Integrated system , ERP : Why is indispensable for anyone who wants to grow?

Integrated system, ERP is a very useful tool to help in the management of people, process standardization and integration of departments tool. These tasks are not part of the initial list of an entrepreneur. The initial idea is that enough to produce quality products or services. However, this alone does not guarantee business success. What guarantees success is how it manages its business.

Integrated system is a set of computer programs that performs and integrates departmental tasks of a company. The big advantage is the centralization of information in a single database. Thus, organizes, standardizes and automates the operational flow eliminating the waste of human and material resources.

The key issue is to understand why and when a small business should replace the departmental controls through specific worksheets or systems for an integrated business management system. Coincidentally is also the time that the entrepreneur must cease to be the executor and become the manager of the company.

Entrepreneurs generally open their business related to their area of ​​professional expertise. Their knowledge is generally restricted to technical knowledge or professional skills. For example: sewing, cooking, cabinet maker, seller, etc.. The initial view is that just work hard and produce quality products to succeed.

In today’s business world there is more room to type professional craftsman who creates the product, go out to buy the raw material, manufacture, exhibit, sell, receive and pay your supplier. Running a business means that you need all these procedures must be performed by employees, not by the entrepreneur himself.

At first all controls can be made using spreadsheets or even the entrepreneur’s head. But there is a physical limit to anything. One thing is to serve ten clients, another thing is to serve 100 clients and is far more complicated serve 1,000 clients.

With the growth of the company, there are more customers, suppliers, banks and employees. There is no way the entrepreneur ahead of everything: contact customers, purchasing raw materials, production control, payments and receipts, costs and balance the cash flow. That’s when the problems start with quality, timely delivery, waste, etc. arise.

The company should work as an assembly line. The department or person should perform a task and move on to another department. They need to follow up the work automatically. Have to know what needs to be done without loss of time, do not stop the flow or not but forgotten in a corner either.

When the entrepreneur was also the executor had the overview of everything. There was an interruption in workflow, errors or waste. With departmentalization and more people involved in the process, problems arise. The errors must be detected and resolved before generating the complaint of customers. The integrated or ERP system serves to help solve these problems.

A company grows only work in an organized manner. Multiple centers or non- existence of a center makes everything is disorganized, loose and lost. Departments must be grouped in a single center to function in an organized manner. The integrated management system centralizes all departmental information in a single database, organizes and standardizes processes.

At the moment the company’s growth and increased sales volume does not generate income at the same rate or only increases customer dissatisfaction is time to seek a solution. It is time to implement an integrated management system. Evidently it is not the solution to all problems. Well used, ERP is a powerful tool to solve problems and help entrepreneurs in the role of managers and business strategists.

Source: www.administradores.com.br

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