Many business owners know right away when their current business module is failing them or is not enough to keep their business progressing. Still, many will ask, as did most of our clients, whether or not they need a software management tool, or sometimes known in the manufacturing industry as an ERP (Enterprise Resource Planning) to help run their business or, in some cases, run their business for them. This question is especially pressing if you are a small to midsized discrete manufacturing company.
Let’s say, your company has been established for a few years, maybe even several, and are now growing faster than you have before. You are growing to the point where you are having serious issues managing your daily operations. Perhaps, you are just at a point where you are struggling to keep up with the market. Your first response might be that you need to hire more people, maybe you take on overtime hours for a few months, or, perhaps, you change your scheduling to focus on your pressing labor needs. For many companies, this can lead to even more confusion, headache, and unnecessary money out the door. Unexpected bottlenecks could now be creeping up on you. So, what now?
If you are a small to mid-sized business, even a “Mom and Pop” shop, you may immediately disregard the notion of an ERP. Countless times we’ve heard, “only the “big” companies can afford to utilize managing software, nor would I need something that ‘complex’”. Truth is, there is a system out there for every company, no matter what size. The key is finding one that fits your wants, needs, and pains. Almost every single person/company that has mentioned those same viewpoints eventually became a customer of ours and, is very happy they did to this day.
An ERP system can help you grow to the next level and better position your company at an earlier stage. If you don’t need all of the ‘bells and whistles’, don’t look into a company that only promises just that. They should be able to modify all of your key business practices and position them for more growth and success. This will be a great alternative to playing catch-up and making, possibly crushing, process changes, especially if your current practices are deeply ingrained.
The bottom line is: If the business is worth it to you, you will do your homework to answer these questions. The simple fact that you are contemplating the idea of a management system can be a serious red flag that you do need a management system.Posted by Jason Rourke, Marketing Manager, ProfitKey International