Global ERP Software Market to Garner $78.41 Billion by 2026 at 10.2% CAGR – Allied Market Research, 2020According to the report published by Allied Market Research, the global ERP software market accounted for $35.81 billion in 2018 and is anticipated to reach $78.41 billion by 2026, growing at a CAGR of 10.2% during this duration.Without an efficient enterprise resource planning system in place, not only will the business leaders find themselves pulled into multiple directions, all at the same time, but the business may eventually prove ineffective and fail.SAP Business One is specifically designed to cater to the business needs of Small Medium Businesses. It looks after multiple business functions ranging from Inventory to Production and Finance. Digital transformation and a fast-moving economy in the changing times demand a dynamic ERP system like SAP Business One, which can be tailor-made specific to your unique business needs.In this article, we attempt to explain how different modules in an ERP like SAP Business One can help grow your Small and Medium Business using day-to-day scenarios. But before we take that plunge, let’s have a quick overview on what SAP B1 offers:SAP Business One has proven to be an ideal and the best match for all the SMBs out there. Here are the key modules of SAP Business One making it a leading choice for SMEs.
SAP B1 Modules
SAP Business One has 13 modules; however, these are the most popular choices of modules used by small and medium businesses.
Accounts and Financials
Production and Material Requirement Planning
Purchasing and Operations
Inventory and Distribution
Management and Administration
Project and Resource Management
Business Intelligence
The Key Benefits for SAP Business One
Comprehensive and Scalable solution
Industry-specific solution
Quick and easy implementation
Designed to be affordable
Modular and flexible business solution
For more information on SAP Business One, you can read this article: Affordable ERP for SMEs: SAP Business One.Here are the top 5 ways that an ERP like SAP Business One can contribute to your long-term business growth.
1. Improvement in Overall Employee Productivity
What an ERP Can do
Navigating complex business processes can often prove to be a big challenge for employees. Manual adherence to each process can be time-consuming hampering the overall productivity and morale. ERP systems play a huge role in automating complex business processes providing accurate, real-time information to all the employees across departments.
Additional Value SAP Business One adds
SAP Business One solution intelligently routes the system workflow tasks to individual employees across departments to gather valuable decisions and response feedback.For instance, consider the purchasing department of a manufacturing unit producing screws and bolts. In case, a premium purchase order from a client comes across, it requires multiple approvals from different authorities before getting finalized for production.However, this entire mechanism needs to be seamless and each approving authority has to be timely notified. The same approvals also need to reflect automatically in the account data. On surface, this appears a time consuming process which can often cause unnecessary time lags and delays affecting the end customer’s will to place an order with your business.In such a case, using the Purchasing Module of SAP Business One, you can approve multi-level purchase orders where users in different roles can easily and securely submit, review and update purchase requests.In addition, you can also incorporate varying approval processing steps and rules. Now, you can easily update account data, minimizing administration waste and enhancing stakeholder relationships. It’s a Win-Win for everyone involved reducing communication gaps and maximizing efficiency.
2. Increased supply-chain visibility
How ERP improves the supply-chain visibility
Supply-chain visibility is a necessary function for all the SMBs. Deploy an ERP system in your business and interpret supply-chain numbers leading to increase in purchase and inventory control maximizing expenditures. Get better insights of the supply chain operations and make informed business decisions and establish the parameters
Additional Value SAP Business One adds
Let’s understand this by taking an example of an SMB bedsheet manufacturer.As a bedsheet manufacturing company, you require communication with machinery & equipment suppliers and raw material suppliers like tie & dye suppliers to get the finished goods in the market as and how needed. Coordinating with all the suppliers and establishing communication can prove to be a major hindrance creating lots of communication gaps across the organization.In this case, using SAP Business One which is a real-time planning software that connects all the employees across locations integrating sales & operations planning, demand and supply planning and inventory optimization.SAP Business One can help you manage the bedsheet production without any hassles thanks to the Production module that simplifies the production process to create and maintain Bill of Materials (BOM), Production orders ranging from standard, special and disassembly.You can record all the produced items in item master data making the production process sleek and smooth.
3. Capture real-time Data and Make Informed Business Decisions
How ERP improves decision making through data
For a growing SME, access to real-time business data is must as the employees who work-on-the-go can leverage the data as and when needed. Store and update all the important information from multiple databases to one central location by integrating it with ERP. ERP software like SAP Business One, is scalable in nature so as-and-how the business expands the software is equipped to support that growth.
Additional Value SAP Business One adds
For Instance, in the Food & Beverage producing Industry reporting and analytics is a crucial factor to assess the performance of their sales force working on the field. Closing sales, attending meetings and in return reporting or seeking approvals from the senior manager or authority at the end of the day is a part of their everyday job role. Reporting and analytics give key business insights to form lasting customer relationships.Create strategies with decreased risk and guide your decision-making with SAP Business One analytics & reporting module and create fully-integrated SAP crystal reports addressing customer needs faster, track employee revenues and cash flow to assess employee performance and take corrective action.SAP Business One lets you connect such key data with field action, understand consumer behavior, and anticipate future business events while forming valuable consumer relationships. Leverage data to improve the bottom-line of your business with comprehensive SAP Business One solution designed for SMEs.
4. Optimization of Business Costs
How ERP optimizes business costs and operational expenditure
One of the biggest benefits of an ERP software is that it cuts down business costs without cutting corners. Increase operational visibility, make quicker and more informed business decisions. Decreased business costs equate higher profits leading to increase in cost-saving business opportunities.
Additional Value SAP Business One adds
As a growing Pharmaceutical company, you need to optimize business costs keeping in mind not to cut down corners to ensure quality in production, storage and delivery. In cases like this, unnecessary increase in operational and administrative costs can eat away profit margins adversely affecting the bottom-line of the business.SAP Business One Administration module contains user administration and system settings through which you can reap high ROI on your SAP B1 investment. It efficiently increases business process accuracy and automation optimizing operational and administrative costs.
5. Improved Customer Retention
How ERP Improves Customer Retention
Retaining customers and managing customer relationships is very crucial in this business to increase profits and survive in the highly competitive constantly evolving market in the emerging era of digital transformation.ERP Software make it easier for all the business to provide high-quality customer services. Through ERP software, customer service representatives have quick & easy access to customer information and they are able to provide assistance much quicker. Provide appropriate discounts and prioritize VIP customers.
Additional Value SAP Business One adds
For Instance, in a Namkeen manufacturing company, the end product is directly consumed by the end-customers acting as the deciding force whether the business will survive in the long run or not. The CRM module in SAP Business One comes to rescue for such scenarios.Managing the Master Data for sales leads and existing customers using the CRM module in SAP Business One is a breeze. Businesses like Namkeen manufacturers in India can create and maintain lead and customer data in user friendly screens. This gives them greater control over their customer relations.Those with authorized access can access the name, address, phone and fax numbers, email addresses and points-of-contact for such specific leads. Moreover, vital payment data like terms and conditions, discounts applied or whether a scheme was applied can also be stored and retrieved whenever needed.SAP Business One CRM (customer relationship management) focuses on customer retention and analyze customer history with the business to help improve the relationship between the two.SAP B1 has proven to be an effective catalyst for business growth which will unleash the true potential of your business with greater operational visibility.Ready to fuel your business growth with digital transformation using SAP Business One?Get in touch with expert SAP Business One consultants and advisors at VC ERP Consulting for a free consultation. Call +91 79 48998911 or + 91 99789 60138 (India), Whatsapp +254 111229970 (Kenya), +1 469 915 6026 (North America) or drop an email at sayhello@vc-erp.comRead Also8 Reasons why SAP Business One is the right solution for SMEs10 ways to Select the Best Partner for your SAP Business One Implementation
