For businesses to run smoothly they require operational and financial management. But not every business owner has the time nor knowledge to manage these aspects, and with the costs of recruitment and budgeting it may not even be possible to outsource or get an accountant in-house. Fortunately, the digital age has led to innovative solutions for business owners to better manage budgets, funding, retained profits and all the elements that make a business run.
Enterprise Resource Planning (ERP) is a financial management software designed to integrate all resources, data and processes into one platform, allowing for better communication, collaboration and visibility of funds. Even businesses with in-house accountants benefit from the streamline usability of ERP, establishing a reliable and scalable process for business objectives.
What does ERP do?
There are a number of tasks that ERP can help business owners with, giving them more time and reducing the costs that can come with financial management.
- Integrating all processes seamlessly, including with other software and applications
- Estimating capital needs and choosing sources of funds
- Determine investments and necessary loans
- Dispersing funds for resources and tasks
- Help with business insight and data analysis
- Build visible processes to manage accountability
- Establish a platform that encourages collaboration and communication
- Ensure adequate shareholder returns
- Secure, safe investments and security of funds
- Assist with developing a feasible capital structure
With numerous applications, ERP benefits a number of organisations, and with the right user-friendly, intuitive platform you will quickly recognise a few positive changes in business practices.
What can ERP do for you?
With an integrated ERP software you can consolidate all data related to the business and understand your business and business growth in a highly efficient and productive manner. A few of the benefits of ERP include:
- Allow for better communication
- Enhance collaboration
- Improve business insight
- Explore innovation
- Reduce costs on operations
- Improve efficiencies
- Free up time to focus on the business
Aligning ERP with financial management elements
If you are aware of the importance of financial management, you are aware of the importance of ERP. Integrated software provides critical support to manage the recognised four elements of finance management.
Planning: Explore all possibilities of the business and all business objectives. This will be the core of your planning and strategy, and consolidated data can help you achieve this and establish the right goals.
Controlling: Once you know the priorities for your business you will want to start assessing how each area and department fits in relation to those goals. Revisit KPIs and key tasks and use software to analyse data on efficiencies.
Organising & Directing: If you know your business goals and priorities you will be able to start organising the necessary resources, staff and software. This also means communicating with the relevant stakeholders to ensure that all elements of the business are on the same page. An integrated platform will help everyone stay accountable.
Decision Making: All decisions should be secured before any steps are made that impact your work processes and growth. This element should ideally be completed with the planning aspect, where you explore all possibilities and commit to the most plausible and beneficial ones. ERP will help you set better goals and assess the milestones and data surrounding them.
Arrow has introduced the scalable software platform Tencia, providing businesses of all sizes with an intuitive, user-friendly system that helps them stay on track. For more information, call Arrow on 1800 248 265.