Stimulate your business by choosing right ERP – eresource ERP software Having discussed in details about the user’s role in successful ERP implementation, it is time to look into the other element which is the consultant or you may refer them as vendor or ERP solution providers. The task of selecting a suitable consultant is very important and there is no point in cursing the consultant later for their poor performances. There are various reasons behind poor performance and the prime being the poor industry knowledge followed by lack of knowledge on client’s key success factors. The other factors are lack of understanding of user’s perspectives and also limited consulting experience. A soft approach towards customer and user is a way to show the consultant’s integrity, which many consultants do not possess. Adamant attitude will help bring only unfruitful result. The problems should be solved with loyalty and dedication, which will boost morale of both the customer and the user. Unfortunately, this does not happen with every consultants, which prompts some company to believe, ‘consultants know nothing; they come here, learn from us and then vanish one day for the self-betterment without solving our problems.’ Interestingly, in many cases, consultants are not blamed for their poor ERP product knowledge, but for their approach. Contradictory to the above, Eresource ERP clients are extremely happy with our product service as well as our approach. All of our personnel are professionally qualified along with long years of functional experience. A good ERP consultant should be an equally good business consultant too. This may help in reengineering of existing set-ups in the client’s side to improve ERP performance. To improve ERP performance it is very important to focus on reengineering of existing set-up in the client’s side. The expected qualities of the ERP consultant are that they should have adequate level of pure functional experience, a deep knowledge of ERP product, must possess good HR skills with convincing abilities and eye for process improvements rather than automation. They should also have a cool head with a composed personality. Many a time consultant needs to encounter various ‘orphan’ activities and deal with them in a proper manner. The following incident will indicate why an efficient consultant is needed to address these issues. The design department in an engineering company used to claim that making Bill of Materials was their job, but selecting and arranging branded components required by customer should be the purchase level decision. And the problem was, purchase may select some economical brand, which in turn affects the performance of some other assembly, hence, again, the design department comes into picture. The process was continuous and creates a lot of back and forth interactions for one decision. Users were demanding the automation of such discussions across departments in ERP. Also Read – ERP system for automotive industry In this circumstances what to be done by the consultant is to revamp the whole process of BoM structuring in the organization. They must convince the client to form a cell of BoM structuring for complicated customer configurations. The cell consists of each user from marketing, engineering planning production, purchase, and also from accounts. In fact, by doing this the consultant had reengineered the functional set of the organization into a temporary process set-up for improving decision-making quality and speed. Eresource ERP consultant follows a few general guidelines regarding BPR preparations required during consulting. It is the job of consultants to take only the policy decision from users on various scenarios and then design, map and implement and process suitable to user’s culture. In such cases, it is better to avoid more discussions. For example, in one company, the same item was available in domestic as well as in imported market. The price difference was high. Since the company follows standard costing, ideally there should be different identification for the same item having such price differences to account for inventory costs separately because it has not implemented Lot Control Module. The company was unable to understand the need of separate code of them item. In this case the consultant must be able to convince the accounting repercussion to hardcore functional guy from stores. Since the user doesn’t understand commercial, operational and legal implications of the process completely in the ERP, consultants should exhibit dominating role in such cases to ultimately give the best out of ERP to the user. The consultant who can manage the implementation with the above qualities and techniques can be classified a genuine, reliable and a simply good consultant. Without doubt, eresource ERP stands tall here. Also read – ERP for Plastic Industry
ERP Scope: eresource ERP is a modular solution built for vertical enterprises, which supports Sales, Purchasing, Supply Chain, Inventory and Material Management, Quality, Research and Development, Production, Quality, Finance, Human Resource, and service functions, amongst others. eresource ERP’s major strength lies in the manufacturing module in ERP that provide multiple benefits. eresource, ERP is key to business process automation. eresource ERP helps you control your day-to-day business, irrespective of whether the day is spent on the shop floor or around the board table. Once implemented, eresource ERP will be the heart of your manufacturing business, the wheels of your distribution channel and the brain of your planning activities eresource ERP is the most reliable enterprise resource planning application, providing organizations with the strategic insight, ability to differentiate, increased productivity and flexibility they need to succeed. eresource ERP helps drive innovation and supports future of your organization. Also Read – ERP Software in India eresource ERP benefits at a glance eresource ERP offers the functionality you need to increase efficiently across your enterprise. Completing daily task efficiently – Business automation Integrating department for real time collaboration and security. Linking branches, factory, sales, purchase, dispatch/delivery, supply chain management spread across different geographical location at real time. Uniform monitoring system for customer, suppliers, vendors and partners Managing organized and streamlined business process – purchase, sales, Inventory, billing, production, receipt, payment, HR, Taxation, Excise and Exports. Maintaining efficient product catalogue. Keeping day-to-day track sales, dispatch & payments Calculating accurate production costing Accessing consolidation financial information Accessing daily report without depending on anyone. Timely Delivery and reducing inventory yet maintaining production cost. Maintaining best practices and introducing Industry best practices Ensuring that everyone in the organization is responsible and accountable Also Read – ERP for Plastic industry
Web-based ERP Software Successful organizations are continuously modifying their methods in serving their clients which also increases their profit margin. To achieve this positive result, organizations have to intelligently integrate ERP system in their business management process. An effective ERP system gives the solid foundation to the supply chain which enables information; material and money automatically flow up and down the supply chain at high-speeds without any glitches. Of late many of the organization consider Web-enabled ERP as their most important and strategic platform because it provides a solid foundation and information backbone for e-business. When a business application like an ERP system is enhanced with the e-business capability, i.e. making it a web-based e-business enabled ERP, they supercharge each other. e-business is the best vehicle to share business information with partners for creating major B2B synergies. A fully integrated web-based ERP software will capture and create accurate, consistent and timely relevant data, and assist in intelligent business decision-making. The impact of ERP/e-Business integration is substantial, ranging from reduced inventory and personnel level to improved order and cash management. It also results in improved customer responsiveness, reduced IT costs and the availability for value-added activities. A clear advantage of the web-based ERP software is that remote users like executives and sales representatives can access the company system with any browser, which is much more convenient than going through a laptop configured for Terminal Services. A quick and on-time implementation of the solution can be done on your existing configuration set up. That means you do not need to upgrade your network for Windows/Exchange Server and SQL Server database. As you would have come across more suggestions on ERP, selecting the right one is crucial. The term “Hosted Solution” is rapidly catching up, on account of its own benefits. A web-hosted solution ensures a lower outlay and predictive spread of cost over time. You have a substantial saving in cost (on both the software and hardware, licensing) that can be better invested in your business process. Web-based ERP removes your headache from the Investment made towards time and cost in the maintenance of the server & other hardware. When you go in for a web-based ERP, you can start using it from day one and can eliminate all trouble shooting and other related technical snags. Most of the hosted applications are like off-the-shelf software. The web-based ERP applications are available to you anywhere and at anytime from a simple browser. Also Read – How construction ERP software is useful for civil work?
Benefits of ERP for Manufacturing industry Initially, Enterprise Resource Planning (ERP) solution was developed for the big organizations. It has also involved huge investment which was out of reach of small and medium sized industries (SMEs). However considering the benefits the ERP solutions have, the smaller organizations also explored the way to implemented it. This attitude has paved the way for many locally made ERP solution providers entering the market with very effective applications which have turned to be ideal for small and medium sized companies. As the local ERP vendors were targeting the SMEs, they also kept the price tag in mind, which ultimately resulted in existence of some effective and affordable ERP products in the market. Manufacturing was one of the sectors that have benefited most from ERP solution. It was due to timely ERP implementation. Other sectors also followed suit. Today, all industry segments are taking advantage of ERP solution and it is becoming a necessity rather than a luxury to have ERP implemented in an organization for its successful business operation. Also read – eresource xcel helps manufacturing industry on increased productivity Before the evolution of ERP, manufacturing sector were running on manufacturing resource planning system. The manufacturing resource planning included all the sources in relation to the manufacturing such as material, human resource, equipment and finances. When the competitive strategy changed from low price and great variety to speed, ERP found the right place to give profit to this new strategy. Contrary to the other applications, the ERP system connects to all the offices of a group of business throughout the entire world. ERP system allows the organizations to design products with the entrance of engineers all over the globe, installing factories in various areas to produce pieces and components for many countries, and the information of all the parties involved. ERP offers solution that enables manufacturers to compete in the prevailing market atmosphere. It has the capacity of both finite and infinite planning capabilities which assist manufacturers to develop original schedule. ERP solution can also transform the supply chain to achieve production plan with sales plan, manufacturing, finance and customers. ERP is changing the competitive landscape for SMB manufacturers. Small to midsize manufacturing companies can benefit from a fully integrated solution designed to reduce costs, improve customer service, increase margins and generate new revenue streams. Further, SMB manufacturers can improve business performance with a deeply functional, yet easily affordable, ERP solution. As the technology changed ERP solution also found its way to the web. Today web-enabled ERP solutions are the most effective solution available in the market. What is to be cautious about the selection of an ERP system is, before you commit to any ERP system, you should first evaluate the system such as what your organization needs and wants to accomplish with its ERP strategy. The outcome of this evaluation will help you determine which applications and what kind of functionality your organization requires as well as go a long way toward easing the implementation. Also Read – ERP Software In India
Benefits of Live demo of ERP Software Solution The real picture of a proposed ERP product can become clear when the live demonstration of the product is given. The sincerity of the solution providers and efficiency of the product becomes evident in the live demonstration. The demo also makes it possible for both the parties to propose feasible modifications in the package. The credibility of the system can also be scrutinized here. Moreover, it acts as a cross check for the functionalities offered by the developers in the compliance of the product. The top management and all the other people connected to an organization must realize that whatever be the reason for the changeover to an ERP system, i.e. technical or strategic, it is impossible to separate them, since they affect each other. Also Read – Live ERP Software demo Live demo of ERP is a better tool to understand the various integration/touch points and the participants could experience the different functionalities as well as they can also check for any shortcomings in the system which can be rectified as per their requirement. It is usually better to get a brief about the product before seeing the demo, which can be obtained through the website of its developers. The time and method of the demo could be finalized by the demonstrator and let set their own sequence. Any doubts about the product can also be cleared in the demo stage. Demo scripts in the form of brochure or function details through the website are a better tool to present the demo as there is uniformity in the flow of the demo and the various integration/touch points among the different functionalities can be checked. The workflow becomes clear during the demo, and users can have a feel of the proposed product at the demo itself. This will determine the acceptability of the product in the minds of the customer. The quality of the product also becomes clear at this stage. Based upon the markings obtained in all the above-mentioned points, those products that cross the threshold mark get qualified to be evaluated. Before finalizing one more important point to be considered is the cost factor. Though all the products have its own price line, all developers may be willing to for a negotiation considering the competitive mindset existing in the market today. However, some developers of the product won’t alter the price tag, majority of them will agree to some climb down. Once it has been agreed on technical and the terms and conditions in the financial front, a suitable product can be finally selected for the ERP implementation. Also Read – What is the best ERP for the electronic manufacturing industry?
Customer loyalty has a powerful effect on the business bottom line. The dramatic economic power of customer retention is revealed when customers are viewed in terms of lifetime value. The value of retaining customers makes perfect business sense when one considers that a consumer retained for life is more cost-effective, requires less service, provides more business and contributes to new customer acquisition by offering positive referrals. For the average business, studies indicate that repeat customers account for 70 per cent of total revenues. Thus, customer retention, creating longitudinal investment in customers, guarantees significant current and future economic benefit. ERP integration enables businesses to better comprehend and thereby, better serve customers with each and every interaction. The ERP integration is not an easy task. The good news is that there are a growing number of solutions available. Before adopting a course of action there are a few common rules to follow. Firstly, make sure you understand the problem before you undertake the solution. ERP integration is a corporate-level problem requiring a corporate level strategy. Also Read – ERP for civil engineering its role and benefits Enterprises must consider the use of an ERP as an obligation instead of an option in order to be competitive. With old systems the information that comes from daily activities are difficult to handle. This will ultimately affect the relation the company has with its customers. Customer satisfaction is the most important element of a successful business and ERP plays an important role in fulfilling this commitment. Everybody knows that communication improves relationship. Therefore it is important to understand that ERP can bring data from one area to another without any extra effort, and with almost no chance of mistakes. In addition to this, the information becomes available in real time. Therefore, by the time an order is entered, it can be prepared and invoiced at the same time. This helps a lot with customers as they always expect a quick response. Organizations implementing ERP applications have to explore the areas of integrating these applications to the other enterprise applications. What approach to take will depend on the need for integration. Diverse tools and methods available in the market are evaluated and tested professionally before implementation. Organizations have to adopt very cautious approach while selecting these tools and methods to keep their leadership in the market. In small organizations every department has its own needs, and they ask technical department to provide software capable of matching them. Sometimes this is provided from the outside through vendors, and it might not even exist. This is a common mistake happening with many small and mid-sized organizations. For an effective business process and customer relation management, it is necessary to have an efficient ERP system deployed in the organization and it must be done professionally to achieve the expected result in the terms of functional, technical and economical. Also Read – How ERP system useful in pharmaceutical manufacturing industry?
Adopt global best business practices Best practice is the process of finding and using ideas and strategies from other companies and industries to improve performance in any given area. Business has used best practice bench marking over the decades and realized billions in savings and revenues in all areas of business operations and sales. ‘As-Is’ best practice addresses or includes the present practice followed by the specific company which is planning to implement the changes required to keep itself in the league of other top companies in the industry. This is done in all functional areas like HR, Operations, Finance, and Maintenance. etc. ‘To be’ best business practices are generally the best practices which exist in the industry and have been refined over a period of time. Companies should aim at adopting their industry specific best practices for their future benefit. Preventive maintenance, activity-based costing etc. are considered as best practices. ‘To be’ best practice includes some of the practices which are already adopted globally and are taken as industry standards for swiftly operating businesses in a competitive global scenario. Also Read – Significant changes in business after using cloud ERP software Some of the best practices that can be adopted are as follows: Information Liquidity Much like cash liquidity, the liquidity of information is a measure of business success. In a successful company, data flows smoothly and information is transformed into economic value. Information liquidity is obtained by integration of processes and systems at all levels. Integration should be the driving force behind design, methodology, development and deployment of all IT systems. Availability As most companies become more and more dependent on IT, it is very important to ensure the maximum availability of the eservices. This does not mean that all IT systems have to be absolutely flawless and foolproof, but good through has to be given to what could be the consequences for the company if all or part of the IT services are temporarily unavailable, and what can be done to minimize these consequences. Also Read – Best ERP Software in India Agility Market changes constantly and so does legislation and technology. It is said that the product life cycles and their time to reach the market are getting shorter and shorter. As a consequence, IT systems have to be built for maximum agility. Cross-compatibility, reuse and lightweight functionality are the ideas to be considered. Costs Especially in times of economic slowdown, the costs of IT are under constant scrutiny. Unfortunately, it is very difficult to quantify the benefits of IT in terms of money and it is relatively meaningless to approach IT investments singularly from an accountant’s point of view. These costs also have to be related to non-quantifiable benefits for the company. Also Read – How ERP software is beneficial for pipe manufacturing industry
ERP growth is skyrocketing Demand for Enterprise Resource Planning (ERP) solution growing day by day. Experts are forecasting a huge growth of demand for ERP mostly in mid-sized organizations. The demand is due to the specialty of an ERP system to manage the increased customer service, efficient distribution system and reduced operational costs. Majority of CEOs/Senior managers share the same view that ERP is an important tool to achieve competitive advantage. The number of employees in an organization using the ERP system is increasing and organizations that have started with the basic modules are now expanding their system with subsequent applications. This is also another reason for the ERP growth. Another factor for the growth is many organizations replace customized system with standard application packages. Most of the medium ERP vendors are targeting the mid-sized organizations. This is because many of the mid sized organizations are working with applications which are non-integrated and on disparate technology architectures, built in-house. This has resulted redundant technology, loss of support, non availability of critical information at the right time resulting in overall business loss. ERP vendors in India have found it an ideal market by exploring the SME segment. There are lot of demand persisted in this market, which on the other hand helped to growth the ERP market in substantially. Also Read – How web based ERP software helps remote workers Knowing that majority of Indian manufacturers are small by global standards and requiring easy-to-use ERP solutions to meet their specific process requirements, ERP vendors in India have come out with ideal solutions which can not only match their needs but also their budget. Now almost all small and medium enterprises across industry verticals and micro verticals, such as pharmaceuticals, chemicals, fleet management, automotive, modular kitchen, construction, infrastructure, and textiles, are leveraging ERP solutions to gain sustainable competitive advantages. With the advent of on-demand deployment of ERP software and also web-enabled ERP solution, the user can access the software through license as a Web-based service. The increasing popularity of the web-based applications account for the ERP growth, as the enterprise resources are maintained by a service provider. Growth factor also includes the competition prevailing in Indian ERP market. With the entry of international companies in the local market, the local vendors also steadied their products which are going to be a good sign as far as mid-sized organizations are concerned. Now they can find a wider market with ERP product suitable to their needs also in their limited budget. As the market is getting more competitive reliability and compatibility about the smaller players are unwanted. Today SMEs can choose the right ERP at their will with confidence which is, indeed a good sign. Also Read – What are the future trends for a construction ERP software?
Best Use of Consultant Knowledge • Implement pre-project readiness assessment and overall project planning: Most organizations have never been involved in a project as complex and cross-functional as an ERP implementation. Additionally, an ERP project requires near full-time participation. A readiness assessment conducted prior to the project kick-off can help identify areas of strength and potential problem areas in need of improvement. This information is extremely helpful when planning the project budget and the project tasks. • Implement aggressive project management processes: The magnitude of an ERP implementation requires aggressive and structured project management processes. An ERP implementation is complex and touches virtually everyone in the organization. Without the structure of project management processes and without a project manager who understands this methodology, the project runs significant risk in time, quality and costs. “Go-live” dates could be missed and the credibility of the project team and the ERP software itself could suffer dramatically. Also Read – Why automotive manufacturers must use ERP system • Create a project organization structure to provide planning and quick response for decision-making and issues management: The toughest problems with any project implementation involve people issues. Pre-project planning must include the creation of clearly defined roles and responsibilities. The following critical roles need to be filled by qualified people: project sponsor, project director and/or project manager, functional team leaders, technical team leaders, project coordinator/scheduler, etc. These people must have dedicated time to the project and they must be willing to be accountable for dealing with issues and making timely decisions. Many ERP implementations become paralyzed when issues are put on hold and are not dealt with quickly. • Make the best use of the external consultants and experts: These people are paid huge amounts of money for helping you in implementing the ERP system. So you must make the best use of their knowledge and skills and ensure that the knowledge transfer is complete before they leave the project. • Teach the organization to use new capabilities: The natural progression from building capabilities is actually using them. While this may sound obvious, many organizations are far better at building new capabilities than at teaching (and motivating) people to use them. Successful companies avoid this fundamental imbalance. For them teaching goes hand-in-hand with building new capabilities, from defining roles to developing skills to culture shifts. Also Read – ERP Software in Nigeria • Implementation review: This review must be performed after users are competent with the system. The goal is to ask the software vendor to suggest better ways to use the system. • Assign clear ownership of benefits: During implementation, it is usually clear that the responsibility for going live-on-time and on budget-ultimately belongs to one person, the project leader. But after going live, who owns the benefits that are being targeted? In many companies, this is a difficult question to answer – no one is identified as the owner. But in successful companies accountability for results is no mystery. The owner may be the business unit leader, a project sponsor, a process owner or someone else. What is important is that there is somebody whose responsibility is realizing the benefits. Read More here – Which is the most common ERP software used in dubai
Stimulate your business by choosing right ERP – eresource ERP software Having discussed in details about the user’s role in successful ERP implementation, it is time to look into the other element which is the consultant or you may refer them as vendor or ERP solution providers. The task of selecting a suitable consultant is very important and there is no point in cursing the consultant later for their poor performances. There are various reasons behind poor performance and the prime being the poor industry knowledge followed by lack of knowledge on client’s key success factors. The other factors are lack of understanding of user’s perspectives and also limited consulting experience. A soft approach towards customer and user is a way to show the consultant’s integrity, which many consultants do not possess. Adamant attitude will help bring only unfruitful result. The problems should be solved with loyalty and dedication, which will boost morale of both the customer and the user. Unfortunately, this does not happen with every consultants, which prompts some company to believe, ‘consultants know nothing; they come here, learn from us and then vanish one day for the self-betterment without solving our problems.’ Interestingly, in many cases, consultants are not blamed for their poor ERP product knowledge, but for their approach. Contradictory to the above, Eresource ERP clients are extremely happy with our product service as well as our approach. All of our personnel are professionally qualified along with long years of functional experience. A good ERP consultant should be an equally good business consultant too. This may help in reengineering of existing set-ups in the client’s side to improve ERP performance. To improve ERP performance it is very important to focus on reengineering of existing set-up in the client’s side. The expected qualities of the ERP consultant are that they should have adequate level of pure functional experience, a deep knowledge of ERP product, must possess good HR skills with convincing abilities and eye for process improvements rather than automation. They should also have a cool head with a composed personality. Many a time consultant needs to encounter various ‘orphan’ activities and deal with them in a proper manner. The following incident will indicate why an efficient consultant is needed to address these issues. The design department in an engineering company used to claim that making Bill of Materials was their job, but selecting and arranging branded components required by customer should be the purchase level decision. And the problem was, purchase may select some economical brand, which in turn affects the performance of some other assembly, hence, again, the design department comes into picture. The process was continuous and creates a lot of back and forth interactions for one decision. Users were demanding the automation of such discussions across departments in ERP. Also Read – ERP system for automotive industry In this circumstances what to be done by the consultant is to revamp the whole process of BoM structuring in the organization. They must convince the client to form a cell of BoM structuring for complicated customer configurations. The cell consists of each user from marketing, engineering planning production, purchase, and also from accounts. In fact, by doing this the consultant had reengineered the functional set of the organization into a temporary process set-up for improving decision-making quality and speed. Eresource ERP consultant follows a few general guidelines regarding BPR preparations required during consulting. It is the job of consultants to take only the policy decision from users on various scenarios and then design, map and implement and process suitable to user’s culture. In such cases, it is better to avoid more discussions. For example, in one company, the same item was available in domestic as well as in imported market. The price difference was high. Since the company follows standard costing, ideally there should be different identification for the same item having such price differences to account for inventory costs separately because it has not implemented Lot Control Module. The company was unable to understand the need of separate code of them item. In this case the consultant must be able to convince the accounting repercussion to hardcore functional guy from stores. Since the user doesn’t understand commercial, operational and legal implications of the process completely in the ERP, consultants should exhibit dominating role in such cases to ultimately give the best out of ERP to the user. The consultant who can manage the implementation with the above qualities and techniques can be classified a genuine, reliable and a simply good consultant. Without doubt, eresource ERP stands tall here. Also read – ERP for Plastic Industry