Spreadsheets command data management in many businesses. The system’s affordability and easy management requirements contribute to its popularity in the business industry. However, ERP is a more effective data management approach that continues to be embraced by new firms.
Selecthub showed over 88% of organizations facilitate their business success by implementing an ERP system. The system is integral in streamlining business activities and managing other business operations. These services include risk management, supply chain operations, project management, and accounting. Read on to understand why you should consider transitioning from spreadsheets to ERP and the benefits of this strategic decision.
What is ERP?
Enterprise Resource Planning is a business software focused on managing your firm’s complex operations. The software can help manage your day-to-day operations through inventory, production, and sales planning. Data is stored on a common site and shared among all the company stakeholders for more efficient transactions in your business.
Business owners with an ERP system integrated into their operations have more control over their business activities and are better positioned for improved performance. Although spreadsheets are more popular, ERP systems better organize and sort your data. Most companies who switch to ERP do so because they need to make better business decisions based on accurate analytics.
When Should You Transition from Spreadsheets to ERP?
When Company Tasks Are Not Automated
Your company should consider introducing an ERP system if you identify business operations that are not automated. Every business owner understands that a firm’s success significantly relies on the efficiency of its business processes. Manual tasks consume more time and expose your company to a greater human error risk.
ERP helps automate your business operations, streamlining the tasks to boost efficiency and reduce company costs. You can use numerous strategies to leverage ERP to increase your revenue and cut expenses.
When Your Organization Lacks a Central Software
Investing in many systems and software does your business more harm than good. It adversely affects your employees’ morale while contributing to time wastage during business hours. You can opt for an ERP system for more effective business operations.
Tracking, recording, and processing company information is more effective when you have a central system. The system should be accessible to all employees and other company stakeholders. Your business will have real-time data for decision-making while reducing the risk of duplicate information.
When You Cannot Access Critical Company Data
ERP systems also facilitate the easier retrieval of company information. Employees not having access to important company information can contribute to business delays that are unsuitable for business. Spreadsheets make it relatively hard to retrieve data and take more time as you must go through all the sheets manually.
A modern ERP system allows employees remote access to all authorized business data from any internet-enabled device. It also provides a holistic view of business operations for the concerned executives, contributing to better leadership. Company data is less likely to fall into the wrong hands if you invest in an efficient ERP system for your business.
When Your Current IT Systems Are Outdated
Outdated and highly complex systems can cause frustration in your workforce and reduce productivity. You should make efforts to update these systems or invest in a quality ERP system to streamline your business operations. ERP technology allows businesses to find a plan that works best for their transactions while swiftly responding to changes.
Why Transition from Spreadsheets to ERP?
It Helps Reduce Costs
ERP software is a worthy investment businesses should consider to reduce company costs. There are several ways the system helps you save money. Employees can mitigate redundant tasks like invoice allocation, employee payroll, and report drafting, saving time. They will get more time to focus on other high-priority responsibilities.
Improves Data Reliability
Investing in ERP software provides total access to business information to employees in different departments. It improves data reliability by providing accurate figures on where your business stands and allows you to make more informed decisions for your operations. You are better positioned for departmental collaboration and streamlined task management since all company data is centralized.
It Creates a More Flexible System
The flexibility guaranteed with ERP systems is another reason you should consider transitioning from spreadsheets to ERP. Quality ERP providers, like GoldFinch, allow customers to use different applications, depending on their business needs. Your company can choose between the platforms available and decide on the best setup.
Strengthens Customer Service
The benefits of an ERP system extend to your company’s customers. Since their information is centralized, your employees can build and maintain better customer relationships. This strategy was complicated and lengthy when using traditional spreadsheets. Integrating CRM tools like Salesforce also improves your ability to establish productive relationships with all business stakeholders.
It Maximizes Data Security
The security features afforded by ERP software are another reason you should stop using spreadsheets. The software allows the company administration to regulate individuals with access to specific information. They control those who get to see the data and make changes to the concerned documents, maximizing data security.
What are the Core Features of an ERP System?
Several features present in an ERP system determine how compatible it is with your business. The type of implementation installed heavily relies on your organizational needs. Every businessperson must understand these features before settling on a specific system. They range from financial management tools to eCommerce features, aiming to streamline your performance. Here are the core features of ERP software:
- Integration
- Automation
- Data analysis
- Reporting
- Tracking and visibility
- Accounting
- Financial management
- Customer relationship management
- Sales and marketing
- Human resource
- Manufacturing
- Supply chain management
Conclusion
Transitioning from spreadsheets to ERP is a wise move that will provide your business with numerous benefits. The information shared in this article will help you understand more about data management and how you can use it to streamline business operations. However, consult with our specialists before settling on a specific system so we can help you navigate through the features offered.
