A recent article published in AccountingToday.com, makes the perfect case for why companies should do ERP upgrades or replacements now. The article titled “Deloitte partner warns companies to prepare for possible trouble” says that there are signs of trouble ahead for companies, despite the strong economy in the U.S. right now.
The article shares that the “key for private companies is to prepare for what might occur in the future.” Among the recommend plans is to act before any slowdown occurs. This includes improving the quality controls in their operations and accounting and investing in new technology to speed up processes that take longer than they should.
If your accounting or ERP systems are old, now is the time to evaluate a new system. Most companies would avoid spending those dollars, but the money spent now replacing systems that could be seven to 10 years old will be well spent if it saves time and dollars in invoicing, inventory management, and other cash management functions.
The upside is that with preparation, smart companies will be in a good position to survive a downturn and thrive on the other side.
So, how do you know if your ERP system is interfering with the profitability of your business?
Look for business constraints—anything that interferes with your company’s profitability or business endeavor. You can improve profitability by moving beyond the constraints of their basic accounting system. For example, can your accounting system provide GAAP compliant reports which banks usually require for evaluating a company’s credit worthiness? Can your system easily account for multiple locations or does your accounting office have to manually consolidate and verify data at month end?
While your basic accounting system may be not be able to meet the needs of your growing business, that doesn’t make the decision to switch an easy one. However, there has never been a better time to update your system thanks to cloud based offerings. Companies of all types and sizes are leveraging the cloud to affordably expand capabilities, increase automation, create greater efficiency and mobility, and prepare for ever-changing business conditions.
Companies that find the greatest advantages in moving to cloud-based business applications do so on a single platform with applications based on a common data set. Many growing companies are turning to solutions like Microsoft Dynamics 365 Business Central to connect all the core elements of their business.
Are you ready to explore upgrading your ERP system?
Contact us for a complimentary consultation. Business Automation Specialists is not just our name, it’s who we are. Find out if Microsoft Dynamics 365 Business Central is right for you and your organization.