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ERP and Six Senses !

 Entrepreneurs  are usually found quoting, you have to secure the future of your Business by using ERP a need of an hour, but how does ERP  help ? Can ERP do any kind of a magic trick that you get to see the clear future of your business?  What it is in this enterprise software that gets the six sense to forecast your business?

Few Days ago while meeting one of the prospect  he mentioned "The basic truth in any forecast is that it's usually miss leading " and which made me think from his perspective what made him think like that  . He may be Right or he may be wrong but since he was a prospect for us, all I could do was to explain him the positive aspects  of ERP without supporting his negative arguments. So I thought to use this blog to put forward my perspective over what happened.

As I  mentioned earlier he may be right based on the past experience he might have had, but I believe with proper effort and good ERP Software one can get their business properly  analyzed for forecasting the facts and figures .

Having said all this do you think I am just trying to put rosy pictures by negating what my prospect believed or else I have some qualitative material to say so. Let me mention you some of the features which is usually overlooked or not considered while evaluating any ERP. I would like to throw some light on some of the critical factors which should be used to evaluate any ERP :

Demand Forecasting : What orders can be expect over a time period could be forecast by keeping and recording every transaction related to customers, product and so on. by keeping a proper sales funnel, you can predict which opportunity will convert into sales order and approximately when that might happen.

Manufacture Forecasting : Once you know the Demand for the Product, you can also forecast the Manufacturing unit. Also knowing what your supplier trends have been and will be help in the analysis.

Financial Forecasting : You can plan your Budget by predicting revenue and cost involve in particular Project.

HR forecasting : Human Resource forecasting helps you in planning the budgeting, scheduling and administration of workers.

Supply Chain forecasting : Supply Chain forecasting is necessary for companies that manufacture items for inventory and that are not made to order.

 Material Forecasting : Material forecasting can be done to ensure that they produce the level of material that satisfies their customers need without producing an overcapacity situation where too much inventory is produced and remains in Warehouse.

 

The above mentioned are just few points to give out the glimpse of how ERP could come to your rescue to forecast the future of your Business. I still remember during my college days we had this Subject called "ERP" and our Professor always used to say, 'through ERP you can Analyze the future of your Business' and we used to wonder how? Many Years later when I started my professional career where I  am  responsible for convincing our prospects what my professor mentioned  about ERP's , I second what he mentioned .

 

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