Benefits of implementing an ERP system

The business environment is constantly changing. Modern companies must face multiple challenges such as growing competition, developing markets and rising customer expectations. They are often required to reduce costs of the entire supply chain, streamline order processing, optimize inventory levels, extend the choice of products and ensure time deliveries. It is often necessary to improve the quality of services, production management as well as the global coordination of supply and demand.

The current market situation demands implementing models based on cooperation that facilitate prompt response to the increased market competition by improving processes and procedures within the organization. Based on such models, companies must provide their suppliers and customers with information that has been, so far, strictly protected. Therefore, various company departments must generate relevant data and deliver it on time. Having in mind these demands, organization focus on implementing ERP systems that are expected to bring substantial benefits compared to multiple non-integrated programs used by individual departments.

Efficient business processes

ERP software is designed not only for large enterprises but also small local companies. The main objective of an ERP system, such as Microsoft Dynamics NAV, is to reduce unnecessary costs resulting from bad strategic decisions and insufficient knowledge about ongoing processes.

ERP implementations improve staff performance at all levels, starting with executives and ending with regular employees. A common database is a prerequisite for integrating and standardizing all key company data as well as keeping it up-to-date. ERP systems facilitate remote work via smartphones, tablets and laptops.

  • Rapid return on investment
  • Lower labour costs
  • Greater productivity per employee
  • Current and reliable database
  • Easy access to information
  • Enhanced work organization
  • Full control over processes
  • Reduced number of wrong business decisions
  • Optimized inventory management processes

Stock reduction

The major potential advantages of implementing an ERP system include inventory reduction and improved material requirements planning.

  •  Optimized inventory levels Lower distribution costs More timely deliveries
  •  Faster order processing
  •  Optimized use of the warehouse space

Fast order processing

ERP systems are highly appreciated especially by the purchasing department for their functionality allowing for a rapid response to stock shortages. Insufficient inventory levels may lead to slow-downs in order processing, and, as a result, reduce work efficiency in the entire organization. While working with an ERP system, there is no longer any need to maintain high stock levels. The implementation of an ERP system boosts the performance and efficiency of your staff.

  • Fast order processing
  • Reduced storage costs
  • Improved customer service
  • Optimized inventory levels

High level of service and steady sales growth

ERP implementation projects have a major impact on the entire sales process. They can significantly streamline selling procedures, eventually increasing customer satisfaction and loyalty. Additionally, they reduce the number of employees’ mistakes that may have a negative effect on the quality of services provided to end users.

  •  Faster processing of orders
  • An increasing number of loyal customers
  • Increased sales volumes
  • High availability of products
  • Improved forecasting;

Accounting under control

The proper analysis of receivables and payables is the key to the economic success of your company. Microsoft Dynamics NAV and other ERP systems offer a wide range of solutions and features that are essential for further improvement of analytical processes and automation of accounting procedures.

  • Effective data consolidation processes
  • Improved analytical processes and reporting
  • Automation of accounting processes
  • Detailed analysis of receivables and payables

Improved human resources management

Nowadays, the issue of security and reliable storage of personal data cannot be ignored. With an ERP system, payroll management services as well as the periodical assessment of employees and work time registration can be greatly enhanced.

  • Security of employees’ personal data
  • Reliable human resources and payroll services
  • Better planning and time registration
  • Effective periodic evaluation of employees

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A guide to selecting the right ERP system

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