What should SMEs look for in a modern ERP system?

In today's rapidly evolving business landscape, the implementation of an efficient ERP system has become imperative for industries across the board.

The process industry, manufacturing sector, and a plethora of other sectors, including fleet management to construction, chemicals to automobiles, and even trading industries, have been reaping the benefits of adopting the innovative eresource ERP solution. Simply put, ERP has emerged as the go-to solution for overcoming the challenges of the market and driving business growth and success.

What is an ERP System?

An Enterprise Resource Planning (ERP) system is a software application used to manage and integrate a company's core business processes such as finance, accounting, supply chain management, and human resources.

In today's dynamic business landscape, companies are recognizing the need to modernise their Enterprise Resource Planning (ERP) systems to stay competitive and drive operational efficiency.

Modernising ERP systems can lead to significant improvements in core enterprise functions, helping businesses streamline processes, reduce costs, and enhance overall performance.

A modern ERP system also provides real-time information and insights that help companies optimise their business processes and make results-driven business decisions. By streamlining business processes and enhancing operational efficiency, ERP can revolutionise the way companies operate.

This article aims to shed light on the several crucial characteristics that Small and Medium Enterprises (SMEs) should prioritise when selecting an advanced ERP system.

The following points are worth considering:

• Boost Customer Relationships: Modern Cloud ERP solutions must provide businesses with a powerful tool to enhance customer relationships by facilitating superior customer service. This is achieved through the provision of reliable and timely information to customers, coupled with the prompt delivery of goods, which can help to engender trust and loyalty among customers. Moreover, a modern ERP system can greatly enhance business productivity by incorporating advanced automation features that reduce the likelihood of human error and the need for redundant data entry. By streamlining and optimising routine tasks, employees are afforded the opportunity to focus on higher-value activities, thereby further enhancing overall productivity. By doing so, ERP solutions help organisations cut down on operational costs and increase efficiency, ultimately driving the productivity and success of the business.
• Integration with Existing Systems: A modern cloud ERP system must seamlessly integrate with the existing business processes and operations. A robust integration module can simplify the CIOs’ responsibility to shift or connect with the existing ERP to promote more functionalities, multiple task holdings, and building strategy. They can easily align the entire business process and optimise functionalities across departments in a shorter time frame.
• Adaptive Towards Upgrades: It is imperative for modern ERP systems to be adaptive toward upgrades, and the latest offerings are proficient in handling advancements with ease. The upgraded ERP systems are designed to incorporate continuous updates, thus ensuring enriched functionalities and new features to meet the evolving business needs. This adaptability toward upgrades serves as a significant advantage for businesses seeking to stay ahead in a dynamic market.
• Top-notch Security Measures: A modern, cloud-based, and cohesive software-as-a-service model ERP system must provide high-security measures for data management and accessibility. With data breaches becoming more prevalent, investing in modern ERP systems helps companies safeguard sensitive information and maintain compliance with data protection regulations. Modern ERP systems have evolved into all-encompassing solutions that empower CIOs to control and manage the entirety of their organisation's operations. Securing access to these systems is now a critical imperative, and multilayered authentication has become obligatory to establish a robust defence against unauthorised entry. An advanced ERP system should incorporate role-based security protocols that ensure secure access to functionality and data. This feature allows for individual lines of business and international operations to be managed on a country-by-country basis, thereby minimising the risk of data breaches and other security threats. This, in turn, enables businesses to achieve greater efficiency, improve their bottom line, and ultimately attain sustainable growth.
• Future-ready Software: The software should align with the business model. The functionalities must be aligned by keeping a vision of five years ahead as technology and business models advances. Also, maintaining compliance with constantly evolving regulations can be a challenging task for any business. However, the latest ERP solutions are equipped to address this challenge effectively. With their automated updates, these systems take the hassle out of compliance by keeping businesses up-to-date with any changes in regulations. This ensures that an organisation's system remains fully compliant at all times, enabling smooth tax filing and helping you fulfil your compliance obligations without any concerns.
• Supports Multi-Currency: A cutting-edge ERP solution should be equipped with the ability to support multiple currencies, exchange rates, and associated fees. This ensures that the system can track payment dates and seamlessly reconcile any discrepancies that may arise due to fluctuating exchange rates and the shifting values of currencies and inventory.

By considering the above factors, SMEs can make better decisions about their ERP investments and improve their crucial business processes. Modern ERP systems can help organisations remove data silos, provide real-time information, and improve overall business processes.