Many organisations, as they grow in size and scale, realise a bit late that the accounting software they have been using for a long time does not seem to suffice their needs.
Here are some classic indications that the organisation has outgrown the software :
- The information you need for important business decisions is not available on time
- Details on customer wise, bill wise outstanding is not readily available, has to be worked out each month
- All payments are controlled from HO and your 2 factories send excel sheets for payments due, hence payments are delayed
- Entries are changed and reported figures change
- Cost of holding inventory is high, but you are not able to reduce it due to lack of information
- Your people spend a lot of time every month reconciling different amounts from various systems and excel sheets
There are many such points and the relevance is based on the structure of the organisation.
Then we have the next question, are we ready for it? What about the myth that ERP is for big companies having multiple factories and distribution outlets. Yes it is a myth, today the ERPs have moved out of complexities, are available ready to use on the cloud and are far simplified for the smaller businesses and organisations are always ready to put systems and processes in place.