Many small businesses start with basic accounting systems that handle day-to-day bookkeeping, but as operations expand, they struggle to keep pace. Finance teams can often find themselves relying on manual workarounds with limited reporting options, constantly reacting to problems rather than planning ahead.

Enterprise resource planning (ERP) systems are designed to change that. By integrating finance, inventory, sales and customer management into a single platform, they streamline processes, provide real-time visibility and free teams to focus on strategic growth.

According to Lisa Nicks, general manager sales at Fusion5, the decision to move to an ERP system is often triggered by one of four tipping points:

• Outgrowing current capabilities
• Increasing operational complexity
• Improving manual and inefficient processes 
• Modernising operations to move from legacy, on-premises infrastructure to the cloud, with the overall view to improve cost of operations

“The fundamental benefit of an ERP solution is the interoperability, which drives efficiency,” she says.

Choose the right system

While the benefits of ERP might seem clear, selecting the right system is far from straightforward. Businesses face a range of options, from on-premises solutions to cloud-based platforms, each with different capabilities and costs. “Businesses often underestimate the importance of expert guidance in this process,” Nicks says. 

As an implementation partner, Fusion5 delivers tailored ERP solutions that configure out-of-the-box software requirements, she explains.

“The goal is to select a system that supports growth for about 10 years, so you should be able to grow from a $50 million company to a $100 million company without having to upgrade or change the system,” she says.

Managing implementation

The implementation process involves tailoring and configuring ERP software to match the client’s specific business processes, says Nicks. “First, we need to understand their current needs – the software required to run their business, the key functions and the features necessary to support operations today. But, at the same time, it’s important to understand where they want to scale in the future, and how their revenue and business growth will evolve.”

Rolling out a fully implemented, mid-market ERP system varies in length depending on complexity. A simple financials-only project typically takes about three months, while adding inventory management can extend this from three to five months.

Manufacturing implementations usually span six to eight months and complex rollouts – covering multiple branches, countries or entities – can take 10 to 12 months.

“While core functions like general ledger, AR, AP and fixed assets are fairly standard, companies differ in their structures, segments and cost models.”

Importantly, the implementation process does not end when the system is up and running, it transitions into ongoing support and continuous improvement.

“The project doesn’t end at go-live,” says Nicks. “We support clients throughout to make sure they fully leverage their cloud investment and get the most from every feature.”

Find the right software solution

There are many solutions to choose from and, with many features to consider, it makes sense to call on an expert for advice. Fusion5 is a CA ANZ Member Benefits Partner.

Australia: to find out more, click here.

New Zealand: to find out more, click here.