3 signs that show you need an ERP Software for your business :

• Too many irrelevant, inactive, poorly thought out Excel or Google sheets

• Being Tally-dependent, i.e., accounting data, is the only data you manage in a systematic manner.

• The total number of business WhatsApp groups >>Number of business functions

The world is moving towards "Industry 4.0," which is based on IoT, AI, ML, etc. Once that transformation crosses a critical threshold, only those who have a business operating system compatible with these technologies will survive the transition. Forget Industry 4.0; today, we have a significant number of entrepreneurs who don’t even have a basic ERP software to run their business. 

They assume that the past success of their business will guarantee them success in the future and undermine the importance of data. They are the ones who think they can manage their business with Tally, Excel, and the endless list of WhatsApp groups. While these are extremely powerful tools, using just these tools to manage the business never lets the entrepreneur see the entire picture, and hence the future. What one needs is a birds eye view of business i.e an integrated business dashboard.

ERP Software lets you have a business dashboard.Photo by Carlos Muza on Unsplash

In this blog, I have elaborated on the signs that you can look out for you to see if you need an ERP software for your business. It will do a world of good if you are able to look out for these signs and chalk out a plan for ERP implementation.

1. Too many irrelevant, inactive, poorly thought out Excel or Google sheets

Right from small start-ups to large corporations, Excel is at the core of planning in any business. Agreed. But it has its own disadvantages. It gives everyone the impression there is a good amount of planning and work going on. But, in reality, most of it is junk. If you don’t believe it, do an audit of all the Excel and Google Sheets in your system. You will be surprised to see that most of it is irrelevant, inactive, and ill-thought out. If you find yourself in such a scenario, it is time to realise you need an integrated ERP Software for your business. Get Free demo of Zoho products you feel you need for your business.

Choose an integrated ERP software over a series of Excels.

2. Tally dependent, i.e., accounting data is the only data you manage in a systematic manner.

Tally is an extremely simple and powerful accounting tool. But it deals with only the numeric and tangible aspects of business, i.e., accounts and inventory, to a certain extent. It largely ignores several other functions of a business, including sales, operations, service, transport, projects, IT, digital marketing, etc. Those who believe that tally is the end-all and be-all of an ERP software are in for a rude awakening.Yes-In today’s world, you are dealing with the ultra-impatient customer who needs everything at the click of a button. Remember, even the OTPs are auto-populated! Without focus on the digital transformation of all business functions in an integrated manner, you are bound to lose your customers to a digitally savvy competitor or a new digitally transformed business model itself. If you find yourself in such a scenario, it is time to realise you need an ERP implementation plan. 

If you have decided to get started with an ERP software, do check out our Blog on 5 Pitfalls to Avoid in the Design Phase of the ERP Implementation Process. It’s less risky to learn and then do something than to do something and then learn. 

3. The total number of business WhatsApp groups >>Number of business functions

WhatsApp groups—the most prescribed solution for coordination within a small group—are good when it comes to dynamic communication. But the issue is that most entrepreneurs stretch it a bit too much. I have seen many who have more than 20 WhatsApp groups to manage a company with six functions. While they think they can manage through WhatsApp groups, they don’t realise that they have stretched it to such an extent that they need a separate management system to manage the management tool itself. If you find yourself in such a scenario, it is time to realise you need an ERP implementation plan.

When the number of whatsapp groups exceeds the number of business functions, you need an ERP software. Photo by Dima Solomin on Unsplash

To put it in a nutshell, those entrepreneurs who can manage their data flows and their goods flows in a seamless manner are the ones who get the ticket to the future. Those who resist change can resist ….but change doesn’t wait; isn’t moral and doesn’t care—it just happens.

Register to get a 30 minute free consultation session on the ERP system that suits YOUR BUSINESS. Remember, the best ERP system is the ONE THAT WORKS FOR YOU.

About the Author

SN PALANIAPPAN

Alumni, IIM, Bangalore; Co-Founder, StratWorks Consulting LLP; Zoho Implementation Partner.

His consulting firm, StratWorks Consulting LLP, specialises in SME consulting and has been involved in the design and implementation of multiple ERP systems across several industries, including trading, manufacturing, FMCG, food retail, IT, etc. The author can be reached at can be reached at palani@strat-works.com, LinkedIn ID.

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