Will an ERP system slow a small business down?

This is a common question, one that we hear on occasion. But, is it true?

When you work with spreadsheets and whiteboards, you are free to work as you wish. It is a valid concern that using an ERP system will force you to work in a fixed and rigid way.

Also, people complain that they have to input data before they can use the system. It is true that you will need to input data before you can use an ERP system. For example, you can't usually generate a quote without creating a part. People thinks this means that an ERP system will slow them down...

Another concern around this topic is the need for more administrative staff. We've seen many businesses that have done this. They have installed an ERP system and then found themselves needing extra admin. This is not everyone's experience of course.

So, will an ERP system slow down a small business?

In short, no.  Used in the proper manner, an ERP will speed up a small business (or any business for that matter). 

An ERP system should not stifle the way you work. Inputting data into your system at the start saves time later in the process. And, used correctly, an ERP system will reduce your admin. 

On that basis let me share two key areas that can save you time.

1. Speed up tracking production

Do you have to walk around your factory to track your production orders? If so, you will know how time consuming it can be. An ERP system can help to automate this.

It is possible to save hours per day and have better information at your fingertips. At Fraction ERP we decided to make SFDC (Shop Floor Data Collection) free with a subscription. SFDC makes production tracking come to life. It is an essential tool for any Production Manager.

2. Quick creation of BoMs

If you create parts in your system, then you can create a BoM (Bill of Materials). With an ERP system this can be a fast process, especially if you use BoM templates. Sure, you don't have to create BoMs when you use a whiteboard, but a BoM opens the door to:

  • Automating parts of the purchasing process
  • Fast creation of works orders
  • Accurate job costing
  • Simpler stock control

All the above help to reduce duplicate data entry and reduce errors. A little bit of work upfront can save a lot of time later on.

ERP systems bring with them a level of control wanted by most business owners. It is a level of control not experienced with whiteboards and spreadsheets.

A well selected and deployed ERP system should free you up to do more with your business and have an easier life!

Is Fraction ERP different to other systems?

In short, yes. There are without doubt similarities, but here are a few of the differences.

Responding directly to this article, helping a business to speed up is core to our product. We made sure that we kept it simple, so that it is easy to learn. We ensured that we have a fast web platform, so you can run your business anywhere you want. We have made the workflows flexible, so you can work in a way that suits you.

Fraction ERP can help you to speed up how your business works. If you want to find out more then check out the overview video below. If you think Fraction might be a good fit, you can then organise your free demo and 14 day free trial using the form below.

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