MFG Guide

For small and medium-sized enterprises that are not on ERP, what will you miss?

Small and medium-sized enterprises are different from large-scale enterprises. They are relatively simple in terms of scale, business, and complexity of enterprise management. This makes some small and medium-sized enterprises, especially senior executives of small enterprises, believe that the implementation of ERP is a matter of large enterprises and has nothing to do with them. According to the requirements, the implementation of ERP will not only bring benefits to the enterprise, but also increase the burden on the enterprise.

So is there really no need to implement an ERP system for small companies? In fact, it is not. For some developed countries abroad, there are many examples of small companies successfully implementing ERP. However, not all small enterprises are suitable for implementing ERP. So how do we judge whether small and medium enterprises should implement ERP system? What is the basis for judging whether small enterprises need to implement ERP? Here is a brief introduction to these grounds.

1. Is it centralized management or decentralized management?

The result of the evolution of scale and specialization has brought a negative impact to the enterprise, that is, the decentralization of management. At this time, manual management, no matter how well the professional management is done, the data is always scattered in hundreds of documents. Few companies can summarize these documents every day, and almost every boss always wants to grasp the various status of the company in the shortest time. If the boss can grasp the initial state of all the company’s data at a glance, it is called a natural centralized management. Then, the significance of ERP is to enable enterprises to return to centralized management with the help of computer systems after they are scaled up and professionalized. Therefore, when SMEs are considering whether to use ERP, they need to ask their bosses whether they can basically achieve centralized management in their daily operations, or whether they can tolerate the ignorance of the business status brought about by decentralized management.

2. Are there any worries about real-time data?

In the business process, the boss must often need to understand various business data. For example, I want to know how much the finished product inventory is. The boss consults with the warehouse, and may need to confirm it with the finances. If you find that this number is larger than the warehouse said. At this time, there will be some suspicions, so I found the sales again, and the number of sales notifications is larger than the financial ones. This is the annoyance caused by the data. One of the advantages of ERP is to relieve similar troubles by implementing management and financial business synchronization management.

3. Do you need refined management to grasp the real operating conditions?

In enterprises without ERP management, the boss usually uses subordinates to report to understand and grasp the business situation. The biggest drawback of this reporting method is that when the amount of data is large, it can only be extensive management, but cannot be achieved. Refined management. The ERP system can realize refined management and grasp the status of each link in real time.

Therefore, there is no such thing as a small enterprise that does not need to implement ERP. For small and medium-sized enterprises, it can be judged by the above three aspects. If the above three conditions are met, it is necessary to implement ERP. The ERP system can help small enterprises solve some of the actual problems of the enterprise, improve the management level of the enterprise, and help the enterprise reach a new height. And for qualified small enterprises, the implementation of ERP can not only solve the existing problems, but also promote the informatization construction of the enterprise, accelerate the informatization development of the enterprise, and improve the competitiveness of the enterprise in the market. Provide guarantee for substantial and stable development.

“As long as you can get the money, it’s not better. The morning is better than the evening.” Mr. Xu Zefu from Fangtian Software said: “The bosses of small and medium-sized enterprises often think that they can control everything. The management work is hard to return. The use of ERP can lay a solid foundation, and it will be able to hold 50 floors in the future. You should know that the outer splayed foot can be changed by wearing corrective shoes under the age of 4, and the bigger one is surgery. Can’t achieve the desired effect.”

Our suggestion is: the scope of ERP implementation for manufacturing companies with a size of less than 200 people: procurement, sales, warehouse, planning, production, finance (general ledger, receipts and payments, costs, assets), a total of 6 blocks, one can not be less , Not less. This is called a large application for small businesses. The main business of the enterprise is completely integrated into the ERP tool for management, and “spend the money of small businesses to do things for large companies.”

Small and medium-sized enterprises must not be greedy for cheap prices on ERP. What is the most important principle for choosing products? Suppliers cannot die before you. Suppliers’ reputation, strength, brand, reputation, and service should be compared comprehensively. From the time the ERP product is purchased, the service will accompany the user until the ERP is discarded. If the ERP supplier unfortunately dies, who should you go to for service problems, BUG problems, and upgrade problems with your product, and ERP without supplier support will also be over. How many suppliers claim to “accompany you for a lifetime”? Do you believe it? So safety is very important. In addition, does the supplier have multiple ERP product lines? Very important! When a small business becomes bigger, can it be smoothly upgraded to a larger version. After all, it is not easy to implement an ERP project. Who wants to overthrow it all and start over?

Taking a step back, even if the implementation is unsuccessful, there will always be rewards for the effort, and experience brings success. Are you satisfied with the decoration of your current home? It may be a bit regretful. This is because you have no experience in decorating for the first time. If you buy a second house and renovate it again, you will definitely be more satisfied. The same is true for ERP. A small business uses ERP for the first time, choose a set of products that cover a little bit more functions, are more affordable, and can be quickly applied. After a few years of use, when the scale of the business grows, change to a better one. It is not a pity to lose the original one. Investment It has also been recovered, and experience has been accumulated. For an old driver who has been driving a manual Poussin for many years, will it be a problem to switch to a Mercedes-Benz with the same German automatic transmission? You can’t obliterate the new changes it brings to your life, don’t you think?

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