When the company you work for starts implementing the SAP ERP system, you need to first understand that SAP stands for System Application and Processing. The SAP application itself applies a lot of ERP (enterprise resource planning) systems with the hope that it will provide benefits, such as:
- System data integration. Thus, when the company consists of several branches located in different areas, the data that is accessed for conducting analysis in certain projects remains the same.
- Process data in real-time that can be used by superiors to evaluate whether the implemented policies have produced the expected results or are there things that need to be improved.
- Transparency of data that can be accessed periodically. Data that can be accessed by all users in manufacturing companies will provide up to date information needed to design policies related to the production, marketing, or other processes in the company.
Also read: SAP Software Prices To Meet Corporate Business Challenges
SAP ERP System Management Stages
In practice, the SAP ERP system has several stages that you must understand to make the system function better and more efficiently.
Identify the limitations of previously used systems
Along with the development of the company, make sure again whether the ERP system is able to facilitate several things, including:
- System facilities related to market developments or consumers that the company wants to target.
- Creation of data related to the possibility of company expansion through its products and business patterns.
- ERP systems do have procedures where the data can be viewed in real-time. However, as the company advances or development, there will definitely be a system weakness point that needs to be adjusted again with increasing competition and competition in product sales in the field.
- Every ERP system used needs to be reviewed to whether there is a possibility of system leakage. That way there is a system update that can be done.
Remind yourself how ERP systems actually work
Basically, an ERP system has benchmarks that will be able to present data related to financial management, the production or manufacturing process, and the availability of raw materials. If one of the three aspects of the data cannot be presented in real-time or there is data leakage, then you need to implement a new ERP system that can be used to perfect the old ERP system.
Find out what a more modern ERP system has to offer
Modern ERP that is implemented after your company updates the ERP system that was used before, will help you improve several aspects, such as:
- Increase productivity to increase the benefits that can be obtained.
- Controlling financial management or knowing the company’s cash flow
- Helping to improve the quality of services in the field or those related to customer service aspects.
- Improve HR management owned by the company with the target of increasing productivity.
- Enhancing capabilities related to operational management and periodic checks related to the current use of raw materials, semi-finished materials and finished goods ready for sale owned by manufacturing companies.
- Helping related parties to implement new policies that make the company able to compete with competitors and survive in the midst of intense business competition.
- Collaboration of data virtually accessible to those who need it.
- System standardization and simplify system usage which is facilitated by the IT division in the company.
Also read: The importance of SAP to improve Company Performance
Make a plan that will be implemented in the Company
When the existing SAP ERP system in the company has been repaired and updated, don’t forget to make further plans that will be implemented in the company in order to increase the benefits that can be obtained. To be able to increase profits, there are three steps you can try to make a plan.
- Create a wish list or a list of targets the company wants to achieve
- Preparing standard budgets
- Looking at the technology the competitors have
Choose the Right Technology Partner
One more thing that is important in implementing the latest ERP system for companies is working with experts in the field of SAP or professional SAP ERP management service providers. By choosing the right technology provider partner, your company can achieve the desired target in the right timeframe or have policies that can overcome various production problems that may arise.