Top 6 Common ERP Mistakes and How to Avoid Making Them

Common ERP Mistakes
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This article was published on: 5/06/20 2:36 PM

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Top 6 Common ERP Mistakes and How to Avoid Making Them

“It’s fine to celebrate success but it is more important to heed the lessons of failure.”   

Bill Gates

While considering purchasing an Enterprise Resource Planning (ERP) system for your company, take the time to ensure you are selecting the best fit ERP software system to avoid any failures after implementation. Enterprise resource planning (ERP) systems can be huge investments of money, resources and time. And while a successful ERP implementation can help your organisation streamline workflow and cut costs, a poorly planned and implemented ERP can severely cost organizations, in terms of lost productivity and delay in completion of work.

To ensure your ERP implementation is a success, and to minimize potential problems we have come up with some common ERP mistakes and their solutions.

  1. Inadequate planning – Strategic planning is extremely necessary if you want your ERP project to succeed. Many organizations do not plan enough before they begin an ERP software evaluation which often leads to confusion because they might not fully understand their current processes and how to develop them to maximize business benefits and efficiencies. To solve this problem, organizations should conduct an internal assessment of all of their processes and policies before choosing an ERP system.
  2. Not understanding or using key features. Without knowing features, companies miss opportunities to automate business processes, complete functions faster, and meet business objectives. To solve this problem, it is advisable to create a list with all features, tracking usage, and occasionally reviewing the list to determine which features are being used and which are the most helpful. This knowledge catalogue can be used to train new employees, write test scripts, and help with review, compliance, and reporting requirements.
  3. Underestimating the time and resources required – All companies underestimate the time and resources required to implement a new ERP system. So how can you calculate the necessary time involved? The time involved can be estimated by dividing the cost of the software by 100. Double that number if you plan to self-implement with minimal professional assistance. It is important to assign a dedicated project manager.
  4. Not having the right people on the team – Sometimes, organizations do not bring the suitable team members together from the very start of an ERP implementation. ERP implementation is one of the biggest projects an organization can undertake, and consequently, mistakes can be made and plans might get out tracked if the right stakeholders are not involved in every part of the decision-making process. For example, many organizations focus on getting executive approval, instead of gathering key participants from across the organization, from finance, operations, manufacturing, purchasing, and the warehouse, in addition to IT. The employees who are actively engaged with the ERP implementation, who have an investment in getting it right from the start are benefitted.
  5. Choosing the wrong vendor –  Simply purchasing ERP from a big name vendor, or one that has worked for someone that you know who isn’t in the same business, can be a huge mistake in the implementation process. You need to find an ERP vendor that is knowledgeable in your industry and will understand the unique needs of your business. Also, since you will need to have a long-term relationship with your vendor, look for an ERP software provider that offers certified ongoing support, product releases, user forums, and other business tools as part of their service.
  6. Choosing the best fit ERP software – Finally the most essential mistake companies make is to install any ERP which belongs to the ‘one size fits all’ category. Your company is unique and so are its needs. Every organisation has specific problem areas and needs specific solutions for them. Therefore only the best fit ERP software system can bring the desired results of an ERP implementation.

Expand ERP is India’s best-fit cloud ERP system for fast growing businesses like yours. It empowers the mid sized manufacturers in the export and retail industry with real-time visibility and complete control over their business for faster expansion by simplifying complex business processes. 

With over 15 years of extensive R&D and market testing, we have developed a software that seamlessly fits into Indian Business. We are the OEM of this solution. Further, specific fitment through customization and integration are made for the company’s unique needs. All measures are taken to fit seamlessly into the existing business processes to deliver the maximum benefit of our solution.

Expand ERP cloud software drives maximum growth and ROI to your business.

At such an hour of national emergency, we are open for business and believe that with cutting edge technology even you can work remotely seamlessly with ease.To know more about Expand ERP and how it will transform your business operations please allow us to arrange for the best fitment test and product walkthrough by our BizTech Expert.

All you Need to know About e-Invoice in GST.

Gst invoice
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This article was published on: 3/01/20 10:12 AM

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ALL YOU NEED TO KNOW ABOUT E- INVOICE IN GST.

Stepping into the new decade with GST E-Invoice Generation System on Portal.

 

January 2020, embarks the implementation of electronic invoicing by the Indian taxation Council. The world is changing and so is the time and age to global digitalisation of business processes. This article aims to update you about the details of GST Governance and amendments in tax laws.

E-Invoice-What is it?

GST E- Invoice is the initiation of the digital bill for goods and services, generated at the Government GST portal. The concept of GST E-Invoice generation system has been taken into consideration for the reduction in GST evasion. All business (within the determined limit of turnover) will be provided with a system through which it will be mandatory for them to generate ‘e-Invoice’ for every sale on the Government GST portal. Every business that are applicable for such an invoice will be allotted a unique number whenever an e-invoice is generated. They can match the identification number with the invoices which are written in the sales return and paid taxes for verification. All relevant information will be transferred from this portal to the GST portal and E-Way bill portal in real-time. There will be no need  of manual data entry while filing ANX-1/GST returns as well as generation of part A of the E-Way bill, as the information is passed directly by the IRP to GST portal. In short, it is a digital bill generated using a standardised (recognised) format, where the electronic data can be shared with others.

FROM WHEN WILL E-INVOICE BE IMPLEMENTED?

The GST council chaired by Union FM Nirmala Sitharam approved the standard of E-invoice in its 37th meeting held on 20th September 2019. However no exact date of implementation has been provided yet. Electronic invoicing is proposed to be implemented from 1st January 2020 in a phased manner by GSTN. Similar to the new GST return filing system, the E-Invoicing system will first be available on a trial basis or voluntary compliance.

Team Expand is gearing up with the best in class ERP software to make your  business finances automated and simpler. Keeping up with the times makes you updated with the latest in technology

By you – For you…

BUSINESSES  AT AN ADVANTAGE:

Some crucial benefits of E-Invoice are enlisted below:

  1. E-Invoice determines to bridge a major gap in data reconciliation under GST to reduce mismatch and inaccuracy.
  2. Interoperability is made possible as invoices created by one software can be read by another. 
  3. E-Invoice enables real-time tracking of invoices prepared by the supplier along with the faster availability of input tax credit. It will also reduce input tax credit verification issues. 
  4. The relevant details of the invoices would be auto-populated in the various returns, specially for generating the part A of E-Way bills. 
  5. There will be minimal need of data reconciliations between the books and GST returns files. 
  6. The time-taking tedious tax filing process will become automated and availability of genuine input tax credit will be faster.
  7. The tax authorities will not be required for audits since the information they require is available at transaction level. 
  8. Decrease in the number of frauds as generating  fake GST invoices will become impossible.

Where are you placed?

APPLICABILITY OF E-INVOICE :

E-Invoicing under GST time period with business turnover conditions :

 

  1. Turnover 500 crore plus-voluntary and trial basis start from 1.1.2020.
  2. Turnover 100 crore plus-voluntary and trial basis start from 1.2.2020.

Note: GST E-invoicing is mandatory from 1st april 2020 for the above businesses. Those with below 100 crore turnover voluntary and trial basis start from 1.4.2020.

It will be mandatory for the businesses to generate the entire GST E-Invoice including all the value of sales. Expand ERP will be fully equipped with the software to make accounting and finances more methodical and organised for your business.

How to go about it?

THE PROCEDURE:

 

The process of generating the GST E-invoice will be similar as the E-Way bill which is generated on the www.ewaybill.nic.in or the GST payments are done on the GSTN portal. The generation of invoices will be done by a centralised Government quarter which will replace the E-Way bill that is being generated for the movements of goods. 

  1.  At first,businesses need to  generate an electronic invoice on every sale on their respective ERP’s. The standard invoice format if prefixed by authorities for every business so that proper details are extracted. 
  2. The E-Invoice  generated needs to be reported to the Invoice Registration portal (IRP) of GST. 
  3. On the portal, the invoice reference number (IRN) will be authenticated and the invoice will be signed digitally. 
  4. Then a QR code will be created. The code contains all the vital information related to the invoices which will be redirected to the taxpayer who filed the invoices.

The IRP will send a copy of the signed invoices to the provided email id of the recipient of supply who is involved in the whole process.

What do  you need?

Documents required to be provided by the taxpayer while reporting the E-Invoices to IRP:

  1. Supplier side invoices
  2. Suppliers credit notes
  3. Recipients debit notes
  4. Other documents (according to the business)

SALIENT FEATURES OF E-INVOICE IN GST SYSTEM:

  1. Every taxpayer will be allotted a unique IRN.The unique IRN will be based on the computation of hash of GSTIN of generator of document (invoice or credit note etc.) year and document number like invoice number. This hash will always be the same irrespective of the registrar who processes it. This hash will be the IRN.
  2. Once the invoice data is uploaded on the IRP which will also generate the hash in order to verify it and then it will be digitally signed  with the private key of the IRP. 
  3. IRP will also generate a QR code containing the unique IRN along with some important features of invoice and digital signature so that it can be verified on the central portal as well as by an offline app. This will be useful for tax officers checking the invoice on the go where the internet will not be available.  
  4. It will be easy for anyone to download the invoice from the offline app provided in the IRP and authenticate the QR code of the invoice offline and its basic details. However to see the whole invoice , one will have to connect to the portal and verify and see the details online. Only tax officers will be authorised to download the entire details of any invoice.

STANDARDISATION OF INVOICE:-

A technical group constituted by the GST council secretarial has drafted standards for E-Invoice after having industry consultation.  The E-Invoice schema and template, as approved by the GST council, are available at www.gstn.org/e-invoice.

Ways to adopt E-invoice:

DIFFERENT MODES OF COMMUNICATING:

There are multiple modes made available so that taxpayers can use at his or her convenience. For example

  1. Web based
  2. API based
  3. SMS based
  4. Mobile app based
  5. Offline tool based
  6. GSP based

How to use?

SOFTWARES TO BE USED:

The GSTN, in partnership with the ICAI (institute of chartered accountants of india), has drafted an E-Invoice standard. This refers to PEPPOL(Pan European Public Procurement Online), which is based on the UBL (universal business language) standard. Certain features which are made mandatory under the GST law have also been marked as mandatory fields in the invoice draft. 

 

Countries that are already using E-Invoice in GST are South Korea, Brazil, Chile, Mexico, Canada, Norway, Sweden, Turkey, Italy, Denmark, Peru etc.

Some Pointers to remember:

  1. The maximum number of line items allowed per e-invoice is 100.
  2. It is not mandatory for a supplier to sign the e-invoice again.The IRP will digitally sign after validation.
  3. On the IRP,the data will be available only for 24 hours .
  4. An e-invoice cannot be cancelled partially,it has to be cancelled fully.
  5. All amendments to an e-invoice can be made only on the GST Portal.

E-INVOICING In GST with EXPAND ERP:

 

Move with the times and adopt Expand ERP software to automate your business process and invoicing . We have ready to fit solutions with deep industry knowledge which can be further customized as per your business needs.

Expand ERP is the preferred business automation solution provider for 15 years to various industries. We provide personalised attention and automation that is best fit for your export and manufacturing business.

With the arrival of Cloud technology, ERP software is taken to the next level where business can be processed anytime from anywhere. Expand ERP is a pioneer in cloud-based Business Application on Microsoft Azure, designed and developed for fast growing businesses. Over the past 15 years, we have empowered many established businesses  with real-time visibility and complete control over their businesses. Expand is a comprehensible, scalable, customizable cloud ERP solution that supports your business all along as it grows.

Team Expand works relentlessly on innovations and believes in keeping your business at par with the latest in technology and business affairs. We will be pleased to partner with you at the very onset of E-Invoicing in GST system beginning from the next Financial Year. To know more call..

(+91) 9007026542

5 Unexpected Things To Expect Before ERP Implementation: Can Selecting Right Vendor Help?

how to Help ERP Software for our business
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This article was published on: 3/01/19 10:10 AM

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5 Unexpected Things To Expect Before ERP Implementation: Can Selecting Right Vendor Help?

Remember, a good ERP system ‘ideally’ should have an impact on every part of your business. Here we are talking about an ‘ideal’ condition. Reality can be far from ‘ideal’. With countless ERP softwares available in the market, it becomes almost impossible to select the right ERP solution which fits your organization. When you are a first time buyer, the choice becomes more difficult as you can face a number of challenges. Identifying these challenges in the planning stage can solve a lot of problems; the primary being selecting the right vendor.

Do not be confused with too many options

As a business owner, it is crucial to establish, define and understand the unique business processes of the company. If required, prepare a list of questions for the ERP vendor. You not only need the right software, but also the right vendor. Remember, when it comes to ERP solution, it’s not a one-size fits all situation. For example, if you are in the manufacturing or export industry, you will need a reliable ERP software like Expand ERP. With an expert ERP solution like ExpandERP, you will be promised end-to-end solutions which will fulfill the specific requirements of your business

Enquire about the technology specifications of the ERP solution

While selecting the right ERP, think of the technology that the ERP solution is using. Ask whether the ERP solution is turnkey or will be customized as per the organization’s business processes. If the ERP solution is scalable, will it be able to adapt to the growing users or increases in data? Ask about the speed of the product and how it will impact the end user. Another major concern of the organization is whether there will be possible support for multi-company or multi-site environments if the company wants to work on multiple operations. Now, this is where ExpandERP is different from other ERP solutions; as it is hosted on cloud it helps to quickly migrate legacy systems and implement most advanced technology features across different processes and departments effortlessly.

Think about data quality control

Two of the most common data challenges that a company faces while implementing a new ERP system is replacing legacy data and think about a process to consolidate separate solutions. A business should decide on the kind of data which needs to be collected for business processes and operations. This will be closely followed by the clearance of any duplicate or inaccurate data which was part of the previous system.
An expert vendor like eDominar will help you to guide you through the entire process and map the migration of the newly refined data to the new file format. It is absolutely crucial that all data is balanced prior to going live. Remember that the data integrity of the new system can either make or break the implementation of ERP. With ExpandERP, there is absolutely no requirement for in-house IT infrastructure or upgrades. You need not worry about data backup of security.

Talk about the true expenses of the ERP solution

Before you select the vendor or sign a contract, you need to determine the rough estimate of ROI. As a business owner you are likely to evaluate the cost of the ERP platform and whether it is okay to pay that amount, considering the functionalities it will offer. Also, many organizations have the concern whether the charges will be one-time or if they will be recurring. In case, it is the latter, you need to figure out whether or not the organization can afford that amount. You also need to find out about the annual maintenance charges.

Once you evaluate all these expenses, do a quick review about the ROI; your investment should not be more than the projected returns. The Expand team takes care of any user query over remote desktop and phone support at zero expense. As it is a cloud ERP, there will be automatic statutory updates. New reporting changes and new features will get rolled out instantaneously at zero cost.

Will the ERP solution adapt to the business?

A successful ERP implementation depends on the users and their willingness to adapt to new processes and systems. The best way to manage ERP is from top down. It is essential that managers and executives are integrated to the system, so that employees can follow them.

Check out edominer and Cloud ERP Software for one of the effective ERP solutions for your business.

How Top Erp Software Companies In India Can Help Fill The Information Gap

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This article was published on: 18/08/16 8:10 AM

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Business firms are under consistent pressure from clients, shareholders, and suppliers to constantly enhance, to improve items speedier – and all the more effectively. Some major top ERP software companies in India have executed ERP applications; either created in-house or off the rack items, to end up more receptive to the client needs and improve their organizations. They, as a result, need to change over their industrial facilities into responsive, request driven, benefit making undertakings by advancing assembling operations. Their upper hand and extreme survival relies on upon the utilization of data frameworks and innovation.

ERP (Enterprise Resource Planning) frameworks have gotten to be synonymous with upper hand, particularly all through the 1990s. ERP frameworks supplant disconnected data with a solitary, bundled programming arrangement that coordinates all customary undertaking administration capacities like financials, HR, and assembling and logistics. 
Begun with an IT application to handle the stock issues of big business in the 1960s, the ERP frameworks brought a typical data database which helped business elements of the association to move their reasoning to a venture level from a departmental level.
Programming sellers need to investigate answers for grasp the idea of interest driven supply system (DDSN) and empower the undertakings to end up more request driven. Experts demonstrate that half of the considerable number of organizations doesn’t have an unmistakable perceivability over their supply system, in spite of having IT frameworks, as these frameworks are not legitimately coordinated.
The significant test to the ERP sellers is henceforth to give consistent mixes between all their amplified ERP applications, which can help ventures, turn into an interest driven association. The up and coming era of big business applications should grasp better building capacities to make the incorporations more fitting and play, as opposed to being tight indicate point combinations.
Administration Oriented Architecture: One of the key business sector patterns is the innovation change to an administration-arranged engineering (SOA), which will have the biggest impact on rethinking the ERP market.
As showed by examiners, administration arranged engineering would change programming from being an inhibitor to an empowering influence of business change, by 2015.
SOA will move income from bundled programming to membership administrations and from solid suites to composite applications.
SOA is a way to deal with planning, actualizing, and sending data frameworks such that the framework is made from segments executing discrete business capacities. These parts called “administrations” can be appropriated crosswise over geology, crosswise over big business, and can be reconfigured into new business process as required.
The administrations are “approximately coupled” taking into consideration a great deal more adaptability than more seasoned advances as for re-utilizing and re-consolidating the administrations to make new business capacities both inside and crosswise over association.
The future objective of a large portion of the ERP merchants is to give an upgraded estimation of the introduced frameworks, by acquiring the services of top ERP software companies in India and by improving the item with extra components, both utilitarian, specialized and ones that are usable.

GOLDILOCKS AND ERP DECISIONS

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This article was published on: 3/03/16 12:50 PM

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GOLDILOCKS AND ERP DECISIONS

ERP Decisions

Goldilocks, SMEs and the quest for ‘Just Right!’

“Goldilocks was wandering through the forest when she chanced upon a house. Famished and tired, she entered and was delighted to see three bowls of porridge to quell her hunger pangs. She tasted the first bowl and exclaimed that it was too hot. The second bowl’s porridge was far too cold. The third bowl however was just right for her and she soon gobbled it all up”

Small and medium sized enterprises are the proverbial Goldilocks of the business world. While Goldilocks strolled aimlessly through the woods in need of food and nourishment, these firms wander through the business world, in need of a solution to help them cope and compete in their industry.Goldilocks had to taste all the bowls of porridge to find the one that was ‘just right’ for her. Much in the same way as Goldilocks, firms also have to go through all the available options to determine which solution is ‘just right’ for their needs.

Just as Goldilocks was famished and in need of nourishment, a firm in today’s hyper competitive environment requires enterprise resource planning solutions to address its needs and hunger for growth. The solutions offered may be ‘too hot’ with far too many components, complexities and costs that would burn the firm. A ‘too cold’ ERP system without the necessary modules to meet the requirements of the firm is not a desirable solution either. An SME can neither have a ‘too hot’ solution or a ‘too cold’ one as both would hurt them and their prospects for growth.

So what is the ‘Just Right!’ solution?

1)The porridge that is ‘just right’ is sufficient in quantity to alleviate Goldilocks’ hunger, nourishing enough to help her grow and at a temperature that renders the meal palatable.

2) Similarly the ERP that is ‘just right’ has all the modules and programs necessary to meet the firm’s current and more pressing business needs, while the system aids the company’s future growth plans – all at an affordable cost. The ‘just right’ ERP should meet the firm’s current pressing needs and the future more complex needs for growth.

3) Most SMEs would find that their Goldilocks solution is a mostly standard ERP system with minimal to moderate customization and costs. Cloud-based enterprise resource planning programs are suitable for these firms as they are affordable and have the scope to be easily modified to meet the firm’s growing needs in the future.

“After finishing the porridge, Goldilocks felt tired and went over to the living room and found three chairs. She sat in the first one and exclaimed “this chair is too big!” The second chair was too big for Goldilocks as well. The third chair appeared to be just right in size for Goldilocks but as soon as she settled in, it broke apart completely!”

When Goldilocks is tired she goes over to a chair, settles into one that appears just right in size. The chair and Goldilocks both come crashing down. Firms with an enterprise resource planning system that opt for the bare minimal support get the same experience. Much like how the ‘just right’ chair was anything but, firms need to be wary of ERP solutions that provide the bare minimum and provide no flexibility or scope for adapting to a growing business.

     As a firm implements the system and starts reaping benefits from the ERP, it starts to increase its efficiency, productivity and growth. The ERP system and vendor should provide adequate support to aid the firm with any troubles it meets along the way. Programs that update automatically and keep the system running on the latest, most efficient system would be ideal for SMEs. A vendor that provides regular support services and is specialized in providing industry-specific solutions would be suitable as they can anticipate the firm’s needs effectively and intuitively as a result of their experience. It is essential that the ERP system and vendor must be capable of increasing the number of modules and services when the scope of the business changes – otherwise the firm may suffer the same fate as Goldilocks.

“Goldilocks feeling sleepy, proceeded upstairs and found three bed. She lay on the first and found it far too hard. The second was far too soft. She tried the third bed, and it was ‘just right’ and she promptly fell asleep.”
   
   Just like Papa Bear’s bed, which was too hard for Goldilocks, a large vendor’s solutions may not be suitable for small and medium enterprises. The big names of the ERP industry are more experienced in addressing the needs of large conglomerates. Their programs, modules and systems are all designed meet to the needs of the Fortune 500s and SMEs often find their solutions uncomfortable. Mama Bear’s bed, being far too soft, was also not right for Goldilocks. Similarly, ERP vendors that are too inexperienced or just offer a few individual modules may not be able to provide quality solutions for the firm.

 Vendors that are specifically focused on providing solutions for SMEs would be more suitable for compared to the ‘big players’ like SAP and Oracle. An out-the-box solution with minimal modifications is enough to meet all the current and future needs of most SMEs at a fraction of the cost of the big firms.

   Much like Goldilocks, firms can experiment with their ERP programs and vendors before settling into their ‘just right’ systems. Firms can draw some wisdom from Goldilocks as well – that is to not settle for anything that is not ‘just right’. When choosing an ERP system firms must keep in mind that it is a long term decision. Unlike Goldilocks, once they choose their bed, they will be lying in it for quite a while.

Contributor : Vidushi