What is ERP automation? 7 ERP automation benefits

Thursday January 26, 2023
6 min read
ERP benefits
Business management needs have accelerated in an unprecedented way, reshaping the role of management tools in the operational efficiency of organizations.   For companies seeking to cope with new market demands, the high number of time-consuming administrative tasks removes agility from day-to-day functionality. The result? More error-prone manual processes and, with this, potential business risks with added financial costs.  What if it doesn't have to be this way?  Built to bring companies more automation and speed in routine tasks, an ERP system is the solution for efficient management. 

ERP automation benefits 

Aimed at complete and effective business management, ERP software guarantees total control of the vital areas of companies – business core – by integrating in a single system the functionalities to respond to any operational situation, a true ERP system.  With the unique ability to adapt to the specific needs of each business, what is ERP automation? In management processes, it translates into avoiding errors and less effort with recurring tasks, to provide managers with more time to manage the business and their teams with greater focus.  For a more determined management, what is ERP automation? Well, it ensures speed and support to fulfill the most common tasks, legal and tax obligations, through: 
  • Automatic communication of billing documents 
  • Automatic production  
  • Ease of completion  
All this and much more with the support of the right tools.  With the automation of processes, your company gains a more efficient system and an improved vision of the business, consequently reducing the volume of administrative tasks that are repeated on a regular basis.  Whether for process automation or improved workflow, get the most out of your ERP, and gain the freedom to perform day-to-day tasks in seconds. 

ERP system implementation  

Implementing an ERP is becoming increasingly popular, not only within large companies, but also among SMEs.  The advantages of an ERP are numerous: from the perfect integration of the different departments of the organization, it is possible to automate tasks and respond to specific needs as the organization grows.  Against this backdrop, are there any drawbacks to ERP systems? In this article, we analyze ERP systems. In short, let’s consider why ERP automation is what you need. 

ERP automation examples 

ERP stands for Enterprise Resource Planning or Enterprise Resource Management system. The objective of this system is to optimize the workflow within an organization, based on different functionalities that automate and centralize processes.  Among other things, an ERP system serves to improve the business management of organizations and to accompany them in their process of adapting to the needs of the business with respect to market dynamics. 

ERP automation benefits 

Considering the costs involved in implementing an ERP program, it is normal that financial management must evaluate in detail what an ERP brings to the company. Let us then see what an ERP is for; that is to say, what competitive advantage can be attained with its implementation. 
  1. Centralization and unification

An ERP allows the centralization of the company's data in the same database. This is its main asset. The information is managed within a platform to which all members of the organization or structure have access. 
  1. Optimization of document management

This tool helps avoid the redundancy of information between the different poles of the company, as well as the restitution of divergent information between the different departments, which is a source of errors on a daily basis.  By sharing information, business units benefit from better coordination, making their actions more efficient and logical. 
  1. Integrity in management

ERP software is able to cover different key functions of the company and support different departments, namely: CRM, purchasing, inventory, stock, marketing as well as sales – this just to name a few.  This is made possible thanks to a series of modules that can be implemented separately and which allow better coordination between the different departments, especially since the tool brings added value to the structure: streamlined management of processes (economic and financial flows). 
  1. Greater control and traceability

Having a judicious follow-up of the company's documentation leads to much more fluid internal communication, which contributes to better and faster decision making.   The company's productivity is positively impacted, since the ERP solution centralizes and automates all processes and communications, thus covering all key functions of the structure. 
  1. Accelerated growth and expansion

Thanks to its intrinsic scalability, ERP software gives companies the flexibility to consider possible restructuring. Whether at the management, organizational or communication level, ERP software helps companies seeking to give new impetus to their business to evolve in the direction they need to go.  
  1. Increased competitiveness

Optimized process management and centralization of information lead to improvements in processes such as order processing and stock management (input/output).  Because stocks are better controlled, actions such as sending invoices can be carried out on time, avoiding delays in payments. In short, the company's organization and incoming and outgoing flows are reorganized in order to be controlled and allow the structure to avoid organizational errors that have an impact on the company's finances and competitiveness. 
  1. Going global

One type of organization that can benefit greatly from the implementation of ERP software is a global company or group of companies. Thanks to being a multilingual and multicurrency management tool, it automatically adapts to different international contexts.  Likewise, companies that need to manage subsidiaries in different countries and geographical areas can benefit from the standardization of human resources management that this type of system fosters. 

Disadvantages of ERP tools 

Considering all the advantages that companies that use an ERP obtain, are there any disadvantages to consider? More than disadvantages, companies that opt for an ERP do face some challenges. As usual, it all boils down to time and money. 
  • Lead time. On the one hand, the migration of information can take a long time and, on the other hand, the training of people for its correct use can entail delays. 
  • Costs. This may be true at first and depending on the type of company that is considering its implementation. However, today there are solutions that adapt to the needs of all types of companies. An example is software such as MS Dynamics 365 FSCM which, in addition to being an invoicing software in the cloud, offers organizations all the power of an online ERP. Its different configuration and customization options make it adaptable to most sectors, be it manufacturing, construction or anything else for that matter. 

ERP in the era of digital transformation 

The implementation of an ERP system makes it possible to consider an organizational restructuring based on the optimization and digitization of processes. With such restructuring, not only the company's structure benefits internally, but also its external relationships with customers and suppliers.  Anticipating problems, controlling expenses and making significant savings are other of the many benefits that ERP allows. 

Full control with integrated management and process automation 

In the current business ecosystem, in which companies face more challenges, automated ERP software is the key to manage complex processes, structures with more people and a greater volume of data.   Challenges that have brought an alteration to the strategy of companies and, with it, the need for a new production of tools to manage the entire activity. From the integration of core areas, to processes and finance, to operations.   If your focus is on the efficiency and total control of the core business of your company, Microsoft Dynamics 365 FSCM enables a complete overview of the vital areas of the business, with recourse to the automation of processes, integrating, in a single system, the areas of financial management and accounting, connected to each other.   With productivity being the top priority, Microsoft Dynamics 365 FSCM is the solution that facilitates the execution of daily tasks, giving managers more time for what really matters – the business. 

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