An archaic business system (or systems) is the elephant in the room you’re not talking about.
It’s a big project that’s obvious to some departments (C-suite, Finance team, etc) and not so obvious to some departments (C-suite, Finance team, etc…).
It can be an uncomfortable topic to discuss as it can either highlight glaring issues and inefficiencies or conversely, important processes and more modern ways of working that have been overlooked.
Psychologically speaking, it can be easy to fall into the trap of “we’ve always done it this way”, but realistically no business worth its salt will stand the test of time with that mentality.
Fear not, we’re here to help you rip off that band-aid and set you on a more efficient course of doing business.
Firstly, let’s acknowledge the elephant in the room
If your organisation is experiencing any of the following tell-tale signs of an archaic system, then it’s time to begin the process of removing the elephant:
1. Manual tasks
Problem: If your team performs manual tasks, such as entering data into spreadsheets or dealing with time-consuming processes, then your system is archaic.
Solution: The first step should be automating these manual processes. Organisational structures and business processes that were once unwieldy and labour-intensive can now be streamlined with advanced tools.
This will allow your organisation to increase productivity and accurately record information with minimal human error. This doesn’t mean replacing people with machines, but it does allow those people to spend more time on value added tasks and providing more data insights.
Read these: How Automated Workflows Help Organisational Processes and 24 Things To Spend Your Time On Once You’ve Automated Your Accounting And Finance Processes and What Are The Hidden Costs Of Spreadsheets And How Can You Avoid Them?
2. Still using paper
Problem: If you are still using physical forms or printed documents to manage customer accounts, send invoices, process receipts, record data on assets, and so on, you have an elephant in the room.
Solution: Many organisations are turning away from paper-based systems because they are slow, cumbersome and prone to human error. They also require extra time and expense.
Replacing paper-based systems with a modern FMS (Financial Management System) or ERP (Enterprise Resource Planning) software, however, can improve team efficiency while dramatically reducing the risk of errors. This reduces your operational costs and boosts productivity!
Read this: 5 Ways Paperless Business Solutions Are Transforming Business Processes
3. Manual data entry and systems that don’t integrate
Problem: If you are using multiple systems to manage your data and operations, or if your company’s financial or business management solution cannot communicate with other systems, then your operation is not only archaic but inefficient. Manual data entry and a lack of integration can lead to unnecessary manual processes and unreliable reporting – it’s a common problem we see that drains time.
Solution: The best way to avoid these problems is by choosing an integrated FMS (Financial Management System) or ERP (Enterprise Resource Planning) system that can connect different parts of the organisation while also sharing data between them.
Read these: How An Integrated ERP System Can Benefit Your Business and Finance System Health Check: Is Your Current Accounting System Performing At Its Best?
4. Slow invoice approval
Problem: If your invoices are taking days to be approved, or if they are being sent back for corrections requiring an additional round of approvals, then you have a problem with your current system.
Solution: With the right software, invoice approval can be streamlined by automating the approval process. This can be done by using a workflow that not only removes the need for manual approvals but also ensures compliance with your company’s internal controls.
Read these: Spend Less Time Chasing Purchase Invoice Approvals and Could Your Invoice Approval Be More Efficient?
5. The organisation has outgrown the software
Problem:
- Lack of multi-company and multi-currency functionality
- Struggling to add or manage more than a few departments or operations
- The finance department is constantly getting bogged down with requests
- You are using multiple different systems and modules, but nothing integrates properly
- You are experiencing extensive downtime during critical business hours
- Departments in your organisation are working in silos, leading to issues
- Your business software is keeping you so busy due to their shortcomings, that you’re too busy to find ways to save time
Then you’ve outgrown your software!
Solution: To keep up with your growing business, it’s a good idea to implement a modern FMS (Financial Management System) or ERP (Enterprise Resource Planning) system that is scalable.
This will provide improved functionality that can allow you to manage your company more efficiently and streamline operations. It will also make it easier for your company to integrate its multiple departments, improve operational productivity and increase profitability. The icing on the cake is that your organisations data will no longer be siloed, which leads to a more holistic view of performance and operations.
Watch: What is NetSuite? Read: 5 Warning Signs That Show You Have Outgrown Your Financial Management Software
Conclusion: Time for a change
With cloud-based FMS and ERP systems, you can free up your staff to focus on value-added tasks, streamline processes, reduce operational costs and drive more meaningful insights, among other cloud ERP benefits.
You’ll also be able to gain more control over your important data and processes, increase productivity and boost profitability all from a unified system that works across all departments.
Moving to a new FMS/ERP will help you automate manual tasks, replace paper-based operations, integrate systems, and slash your invoicing approval time. It’ll also help you keep up with changes in your business, provide updated features and technologically advanced capabilities and offer the ability to communicate information faster than ever before.
Ready to get rid of the elephant in the room?
Book a free requirements call with one of our experts to see the opportunities open to you. We can also provide a detailed business case template to help you kick off the project.
Still putting off the idea of a new FMS or ERP? Don’t fall foul of these excuses.
About FMS and ERP
Though “Financial Management System” (FMS) and “Enterprise Resource Planning” (ERP) are often confused with one another, there are key differences between the two.
While FMS is the software used by organisations primarily to manage financials and account for a specific set of transactional operations such as income, expenses, and assets, ERP software allows organisations to manage the day-to-day operations of the entire business from multiple angles including human resources, sales and marketing, financial management, customer relationship management, and more.
There are a variety of reasons that organisations choose to implement FMS or ERP software – we’ve covered some of these reasons here.
The sooner your organisation acknowledges the elephant, the sooner you’ll be able to get rid of it and start reaping the benefits of a modern FMS or ERP system such as Infor SunSystems or Oracle NetSuite respectively.