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ERP- Know the Benefits for a healthy and long life of your business

02.18.2019

As the global business landscape continues to change and your business enterprise continues to grow, so do the intricacies involved in managing the many individual tasks involved. With an increase in revenue, every business sees an expansion in the number of departments, the number of hands at work and more ...

As the global business landscape continues to change and your business enterprise continues to grow, so do the intricacies involved in managing the many individual tasks involved. With an increase in revenue, every business sees an expansion in the number of departments, the number of hands at work and more importantly the complications of handling the million different things that come and go with it. 

But as a businessman and an entrepreneur choosing software or a system that will help you sort out this issue are not only hard but also very confusing. A lot of seasoned entrepreneurs and businessmen will suggest that using an ERP system is the best solution there is, but what not a lot of people talk about are the advantages and disadvantages of this solution. Is it worth the investment you make or is it a waste of money?

Let’s take a closer look at the various pros and cons of using an ERP system so that you are better informed if that is the best fit for your organization. 

Advantages of an ERP system
Being a popular software and thousands of businesses around the globe using it, ERP is undoubtedly a very useful software which comes with a host of advantages. Mentioned are some of the most significant ones:


1.    One Service One Cost
One of the biggest advantages of using an ERP software is its capability to manage all the operations of a business from one single dashboard. As your business continues to grow, investing in single license software to deal with individual issues is not only a very costly solution, but it is highly inefficient at the same time. The initial investment involved in an ERP software is high, though it is a one-time cost. This will not only help you manage your finances better but also help you reduce your expenditure in the long run and keep your books in check. 

2. Visibility
With a large business, there are hundreds of individual processes that are taking place simultaneously. One of the biggest advantages of an ERP software is its capability to provide you with the required data from all your individual process on one single dashboard. This will not only help you get real time updates about the various important processes in your business but will also help you make quicker and better decisions. 

3. One Step Reporting 
One of the biggest worries’ employees have across large enterprises is the need to arrange reports. Having multiple software running and scavenging them to find data worth publishing on a report is not only time consuming but also a very inefficient process. With, an ERP solution collection and display of data from all your business operations on one single dashboard is easy with an added feature of sharing visibility with multiple employees. Having access to an ERP system, employees in charge of publishing reports can collect all the necessary data from one single place and publish efficiently and quickly, saving the organization time and money. 

The Disadvantages of ERP
Although an ERP system comes with a multitude of features and advantages, there are some drawbacks which must be mentioned. Here are some of the most significant ones. 

1. High Cost
As mentioned earlier, investing is an ERP software is an expensive affair. Although the investment needs to be made once the huge price label cannot be ignored. If you are a small or medium size business, affording the upfront cost of purchasing and installing an ERP software in your business environment can be very high, which is why small and medium scale businesses cannot afford it. 

2. Maintenance and Retention
Being a difficult and highly complex software, managing the software efficiently and making sure that it is being used to its maximum efficiency calls for the hiring of a seasoned expert. This might not be a possible scenario for most businesses on top of the upfront cost they have borne. Additionally, companies must hire developers on a retainer model to ensure they receive timely updates, customer support and quick fixes, thus increasing the cost even more. 

3. Complexity 
An ERP software is very complex to operate and manage. Thus, most developers and manufacturers these days have a technical course on how to use the software efficiently, which companies must sign up for to make sure that their employees know how to use the software to its maximum efficiency, which adds to the cost further. 

Though the disadvantages of an ERP point to rising costs, its advantages more than make up for it. To have a healthy business in the long run, getting an ERP can be the best decision you can make. If you need to find out more about ERP systems that fit your budget connect with us on 1800 1200 427 or mail us on sales@caniaserp.com

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