers and information across sales, fulfillment and manufacturing to ensure they have an accurate understanding of the company and that their snapshot of the company is correct in real time. This gives financial managers the ability to make the right choices to protect working capital, and to make smarter short term and long term investments. Supply Chain Management and Tracking Inventory
Today's business world is decentralized. An ERP platform can give you real time visibility into multiple warehouses and multiple entities that exist inside (and in some cases outside your organization). Success now requires that you understand where your inventory is at any point in time. You might have an entity in Iowa that needs to know that your California warehouse has enough goods to cover their orders. You may have a manufacturing facility in Kansas that needs to produce more widgets to build more of the products in Iowa. Without a clear insight of the inventory, Iowa might order more products from manufacturing, never knowing the California warehouse has those goods in stock - which leads to a wasteful allocation of capital and excess inventory.
Understanding where everything is, what is in production, as well as understanding minimum reorders, and knowing which goods or parts may be on trucks are all critical pieces of information. An ERP solution puts all this information at your fingertips in real time.Fulfillment and Warehouse
An ERP solution is valuable to your success as a wholesaler because it allows you to see the entire supply chain, from the acquisition of products all the way to the delivery of goods to your customers. It also allows you to understand actual and projected sales. Additionally, depending on the functional area that you're responsible for, you will be able to look at specific information such as the state of sales for this week, this month, or projected for this quarter. With real time data, you will be able to sell, communicate and meet your customer needs more effectively. With accurate projections, you will be able to prevent problems before they occur because you will be able to ensure you can meet future needs. You will be able to anticipate spikes and lulls to meet the needs of your sales team with enough goods in stock, and you will be able to communicate these needs with your internal teams and external vendors so the entire sales and fulfillment process flows seamlessly. HR and Payroll
Finally, one of the unique features of the CBOS ERP platform is that it has HR and Payroll functions integrated into the solution. When a manager receives a time off request it can immediately be processed through the system and communicated directly to all necessary managers. When it comes to traditional Accounting and HR / Payroll integrations, the process is prone to human mistakes. When you have the two functions integrated, everything flows automatically and the chances of any errors are kept to a bare minimum. About Us
Our all-in-one solution provides all the tools you need for improved financial and business process management and visibility to help you improve day to day operations including
- Inventory Management
- Shipping and Warehouse Management
- Sales and Order Management
- HR and Payroll
Schedule a free tour to get more information on the CentralBOS ERP solution to see how increased visibility can help your business, managers and executives.