What is ERP Software?

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What is ERP software? That’s easy. ERP stands for “Enterprise Resource Planning.” That’s what ERP does. But, what is enterprise resource planning, anyway? The software that bears this name has evolved so much since it was first invented that many people have lost track of what the term actually means.

In the 1970s, when ERP was new, it was super easy to explain what ERP did. Enterprises wanted software to help them plan for the resources they needed to operate. This was mostly in manufacturing contexts. If your company made cars or bulldozers, for instance, your ERP software (which ran on a mainframe computer) guided you in terms of how much steel, how many parts, and so forth to order—and when. The ERP software in those days helped with managing the supply chain. In some cases, they connected with General Ledger accounting software.

Modern ERP functionality

Today, this kind of nuts and bolts functionality is really just one element of ERP. Now, ERP software is a suite of tools that cover almost every area of business operations and finances. Most ERP solutions today are modular. You can buy modules that cover the following functions:

  • Operations management and supply chain, i.e. the traditional ERP workload
  • Manufacturing management
  • Logistics and shipping
  • Financial management, e.g. treasury and financial planning
  • Accounting, including invoicing, accounts payable and accounts receivable
  • Distribution management
  • Field Service management
  • Materials Requirement Planning (MRP)

In addition, most modern ERP packages offer the option of adding modules for Customer Resource management (CRM) and human resource management (HR) as well as industry-specific editions. You can get ERP for the automotive industry, for food manufacturing, transportation, import/export and so forth.

ERP deployment

Deployment options have also proliferated for ERP. Originally, ERP, like most other software on the market, was only for on-premises installation. Today, you can continue to run ERP on premises if you wish. But, you can also get it on a Software-as-a-Service (SaaS) basis, where you host nothing and get the full software feature set through a browser. You can deploy ERP on a private cloud. You can arrange for hosting through a managed services provider (MSP). Or, you can run ERP on the public cloud. Both Amazon Web Services (AWS) and Microsoft Azure now offer sophisticated ERP options on demand.

ERP implementation

ERP has gotten more economical to purchase and a bit easier to install than it once was. The software still represents a commitment of time and resources, however. Given its centrality to running your business, this should make sense. It takes focus and attention to detail to get ERP right.

In some cases, an implementation partner can be helpful in selecting and setting up ERP. We can help in this regard. We work with Acumatica cloud ERP, for instance. We have extensive experience in working with clients in the important pre-implementation discovery and thought process. This work involves looking closely at business processes, structure and strategy to determine the best approach to ERP. It establishes which ERP modules are required initially and which can be purchased later, if at all. Then, we work in collaboration with your IT department and business stakeholders to implement ERP so it becomes the operational and financial core of your business.

Additional ERP Resources

5 Benefits of ERP for Accounting and Financial Management

Qualities to Look for in a Cloud ERP

How to Improve Efficiency with a New ERP Solution

Finding the Productivity Advantage in Distribution Management

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What’s the right Distribution Management System for your business? Obviously, there’s no universally correct answer to this question. Every business has its own unique needs. However, based on our experience working with companies that have adopted the Acumatica Cloud ERP for Distribution Management, we recommend it in most situations. There are many reasons for this, one of which is the productivity advantage inherent in the solution.

The Importance of Productivity in Distribution Management

Productivity, in the context of information work, refers to how many tasks an employee can complete in a given amount of time. In non-structured work like managing a distribution business, it can be difficult to measure productivity accurately. However, it is definitely possible to identity ways that distribution management software can make your team work more productively.

Why does productivity matter in a distribution business? Employee productivity is an important factor in being able to scale a distribution business. To grow without adding a lot of headcount, it’s necessary to make people work more productively. Otherwise, you’ll be increasing Sales, General and Administrative (SG&A) expense at an uncomfortable rate even if revenues are going up.

The Distribution Management Productivity Checklist

Distribution management features make a difference in employee productivity. To help you think about matters in this regard, Acumatica published a checklist of productivity features in their product. Here are some highlights:

  • Is the solution intuitive, meaning is it easy to learn and use? Legacy ERP solutions can be challenging to master and relatively cumbersome to operate. These are drags on productivity that make it difficult to hire and onboard new people.
  • Is it truly universally available? Employees are increasingly mobile—whether they’re on the shop floor, at a vendor location or taking a canoe trip in the mountains. They will want access to the full functionality of the distribution management system regardless of their location or device form factor. A good distribution management solution will enable access from any device, anytime, anywhere.
  • Does it handle multiple languages? You can no longer assume that everyone in your operation speaks English, or any single language. The system should work in the language that best fits your people’s preferences. This includes document printing in multiple languages, i.e. the language your customer speaks.
  • Is it multi-currency? When the system can handle multiple currencies, that relieves your people of the chore (and error-prone process) of manual currency conversion.
  • Does it have automated workflows? – People work much more productively with automated business processes approval workflows, notifications and so forth.
  • Does it support Wikis? Wikis are an easy way for people to share information and documents across any combination of teams, departments, and external users. This makes the team more productive by reducing the need to search for information.
  • Can it handle document management? Separate documents are often part of the distribution management process, e.g. bills of lading, purchase orders, etc. Making documents accessible to all key personnel saves people time.
  • Does it run a single database? People work productively when they are all working off a single version of the truth.
  • How comprehensive is the reporting capability? People make better, quicker decisions and fewer mistakes when they have access to detailed, well-presented information.

We can help you understand your productivity challenges and how they can be addressed by the right distribution management solution. If you want to learn more about how Acumatica can help your distribution management team work more productively, let’s talk.

Additional Distribution Resources

ERP for Distributors: What Matters and What Doesn’t?

Key Performance Indicators (KPIs) for Distribution

5 Reasons Distributors Need ERP Software

5 Benefits of ERP for Accounting and Financial Management

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Many businesses have separate systems for accounting and Enterprise Resource Planning (ERP). Depending on its size, a company may not even have ERP. Or, as is common, they acquired these applications at different times and implemented each for its primary purpose: an accounting package for the books and financial management, and ERP for operations management. This separation is not longer necessary, nor even a good idea. In fact, there are at least five benefits to using an ERP solution’s accounting functionality.

The Value of Integration

We will outline some of the reasons it’s wise to use ERP for accounting. At a high level, though, most of these benefits relate to one core issue, which is integration. Accounting systems require data inputs from a variety of sources. These include manufacturing management, warehouse management, logistics, billing, HR and so forth. ERP-based accounting automatically integrates these multiple data sources.

5 Benefits of ERP-Based Accounting

Having worked with many clients on ERP and accounting software implementations, we have found the following benefits arise from using accounting in an ERP suite:

1. Richly detailed financial reports

Standalone accounting packages offer basic financial reports like income statements, balance sheets and so forth. In contrast, ERP offers many more varied types of reports. Examples include cash flow projections based on inventory management and order statuses and accounts receivable aging overlaid with customer order pipeline. These reports give you more than just financial data. They help you manage your business more effectively.

2. More automation

Automation helps with productivity. By having ERP and accounting linked, it’s easier to automate workflows that cross between the two systems. When you use ERP for accounting, many accounting and financial tasks can be completely automated. For instance, you can streamline accounts receivable and accounts payable management and cash management. Automation also lets you track financial transactions more quickly.

3. Freedom from duplicate data entry

Having separate systems usually means manual re-inputting of data from one to the other. Integrating ERP and accounting removes this tedious process of data entry by hand. ERP makes data entry fast and consistent.

4. Not so many errors

Manual data entry is notoriously prone to error. These include transposed digits and incorrect client names, etc. These can cause calculation mistakes, which then take time to unwind. You can also see who did what, for each transaction, in case you need to track down someone who made a mistake.

5. A higher degree of control

Using ERP for accounting gives you more control over your business. You can see the bottom-line impact of events and decisions in real time.

Financial Management With Acumatica Cloud ERP

We have experience setting up customers on ERP-based accounting. For a going concern, this means migrating off of a legacy standalone accounting package. It’s a process. There doesn’t have to be a lot of complexity or challenge, but it does take focus and some effort. We provide the expertise. If you want to learn how we can help you run your business better by taking advantage of accounting in ERP, let’s talk.

Acumatica Cloud ERP delivers, providing adaptable, feature rich, and integrated enterprise resource planning software that streamlines your processes and facilitates your decisions. The core of your ERP, Acumatica delivers powerful business finance software – simple enough for small shops and comprehensive enough for complex multi-nationals – that can support your needs today and in the future.

Additional ERP Resources

Qualities to Look for in a Cloud ERP

How to Select an ERP Solution

5 Reasons Distributors Need ERP Software

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If you’re a distributor, what business are you really in? On a day-to-day level, your business sources product from suppliers, stores it until it’s sold, and then transports it to customers. In its essence, though, a distributor is in the money management business. You’re taking cash and turning it into inventory. Tick tock – the longer it sits there, the less of a return you’re earning on that cash. Any operational or customer relationship issues that further stretch out the payment for a sale is lowering your return on capital even more. If you borrow to finance a distribution business, you’ll understand this problem deeply.

Software has long assisted distributors in making their businesses run right. Today, though, modern enterprise resource planning (ERP) solutions give you new ways to cut costs and shorten that all-important cash cycle. Here are five reasons you need ERP software if you’re in the distribution business:

1. Be able to improve customer satisfaction and cut costs at the same time

A modern ERP suite allows you to be efficient in the management of distribution processes. You get real time visibility into available inventory and inventory costs, inventory in transit and reorder quantities. This visibility translates into low operating costs and clear, productive communications with customers. You can cut down on misunderstandings and delays that negatively affect customer satisfaction.

2. Reduce order times

Automated sales order processing, which is available in ERP solutions, eliminates delays in order fulfillment and shipping. The suite usually also enables you to set up rules to handle credit, returns, drop shipments and so forth across multiple warehouses.

3. Run an efficient warehouse

The more efficiently your warehouse(s) run, the more profitable your distribution business will be. A Warehouse Management System (WMS), which comes with many modern ERP suites, lets you streamline your distribution processes. The system covers workflows across receiving and inventory management as well as the operation of tools like barcode scanners and mobile devices.

4. Stay on top of your supply chain

ERP enables you to ensure a steady supply of goods to distribute. It accomplishes this by automating and optimizing purchasing processes, purchase order management and supply chain management.

5. Know your true costs

A modern ERP suite gives you the ability to determine profitability by warehouse as well as by product line or business unit. Reporting and data visualization tools help you spot cost overages and other drags on profitability that may elude standard financial reports.

Control Your Inventory and Increase Customer Satisfaction with Cloud ERP Built for Distribution

Those are just five big reasons distributors can benefit from modern ERP. You can also push up your profitability—through a better cash cycle as well as more efficient operations—by means of advanced inventory software, requisition management and advanced financial reporting tools.

Distribution is all about logistics. Without the right tools, distribution companies simply can’t compete. We have considerable experience in the distribution vertical, equipping clients with industry-specific tools, like Acumatica, that ensure a smooth process, top-notch security, and consistent reliability.

Acumatica Distribution Edition delivers, giving your business control over their supply chain and logistics activities, including warehouse management, inventory management, and order management. Built in the cloud and customized for your needs, Acumatica helps companies improve customer satisfaction, reduce order times, and control costs across the entire supply and distribution chain.

Click here to learn more or request a demo.

Check out these other articles for more ways to improve your distribution business:

How ERP Software Can Promote a Sustainable Supply Chain

Benefits of Inventory Management Software for Your Distribution Company

ERP for Distribution Companies

How ERP Software Can Promote a Sustainable Supply Chain

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Businesses that are winning in today’s competitive market are making more eco-conscious decisions that impact the way they conduct business. Going green can help a company’s ability to retain customers who are environmentally aware, as well as the rising millennial market, which supports growing climate concerns.

For solid companies that are looking to drive customer loyalty, improving efficiencies around the supply chain can help to create a more sustainable business ecosystem. Improving the optimization of logistical processes and the rush to get items to market can greatly reduce waste.

Implementation of a state-of-the-art cloud-based ERP solution could improve efficiencies within the company, while streamlining the supply chain, to grow a more profitable company for decades to come.

Sources of Waste

The first step toward determining what areas need improvement is auditing the supply chain process from start to finish. Where is waste occurring? Looking at trends can help reveal the issues — whether obvious or less so.

It’s likely that issues will show up in areas of over-production or the over-purchasing of materials, which can often be attributed to errors around forecasting. Businesses looking to attain a more eco-friendly model should mitigate negative impacts of inventory management. 

Another matter that can drive waste is unnecessary transport of items; issues in this area can cause a company’s carbon footprint to soar. The least amount of miles a product travels, the better this will be for the company: manufacturing, packaging, storage, and distribution all have an impact on emissions. This is something ringing true to more and more of the population, and a business that reflects awareness in this area will no doubt benefit.

Utilization of an ERP solution can track these matters, while also improving coordination and communication between suppliers and partners — as well as providing unified messaging across the entirety of the organization and ultimately its customers. With complete data and important information available in real-time at the click of a button, risks can be alleviated. Costly issues attributed to human error can be minimized, and employees will be enabled to make better decisions to ensure a more connected supply chain.

Making it Agile

The goal of a successful business is being truly agile. The best bet in achieving this is implementing business management technologies that can support the supply chain’s efficiencies, identifying and removing any processes that lack value. The company will lighten its carbon footprint and also see a cost savings that can positively impact the company’s overall profits.

A cloud-based ERP system gives the company flexibility and the ability to respond to issues quickly and certainly, as industry demands dictate. Business leaders should be concerned with improved service over inventory girth — what matters is being in touch with the market and reducing excess inventory. 

Through insight-driven dashboards, managers and functional departments can monitor supply and demand and make adjustments based on data. Guesstimating is a thing of the past, thanks to advances in technology.

Today’s companies need to be concerned with staying ahead of the competition in regards to sales, but for the long-term, brand positioning will set them ahead and better secure customer loyalty. 

Visibility for the Future

An ERP solution can bring insights otherwise overlooked by even the most qualified employees. The visibility the system provides offers easy-to-digest charts and graphics speaking to the needs of members of the C-Suite and each department. While the master dashboard offers a simplified view with vital information, the system should also provide drill down capabilities that offer deeper insights.

With a one-source solution in place, a company can imbed its financial information into every function of the business. This gives everyone insights that simply wouldn’t be possible with outdated technology. Once users are up and working in the system, human errors will be reduced and employees will be able to focus on tasks that are more advantageous to the company’s well being and, ultimately, growth.

Moving beyond manual spreadsheets and outdated legacy systems will arm a company with the ability to stay relevant in the time of digital transformation. With the right strategy, companies can reduce emissions and achieve sustainability into the future.

An environmentally aware company will be streamlined for efficiency and drive the push for improved processes around waste in the supply chain. Keeping up to date with the latest in cloud-based technology allows business leaders to be a force of change for the better, while driving profit margins.

Partnering for Success

The time to innovate is now! The first step of the journey is realizing when a company is ready for a cloud-based ERP system. Acumatica Cloud ERP is an award-winning solution that offers Acumatica Distribution Edition. One of its many features is Advanced Inventory, which is designed to streamline processes for efficiency and eliminating waste, which can improve customer retention and profitability. 

Partnering for the future enables a business to improve capabilities and develop a strategic vision that drives growth. As an Acumatica partner, CCS Technology Group brings cloud expertise to take a company into the next decade and beyond. Read testimonials and contact us to learn more about implementing a cloud-based ERP solution.

Additional Distribution Resources

Benefits of Inventory Management Software for Your Distribution Company

ERP for Distribution Companies

The 7 Irresistible Qualities of Cloud ERP

The Value of Implementing an ERP for Professional Service Organizations

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Leaders in the Professional Services industry can benefit from a modern cloud-based ERP system that enables them to provide a better service delivery methodology with employees that are prepared to provide customer support — transferring both timely response and expert quality.

To make significant impact in this ever-changing industry, it’s essential that organizations have a solid handle on project management, contract management, and accounting processes. Companies are able to create more efficient processes when they combine the management and oversight of multiple processes into one system. Implementation of a streamlined solution can ease daily tasks, while improving the ability of the entire work team. In the end, this means more efficient work.

By modernizing a company’s operational infrastructure, professional service firms are capable of breaking away from disparate practices and bringing together wide-ranging functionality into one fully integrated tool — imagine the advantage having both back-end and front-end processes accessible when working to innovate client projects.

Visibility

An ERP system enables the business to view data and insights across the entirety of the organization in one simple solution. Leadership will have dashboards that display the information needed to make decisions quickly and accurately.

Because the cloud-based system is updated regularly, there are no lapses that could provide the team with conflicting data. Real-time reporting keeps everyone on the same page — a perk that can eliminate issues and keep all employees “in the know” at every juncture. Drill down architecture enables employees to reach whatever details they are needing to transform their work function.

Accounting is integrated into the organization’s various departments; this means that finance can see where sales and marketing are focused and those working in these areas are able to attribute gain and loss to the area’s efforts.

Acumatica, an award-winning cloud-based ERP solution, tracks integrated performance with its ERP Solution for Professional Services Lead, including:

  1. Sales and purchase order management
  2. Service and support automation
  3. Project cost tracking
  4. Time and expense
  5. Material requirements

Customer Management

The more a company knows about its customer base, the better the employees can serve the clients’ needs. Likewise, the happier a customer is, the more loyal they will become. With this in mind, it’s essential that leaders engage state-of-the-art business software that can help them maintain a competitive advantage.

First is understanding who key clients are, and next is learning how to better capitalize on these money-making accounts. By studying purchases and needs, a company can better determine opportunities to retain, extend, and even up-sell whenever possible. An ERP system reveals shifts, whether negative or positive, which enables leadership to make decisions that can grow the company’s relationships — and, thus, its bottom line.

Real-time views provide not only leadership with understanding of where processes are successful or lacking, but also employees working at client locations. With access to Internet or Wifi and a smartphone, tablet or laptop, service technicians or consultants can provide up-to-the-minute insights to customers. This adds value to those who have face-to-face relationships with clients, enabling them to provide the best possible service — and become the company’s personal and accessible expert — and close deals quickly.

Project Pricing

Professional Services firms need to quote accurately and make sure they are able to come in at the projected amount. Employees who are working within a cloud-based ERP solution have the best chance of providing the best possible service.

An ERP solution enables consultants with detailed information around resource allocation, project budgets, and delivery dates. Tracking project actuals can assist in avoiding costly overruns, which can be a black eye for those responsible for project management.

With a system that provides insights and detailed project-based reporting, a team can fully understand a client’s profitability —both in past and current runs, as well as what the forecast is for future performance.

Professional Services employees know that the work they do today will reap rewards for future business. The best a company can do for its staff is arm it with the most advanced technology, which in turn enables their best and brightest to deliver results that exceed expectations and make working easier.

Learn more in The Importance of Project Cost Management.

The Cloud Advantage

Implementing a cloud-based ERP solution is one of the best ways a business leader can prepare a Professional Services organization for the future. Modern technology can help a company to lead successful projects through even the most challenging timelines, on budget.

The first step is partnering to improve business capabilities and efficiencies, both of which are imperative to growth. At CCS Technology Group, we understand cloud expertise and how it can benefit Professional Services organizations. Interested in learning more? Read our testimonials and contact us to get started today!

Additional ERP Resources

Qualities to Look for in a Cloud ERP

How to Improve Efficiency with a New ERP Solution

What’s New in Acumatica 2019 R1

KPIs for Manufacturing and ERP Software

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No matter what the industry, an organization relies on measurements that provide perspective on performance, including both successes and challenges, for insights that can drive improved decision making. By reviewing these key metrics, business leaders can shift focus to improve efficiencies and boost profits.

Manufacturers work with a wide array of measurements, such as profit and loss, cash flow, production schedule compliance, inventory turns, to name a few. There are so many areas to consider, that the task can become overwhelming — it’s easy for business leaders to become buried in weighty reports, there’s a greater likelihood of missing important issues, and the result can prove disastrous for the company. Without providing clarity around the data, it can be a real information overload!

To keep focus, industries rely on a handful of measures that reflect the overall stability of the business. By collecting Key Performance Indicators (KPIs), decision makers are able to critique matters much more quickly. Modern ERP systems can track these metrics and present them in easy-to-read dashboard displays with graphics that provide real-time views.

Types of KPIs

Most ERP solutions will provide general “out-of-the box,” pre-defined KPIs, which provide the basics for businesses across various industries. There are different types of KPIs; some are financial, historical, while others are predictive and give a glimpse into future expectations.

Ideally, manufacturers will want to identify approximately 8 to 10 that reflect the work their company does. Some of these will relate to the work the entire company is doing — such as Inventory Turnover Ratio and On-time Delivery. It makes sense that individual departments or functions will also benefit from measurement that speaks to their focus. Executive dashboards provide detailed performance views that can drill down for more granular results.

Let’s look at a couple of KPIs that are standard for manufacturers:

Plan vs. Actual Hours and Cost

Interested in knowing how the plant is functioning? This KPI pulls data from various areas of the organization, which can reveal how processes and products can create differing scenarios and impact the company’s health.

Utilization and Capacity

Planning for optimum utilization of available resources can benefit an organization, even though “lean manufacturing” doesn’t place emphasis on this area — it instead centers on the basis that having idle equipment is better than overproducing or early production. Finding the right balance can mean lower costs, as well as improved performance in an array of areas, including completions, overtime and expediting, and reliability. A key benefit of a Work Center Dispatch KPI is visibility into what each location is working on and where processes stand.

Scheduled Production

Workflow and resource utilization greatly impact production schedules; this is an area an ERP Manufacturing Dashboard can assist with, combined with the Work Center Dispatch KPI. It also helps for manufacturers to understand which clients and products bring in the most profit — looking at profitability by customer/items, category, and item will reflect the best results. These insights help the business create distribution plans and budgets that impact the overall company strategy.

Putting KPIs to work

Data is only as good as those who are reading it. It’s essential that a company train its employees in what KPIs mean and how they relate to the work they are doing on a daily basis. With this approach, the staff will build a personal connection — think ownership — of the KPIs that they need to be most effective. Management should use these measures to make key decisions.

This isn’t a one-time process; KPIs need maintenance to stay relevant. Working this into the overarching management process will ensure that updates are made to reflect shifts in the environment, such as customer preferences and market changes.

Don’t expect to tax the IT team; today’s KPI dashboards are limber enough to roll with developing needs. User-friendly tools make updates and new reports an easy process. The dashboards are truly designed to simplify employees’ tasks. Being cloud-based also means that information can be accessed anytime, anywhere, on any device as long as Internet or WiFi is available.

Read more about how technology can create powerful, flexibile KPI systems in Acumatica’s white paper Key Performance Indicators for Manufacturing.

Getting Started

The first step toward better measurement is implementing a cloud-based ERP, while the pivotal part of the journey is finding a partner that offers understanding and various capabilities. CCS Technology Group is experienced in cloud expertise and enterprise resource planning to develop, implement, monitor, and support effective solutions.

We understand that the easier working is, the more freedom a company will have to achieve its goals. Read our testimonials and contact us to learn more about how to implement an effective cloud-based ERP system — we’re here to improve processes and efficiencies that can drive growth.

Benefits of Inventory Management Software for Your Distribution Company

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Managing inventory in the most efficient and profitable way, is a top concern for companies across the globe. It’s essential that businesses are able to fully understand customer needs so they can make better decisions that impact ways inventory is handled. With cutting-edge technological developments, it’s becoming much easier for distributors to better manage inventory.

Through modern ERP software, organizations are able to improve customer service with real-time access to important information around inventory, as well as key data. Implementation of a cloud-based ERP system, allows companies to manage the distribution process efficiently and without losing track of costs.

Challenges Distributors Face

Visibility provides distributors a way to realize and understand inventory, which can impact supply chains. In this area, the entirety of the business revolves around receiving, replenishing, stocking, compliance labeling, processing customer service requests, tracking, reporting, and shipping, etc. By understanding the complexity of the inventory ecosystem, a business is able to set in place protocols that drive efficiency, which helps to reduce costs.

  1. What does the inventory look like? Knowing a business’ core (continuous, year-around) items and non-core items (seasonal merchandise), as well as the marketplace, enables companies to manage ordering. A company should know what’s in stock, what needs to be ordered, the quantity and shape of the order, as well as what gaps need to be filled.
  2. Has the business moved beyond outdated processes? Manual ways of doing business can add to the complexities of the work environment and deter a company’s growth. The first step forward is identifying where improvements are needed.
  3. Is the company keeping up with customer demand? When it comes to customer needs, it’s essential a business remains limber enough to respond to changes —- shifts can happen daily. A company is expected to keep abreast of customer needs by managing its inventory to meet demands, and those that do not risk losing out to the competition.

The ERP Advantage

An ERP system gives a real-time glimpse of the company’s inventory; distributors are no longer pressed to work with ambiguities in critical areas. Effective businesses will learn to keep a handle on costs as they manage both inventory and distribution processes.

Many businesses are challenged due to the sheer expanse of the business. Multiple warehouses often have location-specific inventory quantities, allocations, and costs. An ERP system that focuses on inventory management, helps companies to redistribute product from a central warehouse to other warehouses with ease, as well as granting rights to the various locations, so employees can access information and enter transactions in real-time.

The systems assign multiple valuation methods, so businesses can determine standard cost, moving average, FIFO (first-in, first out), and item-specific methods. Unique valuation methods can be attributed to each inventory item, while report and inquiry views help distributors make direct adjustments to cost and physical inventory counts.

Being able to know where each and every item is becomes exponentially easier with lot and serial numbers assigned on receipt, issue, or assembly. Costs can be managed with item-specific valuation methods associated to serial numbers — all of which makes tracking that much more effective.

Learn more in ERP for Distribution Companies.

Impacts on Distribution

Imagine the advantage of having access to warehouse information, including the ability to make updates in real-time. With a cloud-based ERP solution, distributors are able to modify and analyze inventory, as well as restrict access to inventory by item or warehouse. All business insights are accessible in the cloud-based system — employees are able to get secure access anytime, anywhere via smartphone or Internet-connected device.

Visibility gives the team the tools they need to make better decisions, faster. Drill-down reports and user- or function-specific dashboards reveal past actions and data that can help positively impact the future. With the entirety of the organization viewing real-time inventory levels and customer-specific pricing, the team is able to clearly communicate to customers. When customers are told the same insightful information from all parties, expectation is better managed; a company that honors contracts and successfully fulfills orders will have a better chance at gaining repeat customers.

A modern ERP that meets the needs of distributors can help to manage costs. Outdated spreadsheets become a thing of the past, as ledgers are automatically created from inventory transactions. It’s easy to see what goods have been sold, and also any inventory holding costs.

Another cost saving measure, is the benefit an ERP system brings to the actual workforce. There’s no longer a need for employees to perform time consuming data entry, which also helps to mitigate risk due to error. Default accounts can be set, reducing the amount of work the staff must do. The increased efficiency leaves time for distributors to focus on other areas of business that can drive growth and profit.

Implementing for the Future

The first step of the journey is realizing when a company is ready for a cloud-based ERP system. Acumatica Cloud ERP is an award-winning solution that offers Acumatica Distribution Edition. One of its many features is Advanced Inventory, which is designed to improve customer service and profitability.

Partnering for the future enables a business to improve capabilities and efficiencies, both of which are imperative to growth. As an Acumatica Partner, CSS Technology Group brings cloud expertise to take a company into the next decade and beyond. Read testimonials and contact us to learn more about implementing a cloud-based ERP solution.

Qualities to Look for in a Cloud ERP

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Businesses in every industry and sector are looking for ways to improve efficiency and internal processes to boost growth and, ultimately, profits. Manufacturing and distribution are a couple of areas that are greatly realizing the benefits of a modern ERP solution.

A cloud-based system offers organizations state-of-the-art technology, which is revolutionizing the way professionals work. There are clear advantages that a cloud-based ERP can offer a business.

Top 7 Reasons to Adopt a Cloud-based ERP Solution

1. Budget Savings

Business leaders are often hesitant to move forward with an upgrade or first-time installation, as they worry about cost. There’s good news: moving to the cloud can actually save an organization money. In fact, according to Acumatica, a leading ERP provider, 82% of companies have cost savings when they move to the cloud.

While on-premise ERPs generally require a hefty startup cost, cloud-based systems should prove easier on the purse strings. Decision makers should plan to do some investigative work and steer clear of vendors that charge per user, as those fees can add up and the plan would prove more difficult to adjust as needs evolve. Acumatica, for instance, offers an unlimited number of users and is scalable, adjusting to what suits the customer without added cost.

2. Easy Implementation

Implementing a new system can be daunting, but moving to the cloud makes the process much easier. No longer are companies concerned with finagling servers, installing software, and hoping that the system works well with the supporting network.

A cloud-based system is housed off-premise and can be managed without straining internal employees. The IT department can then focus on much more important matters that can generate increased business and profits. Implementing a streamlined ERP solution that lives in the cloud will make employees’ lives easier, not create issues and more work.

3. Reliability

Business leaders are typically concerned with ensuring that any steps forward will not cause delays or slow down functionality. They can rest assured that cloud technology has been a steady piece of business management for a couple of decades; and it is now proving to be even more reliable than out-of-date legacy systems.

The key is to partner with a solid vendor that has proven results — ideally in the same industry that the company works in. Designate a team from the IT department, as well as those from other departments throughout the organization, to lead the project. They should read testimonials, interview other clients of top finalists, and, if possible, visit their offices to see the system at work.

4. Performance

It’s a common myth that working in the cloud brings with it slower results. Speed is not an issue with a modern ERP — today, cloud-based systems can compete or even beat out on-premise systems.

Improved connection speeds and other advancements in technology have paved a new way forward in the cloud computing ecosystem. While business leaders may express concerns around drops in efficiency and response, they can rest assured that today’s ERP systems are truly industry-best.

5. Easy Maintenance

On-premise ERPs are frustrating to the internal team, as they require server and local maintenance. When a business hosts its ERP solution, it is fully responsible for maintaining its upkeep, which can be extremely time consuming.

There’s also obvious risk of in-house management — if it goes offline there can be dramatic, and even devastating impact, to the operational side of the business. A cloud-based system mitigates the risk that comes with on-premise systems. The business will not be taxed with hiring additional staff to maintain a new server and see it through its ups and downs. Instead, the provider will handle all problems; an employee simply logs in and reports what is needed.

6. Security

The provider will also be able to provide the necessary security the system and business need. While concerns do loom about security in the cloud, it is much safer than most would think.

There are also steps that can be taken in-house, such as safe record-keeping. Make sure the company that is hired includes high standards of certification, compliance, and data backup and recovery. If it is determined that the ERP vendor’s efforts to ensure security aren’t adequate, boost an internal strategy to protect the business from cyber attacks.

7. 24/7 Access, From Anywhere

One of the best benefits of a cloud-based ERP is the opportunity to access important information and data at any time and from any location, as long as WiFi or a browser and Internet connectivity exists. This type of accessibility was unheard of until the past few years.

With this type of convenience, teams can work at full capacity in the field or remotely. Dashboards make function-centric visuals available at the touch of a button, giving the workforce an obvious advantage. Likewise, this frees leadership, which can move approvals along quickly. Customers will benefit as well, as the entire team will be working in real-time, offering consistent updates.

Join the Cloud, Today!

CSS Technology has the knowhow to take businesses into the future by streamlining process management, particularly for Small to- medium-sized businesses (SMBs) that are looking for an opportunity to improve efficiency. Put the power of a cloud-based ERP to work, in a cost-effective and effortless approach.

Contact us to find out more about how state-of-the-art technology can transform and prepare for growth.

Additional ERP Resources

ERP for Distribution Companies

How to Improve Efficiency with a New ERP Solution

How to Select an ERP Solution

ERP for Distribution Companies

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Distribution companies are eyeing the future with a bold, new outlook. Modern ERP solutions are beginning to change the way these businesses operate. Cutting-edge, cloud-based software is changing the game in the way distributors operate — in what is known as one of the world’s most pervasive and complex industries.

By implementing cloud-based ERP software, companies are better able to manage supply chain and logistic activities, which includes warehouse management, inventory management, and order management (sales and purchase orders), and integrate these activities with the company’s financials and sales.

ERP software that is built for wholesale distribution leaders, can help drive business due to improved customer satisfaction, reduction in order times, and cost control across the entire supply and distribution chain.

Insurance for Supply Chains

Today’s business environment is very much a global one with bigger audiences, and further-reaching vendors hitting previously untapped markets. There is great reward for companies that are able to reach worldwide, but with that comes substantive risk.

Half of all businesses experience more than one supply chain disruption per year, and almost 55% of such events cost more than $25 million; further, one-in-five costing over $500 million, according to the International Risk Management Institute.

Needless to say, there are not many companies that could shoulder such a hit — most would end up shutting doors and closing up shop indefinitely. What should a company do? The best bet is to try to circumvent such an occurrence from the offset.  

Modern ERP software can help to prevent risky disruptions, keeping manufacturers armed with powerful analytics capabilities and data-driven insights that will help them to steer clear of trouble and costly mistakes.

Cross-Channel Visibility

Breaking down silos between work teams can prove beneficial to distribution companies; however, employees will need a data management system that can do the same. Bringing departments together connects partners, countries, cultures, and also currencies. Integrating software capabilities connects financial and operational matters in cross-border commerce with key metrics that can be viewed and digested via dashboards.

Transparency isn’t only beneficial to those working for the business, but also for customers and partners, as well. Relaying information to clients through fulfillment notifications before and after delivery is a great customer satisfaction strategy. Field work and remote reporting is on the rise, and companies that make working off-site easier will reap the benefits.

Mobile access requires all workers to be able to access inventory levels and include real-time updates that can add value for the entire team. All that’s required for mobile login is a Wifi signal or a browser that allows for Internet access. With this helpful feature, employees won’t feel tethered to their desks or limited by typical 9-to-5 office access, to complete tasks in a timely manner. It may make the difference in sealing a deal, beating out less agile competition.

Automate for Efficiency

Workforces that are optimizing to modern ERP systems will likely see an evolution in their internal competencies. Software such as this is created to make working easier. This means, staff will be able to learn how to benefit their job flow, using the time it saves to focus on other efforts that increase efficiencies and also grow the business.

Distribution includes many moving parts — manufacturing and safely delivering product doesn’t have to be a cumbersome, manual process. That’s now a thing of the past!

Thanks to automatic notifications, processes move much more smoothly. An ERP system is fast at work to ensure that all is optimized and products are moving through the supply chain efficiently. A new sale or return sets matters in motion with data transmitting to the appropriate parties for follow up or sign off. Everything is documented within the system, so users and departments can be tracked or identified as need be.

Seamlessly defining data and having it readily available to be be shared across various operational areas moves a company’s performance leagues above those that are not working with an ERP solution.

Getting Started

Realizing when a company is ready for a cloud-based ERP is the first step of the journey. The award-winning Acumatica Cloud ERP offers its Acumatica Distribution Edition, which includes Advanced Inventory, Requisition Management, Purchase Order Management, Warehouse Management System, and Advanced Financials. The system integrates fully with Acumatica’s CRM, Manufacturing, Field Service, and Project Accounting software —- providing clear visibility across the complete business.

The ideal partner should understand a company’s capabilities, as well as how to improve efficiency to optimize growth. CCS Technology Group brings cloud expertise, developing, implementing, monitoring, and supporting effective cloud-based solutions.

Read testimonials and contact us to learn more about implementing a cloud-based ERP solution that will take your company into the next decade and beyond!