Does My Small Business Really Need ERP Software?

Does My Small Business Really Need ERP Software?

By Admin 9 months ago

If your small business is planning to grow and make something of itself, yes, it will require ERP software to help it prepare for and tackle the challenges in its future. But if it plans to stay small and stagnant forever then it should be comfortable working off spreadsheets and files. The choice is yours.

When a business starts off it decides not to invest in more software than it needs. Software is expensive, and very few business people see the need for software in their business processes. They think of software as more of a hindrance than as a help. 

They are wrong. Software has been developed to simplify life. However, software can be a dead weight if it’s not working for you, but you’re working for it. It’s the same case with ERP. ERP software needs to enter into a small business at the right juncture otherwise it is nothing but dead weight. 

ERP software development services can help you understand whether you have reached this juncture or not. 

In fact, here we list out some checkpoints that can help you decide whether your small business requires ERP software or not. Let’s begin. 

Ask yourself the following questions: 

Q1. Am I or my coworkers able to track data across systems in my small business? 

Any small business acquires large amounts of data within the space of a year itself. It is important for the business to be able to track this data across systems. 

For example, the data of an employee across HR and accounting to name one example. If you are unable to track the data across systems you need an integrated system that will help your business have a common source of truth. 

Data is the backbone of your business. To keep data secure and in one place, an ERP system is highly recommended. 

Moreover, as your business grows, it will require a system that can tackle vast amounts of customer and client data. An ERP software could help with that. 

Bottom line: ERP software can help you store vast amounts of data and offers a single source of truth. Perfect for a growing business or small business that is looking to tackle vast amounts of data in the future. 

Q2. Are existing business processes not working out for you or your coworkers? Do you feel like automation would help with certain business processes?  

Let’s take an example of a legacy business process – spreadsheets for accounting. If you’re still using spreadsheets for accounting, it’s time to stop. It may be true that you are getting a level of automation with spreadsheets, but not as much as you would with enterprise resource planning software. 

Yes, let’s talk about how those spreadsheets are not working for you! 

If spreadsheets and existing processes are creating a jumble for your coworkers, consider switching to ERP software for your business. 

ERP software can help to automate information and prepare your accounting and financials, all in a jiffy. It saves time and is less error-prone. 

Bottom line: ERP software development services can help you chalk out a new fully functional system of working. 

A new ERP system can be installed that can help with the existing non-functional ways of working which was probably dragging down your company’s ability to make profits. 

Small businesses can speed up decision-making and leave behind legacy processes and software to their own benefit. 

Q3. Are you having trouble integrating several software systems that you have invested in throughout the years?

At the beginning of their journey, most small businesses invest in several types of software that won’t integrate with each other. They probably bought this software at the beginning stage of their journey with a certain amount of skepticism about their future. And they are still clinging to this software that should have retired years ago. Software integration is very expensive, and that’s where an ERP steps up to close the gap. 

Bottom line: An ERP software development company can build you an Enterprise Resource Planning software that will require no integration across other software – this will be a standalone system that will work across business processes. 

Any existing software that needs to be integrated, can be integrated. 

Q4. Are you or your coworkers unable to draw out useful information and insights about the business from existing software? 

Where there is data, information isn’t far behind. Every business likes to tap into its client source and customer sources and see how they can make business smarter and more efficient for them. For this, they need the analysis and insights that a custom ERP can provide. 

ERP systems are very robust and provide comprehensive insights for business people. 

Bottom line: It’s important to have a system in place from which you can gain a lot of insight and information about your own business. ERP software development companies can assist you by creating a comprehensive report of the insights you choose to get from the data in your business. 

Wrapping Up 

In conclusion, the decision to implement Enterprise Resource Planning (ERP) software for your small business is not one to be taken lightly, but it can be a crucial step in preparing for growth and addressing the challenges of the future. As your business accumulates data, the ability to track it across systems becomes vital, and an ERP system provides a centralized source of truth for your information.

If existing business processes are causing inefficiencies or you see the potential for automation, ERP software can streamline operations, save time, and reduce errors. Small businesses that have struggled with integrating disparate software systems will benefit from the self-contained nature of ERP, eliminating the need for costly integrations.

Moreover, ERP software can unlock valuable insights and information from your business data, aiding in smarter decision-making. It’s essential to recognize when the time is right for ERP implementation to enhance your business’s efficiency, profitability, and readiness for the future. Consulting with ERP software development services can help you determine if your small business has reached the juncture where ERP is the next logical step.

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