Growth can be detrimental to company health, customer satisfaction, and accuracy as the company struggles to keep up with demand.
Maybe you’ve expanded beyond your original product line to diversify your business. Perhaps you’ve undergone a merger, or you’re considering one. You may be at a point where your sales demand has increased, you’ve outgrown your current facilities, or you’re opening new warehouses to expand your market reach. Business growth is great, but it can come with growing pains as you face the challenge of scaling your business.
Using Demand-driven MRP
Supply chain reliability is essential for any business. That is why you should consider switching to demand-driven material requirement planning (MRP). Unlike traditional MRP that can only forecast demand and supply, demand-driven MRP can track your firm’s demand for materials and allow you to make adjustments in real-time. This can help reduce supply and demand discrepancies.
Automating Reorders and Manual Tasks
Human error is a leading cause of risk for many businesses. Automation can help reduce human involvement in repetitive tasks, thereby reducing the potential for human error. You can automate most of your firm’s functions such as inventory, sales, supply chain, and order management through an ERP system.
Sharing Supply Buffers with your Partners
You can mitigate any disruptions to your business by sharing supply chain information with partners, in turn improving your firm’s supply chain management. Using ERP will tie together your firm’s functions and enables better communication between business partners. This will help your firm keep its stock at the right levels.
Beefing up your Firm’s Compliance Management
Compliance violations can be a significant risk for your business, especially if it is in a heavily regulated industry. ERP can help you minimise the risk of compliance variance. It will do this by monitoring your firm’s processes and materials and ensuring their conformity to regulatory mandates. You can also set up alerts whenever there is an incidence of non-compliance.
Improving Decision-making with a Single Source of Data
Incomplete data may lead to poor decisions, thereby increasing business risks. ERP systems can help minimise business risk by aggregating business data to improve decision-making.
Using Predictive Analytics to Boost Risk Management
With all data tied together in a single place, your firm can leverage business intelligence and predictive analytics applications to improve forecasting and risk management. You can use business intelligence tooling to perform predictive analysis to improve decision-making.
Keeping Better Tabs on Suppliers
ERP can help you manage uncertainty and minimise risk by giving you a better insight into your firm’s potential disruptions and supply chain. ERP can minimise risk by providing a seamless way to interact and negotiate with your suppliers. Moreover, it can provide a comprehensive analysis of your suppliers’ performance for better optimisation risk prediction. It gives you a greater awareness of your suppliers’ variables as well as their production schedules.
In the dynamic, often challenging landscape of the trading industry, leveraging advanced tools like ERP systems can make a substantial difference in your profitability. As competition intensifies and the market continues to evolve, the question isn’t whether you can afford to implement an ERP system, but whether you can afford not to.
About ACEteK – SAP Business One ERP System Partner
We’re an SAP Partner, with a long standing track record of successful SAP Business One ERP System Software projects, delivered on time and on budget. The ACEteK team has established its reputation, and differentiated itself from its competitors, by offering all its clients expert knowledge and advice, combined with a friendly, personal and attentive service.
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