In the past, the ERP midmarket customer tended to have to wait their turn — sometimes a long turn — in order to reap the key ERP benefits of technology. Previously, large businesses had the money and the people-power to transform advances pretty quickly; they could make investments where needed, while midmarket customers waited until ERP technologies became more widely available and thus affordable. Today’s quick changes to technology development and agile implementations have upended the status quo; now midmarket companies can grab tech and IT changes that benefit them soon after they’re available.
That’s good for business because it helps midmarket companies grow when they need to scale up their employee headcount or production capacity. However, this sometimes results in doing without upgraded technology to save costs. With a renewed focus on the midmarket, ERP providers need to scale their systems to accommodate the midtier budgets. Growth and evolution are both the cause and effect of an ERP implementation. Companies grow and need new systems and licenses. New systems provide the ability to scale and move to the next stage of the growth lifecycle.
This also means that technology companies would be remiss if they avoided marketing and scaling their offerings to midmarket firms; they’re missing a pretty lucrative set of potential customers. We remember an instance, years ago, of walking up to SAP at a trade show and as soon as they found out we were a mid-market company, they summarily dismissed us. Today, that just wouldn’t happen as the large tier ERP cannot ignore smaller customers.
Significant ERP advantages that the midmarket seek include improved reporting and forecasting, legal and regulatory compliance, and most importantly, improved customer relationships. Besides reduced costs, technology vendors need to focus on advancing the value they bring to the midmarket clientele and continue to align with important improvements that their software tools bring to a midmarket customer.
How does all this play together to benefit midmarket companies with ERP software? This graphic lays out the current key ERP benefits for the mid-tier firm.
Click To Enlarge
Via Salesforce
Great Post! Learned a lot about ERP Benefits
The role of ERP in the manufacturing sector has been crucial in driving process improvements and coordination between different departments. ERP software for manufacturing companies enables managers to have a real-time view of their entire operation, from raw materials to finished products. This allows for unprecedented visibility, coordination and management across the disparate processes that make up a business — ultimately resulting in greater operational efficiency. In addition, ERP systems help managers to track production costs more accurately and make better-informed decisions about pricing, product mix and investment strategies. The benefits of ERP have been particularly pronounced in the area of inventory management, where just-in-time delivery and other process improvements have helped to reduce stock levels and improve cash flow. All in all, the impact of ERP on the manufacturing sector has been extremely positive, and the benefits of ERP are likely to continue to accrue in the years to come.
Benefits Of ERP
Enhanced Business Reporting: Better reporting tools with real-time information.
Better customer service: Better access to customer information.
Improved Inventory Costs:
Boosted Cash Flow:
Cost Savings:
Better Data & Cloud Security:
Business Process Improvements:
Supply Chain Management
Thanks