Nowadays, everyone prefers to use their favorite accounting software for storing their organization’s financial data. However, the issue that most vendors run into is that it more often than not can not help in their day-to-day processes.
You should consider replacing your basic accounting software with an integrated ERP solution to help protect yourself from any issues! A leading study shows that ERP offers many benefits ranging from operational, strategic, and organizational. This encourages improved supply chain management by promoting profitability, reducing costs, and standardizing processes.
ERP systems integrate all business data, not just financial documents, to give you greater transparency than day-to-day business.
ERP software is rapidly expanding in use worldwide, estimating is estimated to reach total revenue of 48.21 billion USD by 2025. This is a significant growth rate of 7.88% CAGR from 2020, according to the software suggest.
Manufacturers look for a single ERP solution to simplify business processes without relying on multiple systems. Here are the main reasons why you should integrate ERP for accounting:
A 360-degree view of your finances:
Always looking to save resources, manufacturers use ERP accounting software to predict behaviour and assess patterns of day-to-day business processes that affect sales, marketing, and supply chain management.
The ERP accounting system provides a 360-degree overview of the financial function with displayed reports via Charts, graphs and visual support. These financial reports can help companies predict future results and better manage risk.
Simplify business processes:
The poor quality of annual financial reports can have a negative impact on a company. T he accuracy of the annual financial statements is very important so an ERP system establishes standard procedures to achieve real-time financial reporting and efficient provision of financial information.
ERP is generally more accurate because it is based exclusively on standard accredited information in the system. So you do not need to transfer data between platforms manually while it is integrated in your system. Most manufacturing companies automate accounting tasks such as compliance and compliance audits with ERP.
The linkage between finance and the production process:
ERP streamlines the collaboration process by accessing inter-agency databases. Information about multiple functional areas such as CRM, accounting, human resource management, and supply chain management is transferred to a central location, enabling real-time cooperation .
Business processes in manufacturing are more complex, and therefore, some vendors rely on ERP systems to process larger amounts of data.
Automatic working process:
- Track financial transactions as automatic check information in real-time.
- Eliminate the need for paper documents, make payments on time, and improve accuracy.
- Frees auditors from completing records through automated financial reporting.
- Provides management with comparable and detailed financial records important for decision making through automated reporting.
These benefits encourage companies to invest in ERP software and increase productivity.
Cost savings:
Logistics is one of the main operations in the production business. For example, if you use a freight transport for your business, it can be a challenging task to monitor things like the driver’s schedule and the capacity of each container.
An ERP system integrates shipping management tools, communication functions, and order processing options into one platform. With the use of ERP, companies can reduce operational reduce operational and labor costs.
In addition, you can maintain a customer database which makes it easy to find completed and ongoing shipments.
Conclusion:
ERP allows you to have greater visibility and control over your operational processes, which results in significant cost savings. Setting up ERP can be a daunting move to make, but here at Katalyst we can make that easier for you, If you are looking forward to integrate accounting software for ERP or want a free demo, feel free to contact us, and we can assist you in best possible way.
