Many companies hope that the introduction of a ERP software more transparency in the area of their key figures. However, it only becomes clearer if you follow a few steps beforehand.
ERP good ? All good. With this expectation, companies often plunge into their ERP project. Replace the software landscape with a uniform system that covers all processes in the company. This not only sounds good, but is also the right step. However, whether the expected optimisation for the company actually occurs depends on other factors. Especially in the area of evaluation, companies are often disappointed when the desired effect fails to materialise. It is always the same mistakes that stand in the way of a functioning KPI system.
First problem: Manual input
Before the introduction of an ERP system, companies work with many different systems. What works for very small and young companies in the beginning, is over time a challenge for the controlling. The individual key figures are exported from the different systems and then often manually entered into a Excel-table. In addition to the high amount of work, this procedure is also prone to errors. In addition, these evaluations are often based only on the easily ascertainable figures ? this creates gaps and the evaluated information does not correspond to the actual company reality. The management, however, makes decisions on the basis of these wrong or missing results.
Second problem: The big picture remains invisible
Due to the lack of a uniform reporting it is common for the individual departments to record and evaluate their key figures separately. However, the management's decisions then lead to equally separate, rather than overarching optimisations. The respective departments do not always pull together there, as their needs differ depending on the task. It is difficult to put the figures in context so that decisions can be made uniformly for the company and not for individual departments. Acting on the basis of these key figures in problem cases is even more difficult.
Step to the solution: Putting key figures and processes in context
To overcome these hurdles, a firm structure is needed for their reportingon the basis of which users can strategically analyse key figures. In order to organise the processes in a company with different departments accordingly, there is no way around a uniform software solution. However, this only unfolds its potential if the company a) knows its processes and procedures and b) feeds the system with the right key figures. Not all key figures are the same. If a company wants to standardise its processes, it must put the processes and key figures in relation to each other in order to arrive at a meaningful reporting structure that can then also be implemented in the system.
Map the key figure system in the ERP software
This becomes possible in an ERP solution insofar as it offers numerous possibilities for mapping the processes and can thus provide the correct and appropriate key figures at any time. In addition, the analysis tools create quick and meaningful reports that automatically put the figures into perspective. Systems like SAP Business One leave a lot of room for individuality and possibilities to create an individual dashboard on which the necessary key figures can always be called up and put into relation with the appropriate masks. In this way, users receive the necessary information quickly and easily.
The expectations placed on an ERP system when it is newly introduced can only be fulfilled if this targeted Process analyses and a concept for the reporting structure. Once this has been created and transferred to the ERP solution, it takes a large part of the work away.
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