What ERP Software Can Do for Small and Medium Businesses and How Cloud ERP Can Return Greater ROI
ERP software offers many advantages for small and medium businesses including greater agility, competitive edge and improved operational efficiency. Move your ERP to the cloud and it becomes more advantageous for small and medium businesses as it empowers them to better compete and achieve greater ROI.
If you’re a business just starting to research ERP, it might be good to start with the history of ERP Software and how the technology evolved.
ERP had its early beginnings from MRP or Materials Requirement Planning, which integrated additional data specific to employee and financial information into the scope and planning. It then changed to Manufacturing Resource Planning primarily due to industry interest before it morphed into what we know today as ERP – a solution that streamlines internal and external operational processes to improve efficiency and profitability across the entire business.
Enter cloud technologies, specifically Cloud ERP, and now a company has the ability to achieve greater ROI by improving operational efficiency, being more competitive in the market and proactively planning for their growth and greater profitability. For small and medium businesses, Cloud ERP may be a more viable solution, delivering greater ROI.
Improved Operational Efficiency
It’s widely known that ERP Software is designed to increase visibility and transparency across every department. And that certain industries will have specific initiatives relevant to industry drivers. Move to the Cloud and you now have your ERP on demand creating access to services from anywhere the internet is available. This allows for greater collaboration between employees, regardless of where they are located, improved visibility and a clearer picture of financials across multiple departments. And having the ability to act quickly to business opportunities as they arise will only improve overall performance and agility.
Be More Competitive
An additional benefit associated with ERP Software is the capacity for a company to gain greater competitive advantage and remain resilient. To be exact, a company’s ability to meet the demanding needs of the market faster than the competition, distinguish their value proposition from the rest and remain ahead of the competition. Many believe this is the single most important aspect of staying competitive. Cloud ERP adds further to the value proposition by bringing fluidity to the business – allowing an organization to adopt new technology without disrupting business or having to add additional resources while adding the ability to better manage cash flow. This is especially important for small and medium business owners that can benefit from:
- No upfront monetary investment
- Moving CAPEX expense to OPEX
- Locking in a price structure that fits their budget
Proactively Plan for Growth and Prosperity
The ability to plan for growth and prosperity may be the most highly regarded ERP benefit of all as companies have the opportunity to modify strategy for cost control, forecast for the short and long term, plan for the future and be in control of their own prosperity. Cloud ERP takes it a step further by adding “scalable” options when you need and in a pay as you go model; utilizing smart technology to better manage operational capability; integrating the cloud footprint (across every department) to deliver innovative best practices; and taking the first step to alter your financial model in a positive way.
Now that you know what ERP Software can offer and the advantages of Cloud ERP, evaluate the best option for your company. By better understanding the internal details of your business, you will have more proactive options to improve the bottom line, plan your technology infrastructure and invest in the right resources to grow.
For more information on ERP in the cloud, visit www.smbsuite.com.