Let's discuss enterprise software and why it should be important to a family business looking to insure that the business can successfully transition from one generation to the next.
Simply put, an organized, well run business following a consistent set of business rules is easier to hand off to the next generation. Business management software is an integrated systemic approach to managing all the data about a business, its finances, sales, inventory, etc.; resulting in an operational culture that shares information, eliminates silos and promotes best practices across the organization. The successful implementation of a first rate enterprise system, one that allows for the flexibility of your unique business, can be that key ingredient to a successful transition of a family business from one generation to the next.
First, what exactly is enterprise software, also known as ERP (Enterprise Resource Planning)? Basically it is an integrated business management system that connects users and information, enhances communication, identifies bottlenecks and standardizes business practices. A good ERP system, properly implemented, can bring about massive improvements to operational efficiency, shine a bright light on hidden organizational costs, and strengthen relationships with customers and suppliers. All of that translates into real growth - often exponential growth - even in a challenging economic climate.There are many different forms and types of ERP, but for purposes of this discussion it is those solutions that include functionality for accounting, sales, purchasing, inventory, supply chain management, production planning and CRM. Additionally, the system should utilizes an accessible relational database and custom report writer.
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