Mid-Market ERP Systems For Small Businesses

As the world economy has grown and businesses have become more diverse, their need for sophisticated technology has grown too. Automation of simple tasks is taken for granted even in the smallest of businesses today. However, there is a large gap between the needs of organisations depending on their size. Large organisations are often able to invest resources at scales that smaller businesses find difficult even to imagine. Software has evolved over time to meet the needs of all types of businesses.

Let’s take the case of accounting software. It is ubiquitous since every business needs to maintain a record of its accounts. However, there is a huge difference between the requirements of a small grocery store and those of a large multi-product organisation that spans several continents. The grocery store could probably manage well by using any of the myriad free accounting software packages available on the Internet. The large organisations will probably need a massive accounting ERP which has the ability to span possibly hundreds of locations in several countries and continents.

Situations such as the ones explained above require software to be customized to suit the requirements of individual businesses. This is where sophisiticated ERP systems can contribute substantially to increasing the efficiency of businesses. With the advent of software such as Great Plains accounting software small businesses now have access to technology that earlier could only be afforded by really large organisations. With a mid-market ERP system such as Great Plains accounting software small and medium-sized businesses can easily develop and deploy software to provide accounting services to their employees, customers and clients.

These packages usually come with built-in templates that mirror the business processes that already exist in the real world. With the underlying software superstructure already in place businesses can do away with the basic work involved in developing custom-built solutions and can concentrate on customising the software to suit their requirements. This also means that the software system takes less time to build and deploy.

Another significant advantage of such systems is that they are built to expand as organisations grow. Packaged ERP solutions are built around real world business processes and employ robust database technologies that allow them to handle vast quantities of data. This means that they can be further customized as businesses evolve. Not only this, since a packaged solution will also evolve with newer releases of the software, businesses have access to features and functions that might not have existed earlier. Newer versions are usually designed to be compatible with older versions so that the task of integrating older code and data becomes easier. All this means that the job of moving to a newer system usually involves migrating data and code rather than developing the new system from scratch.

These systems also come with sophisticated tools that facilitate the reporting and analysis of data. Developing customised reports that accurately reflect the health of a business in the way in which key stakeholders want to view it is a relatively easy job in a system such as Oracle Financials or the Great Plains accounting software. The report writing tools available in these systems allow even nontechnical personnel to develop reports with ease.

The underlying database systems such as Oracle and SQL Server allow for sophisticated analysis of data. Analytical accounting modules allow for data to be validated even as it is being entered into the system. Data can be imported from or exported to external sources such as Excel and Access easily and can be made available to key stakeholders via Web interface.

All this should not be interpreted to mean that the task of implementation of an ERP system is either small or easy. When selecting ERP systems or vendors, businesses should keep in mind some key factors. When selecting ERP systems businesses should be looking at things like cost. Cost will include not only the cost of purchasing the software but the cost of customization, implementation, and support. Compatibility i.e. how closely the software’s basic design matches the extant processes of the business will be a key factor in deciding which system gets selected. The greater the compatibility the lesser is the customization required. Greater compatibility will also lead to a reduction in the time taken to implement the system. Scalability or the ability of the software to grow as the business grows is another key factor. After all, no business would like to invest in a brand new system all over again in 2 or 3 years because its needs have outgrown the capabilities of the original system. Security is an important factor that every business will consider. While most systems are robust individual businesses will want to consider their unique requirements with regard to security.

When selecting vendors, businesses will want to look at factors such as the vendor’s track record. If the vendor has already implemented similar systems at the same or larger scale, the chances of making mistakes are fewer. The process of checking references from existing clients is a key part of the vendor selection process. Project management skills will be an important factor too. Poor project management can often cause delays that can cause the cost of the project to increase, significantly making it unviable. The vendor’s ability to provide support both in the form of training during the implementation phase and technical support to resolve problems later on is a key factor. A business in Connecticut will ideally want a vendor who is situated in or has an office in Connecticut. For that matter, hiring an organization such as Accounting services Connecticut which holds a good reputation and offers complete accounting solutions to its clients, is a great idea.

Also, mid-market systems today offer a host of pricing options that have placed packaged ERP systems within the reach of even small businesses. Some licensing systems allow businesses to buy only those bits of the software that are relevant to them. Other systems price the software based on the number of people who will use the software concurrently. The software-as-a-service model allows businesses to pay per use instead of buying the software as a product and hosting it on their computers. All of these factors combine to make packaged ERP systems a compelling choice for even small businesses.