Three Ways Cloud ERP Results in Cost Savings

Small and mid-sized businesses look for every advantage in order to grow. One such advantage may be found in cloud ERP. Cloud ERP provides numerous benefits, including cost savings.

Cloud ERP If you are considering cloud ERP, watch our recorded webinar, 10 Tips for Smarter ERP Selection. It is filled with information to help you make the right choice of ERP systems for your needs.

3 Cost Savings From Cloud ERP

Cloud ERP offers a flexible, affordable, and adaptable system for any size company. Acumatica, one of the most popular cloud ERP systems for small to mid-sized businesses, offers numerous third-party extensions to enhance the basic accounting and financial package. Warehouse management, job costing, barcode scanning, tax management, and document management are all additional applications that can be added to the basic ERP to create a system that meets all your needs.

There are many ways in which cloud ERP enhances the ability of a business to save money. Here are our top three choices.

  1. Savings on personnel and hardware

Businesses moving their enterprise resource planning software from on-site to cloud find many cost savings. First, they save considerably on the cost of hardware. Because cloud ERP runs on any internet-connected device, there is no need to install costly network servers to store the ERP data or run the programs.

Companies can also save on the cost of personnel required to maintain ERP systems. Cloud hosting providers maintain their own systems, providing updates and other services behind the scenes. Companies no longer need to maintain specific personnel just to maintain their ERP system.

  1. Saving time

If you have heard the old adage time is money, then you understand how saving time translates into saving money. With cloud ERP, everything can be digitally stored and transmitted. This means paperwork can move from the file cabinet to the computer. Scanned documents input invoices into the ERP system. Payments can be automated and paid through ERP systems. Invoicing, job costing, and more can all be handled through the ERP. Processes become streamlined and automated, which saves considerable time, and yes, money by improving overall company efficiency.

  1. Better inventory management

Lastly, cloud ERP offers improved inventory management capabilities. For many companies, their inventory is their biggest asset. It makes sense to manage a great asset carefully. Yet inventory management often falls to the wayside, an afterthought rather than an important and primary function of management.

With cloud ERP, barcode scanners can be added to handheld devices such as smartphones and tablets. This transforms them into portable scanners that are as easy to use as taking a digital picture. Such scanners make it much faster and easier to train warehouse personnel to conduct stock counts. Items can be scanned from receiving into inventory quickly, resulting in less merchandise sitting on the loading dock waiting to be added to inventory. Orders can also be processed and shipped quickly.

Cloud ERP sends data in real-time through the internet to the ERP system. Warehouse inventory data changes rapidly throughout the business day. Without cloud-based systems, companies may find themselves low on high-demand items and unable to ship orders by the promised delivery data. Cloud ERP ensures all data is up to date, and that stock counts provided by sales, customer services, and web interfaces are accurate. This results in shorter order to delivery time and improved customer satisfaction.

See the Cost Savings for Yourself With the Acumatica ROI Calculator

ERP ROI CalculatorThe Acumatica ROI calculator can walk you through the steps you need to take to determine the true cost of adding cloud ERP to your business. Read this article and use the calculator to estimate the true ROI of cloud ERP.

By Mindover Software - Acumatica Gold Certified Partner

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