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What is an ERP?
Before knowing about What is the primary goal of an ERP system? You should know about What is ERP?
Enterprise resource planning (ERP) systems are information management systems that coordinate and computerize huge numbers of the strategic policies related with the operational or beneficial parts of an organization.
They are portrayed by being made out of various parts coordinated in a single application. These parts are of various use, for instance: production, sales, buys, coordination’s, accounting (of various types), ), project management , stock and distribution center control, orders, finance, and so on.
What is the primary goal of an erp system?
The target of an ERP software is to support the organization’s customers, give answers to their issues in record time. as well as efficient information management that compromises decision-making and reduces costs.
These systems work in a wide range of organizations and their differentiation relies upon components, for example, the size of the organization, the type of organization, cycles, and assets.
Objectives of ERP
- Optimization of business processes.
- Access to information.
- Ability to share information among all members of the organization.
- Data suppression and unnecessary reengineering operations.
What companies require an ERP system?
It is ideal for all types of companies, both multinationals and SMEs. Also, in appreciation to the different customizable patterns, any company, unassumingly the different processes it has or the part to which it belongs, can customize its own ERP.
There are providers that are dedicated to the implementation of certain ERPs, either by product or part, achieving better results after the acquisition of the ERP.
An ERP software system is established in some of the largest and most complex software products in the industry. When operating such systems in a company, the usual methodology used to include a group of analysts, programmers and users.
This being the scheme that was used, at least until the momentum of the Internet. This allows the consultants to have direction to the computers of the company in order to be able to locate the updated and standardized data of implementation of the ERP, without help from an expert.
The remarkable characteristics of ERP Systems are:
- Centralized database.
- ERP components interact with each other, consolidating all operations.
- In an ERP system, data is entered only once and must be consistent, complete and common.
- The companies that implement it usually have to modify some of their processes to align them with those of the ERP system. This process is known as Process Reengineering, although it is not always necessary.
- Although the ERP may have modular menus configurable according to the roles of each user, it is a whole. That is: it is a single program (with a multiplicity of libraries, yes) with access to a centralized database. We should not confuse at this point the definition of an ERP with that of a management suite or comprehensive systems.
- The current trend is to offer specialized applications for certain companies. This is what is called sector applications or vertical systems especially indicated or prepared for certain business processes in a sector (the most used).
Advantages of implementing an ERP in a company
Integration into a single platform or application
With an ERP, a company can have all its processes or files in the same system, so that it can access them at the same time and from the same place.
Automation of processes in the company
With a good ERP many processes can be managed automatically. For example, the purchase of products once their reserves are dwindling, the shipment of some orders that maintain a certain stability, etc. Anything that involves a pattern of behavior can be programmed to relieve employees of this burden.
Real-time company information
Decision-making will always be governed by the information that is available at all times. An ERP can show the real-time information of the company, so that the possibilities of action can be considered and which of the different options is the most successful.
The platform fits the business
Whatever a business, an ERP can be adapted to its operation and development. The data can be dumped into the program with ease. Therefore, it can be used by any type of company.
Not only are many work times optimized, but quite a few tasks that are usually performed also disappear. In addition, it is a very efficient aid for saving, since you can have a more or less global vision of the general operation of the company.
Better quality of analysis
Precisely because of its integrating nature, you can see the complete information of each detail or element of the company. And, therefore, have a more accurate and complete vision.
Disadvantages of implementing an ERP in a company
It is an efficient program and, as such, it is essential to make a considerable outlay of money at first.
Preparation of workers
Everyone in the company, in one way or another, will end up having some kind of contact with the ERP. This forces all of them to be trained in the correct way to be able to use it. It can lead to production delays.
Finally, the most obvious and, at the same time, the longest drawback. And it is that although the personnel of a company knows how to use the ERP, it is also necessary that they adapt to use it in the correct way.
That is to say: get into the habit of entering data, checking that everything is in order and, ultimately, integrating it into your daily tasks. So that, in this way, it can work in the company.
At the same time, ERPs offer the meeting with BI or Business Intelligence solutions , approving to make reports on the state of your company clearly with the data of the ERP system.
This invites a specific and updated level of knowledge of the state of the company that is unfailing when studying and improving central processes such as marketing and sales, the organization or other key aspects of a company.
In any case, the drawbacks mainly rest during that first month or two of adaptation. Once that natural learning curve is overcome, a company could begin to enjoy all the benefits that have been discussed above and that they can contribute so much.
In conclusion, these are the advantages and disadvantages of an ERP system. It can be seen perfectly that the advantages outweigh the disadvantages. So, now you know what is the primary goal of an erp system? Also you know about pros and cons of ERP system. Visit the link and overview the ERP System.
What is a Point of Sale System?
Today, regardless of whether you are a small business or a well-established company, the need to automate processes to make your business more efficient is dominant. Here question arises that what are the key features of a point of sale system to buy?
At present, the implementation of a Point of Sale Software is no longer a luxury, it is a necessity to have a good administration and offer better customer service.
Do you have doubts if you need this technology? Keep reading and discover all the benefits that you can obtain with the implementation of this software in your business.
Point of Sale Software
It is a software specially created to streamline sales processes where the customer interacts directly, allowing daily transactions and obtaining key information on all registered operations for correct decision making.
Normally, various devices compatible with the software are used, which we call “accessories” and that make it a more operational and agile Point of Sale , these can be: scanners or barcode readers, scales, ticket printers, drawers of money, magnetic stripe readers, RFID scanners among others.
Benefits of using a Software at your Point of Sale
Some of the benefits that a Point of Sale Software would provide you when implementing it are:
- Billing and order processing.
- Sales monitoring and reporting.
- Inventory and stock management.
- Cross channel returns management.
- Customer relationship and experience.
- Employee management.
- Loyalty programs and gift cards.
The key is to research and choose the Point of Sale Software that best suits your needs.
What are the key features of a point of sale system
To have Point of Sale Software fully working you will need to know that what are the key features of a point of sale system, these are some:
This is where the Point of Sale System is installed that helps you to take control of your business. The computer must have USB connections to connect the accessories such as the printer, the cash drawer and the barcode reader.
Billing and order processing
A point of sale system must have the fundamental usefulness of billing and order preparing. It ought to have the option to bill orders by scanning products and catching diverse installment modes.
It has the capacity to create order receipt, reproduce and email to end client. Alongside including the discount, client details, extra comments and sales rep’s name to an order.
Customer relationship and experience
A point of sale system can assist you with holding your clients by storing client information and buy history. This can be utilized to give a customized understanding to your client.
Client information is exceptionally valuable for publicizing. As this information can give experiences on which client would be keen on your sale. For Example, sending a deal flyer for “30% off oversized shirts” to the client, who wears a medium sized shirt would be a waste of time.
Code bar scanner
This element is optional, however it would facilitate the daily operation of your business.
With a barcode reader you can speed up the waiting time of your customers to serve more people in less time since you would only need to scan the barcode of each product and use it during your inventories.
It is one of the essential complements for a Point of Sale , with which you can issue sales receipts, payment voucher and / or cash cut reports and more.
The cash drawer is an essential piece for your Point of Sale, as it will help you organize the money and of course keep it safe, it awaits the order sent by the printer so that it can be opened when it is sent to print the receipt or note of sale.
In case of having a deli section or sale of bulk products, the electronic scale is an instrument that you will need as it will allow you to obtain an indication with exact figures of the products you are selling.
Disadvantages of pos:
Although point of sale helps to automate and simplify processes, but it requires training for the personnel so that they can operate the system.
Total dependence on technology:
With a computerized Inventory management system, you will be totally dependent on the system. In case if your hardware or hard disk collapse you will lost your all data.
Every computer system has the risk of interruption or being hacked. A dishonest employee can commit fraud.
Clearly, by not being a simple cash register and simplifying several processes of a business. A POS system generates costs, both in software and hardware. In addition, payment must usually be made for a limited time, which includes updates, technical support and warranty.
Although severe measures, for example, symmetric encryption are set up to make e-payment protected and secure, it is as yet helpless against hacking.
Fraudsters, for example, use phishing assaults to fool clueless clients into giving the sign in credentials of their e-wallets, which they catch and use to get to the casualties’ personal and financial info.
Insufficient validation likewise afflicts e-payment system. Without superior personality verification like biometrics and facial recognition, anybody can utilize someone else’s cards and e-wallets and escape without being caught.
These security concerns may make a few people hesitant to utilize e-payment systems.
A POS System brings more advantages/benefits than disadvantages. The disadvantages mentioned above can be resolved or reduced if manage the things in a good way. However, there staff should be trained and you should have backup in case of downfall of the system.
How to choose and What are the key features of a point of sale system
You must know the key features of point of sale system which we have discussed above. Also You must choose a System that allows you to have a structured control of all the information that is generated in your business.
With this data you will be able to make accurate decisions to increase your sales and have a sustained growth in your business.
You should analyze the functionalities of the modules of the Point of Sale System to manage your business in an integral way:
- Cashier function for cashier counts, cash outages and value withdrawals
- It should streamline your sales process
- Manage your inventories in an efficient and automated way
- Accounts Receivable
- Generate reports of: sales, performance, staff performance, easy access to information (dashboards and graphs) to make decisions with reliable and updated information.
So, now you got the idea of point of sale software and what are the key features of a point of sale system. It will help you to get best software or system for your business.
The question is not, do I need a point of sale? what you really have to ask yourself is if you want to sell more and be in control of your business. If you still have doubts about the Software, Login into Live POS Software and discover for yourself what it can do for you. Here is the link : Live POS Software Demo