There are many benefits of ERP systems. Given a turbulent economic climate over the last three years and increasing security concerns, it’s no wonder more executives are looking for ways to protect their supply chain, reduce risk and ultimately increase their bottom line.
We’re not impartial either. Hands-down, we recommend NetSuite if you’ve outgrown QuickBooks.
The top 8 benefits of ERP systems
1. Streamlined business processes
An ERP system like NetSuite marries critical business functions like financial management, inventory control, and customer relationship management. By breaking down data barriers and guaranteeing accurate information, it provides a comprehensive overview of your business.
Moreover, it seamlessly integrates with third-party technologies, allowing you to retain any existing essential software that you rely on. With options like Celigo’s IPaaS (Integration Platform as a Service), as well as API and EDI functionalities, you have an array of tools at the ready.
Client Case Example: When we helped Young Nails implement NetSuite, they gained real-time insight into financial reporting and sales channel profitability. Sales revenue saw a 29% increase YoY. CEO, Habib Salo elaborates, “now data is accessible. To drive growth- especially for our marketing efforts- having data is not an option, it’s an absolute necessity.”
2. Scales with your business growth
Most growing mid-sized businesses will eventually reach a point where you need an ERP system that can keep up with your growth. A modular structure allows you to easily add or remove functionalities as your needs evolve. So no matter how your business changes, your ERP system should flex accordingly.
In NetSuite, modules are organized into eight key categories, covering everything from financial management and CRM to business intelligence and supply chain. Each category is packed with task-specific modules, ensuring that you have all the tools you need to run your business smoothly.
For example, if the bill-to-pay process is wearing you down, NetSuite AP Automation has you covered. It streamlines the entire process, boosting efficiency and slashing accounts payable processing costs. It will also integrate with other AP systems like BILL.
Additionally, with NetSuite ERP, you have the power to add or subtract users as you see fit. So whether you’re experiencing rapid growth or downsizing, you can easily manage your team and resources.
3. Financial insight and reporting
Probably the #1 reason we recommend NetSuite vs. QuickBooks to clients is the need for better financial insight. McKinsey highlights how as many as 700 attributes can be assigned to just one SKU. That’s a lot to manage.
Visibility is like having x-ray vision for your business, and NetSuite is the superhero that offers it. With all your data stored in one powerful database, with nimble drill-down capabilities you’ll have a 360-degree view of everything that’s happening in your business. Additionally, our NetSuite accountants can customize any reporting or dashboard you need.
With the help of your NetSuite accountant, you can monitor key performance indicators (KPIs) in real-time and use customizable dashboards and reports to unlock insights into your financials, sales, inventory, and other crucial metrics.
Armed with valuable information like the above metrics, you’ll have the power to make proactive and strategic actions like a true marketing mastermind. And if you’ve expanded to include multiple entities or subsidiaries, no worries! NetSuite has robust consolidation capabilities.
4. Improved efficiency and productivity
To reduce labor costs, automated workflows can take over boring, manual data entry and redirect your employees to more important tasks that have a direct effect on your bottom line. NetSuite’s clever automation will save you time and eliminate errors, allowing you to focus on what really matters. Eliminate repetitive, manual AR/AP processes, streamline reconciliations, send automated reminders to customers, giving your employees more time to focus on activities that bring in revenue.
5. Inventory management
Celigo reported that 16% of ecommerce leaders have issues with accuracy in their inventory reporting. One of the top benefits of an ERP like NetSuite is that you’ll have access to top-notch inventory management features like demand planning, order reminders, real-time tracking, automatic replenishment, and warehouse management, just to name a few inventory KPIs that have a direct effect on your customer experience.
For example, maybe you’ve realized that you need to drill into your unit economics to better understand why your small business is losing money.
It becomes more complex, if you have a lot of materials that go into one widget or item that you are manufacturing. Then, you need to also find your bill of materials (BOM). Your BOM is essentially a recipe of raw materials required to build your end-product.
6. Seamless order management
From quote to cash inflow, the NetSuite ERP system streamlines your entire order process. With all your pricing, invoicing, and fulfillment in one place, you can improve customer satisfaction and minimize errors. McKinsey suggests you can reduce inventory costs by 10-15% by improving sell-through and availability with better data analytics. The exact inventory analytics you benefit from an ERP like NetSuite. Another route you might look into is outsourced order management services.
Client Case Example: For one client in the Health & Wellness industry using our outsourced controller services, we reduced monthly close by 67% syncing their AP process with NetSuite. They saw huge improvements into visibility for backordered items. Which, in the throes of the pandemic, became essential.
7. Cloud accessibility
Cubicles are out, remote working is in.
With NetSuite ERP’s cloud-based functionality, authorized users can access the system from anywhere, using a mobile or tablet device connected to the internet. This accessibility allows you to adapt to changes quickly from anywhere, anytime. We don’t, however, recommend checking your dashboard in the middle of the night. But the point is, should you want to, you can.
8. Security and risk management
If cash is king in our business, data is the gold, and it deserves the highest level of protection. That’s why implementing proper data management protocols and systems is crucial for the long-term success of your company. Not only does better data management equal smarter decision-making, but it also keeps your valuable intellectual property and sensitive customer data out of the wrong hands.
Enter ERP software – the ultimate guard of your prized data. By consolidating all your data into one secure platform, instead of scattering it across multiple systems with varying levels of security, you enhance the protection of your financial records, customer information, and vendor data.
Take NetSuite, for example. With its simple, yet granular, permission controls, you can regulate data visibility, ensuring that employees only have access to the information relevant to their roles. By limiting data access, you can minimize the risk of fraudulent activities or other malicious endeavors, fortifying your overall security framework.
NetSuite ERP is fully compliant with various regulatory requirements and data security standards, providing an extra layer of protection for your sensitive business information. With features like user access controls, audit trails, and data encryption, you can rest easy knowing that your data is shielded from unauthorized access or breaches.
Of course, as a NetSuite BPO partner, we’re not hiding our love for NetSuite. We see the benefits of the ERP system first-hand. Get in touch to learn more about how we can help your NetSuite implementation today,
