Enterprise resource planning systems (ERP) offer more than a great way to manage the information from all areas of your business. They also provide you with better cash flow management.
Businesses need cash to fuel growth, development, and innovation. Better cash flow management ensures that you have the necessary cash to make sound investments into new projects. It helps your business flourish. Here’s how an enterprise resource planning system can help your business grow.
What Is Enterprise Resource Planning?
An ERP or enterprise resource planning system is business process management software. It integrates and automates many back-office functions to help you improve productivity. ERP systems such as Sage 300 and Sage 300c (cloud-based ERP) offer many advantages to your business.
Improves Cash Flow
Enterprise resource systems help you automate and integrate systems and processes throughout your company. It can automate routine tasks such as billing and invoicing, and integrate with systems such as accounting and finance to run reports on unpaid invoices, past due invoices, cash flow, and much more.
ERP systems such as Sage 300 can help you with:
- Late purchase orders: It can be frustrating when orders aren’t shipping out quickly. Customers get annoyed, and delays in shipping items may delay payment. Late purchase order reports can help you keep track of partial orders, delayed shipments, and other issues that may be keeping you from fulfilling orders promptly. You can then follow up, improving both cash flow and customer service.
- Planning reports: Purchasing and planning reports can help you plan your inventory more effectively. Businesses often have most of their capital tied up in inventory purchases, and any excess inventory merely takes up space and bogs down money that could be spent elsewhere. Purchasing and planning reports can help you decide what to restock and when to order it. It helps you plan more efficiently and effectively for the future to keep stock levels sufficient without creating overages.
- Improved workflows: Streamlining your workflow can save you time and money. ERP systems automate as well as integrate. Some processes may benefit from automation. Time can be wasted with manual tasks. This may save you considerable time, and as the old saying goes, time is money.
- Past-due invoices: Integrated systems also enable you to follow up on past due invoices easily. When you can see all of the open invoices and the day outstanding, you can prioritize around the oldest ones first. Following up on open invoices can add cash back into the cash flow and close out some past due accounts. It is easy to see these open invoices on an ERP system.
- Current cash flow: ERP systems provide you with accurate, real-time reports. These reports can help you keep a close eye on your cash flow. Many companies now struggle to understand their cash flow simply because they lack data on specific transactions, patterns, and more. With easy-to-run reports, you can quickly review your current cash flow situations. More importantly, you can get to know your cash flow and how it fluctuates on a daily, weekly, or quarterly basis. It’s the start of regaining control over your cash flow.
Sage 300: Great ERP from Sage Software
Many ERP systems can help you improve cash flows, but only one can do that and more—Sage 300. Sage 300 and Sage 300c, the cloud version of this popular Sage ERP software, can help you build a strong foundation for growth.
Sage 300 reduces time-consuming manual tasks, automates workflows, and more. Its accountability capabilities enable you to quickly and easily see and manage your cash flow, invoices, purchase orders, and more. The improved data from Sage 300 enables you to make better business decisions.
Sage 300 is available from IWI Consulting, a Sage Accpac Toronto business consulting company. We can help you improve your business’ efficiency with the right software. This includes helping you see and manage your cash flow.
For more information, please visit IWI Consulting Group or contact us today.