To be fair, that’s the main reason that all companies implement something that can cost that much. Think about the value that an ERP system can add to your business. From the finance and accounting modules to the inventory modules. An ERP can implement a systematic way to organise your business, cut your overheads, improve your efficiency, monitor your performance and boost your profitability.
In order for this to happen, you will need to take full advantage of the functionality that an ERP system has to offer of course. Needless to say that before purchasing or have an ERP system developed, a cost benefit analysis should be performed to assess whether the investment is worth undertaking. To be fair, that’s the main reason that all companies implement something that can cost that much. Think about the value that an ERP system can add to your business. From the finance and accounting modules to the inventory modules. An ERP can implement a systematic way to organise your business, cut your overheads, improve your efficiency, monitor your performance and boost your profitability.
In order for this to happen, you will need to take full advantage of the functionality that an ERP system has to offer of course. Needless to say that before purchasing or have an ERP system developed, a cost benefit analysis should be performed to assess whether the investment is worth undertaking.
There are quite a few papers on this issue. My personal opinion is that there any ERP system or any other system that have similar functionalities can enhance the internal controls.
For example, by installing and fully integrating any ERP system, it’s easier to identity the key resources, organize them in a better way and above all identity key weaknesses that increase your costs or pose financial or other risks. You can therefore identify, design and implement controls that can help you run your business in a more efficient way, reduce or control your risks.
In addition, by implementing automatic controls that come with an ERP system, you internal controls function will have free time which can be spent on more crucial things that require professional judgement.
That’s the plan at least. Most ERP systems have modules that aim to help a company organise it’s internal affairs in an efficient and effective way.
Most ERP systems include financial and accounting modules but also include stock/inventory modules, human resources modules and other modules that can help companies run smoother, decrease the cost base and therefore increase profitability.
Yes why not? There will be some modules that some mainstream and off the-shelf packages have that will not be applicable. For example, inventory management will not be that applicable.
However, you can either ignore some of the modules that your ERP have or you can have an ERP software developed for your company. A company that offers services such as accountants for example will have work in progress (WIP) instead of traditional physical stock which needs to be recognised based on the stage of the service that is being offered. So you can either search for an ERP specifically built for professionals that offer services or extend an existing ERP.
Yes it can increase revenue indirectly and directly. A company that manages to integrate a good CRM solution in the overall strategy and day to day operations is expected to increase the customer base by offering the right products to potential customers (leads). It’s also expected to increase sales per existing customers by understanding the needs of it’s customers, developing new products or matching these needs with existing products.
It’s not just automation of the client relationship management and all the processes that this involves, it’s also about integrating a technology that can make these processes easier, giving you data that you can use to develop a marketing and sales generation strategy that can boost revenue and profitability.
There are two CRM systems that have been around for quite a long time which means that are maintaned, active and have been tested by hundreds of companies. Vtiger and SugarCRM are your best bet for free CRM systems in my opinion. Υοu need a server though.
