Financial managers without an ERP are having a tough time in a world where Covid-19 has changed the world in just a few weeks. If they were concerned before about adapting to unexpected changes to financial forecasts and rapidly evolving business models, aligning strategic, financial and operational plans and analysing data across the business to develop cost containment strategies, these concerns are now causing them to lay awake at night.
Fortunately, technology has developed so rapidly that they can turn to intelligent financial management systems (ERP) for an end-to-end view of their businesses. These systems offer much more than a simple accounting system to enable them to make important business decisions based on real-time information.
Traditional accounting systems are quite manual and reactive, while an intelligent business management solution (ERP) integrates key processes for transactional efficiencies. These solutions also provide advanced analytical features that offer a comprehensive view of the business to ensure all decisions are based on the latest available data.
Financial Management and ERP
An intelligent financial management system, such as SAP Business One, can also assist a growing business to improve all aspects of the enterprise, such as cash flow and risk management. It also offers Material Requirements Planning (MRP), an advanced tool which uses different inputs and scenarios. MRP optimises the procurement of inventory and raw materials for production to meet the expected sales demand.
It is important to have a single source of data that provides a consistent and real-time view of the entire business across any industry. This is illustrated by a company that manufactures and services energy solutions, where Seidor implemented SAP Business One. This company used an accounting package with separate manufacturing and service management systems. No integration and capturing data manually across all systems resulted in information gaps and overlaps.
Integrating their financials, manufacturing and service, as well as other key business processes, enabled the company to immediately boost productivity, increase transparency and improve customer satisfaction levels. Intelligent financial management changed the way work was done in the company.
Implementing an intelligent financial management solution changes the way of work. It integrates key processes and automates tasks to improve productivity and visibility, as well as operational and financial efficiencies. It also enables decision makers to become more proactive and use the available capabilities to analyse their data in a more strategic way.
Executives and decision makers who have the required advanced tools can analyse data for trends and patterns and apply different scenarios and outcomes to identify and implement new business models and revenue streams.
Intelligent financial management systems (ERP) also makes risk and compliance, as well as cyber security, easier to manage. SAP Business One adheres to all major international Governance, Risk and Compliance (GRC) as well as Information Security policies. Each user must have a named license and all system events are recorded, including user details, date and time, along with old and new field values.
As an intelligent financial management system (ERP), SAP Business One integrates the key functions of a business. These key functions include:
- Management and administration
- Accounting and financials
- Sales and service
- Purchasing and operations
- Inventory and distribution
- Production and materials requirements planning and
- Project and resource management.
Having these businesses processes and data in a single solution provides a business with significant operational advantages.
SAP Business One also provides an integrated business intelligence (BI) platform with advanced analytical capabilities, such as cash flow forecasting and demand planning to assist businesses with making informed decisions based on their data.
Seidor is currently supporting medical, chemical and food production SAP Business One customers who are providing essential goods and services during lockdown.
Written by Darren De Vries