According to a recent report by Gartner, cloud computing is set to become a business necessity by 2028 if companies wish to remain competitive. Gone are the days when digital transformation[1] was a novel investment; cloud technology is now a crucial tool for all sectors.
In particular, investing in cloud technology, such as ERP solutions, improves internal communications, boosts output, increases efficiency and can help boost profitability. ERP solutions[2] (Enterprise Resource Planning) are business process management software systems built on cloud systems designed to manage, automate and boost the profitability of processes.
We have put together the ultimate guide to explain the benefits of ERP systems, as well as examples of how different industries can adopt these.
What is ERP Software?
ERP stands for Enterprise Resource Planning and refers to a system that assists with integration, automation and collaboration between different operational aspects within a business. It allows you to connect with other productivity tools to turn data into information, helping you optimise processes across your business. As ERP systems run on cloud technology, they take the pressure off businesses having to host expensive technology in-house.
Microsoft ERP solutions stand out from competitors by providing the most information on product strategy, including long-term road-maps for each ERP product. This helps our customers plan long-term solutions for the business and anticipate future technological changes.
Microsoft’s ERP systems have many other beneficial components, including unified data dashboards, task prioritisation, central management, cost analysis and automated reporting.
What does ERP software do?
For a business to survive, it needs adaptable information systems to grow alongside it. Access to more information that leads to better decision-making will become a key commodity for future expansion.
ERP software collates business insights into one centralised system, ensuring it is always organised, accessible and secure. Easier data access helps improve business processes, unlock key data insights, boost efficiency and increase employee productivity.
At Essenkay, we currently work with three Dynamics 365 products, including Dynamics 365 Finance, Dynamics 365 Supply Chain Management and Dynamics 365 Project Operations, with plans to expand. Below is an overview of how each one could support your company.
Dynamics 365 Finance (Formerly known as Dynamics AX [Axapta]) benefits businesses in various ways:
Dynamics 365 Supply Chain Management is a great choice if you are looking for:
Dynamics 365 Project Operations can benefit you in the following ways:
What are ERP solutions used for?
ERP services can perform many key roles within a business and can help support your existing team. At Essenkay, we can support you in implementing ERP solutions[3] that seamlessly fit into your team’s unique day-to-day tasks.
ERP software can help with supply chain management, financial management, business intelligence, and customer relationship management and can also be implemented where automation is needed for certain admin tasks, data validation and data collection, freeing up your team’s time to focus on more profitable tasks.
Medium to large businesses will find the most benefit from ERP implementation as they tend to have more complex operational processes, a greater amount of client demand and are looking to increase output to grow profits. Meanwhile, smaller enterprises with basic financial systems and multiple other systems integrated to it, would benefit from the easy navigation of one integrated ERP system.
Who uses ERP software?
We work with various industries, including manufacturing, engineering, production, logistics and professional services, which benefit greatly from ERP implementation.
For the manufacturing and engineering sectors, ERP implementation creates a more unified operations process, with sales, production and warehouse data all in one place. In particular, Dynamics 365 Project Operations would be a great fit as the sales dashboard allows businesses to see and manage open leads and create customer proposals more efficiently.
Moreover, the Project Operations system helps to streamline customer communication by connecting to Microsoft Teams directly in the interface, allowing teams to respond to enquiries or concerns faster.
For production and logistics companies, ERP systems can help improve efficiency and reduce delivery delays. In particular, Dynamics 365 Supply Chain Management helps by providing a live overview of factory output to spot and resolve any machinery issues quickly. The system also automatically flags any recurring or serious product quality issues to allow management to address any issues swiftly. Overall, this reduces the risk of impacting delivery timelines, enhancing customer satisfaction.
Dynamics 365 Finance systems are great for professional services businesses, such as solicitor firms, accountants and financial advisers. With a central view of your data, you can respond quickly to any changes in regulations and ensure you follow all legal requirements. Automating tasks such as cost analysis and invoices will also save time and improve efficiency. Additionally, Dynamics 365 Project Operations produces business intelligence reports, allowing you to quickly spot any data errors or missing customer information.
Of course, businesses are not restricted to the above examples, and if you are interested in implementing Enterprise Resource Planning, we can help you choose[4] the most appropriate system.
Are there any challenges with ERP systems?
The most obvious challenge for businesses adopting new ERP technologies is the upfront cost, just like any major improvement made to the company. For smaller businesses, this kind of investment may not be accessible right now, but for medium to large businesses, it is worth weighing up the pros and cons.
While there is an initial financial drawback to an ERP system in the short term, improving productivity, efficiency and customer satisfaction will outweigh this in the long term.
Employee adoption is another challenge for businesses contemplating an upgrade to ERP. Employees may take more time to adjust to any Dynamics 365 new system, for example, accessing key data from new dashboards or adapting to automated processes. During busy periods, extended time spent on day-to-day tasks due to technology challenges can increase employee frustration and impact overall productivity.
With this in mind, working with a technology partner committed to supporting your staff throughout the implementation process is essential. Essenkay appreciates the complexities of Microsoft Dynamics 365 products and can craft custom training modules to support your team and limit frustrations and the potential loss of productivity.
How can Essenkay support your business?
At Essenkay, we have first-hand knowledge of the challenges of ERP systems (being users ourselves for the past 20 years!), so we are well-equipped to bring lasting positive change to your organisation.
Our transformation cycle has four key steps: identify your business need(s), create a resolution, testing and training and provide ongoing support and improvements. We will work with you to provide ongoing support [5] to ensure you are getting the best out of your new ERP solution.
Above all, people skills are at the heart of what we do[6] . We aim to foster ongoing collaboration and mutual respect with our clients and become a core part of their team. From regular training (either in-person or virtual) to ongoing project management, our client-centric approach will support your employees in realising the benefits of digital transformation. To discuss implementing Microsoft ERP, or for support with project recovery[7] , get in touch today[8] ! Don’t forget to follow us on Twitter and LinkedIn for regular technology tips and business advice.
