Every business organisation have to deal with financials in one way or another. Every business needs to keep its books straight and stay on top of things.
You’d agree that keeping track of finances without the proper tools can seem a bit like walking through a dark forest at night. You might know that the road should be somewhere in front of you but it’s hard to see anything clearly with no light to guide you.
In financial management, ERP finance is that light. It is the solution to companies’ need for comprehensive and reliable information about company financials.
ERP stands for Enterprise Resource Planning. This is a system that connects all the different aspects of business from manufacturing to sales and accounting. It is designed to ensure that all parties within an organisation share information easily and quickly.
They are made up of modules that each handle a different area within your company.
These could include: accounting, inventory management, customer management (CRM), project management (PM), manufacturing automation, transportation logistics/invoicing/tracking, human resources (HR) benefits administration and other niche areas.
Now, ERP finance (or financial ERP) is one such module.
ERP finance provides a comprehensive overview of the entire financial health of your company. It gives you information on how much money is coming in and going out as well as any areas where you are spending too much or generating an unbalanced revenue stream.
This real-time information can help your business make critical financial decisions early on.
ERP finance can be a crucial piece of your company’s long-term monetary planning. It will give you the flexibility to plan and prepare during times of growth or recession but also have a backup plan for when things don’t go according to plan.
The whole point is to prevent any surprises from coming up and to make sure you are always in control of your finances.
What Problems Can ERP Finance Solve?
ERP finance can solve many problems that plague businesses big or small such as:
Financial management: Managing finances can be a huge task. ERP finance provides you with an efficient system to help you with this. This will allow you to balance out your incoming and outgoing funds while keeping track of budgeting, forecast and more.
Financial analysis: The ERP finance module allows businesses to review financial data. With real-time information made available in one screen, businesses can actually see what is happening to their finances. With this data available at hand, decisions regarding issues such as budgeting and cost strategies can be made.
Financial reporting: Every business should be looking to create the best possible financial reports for the necessary stakeholders. ERP finance allows you to deliver the information required in these reports with the minimum of fuss and at a much higher accuracy level.
Regulatory reporting: For financial services organisations, a financial ERP module is always necessary for effective and accurate regulatory reporting.
Collaboration: Data management is very important. With ERP finance, you get the ability to share data with other affiliates/stakeholders for a better collaboration between departments. This can be especially important during project collaboration or supply chain management.
Financial control: With ERP finance, you can exercise more financial control over your business. You can know the exact financial status of your company and act accordingly to secure a more stable future for it.
Management reporting: One of the most important aspects of any ERP system is its ability to provide you with management reports in the form of dashboards and scorecards that allow you to easily see what’s going on within your company and make key decisions.
Budgeting and forecasting: Since ERP finance gives you real-time information on the current state of your business, it makes it easier for you to plan future spending and develop a forecast
Regulatory requirements compliance: Inadequate compliance with regulatory requirements including GAAP, IFRS and others can have a negative impact on your company namely through fines, penalties and other consequences. ERP finance allows you to ensure this compliance, helping you avoid any such issues.
Supply chain management: The ability to connect and share data with other businesses is an important aspect of ERP finance. Your company can collaborate with suppliers, partners and other enterprises to have a smoother supply chain management.
Cash flow management: Tracking the cash flow of your business is important. ERP finance provides information that can help you manage this flow, giving you better control over the financial aspects of your business.
How to Get Started with ERP Finance?
With financial ERP software, you can have all this and more. You can take your business to the next level by gaining much better control over your finances.
To get started, get in touch with us today to help you bring the SunSystems financial management solution to your business.