In this day and age, some organizations still believe that an Excel system can be utilized as an Enterprise Resource Planning software. In fact almost 60% of companies use Excel for handling and inputting crucial data into their systems. The main reason being, excel is a software we are comfortable in using. Inputting formulas, inserting rows and columns are some ways to use excel for managing and collecting data. With the new updates coming to Excel, the system can now be used on cloud to provide more accessibility, sharing updates quicker etc. but it still relies on manual data entry.
In some cases, an Excel system can work in favor for organizations but soon they would run into countless errors. An Excel system cannot protect a company from human error, lack of data integrity and security breach which could potentially put a company at risk. In order to avoid such mishaps, an ERP system comes to your rescue. An ERP aka Enterprise Resource Planning system is an integrated system that provides higher level of control on your data and its access. ERP and Excel systems were created to ease the workload of employees, but the only difference is that an ERP system far outweighs an Excel sheet.
ERP Buddies Inc. has outlined some major benefits of using a dedicated ERP software in place of an Excel system. Since an ERP system is much more modern and provides a higher functionality, it becomes obvious that an ERP system is the way to go. Take a look below to understand the inefficiencies of an Excel system in detail.
Human error is an issue dreaded by most organizations. Excel is a system which is prone to the most errors when it comes to inputting information. It’s a common fact that almost 70% of all spreadsheets across all industries contain some type of error. The underlying reason being, same type of data is often entered countless times into various spreadsheets which also leads to using up crucial man-hours.
When it comes to an ERP system, such mistakes are avoided on a huge scale. Industries using an ERP system are in-line with multiple departments so various functions are being overlooked by each other. An ERP system also acts as a single source of information which can be accessed from any location.
An ERP system is considered relatively easy to use in comparison with a Excel system. Managing an Excel document will require the personnel to be more formula and data savvy. Whereas, an ERP system can be customized in a way that its UX can be user-friendly. An ERP system also eliminates the need for manual data entry, so your organization can now focus on things that truly matter.
An Excel system requires manual data entry at every stage. Due to this, countless man hours will be used up just for inputting information into the system. As an example, if one of your employee is responsible for inputting delivery information, he/she has to manually fill out shipping information as well. Another major issue is the software itself, if your organization loses its files, or deletes them by accident. Unless your Excel is connected to the cloud, there is no way you can restore that file back again.
An excel system often run into issues if multiple people work on it simultaneously. Editing documents, correcting data becomes a hassle if everyone is working on it on the same time. On the other hand an ERP system has far better functionality which allows multiple users to operate the system, be it remotely or from the office. Information from multiple sources can be stored and viewed which eliminates the need for manual data entry.
Another benefit of an ERP system is the customization factor. As an example, an organization can customize its ERP system to automatically convert order details into invoices. With an ERP system, finding and sharing stored information among different departments also becomes easy.
An ERP system is also smart to provide real – time insights into various factors of your organization which would help Associates with better decision making.
An ERP system can be customized in a way that would highlight employee performance based on projects and their timelines. If a particular task is being ignored, an ERP system can highlight that and notify important members about it. Your ERP system can also notify you of any updates you’re concerned with. Due to this, employees can now schedule tasks, set deadlines and analyze data from one place without an issue.
An ERP system can help organizations create reports about product sales, orders and processes. If a particular product is being sold more, your ERP system can notify about lack of supply to meet the demand. This information will be displayed in form of reports as soon as the system catches the upcoming issue. Whereas on the other hand, an Excel system will still want you to upload all that data manually.
An ERP system is the modern tool every organization must use to stay top of their game. An excel system even though its reliable, wouldn’t be able to outstand high amounts of data as your company grows. Therefore as a good practise, its advised to inculcate an ERP software within your organization to steadfast your business objectives.
ERP Buddies specializes in Data Migration and ERP implementations. So if your company has tons of Excel sheets, ERP Buddies Inc. can transfer all that to the new ERP system.
Feel free to checkout our Free Assessment to understand why your organization needs to scrap the old excel spreadsheet for an ERP system. Or simply contact us, so our Expert Consultants can take a look at your business and provide recommendations for FREE!