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Why You Need to Invest in a Business Management System in FY18

What Not to do When Choosing an ERP | Horizon Business Systems

The start of a new financial year is a great time for you to reflect on the past year, and look over what went well and what could have gone better. Every business owner should take the time to map out what they are going to do in the next 12 months to further grow their business. This, of course, is a much easier process if you have a well-designed business management system (BMS). With the right tools, you should be able to benchmark your performance, access critical information, and ultimately make better business decisions.

Are you wasting valuable time trying to track down data about your business? A good BMS will allow you to take key data and turn this into actionable insights – giving you the freedom to focus on your business. You should be able to see at a glance, sales, stock, accounts receivable, work in progress and other key performance indicators. You can also prepare customised dashboards for staff in various departments to keep them accountable and on track.

Tailored for Your Business

Every business is different, so you need a BMS which can be customised to suit your unique requirements. You should have the ability to view all the relative information that is important to your business in real time. This includes the ability to gather reports and information at ease to help your teams forecast accurately and lead to better informed decisions in the future.

Flexibility

Your BMS needs to be flexible. As your business grows and develops, you should have the ablility to customise your system to suit. This could include adding new reporting tools to track new product lines or developing new dashboards to get greater visability in new market areas.

Accountability

Vital business data is often locked away in different divisions and the information may not flow through to the people who need it. A good BMS helps you leverage your database resources, giving access to those who require it to perform in their role. It will also help you standardise your business processes ensuring business rules are adhered to.

Actionable Insight

Don’t spend your time trying to track down information when your focus should be on your business! You need a single vision of truth, with the ability to oversee every aspect of your operation, including CRM, Payroll, Sales, Stock and more. This will give you a more accurate and detailed holistic view of your business so you can make decisions on what is working and what is not. More accurate reporting and insights lead to better quality decisions.

Grow The Bottom Line

That’s what we are all here to do – grow! With better organisation of information and a timely and accurate understanding of what is happening in your business, you are going to make decisions that result in both savings and growth. Most small to medium-sized businesses can implement a BMS solution at a cost that is not only affordable, but also justifiable. There are solutions on the market and there are plenty of specialist firms who can help you implement a comprehensive system to suit your requirements.

If you’re serious about organising your business and preparing for a big FY18, you need to consider MYOB EXO Business and MYOB Advanced. These market leading proven systems are customisable, and will help give you the insights you need, to make smarter business decisions.

As a MYOB Advanced and MYOB EXO Platinum Partner, Horizon Business Systems is highly accredited ERP solution specialist and provide ongoing support to help your business achieve growth, stability and success. To find out more information about how MYOB EXO and MYOB Advanced can work in your business, speak to one of our staff today.

What Not to do When Choosing an ERP

What NOT to do, When Choosing an ERP

So, you’ve finally made the decision to switch to a smarter system for your corporate needs. Maybe the business has outgrown what’s currently in place, or you’ve simply decided enough is enough and change is in order. Whichever the reason, every business needs a solid and streamlined structure to improve business processes (and ultimately reduce the stress and hair pulling). And a reliable Enterprise Resource Planning software is the best place to start.

If it’s taking longer to reconcile finances and tedious paperwork at the end of the month, you’re lacking access to real-time information or small inefficiencies are adding up, then it’s time to make a change. Workplace dynamics are constantly evolving, and you need something that will grow with your business in an easy, capable and practical way.

For many business owners though, making the switch can be a headache within itself. ERP systems are huge investments of time, resources and money – thus, it pays to get it right. To help ensure your ERP implementation is going to benefit your business, minimise potential problems and drive success, it’s vital you know what to look out for. Here are a few mistakes to avoid when choosing an ERP system:

Over-Investing Too Soon

It’s a big pitfall. You get excited and distracted by all the glitzy features and ‘must haves’. You throw as many funds into it as you can to get everything you think you need. Unfortunately, this mentality almost always fails. Avoid getting too big for your boots and be smart about what your business needs. It’s much more effective to choose scalability over capability. Finding a system that grows as you do is key to ERP success. Keep in line with your business objectives and ask yourself what is essential.

Not Thinking Long Term

Short-sighted thinking and ERP systems don’t work together. Some of the biggest benefits of making the switch are increased performance and return on investment in the long run. Businesses can achieve increased profitability when using an ERP software that fits with their needs, but you need to give it time to reap the full rewards. Whilst there will be an increase in performance on a day-to-day basis, the big benefits from the initial investment are compensated in the long run. Consider where your business will be in a year to five years ahead and make sure the ERP software you choose can nurture accordingly.

Ignoring Stakeholders

Before investing in anything, it’s important to discuss the options with stakeholders. This is a must-have conversation that will help drive the success of the new system. You want to make sure key players can utilise the ERP in the best way for business. Talk to those who will be using the software to weigh up what features are important, whether or not they can easily use it and what will work for them. Allow all stakeholders to offer their thoughts on the decision before you commit to buying. Happy and satisfied staff is essential for business productivity an employment satisfaction! Communicate early and frequently throughout the implementation to ensure the new system accommodates the overall strategy of the business.

Not Understanding or Using Key Features

There is no use having key features if relevant staff don’t understand how to use them, or they’re not being utilised. Not only is it a waste of money and resources, but it won’t give your business the best benefits from the software. To implement ERP solutions, you need to do your research into the features and capabilities. Some of the most important are financial management, CRM, human resources management, supply chain management and third-party interoperability.

Without knowing which features are in the ERP system, opportunities to take full advantage of the software are missed. Business processes cannot be automated if key features aren’t being understood or utilised, as with the ability to complete functions faster and meet business objectives. To combat this, initial research is paramount. Once the ERP system is in place, track usage of the features and review periodically to determine which ones are most helpful and being taken advantage of.

Skimping on Training

It goes without saying then, that skimping on training is a danger to avoid. Induction and support is the best way for your business to make the most of the investment. Without it, human errors are all too common and bad habits and processes can eventuate. Allow staff enough time to get their head wrapped around the new system. Training and support will help everyone get comfortable with the ERP software before it goes live and learn how to best take advantage of everything it has to offer.  The more training you invest in, the better chance at ERP success you’ll have.

Not Choosing the Right ERP Software Vendor

Choose a ERP software vendor that knows your business and understands (and listens) to your needs. This can be all the difference between a implementation that’s effective, to one that that falls short on satisfying your business goals. The right vendor should be in sync with your industry and where its future is heading. You want to work with someone who is knowledgeable about industry growth and standards, and is accustomed with related processes to fuel them. Ask your chosen software vendor how they can customise the solution to fit these requirements and adapt with your corporation.

Compare quotes and use good business judgement to find an ERP system that works within your budget. Cost, availability, features and quality of support are all essential factors to take into consideration. Functionality and ease-of-use is also critical. By avoiding the biggest pitfalls and doing your research, you’ll be able to find a business process that is right for you. For more information about how Horizon Business Systems can help with your ERP implementation, speak to one of our staff today.

Intro Guide to Business Benchmarking to Help Your Business Grow

 

 

business benchmarking, ERP

Intro Guide to Business Benchmarking to help your business grow:

Benchmarking is a vital part of any successful business. No doubt you’ve questioned many times how well your company is performing compared to your competitors? But without a way of tracking the business’ performance, it’s nearly impossible to maintain its success and profitability. Your business is a valuable investment – and without a way to measure the way it functions; sales revenues can decrease and your internal costs will significantly rise. Here’s what you need to know about business benchmarking and how it can help your business grow:

Getting Your Head Around Business Benchmarking

Business benchmarking offers detailed insights into where improvements can be made within your company to increase profits. While you may do your usual month-to-month financial reporting, business benchmarking goes more in-depth. It provides you with a means to compare your business to competitors in the industry and offers an effective way to see exactly how you’re performing and lift your potential.

This tool is ideal for small to medium businesses predominately, but something every company can – and should – benefit from. To evaluate opportunities for improvement, you need access to all the information. From here, a plan can be developed to help achieve your business goals and push the company ahead of its competitors.

How Business Benchmarking Boosts Your Business

Through detailed insights customer’s needs are identified, the company’s strengths and weaknesses are highlighted and performance expectations can be prioritised for specific areas of opportunity. This boosts your business by encouraging and meeting set goals and allows you to understand your competitors better. Without this knowledge, how can you become more competitive and effectively manage change?

The Vital Correlation Between Business Benchmarking and ERP

Business benchmarking and Enterprise Resource Planning (ERP) work together to collect the information and help report your growth data. Benchmarking is paramount to understanding your industry and customer’s needs to create niche goals for your industry. These strategies become better established through the adoption of systems like ERP, which allow you to utilise process management software to manage the business and automate data relating to human resources, technology and services.

Without a process management software like ERP, effective management to boost your business’ performance is hard. Business benchmarking involves a variety of tools, software applications and indexes to collect relevant data and provide reports to give you the information you need to work with to grow.

6 Essentials to Implement

To benchmark your business through ERP, you need access to these detailed reports. But exactly what information should you be looking at?

  1. What You’re Benchmarking: Be specific! Client satisfaction is the most common driver for small businesses. Review your business goals and focus on something special and targeted for your niche.
  2. Your Competitors: Who are you benchmarking against? Define your competitors and work out what they’re doing differently to you that’s working for them. Consider both current and future competitors and how they’re operating within your industry.
  3. Review Objectives and Trends: What strategies are your competitors using that give them a competitive edge? Leverage benchmarking tools and the date compiled from ERP to put together a competitive analysis, see what direction your industry is heading in and how to keep your business aligned with the latest trends and customer needs.
  4. Look at the Efficiency of Your Business: Benchmarking and ERP will give you a good indication of how streamlined your processes are. Review whether they’re bringing in new leads and converting to sales and what gaps there are here. Make sure your business is moving forward with the latest trends rather than being stuck in old habits and getting left behind.
  5. Expenses and Sales: Benchmarking helps to determine whether you’re spending too much on rent, inventory costs and employee income. By using tools like ERP to collect data, you’ll be able to make some cut backs.
  6. Develop an Actionable Plan: Benchmarking and ERP are useless if you don’t devise a plan to put the work into action! Use your research and data to create a tactical plan for your objectives. Define actionable, realistic steps with timeframes and specific tasks to make it happen. Track the progress of each goal on a weekly basis to ensure you’re meeting set milestones.

Benchmarking is the ultimate way to understand where your business can make improvements. Once the above essentials have been implemented, it’s important to continuously monitor the results. Through this, you’ll gain a better understanding of your business, competitors and the industry. Business benchmarking and software management tools like ERP will ensure your finger is on the pulse when it comes to industry trends and internal and external data.

For more information about how Horizon Business can offer tools for your benchmarking, contact us today.

Make Better Business Decisions with Business Process Management Software

Make better decisions with business process management software

As a business owner or manager, you are often faced with making important decisions under time and budget pressures.  This can be made even more difficult – and the consequences far more dire – if you do not have access to accurate and timely information to help guide your judgements.

However, as your business grows, you may face anxiety from ‘guesstimating’ in decision-making if a big picture view of crucial factors that can impact your organisation’s performance is not readily available.

It comes as no surprise that better insights lead to better business decisions. The challenge can be in finding a flexible, fully integrated system that can deliver critical information when you need it.

MYOB EXO software can help take your decision making and business process management to the next level.

MYOB EXO Business Software offers a highly customisable ERP that is customisable, responsive and can integrate with industry specific tools.    As a proven management tool for medium to large enterprise, MYOB EXO has been successfully deployed across a wide range of industries – from manufacturing and retail to mining and a range of service based industries.

MYOB has long been a world leader in assisting business with enterprise resource planning activities such as:

  • Production planning
  • Job costing
  • Manufacturing and service delivery
  • Sales and marketing (Point of Sale and Customer Relationship Management)
  • Materials management
  • Inventory management
  • Finance and payroll
  • Shipping
  • And more

Use of business process management software can mitigate substantial risk in planning and decision making. Once you have an efficient system in place, you are better placed to focus on making the most of your business opportunities and in implementing data-backed decisions that impact your bottom line.

Why You Need Business Process Management Software

Whether your business is experiencing rapid growth or running disparate systems that run the risk of double-handling, MYOB EXO can help you make better business decisions and give you greater control over your operations.

Here are three reasons to consider implementing MYOB EXO business suite:

  • You want to standardise your business processes, reporting and data capture procedures. MYOB EXO enables you to implement uniform procedures across your organisation and ensure that business rules are followed.
  • Vital business data is often locked away in ‘silos’ and inaccessible to the people who need it. MYOB EXO helps you leverage your database resources to the maximum extent possible giving those that need information access to it instantly.
  •  The cost of doing business is becoming more expensive and you need to boost productivity whilst keeping a lid on costs. MYOB EXO can help your team to work faster and more effectively.

 Make Better Business Decisions

Horizon Business Systems have been helping businesses make better decisions and manage business performance with MYOB enterprise solutions for over a decade. Contact us today to find out how we can help your business achieve.

An Intro Guide to Job Costing

Job costing is a crucial aspect of your business. It’s vital to set the right prices for your products and services to ensure that your business makes a profit. Although the process may seem simple enough on the surface, it can be tricky and time-consuming to do well. Here’s what you need to know to get job costing right for your business:

How Job Costing Works

The basic principle behind job costing is to determine all of the necessary components of a particular job and how much each of those components costs. These can include parts and materials, shipping and transportation, worker wages, and even overheads to name just a few. The specific components you will use in your job costing calculations will depend on the products or services your company offers and what is necessary to produce them.

Using your integrated business management software (like MYOB Exo) is a key component in getting a handle on the costs involved in each job. Your accounting software will give you a breakdown of your daily overhead costs and your parts invoices, your payroll function will give you an idea of the wage costs, and even your time entry system can give you a better idea whether staff are over-servicing on certain jobs or product production so you can adjust your costs accordingly.

Once you have a general sense of how much each component costs, you can calculate how much the job will cost as a whole. By combining all of the included costs into one figure, you can determine an appropriate price for your products and services to generate income for your business. A job costing module that integrates with all of these modules can pull in the necessary elements and do the calculations for you.

Why Accurate Job Costing Is Important

If you are unaware of the actual costs of producing your company’s goods and services, you run the risk of undervaluing them, thus hindering your business’s ability to turn a profit. If you go too far in the other direction and overprice your offerings, your customers may leave for your competitors who offer fairer prices in relation to the value of the work.

Particularly if you are in a service-related business, you may offer your clients price quotes before you begin the work, so you’ll want your quotes to be as accurate as possible. If you quote too high, you could lose the job to another service provider with lower rates. On the other hand, if your quote is too low, you run the risk of upsetting your customers when the project goes over budget. Job costing will help you find the balance between the two, giving you the most accurate estimates possible.

Future Benefits for Your Business

Aside from benefiting your customers with fair pricing, job costing also has a host of benefits for your business itself. Your preliminary job cost estimates will give you a benchmark against which to compare your actual costs. For example, you may notice that it took your team longer to complete a job than you had originally anticipated, resulting in higher wage costs for the job. This could alert you to potential productivity issues among your team or could be a sign that you are underestimating the amount of work involved. Either way, you’ll be able to adjust your prices accordingly.

Frequent monitoring of your costs will enable your business to stay on top of changes in the marketplace with regards to the price of materials. Even small changes could have major impacts on your costs. If left unchecked for long periods of time, these rising costs could eventually put your company out of business if your prices do not rise accordingly.

Business Management Software Makes It Easy

Calculating job costs by hand is time-consuming and increases the risk of error. It is also extremely difficult to track trends and changes over time. With business management software, like the EXO Job Costing Module from Horizon Business Systems, you’ll have all the data you need right at your fingertips. You’ll be able to print out detailed estimates for your clients, showing all of the information they need to make an educated decision about employing your services. Finally, staying on top of your job costing gives your business the greatest chance of succeeding financially through careful monitoring and adaptation.

To find out how our business management software can give you the power to create more accurate jobs costings, just get in touch with our team today!