Do You Have Moxie?

Do You Have Moxie? John Baldoni, Leadership Now Grit, guts, and fortitude are all synonyms of the word “moxie,” which author John Baldoni describes in his new book, Moxie: The Secret to Bold and Gutsy Leadership as a key quality for business leadership.  Leaders with moxie have been proven to lead people during tough circumstances, and they possess several important attributes including, fire, drive, resilience, and street smarts.  Learn five characteristics that you can practice and develop and incorporate into your life and your business read more

VAI Provides Sync-ed Marketing and CRM

The contact database in S2K Marketing Cloud Powered by ActiveCampaign and S2K Sales Force CRM are always in sync, so marketing can pass leads to sales and sales can pass customer information to marketing, without any manual entry.

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An all inclusive, integrated database is a key ingredient to successful and competitive business operations.

Retail Software – Achieving Effective Integration

New technology available today allows Enterprise Resource Management (ERP) solution providers to more economically provide integrated solutions that actually drive efficiency.  There is only so much overhead costs that can be cut.  Product, personnel and overhead cost inevitably increase over time.  Add business growth to the overhead increase and you end up needing a solution that can grow with your needs.

Companies are typically growing or shrinking and those cycles alternate.  Long term we hope the trend is upward.  If so, then that company will need a solution that meets their current demand and will provide the tools and resources to match and facilitate growth.

Some key features of a capable solution would (should) include:

• Automatically calculate restocking orders.  Regardless of how your products are ordered, you solution needs to track inventory movement and balance reorder availability and timelines to ensure you have enough stock to meet future demands and not too much that your overhead and handling costs increase.
• Timely reporting on sales.  Up to the minute, real-time reporting is a necessity for management to make informed decisions.
• Speed up customer check-out.  No one likes waiting in lines and they expect the prices to ring correctly.
• Integrated credit card processing.  Not only do retailers need to process credit cards, but they need to do so quickly, accurately, and safely.  Key benefits are when the credit card processing is fully integrated with the order fulfillment system. 
• Reward your customers.  Loyalty tracking allows you to recognize and cater to the needs of your customers as well as attract new customers that have similar needs.
• A single solution.  A single integrated solution that links retail stores, Ecommerce, inventory and warehousing will inevitably drive efficiency and fulfill the other objectives listed hear.
• Timely reporting.  Management needs access to real-time information, but also sales history from all sources and inventory movement for better planning.
• Procurement tools.  Purchasing needs access to all sales information to gauge trends on ordering and resupply decisions.
• Easy customer enrollment.  Online solutions need to be customer friendly.  If you make it easy for your customers to business with you, they are likely to return and do more business with you.
• Integrated marketing tools.  Your business needs integrated and easy to use tools to stay in touch with your customers.  Customer relationships need constant nurturing.
• Provide tools for your customers.  Customers need access to their information as well including sales history regardless of their point of purchase.  This helps with common questions and reordering. 
• On account customer service.  Your account customer need the same tools as retail customers.  They also need to review their credit line, reprint invoices and check order status.

Final thoughts:

Customer service is important.  Serve your customers well and they will return.  Remember if you do not service them, someone else will.  A key sign your customer value your relationship is when they refer others to do business with you.

Integration is key.  Every time people have to touch information and manual processing, you are increasing the likelihood of errors and inefficiency.

Information is key.  Real-time and accurate information is critically important to manage and run your operations.

Information and integration help to drive efficiency in your operations, reduce costs and deliver great customer service.  This cycle will repeat itself if you are using the right ERP solution. 

Performance and up-time are critical in Retail operations.  Make sure your solution runs on systems that can ensure you meet your customer’s needs first and foremost.  Kiosks are another customer service tool that generates repeat business.

Whether you have a single location with many terminals or many locations, a few part numbers or many SKU’s, the right solution should be helpful in managing operations.  Faster replenishment and minimized outages that result from new solutions help move you towards a Just-In-Time (JIT) inventory management solution.

Contact Dolvin Consulting to find out how our industry expertise and relationships can help your organization improve the way you deliver to your customers.  We are here to help.

Please share your thoughts and experiences with our readers.  What applications and tools have you implemented that have helped?  What are you looking for in a future update or system?

Will Analytics help Forecasting?

One definition of Analytics is “Information resulting from the systematic analysis of data or statistics”.

   

In a recent conversation I had with a contact he said his inventory was 99.8% accurate and that his firm used cycle counting to ensure accuracy.  He shared information with me about the business he obviously cares very much about and has invested a good portion of his life to as we talked about his operations, inventory and growth projections.

We discussed his Enterprise Resource Planning (ERP) solution and he is satisfied with it, in fact his company is planning on an upgrade.  I mentioned that I worked with another company and they asked if bin locations worked.  And I said, yes, if you let the system do what it is designed to do. He agreed that ERP systems can be rigid, but they do work if you let them do what they are designed to do.

I then asked him based on what he shared where his bottleneck was.  Every business has a bottleneck.  They occur at different points at different times.  If a company is growing, then bottlenecks are enviable.  What works at one level of business often does not at a higher level.

He said Forecasting was his biggest challenge at this point in time.  I asked if he meant receiving forecasts from his suppliers.  He said, no, it was sales forecasting.  This company has been growing steadily for some time and one of their product lines is really moving. 

Inventory is key and managing it is much like a dominos effect and is why companies invest in ERP solutions. 

How much raw inventory and finished goods you keep on hand is dependent on your sales projections.  Too little and you may become late, too much and you end up wasting space and paying taxes on what is left hanging around.  You need to fulfill customer orders in a timely manner and you also need to plan. 

In addition to the accuracy level, an indicator many firms use to judge their inventory level is called Inventory Turns or Turnover.  It is a measure of number of times inventory is sold or used in a given time period.  It is usually calculated as a ratio of the cost of goods sold divided by the average inventory.

Back to point.  Would a robust analytics solution that was used to analyze past and current sales to identify trends, be helpful in forecasting future sales and thus predict better inventory levels?

At its core Analytics is used to provide insight into customers and products.

Speed and efficiency are critical in businesses that operate at high volume.  These businesses have a need for real-time visibility into sales and inventories.  Their management has needs for ad-hoc as well as standardized reporting and analytics helps fill that need.

The key to Analytics and ERP in general is data integrity.  The old saying in computer technology is “Garbage In, Garbage Out”.  It means that the value of the information the system generates is only as good as the quality of the information taken in.  One of the goals of implementing these types of solutions is for people to concentrate on the results of the information analyzed and not worry about how they were achieved.

New data engines and tools speed up reporting that once took hours to produce and distribute to just minutes.  Dashboards, once built, provide management with top level overview and drill-down capability that business need to make better decisions more quickly.

Management can determine when they see customer sales dropping off if the problem is related to inventory, usage or a period of inactivity.  Increased awareness allows insight into greater margin awareness.

Greater awareness allows for more accurate forecasting and the ability to identify variances and make adjustments as demands change.  Reacting quickly to issues can make the difference in customer retention.  Knowing why a customer is purchasing less is important so that corrective action can be taken.

Forecasting not only allows users to spot global trends, but also identify specific issues that might otherwise have been missed.  Today’s systems generate and collect a large amount of information.  Tools like Analytics applications give insight.

What are your systems designed to do?  Do you use Analytics to forecast sales and inventory levels?  What successes and pitfalls have you encountered implementing your systems?  How long did it take?  How much did you budget?  Was the Analytics solution part of your ERP solution or was it a third party solution?

Dolvin Consulting works with industry experts to help your organization identify bottlenecks and streamline operations.  Contact us to learn how we can help your business.

Customer Commitment

Customer commitment is often associated with customer service and vice versa.  Whatever business service or product your company provides, whatever product or service your company purchases, customer service and the relationships surrounding those offerings are paramount to success. 

 

How do you like to be treated?  Many organizations make statements on their web sites and brochures about customer service being their priority.  They most certainly expect equal or better service on their purchases.  But, how well do they actually deliver? 

 

Does your organization give as well as it gets?

 

Customers and those serving them need access to accurate real-time information.

Product and stock status availability.

Delivery time frames.

Invoice status.

Sales history.

Buying patterns.

Sales force automation toolset.

Contact Relationship Management (CRM) database.

 

In regards to Enterprise Resource Planning (ERP) solutions, what tools are in place to track and measure service levels?  Is your organization investing in your own infrastructure so that your staff will have the tools and resources necessary to answer customer inquiries and solve issues?

 

Are you getting the following from your ERP supplier?

 

Totally committed to your needs.

Providing the best possible support.

Maintaining technological superiority.

Will work to keep your company on the leading edge with the latest advancements.

Continue to offer real value, now and for the future.

Offer each client personalized, world-class service.

 

ERP solutions work when they are embraced and allowed to work. 

 

ERP software is organized into modules.  These modules are designed around departmental and/or functional company roles.  For example, Finance department consisting of General Ledger, Accounts Payable, and Accounts Receivable.  A functional role might include Procurement which overlaps Purchasing, Inventory, Warehouse Management and Sales Analysis.

 

All ERP application modules are designed to work together to enable better customer service.  Not all departments have direct customer contact, but all contribute to the overall operational efficiency of the organization. The customer service department and sales force are examples of two departments that do have direct customer contact and highlight the need for real time information.  Purchasing and procurement also have direct contact with the supply chain and also need quick access to accurate information.

 

ERP solutions work better when you trust them to do the jobs they are intended to do. 

 

Trouble can creep in a number of different ways, like when too many modifications are made.  Modifications can be an indication that the particular solution selected is not the right solution.  It does not mean that it is not a good solution, it just means that it is not a good fit for a particular business model.

 

Different business types need different solutions. 

 

Businesses need solutions that are tailored for their particular method of operation.  Just like automobiles, some need a fuel efficient model, some need luxury and comfort, while others need the ability to haul big loads.  They are all good vehicles, it is just each is designed and optimized for a different primary purpose. 

 

Whatever solution your company utilizes now or is considering, the one underlying principal that must be considered is how well will the solution enables your organization to deliver great customer service.  In what way will that improve with a replacement or upgrade?  A lot of effort goes into selecting and implementing a new solution.  Customer service and the tools associated with the collection, analysis and delivery of that information in a useful format must be first and foremost.

 

What changes are you considering?  What features and functions are important to your organization?  How are you preparing for change?  In what way do you measure improvement and success?

 

We would like you to share your thoughts and suggestions.  For additional help, contact Dolvin Consulting.  We team with industry experts to provide you with great customer service.

 

Warehouse Management

There is a difference between inventory control and a Warehouse Management System (WMS).  Inventory systems keep track of product information, locations, and quantities.  WMS systems keep track of the movement of inventory.  An inclusive Enterprise Resource Planning (ERP) solution incorporates both. 

 

ERP is designed to integrate the entire organization.   That is where the drive to efficiency is able to achieve its Return on Investment (ROI).  It is the way the right hand knows what the left hand is doing.  The brain of the system like the brain in your body is right in the middle, top front.  It collects and coordinates the information it receives from its various sources, analyzes that information and provides feedback. 

 

Warehouse management systems help in managing the supply chain and tracking the movement of inventory from receipt, put-away, movement and replenishment, to pick pack and ship operations and cycle and inventory counting.  Technology is the backbone that, when implemented with the right strategy, delivers the efficiency needed to compete and ultimately deliver better customer satisfaction.

 

Monitoring warehouse activity in real-time, minimizing entry errors through automation, collecting data to measure efficiency of operations and labor are important aspects of any WMS system.

 

In order to make intelligent decisions, management needs access to as real-time information as possible.  Too much happens too quickly to have to wait hours, days or weeks to get critical information and decipher that information.  ERP systems when properly implemented are able to furnish this information in a format that makes sense.  Managers need to know what their employees are doing, where there are bottlenecks and how to address those issues.

 

Some of the benefits of WMS systems include (in real-time):

• Verifying receipts against purchase orders at the time of receipt. 
• Verifying picked items and quantities against customer orders before shipment.
• Keeping track of batches, lots and serial numbers. 
• Bar-coded inventory. 
• Tracking inventory by the piece, case or pallet. 
• Measuring employee productivity.
• Optimizing picking for single or multiple orders.
• Integration with common carrier systems to capture box information and tracking numbers.
• Customer returns tracking.
• Work-in-progress tracking.
• Production posting.
• Replenishment activities.
• Count-back verification.

WMS information can be used to properly organize the physical locations and pick order to increase employee productivity and accuracy.

 

More efficiency opportunities. 

 

More accuracy opportunities.

 

At first glance it might seem that implementing a WMS system would be too complicated for your workforce and if it could be implemented, the processing would slow down.  Do not underestimate your workforce when you enable them with the proper tools to get their jobs done.

 

For example, count back systems generate confidence in picking operations, because workers learn that they can trust the system to identify where the inventory is located and that the right quantities exist.  They learn the system recommends the right product placement so the do not have to waste time going back and forth to pick orders.  Compare that with an order that was picked and shipped incorrectly.  What happens to customer confidence in your operations?  How will management look at employee productivity?  What costs are incurred by the customer service and finance department, because they have to take care of upset or disappointed customers?  How much time does it take away from their other tasks? How much time does it take to create the return authorization, process the credit, create a new priority replacement order and absorb the associated and expedited return and replacement shipping costs?

 

Greater, more accurate throughput, inventory turns and employee productivity.

 

How is your organization taking advantage of WMS?  What efficiencies did you discover that you did not realize that you would have before implementing your WMS solution?  What solution works for your environment?   Is it a separate system or a fully integrated solution?

 

Contact us today to share your knowledge.  Your fellow readers would like to know.  We are here to help.  Dolvin Consulting works with industry leaders to help you help your organization with knowledge and industry resources.

 

ERP, CRM and why it matters

It is all about the relationships.  This is a universal truth about life and business, personal and professional relationships.  Who do you like?  Why do you pick one solution over another, even if the solution costs more?  Within bounds, it you have multiple solution choices that accomplish the same result, why is one a better choice?  Do you think it has anything to do with the people involved?

 

People do business with people they like and are most like them.  That is how the saying goes and there are a few things we can take from that statement.  

• One, the key word is “People” in the statement.  There might be some “stuff” involved in a business transaction, but it is the people that sign the papers, it is people that deliver the stuff, it is people that use the stuff and order more of it. 
• Two, all anyone has to do to validate this statement is look at any transaction they have made in which they needed to consult with someone.  Why did you ask, what did you ask, whose solution did you select? 
• Three, “are most like them”, is key too.  We all know what it is like to show up to a gathering either too casual or too formal.  Our relationships are similar.  We are just naturally attracted to people that are like ourselves, talk like we do, dress like we do and we feel understand us and our needs and the impact on our lives the proposed solution addresses.

Any tool that helps an organization manage customer relationships, which help your organization deliverer superior service and follow up and tracks the details will help.  In the software realm the main application that ties together the details is called Contact Relationship Management (CRM).  There are a great number of solutions in this area.  Some are housed in the Cloud and some are operated on-premise.   Many have customizable interfaces and workflows, but they all at some level track and manage the conversations between prospect and solution.

 

In the Enterprise Resource Planning (ERP) solution world many solution providers provide links and interfaces so that you can incorporate their solution with your ERP solution.  This can be a good thing in the case where there is no native solution or the solution lacks the feature and function needed to manage the prospect relationships.  There are different levels of functionality that is needed and it varies from one organization to another. 

 

When you consider that and ERP solution’s purpose is to integrate the enterprise, then an integrated CRM solution is generally preferred assuming again that it has the features that are needed.  In some cases it makes sense to integrate third party solutions.  The other party that creates the add-on application is dedicated to that solution and its functionality.  If that solution provider works directly with the ERP provider to integrate the solution and provide support, then you typically have the foundation needed to keep your people productive while they solution provider keeps everything working as designed.

 

Here is a major functional thought to consider.  Many CRM applications do a very good job of managing the sales process.  From prospecting and lead generation, communications tracking, to prospect sales funnel, to sale and the transition to customer.  Great.  What happens to the relationship management after the prospect becomes a customer?  At this point in time that role is typically relegated to the customer service department.  Also great.  But, there is an inherent disconnect from the suspect, prospect, sales to customer.

 

There should be an equal or greater emphasis on post customer sale effort.  It may take some work and effort, but most would agree that it is easier to maintain your customers than acquire new customers.

 

A fully featured CRM application integrated with your ERP solution provides the opportunity to continue to manage and track your customer relationships after your prospect becomes a customer.  This is no small feature.  It is important.  How great would it be to be able to review all of your interactions with your customers including phone calls, emails, and sales?  How much better would your sales force be if you could routinely and easily tag customers that have purchased a particular product and let them know about sales, complimentary items and other special offers?

 

In a traditional sales process a suspect is identified, after they are a suspect they become a prospect, a match to a product or service is made which is called an opportunity and then hopefully a deal is made and if they make a purchase, they become a customer.  Problem here is that this process needs to be repeated over and over again.

 

Loyalty programs are a typical way to bridge the gap, but these are still one-time purchases.  Relationship building applications like an integrated CRM application module helps to change this to a recurring interaction and a fuller relationship.   Remember the relationship drives the decisions.  

 

 

The better and longer you maintain the relationship, the better for both parties.

 

If you want to realize the full value of the relationship, then you need to create personal connections, exceed expectations and become their trusted advisor.  The relationships are built over a period of time in which each interaction deepens the bond.  They learn to trust you, because you recommend the right solution and not just the most profitable one.  You have their best interest at heart.

 

Some feature criteria you may want to consider and questions to ask may include how seamlessly does the solution integrate with your ERP solution.  What components do you need to consider on calculating its Total Cost of Ownership (TCO)?  What is the typical Return On Investment (ROI) time period?  This information can give you an indication of what it is costing you to not make changes.  What impact will it have on your technology staff?  How much time and effort is needed to train your workforce and implement the solution?  How easily is it configured?  What options do you have or are you locked into the delivered feature set?  What commitment does the developer have to you as a customer?  What changes and updates are planned to enhance the product in the future? 

 

Have you outgrown your existing solution?  Has your business grown to the point that the solution that once did a great job is now hindering your growth?  How well does your existing or proposed new solution enable growth in new markets?  Is the new solution in scale with the rest of your systems?

 

Dolvin Consulting works with industry experts to bring enterprise grade solutions to your challenges.  Start our conversation by contacting us today to see how we can help.

 

Unlimited Growth Potential for ERP Solutions

Is there really such a thing as a smart solution?  Unlimited growth?  One of the first things we learn in technology is the phrase “GIGO” or Garbage In, Garbage Out.  A smart solution has multiple objectives to achieve if it is going to actually be considered smart. 

 

First and foremost no matter how it achieves it, any change must contribute to providing great customer satisfaction.  In order to do that it has to be responsive to user needs.  It has to have the ability to collect and analyze information from multiple sources and present that information to users in a timely manner so that intelligent business decisions can be made quickly and accurately that grow revenue, protect margins, and improve profitability.

 

The future of Enterprise Computing is certainly going to include adoption of Internet Technologies.  The benefits of this type of development are great.  A consistent and simple user interface that reduces training needs, removes the need for custom client software which helps to reduce costs and provides for a customizable single sign and access to all needed resources. 

 

This migration to web or cloud computing will provide uses access with any device, at any time and at any location.  The flip side of this access is the need to secure the enterprise with borderless technology solutions.  These security challenges are very achievable, but are also something to not glance over in any rush to modernize.

 

ERP solution providers now have to develop robust solutions that solve real world business issues and drive bottom-line results.   Anytime access is great, but you have to connect with accurate real-time information first. 

 

The solution designs do have to conform to the equipment and devices that people want to use.  Sometimes referred to as Bring Your Own Device (BYOD).  The logical choice is web based as that is relatively standard software interface with any device available today.  This is a shift from the traditional standard of use-this-software, because that is what we support with our solution.  Now solution providers must tailor their solution to the client software of choice.  The different web browsers are the answer whether the solution is hosted in-house or in-the-cloud. 

 

One of the challenges that persist is how each web browser vendor implements web presentation in their respective version and the constant rush to get new versions out that may not be fully supported.  If a solution provider releases a version of their web browser is must support published standards. 

 

Anytime, anywhere access.

 

Just as the solution providers are changing their solutions, organizations are increasingly adopting and demanding cloud offerings for critical business operations.  As more consumers and businesses adopt tools such as smart phones and tablets, the ability to host data in the cloud and access it from just about anywhere on the planet is quickly becoming vital. Any solution today will need to allow customers multiple options for their infrastructure including on-premise servers, platform as a service, or software as a service.

 

One of the major benefits of this type of computing and Enterprise Resource Planning (ERP) solutions in general is the ability to collaborate more effectively.  This collaboration results in increased productivity from business process automation.  A fully integrated Contact Relationship Management (CRM) system becomes a necessary component in fulfilling this challenge.  It is designed to collect and present notifications as well as monitor and assign daily tasks and business alerts.  

 

Web based portal interfaces give users an intuitive workspace where screens, applications, and dashboards have been consolidated and customized for the specific role and authority of the user.  By giving users the ability to configure their screens with the exact applications and information that is important to their business function, companies can empower their employees to drive results instead of hinder productivity.

 

Some key benefits of embracing this technology shift:

• Single sign on and interface to all needed resources.

• Responsive design and consistent user experience.

• Increase productivity.

• Reduce training costs.

• Access on any device, anytime, anywhere computing.

• Central point of access to Collaboration and tools that make job functions easier.

• Flexible and configurable interface to exact applications and content.

• Business process automation.

• Immediate access to accurate enterprise data and business intelligence dashboards.

• Monitoring of daily tasks and business alerts.

• Insight into business opportunities and trends.

• Communicate business goals consistently.

• Grow revenue, protect margins, and improve profitability.

• Robust solutions for real-world situations that drive bottom line results.

• Enterprises can compete at a high level.

The web provides unlimited growth potential.

 

Clearly, the Internet is the future of ERP.  The writing is on the web page.  The challenge is in separating the latest technology hype and finding out what real results you can expect to drive by embracing and implementing changes in your infrastructure.

 

What changes have you made? 

What problems have you encountered? 

Have you tried tying together separate systems to achieve results or have you implemented a new fully integrated solution?

 

We would like to know.  Please share your failures and successes with our readers.  Contact Dolvin Consulting to see how we can help you sort through the constant flux of technology to find solutions that empower your enterprise.

 

Trends in Distribution Management

An overview interview of distribution management software trends in Enterprise Resource Planning (ERP) solutions.  Five key areas that are a driving concern of any wholesale distributor, distributor or manufacturer are highlighted in this five minute video.

 

SupplyChainBrain Interview with Joe Scioscia

 

Interview highlights:

1.       Utilization of Sales Force Tools

o   More information is needed besides just contact management to maximize every sale at the point of customer contact.

o   Product information at the point of contact

o   Order status to provide customer feedback.

o   Customer account information readily available.

 

2.       Analytics

o   Enterprise Resource Planning (ERP) systems can generate massive amounts of data. 

o   It can be a challenge to spot trends, anomalies or business issues within that data.

o   Present data in a more easily digestible format with charts, graphs and flagging data.

o   Creation of Key Performance Indicators (KPI) to make better and faster business decisions.

 

3.       Cloud Computing

o   Established already in some industries like payroll and Contact Relationship Management (CRM) and gaining traction in core distribution solutions.

o   Generally a better fit for companies with diverse locations without a need for a heavy Information Technology (IT) infrastructure.

o   Reduced IT management infrastructure.

 

4.       Warehouse Management Solutions (WMS)

o   Managing their biggest asset, Inventory.

o   Receiving, picking, shipping, and physical inventory benefits.

o   Cut costs, increase productivity and improve customer satisfaction.

o   Locate products more effectively, pick and ship items more rapidly, reduce errors, improve accuracy.

o   Benefits of automation.

 

5.       Top business requirements

o   Grow business.

o   Increase sales.

o   Reduce costs.

o   Sales force automation to increase effectiveness and maximize sales.

o   Warehouse management to reduce costs and increase accuracy and productivity.

o   Forecasting and purchasing applications to manage inventory levels to have the right products at the right time to satisfy their customers.

The consensus in the interview is not news for those involved in the distribution and supply chain.  How can these organizations optimize their inventory levels in order to provide great customer service and fulfill customer demand in a timely and responsive manner?

 

These challenges have not changed over time.  What has changed is the way processes can be automated to increase productivity and reduce costs.  New tools provide opportunities if implemented correctly with an ERP solution to fully integrate the organization. 

 

Whether the tools are in the cloud or on premise, what matters is having a system that fits the culture of the business and is actually utilized.  Typically a few modules at first and then more and more are implemented. 

 

The goal should be customer fulfillment and satisfaction. 

 

You get there by utilizing the resources available in the solution you have or are implementing.   That might include analytics or warehouse management and include automation tools like bar coding and scanning, count back inventory picking, shipment verification or physical changes like conveyors and robotics. 

 

Each organization has its needs and budget to address those needs.  What any building needs is a strong foundation that can support the future needs and growth of an organization. 

 

How is your organization utilizing its ERP solution to drive efficiency?  We would like to know.  Please share your thoughts here.

 

Dolvin Consulting works with manufacturers, distributors and specialty retailers to help them streamline their operations, reduce costs and increase operational efficiencies.  Contact us today to see how we can help you look at your organization with a fresh set of eyes.  Many opportunities for improvement are right in front of you and collectively they can be combined to achieve big savings.

 

When to Upgrade your ERP Solution

The pain associated with upgrading or replacing an Enterprise Resource Planning (ERP) system can often be equated to open heart surgery without anesthesia.  It is not a comfortable situation.  No way around it, there will be a lot riding on any new implementation.   Carriers can rise or fall on the success of a project of this magnitude.    Upgrades can be a little less strenuous, but that too depends on the amount of time passed since any maintenance has been done and number or releases skipped.

 

In contrast if your organization has picked a solution that matches its enterprise processes and has minimized its modifications, then you are in an enviable position.  It means that you found a good solution, have a great relationship with your ERP vendor and embrace change.  I am not saying any of these things are easy.  When they align with your organization’s mission it becomes easier to stay current.  The work does not go away, but the dues have been paid and the results of staying current are the benefit.  Do you want to work now, upfront or later on an ongoing basis?

 

Staying current is a critical component to great customer service. 

 

In what way are you letting your customers know that you value their business?  Saying thank you is a good start.  Showing them that you recognize their changing needs by keeping current is putting your money where your mouth is.  It is one thing to say you value your customers and it is another to show them.

 

So, when is a good time to upgrade? 

 

Upgrading only for the sake of upgrading is not a very good reason.  The component to consider is the vision of the future of your particular industry.  What is the Star Trek future vision of your industry?  What would go beyond really-cool and actually make doing business with you an opportunity to grow a relationship. 

 

Customer satisfaction goes beyond making it easier to do business with you.  It is all about the relationship. 

 

Ask yourself if you would still purchase from one of your suppliers if their price was a little higher than a new vendor that showed up at your door.  What if the price difference was a lot?  Would the supplier you have used for the last decade work with you to be more competitive, perhaps in ways other than just price, like availability?

 

Upgrade and new installation projects do not exactly have stunning success rates in general.

 

Successful implementations do have a common theme.  A project manager, a lot of planning, research and a tough-love approach.  The last thing that you need is a yes-yes person.   It takes a willingness to get out of your comfort zone and to be willing to look at what you are doing with a new set of eyes.

 

I remember years ago when a friend bought a new red compact pickup truck.  He made sacrifices to get the truck.  I was generally aware that they existed, but it was not until he bought it and was customizing it that I started seeing that type of truck all over the place.  I was now “aware” that there was something else out there.  He wanted a customized solution that represented his vision.  He had vision.  He did not change the truck, it was still a truck.  He changed the way the truck met his needs.  I was now aware of how his customized solution took the basic and tailored it to his needs. 

 

Other indicators of the need to change. 

·         It takes too many steps, and in particular, manual steps to complete a task.

·         There are too many separate systems. 

·         There are significant differences between book inventory and perpetual inventory values.

·         You have a sense that it is takes too many people to complete simple tasks.

·         You spend too much on technology support.

·         Your customers are doing more business with the competition.

·         You signed on to your own web site and could not figure out how to place an order, could not find a phone number to call or you could not find reach a human being that would listen and let you know that they understood your challenge (regardless of how trivial).

·         Is your ERP solution the solution that supports the majority of business applications and is the repository for the corporation’s information?

 

 

When was the last time you called your own customer service department and pretended to be a potential new customer to see how your customers are treated?

 

The decision to upgrade or implement a new solution is not an information technology decision.  It has to be a business, a business process decision.  Senior management must take ownership of the decision process.  Too much rides on the outcome.

 

Upgrades should be periodic and deliberate. 

 

The upgrade decisions must be aligned with the strategy of corporate vision.  The costs must be justified.  They need a project plan and general consensus.  The resources needed must be identified and available.  The alternative is rapid technological obsolescence.

 

ERP solutions are a critical component of any organization on a growth path.  As many business processes need to be incorporated and integrated in the solution.  The more fully an organization is integrated, the more operational efficiencies can be obtained.  Automation and integration is how you stay competitive.

 

ERP changes are also a great time for companies to evaluate their current processes and look for opportunities to eliminate custom software, unneeded modifications, and third-party or legacy systems in order to simplify their environments and lower costs of ownership.

 

Making the decision is not always easy, but the benefits are worth the effort if the process is done right.

 

What are you doing to streamline your organization?   We would like to hear what you have to say and learn what you are doing.  Contact us today.  We are here to help.  Dolvin Consulting works with manufacturing, distribution and specialty retail companies to help them streamline their computer operations, reduce costs and become more profitable.