2020 Vision: 5 Shifting Business Trends for Visionaries
2020 Vision: 5 Shifting Business Trends for Visionaries
Let’s face it: The root of every successful business is timely decision-making. The best leaders can anticipate the future by recognizing the most important business shifts before changes become widely recognized by everyone else. These leaders are said to be visionary.
If you want to be one of those leaders, here are five business trends that are in their early stage. These will likely mature over the next few years and serve to re-shape businesses in the future. The way that you choose to respond to these could separate your company from the rest.
Five of the most critical considerations to ponder as we step into 2020 include:
- 24/7 Access - Customers want what they want when they want it. Therefore, businesses are challenged to provide their customers with access 24 hours a day, seven days a week. Fortunately, current mobile, social and web technology supports the creation of customer-centric portals to help businesses deliver 24/7 capability. The challenge is to craft a solution that can evolve and mature to accommodate tomorrow's latest technological innovations.
- Customized Products and Services - The next logical step is building the capability to deliver personalized products and services. Configuration of systems is key to increase customer satisfaction and loyalty. Remember the “Have It Your Way” slogan from that burger joint in the 70’s & 80’s? That specialization brings the customers back time and time again.
- Collaboration-Based Innovation - All the above adds up to another trend with collaborative innovation and product development. Think of it as an open, rapidly evolving group of users influencing the R&D function. This type of business model holds great promise because it can lead to the introduction of products with built-in demand.
- Cloud Computing - Cloud computing has changed the way businesses use computer technology. It has replaced the need to buy and maintain computing systems and hardware with a much more cost effective, on-demand model. When fully realized, cloud-computing promises to level the playing field by enabling smaller firms to compete with their biggest competitors.
- Balanced Growth and Profitability - In previous years, many entrepreneurs focused on growth at all costs. In 2020, economists say we can expect to see a return to a more balanced growth and profitability structure. In fact, we will see more companies with core profitability, balanced growth and solid unit economics have higher valuations.
The challenge as a 2020 leader, regardless of the industry in which your business currently competes, is to use these 5 considerations to re-imagine your strategic direction and make your business indispensable starting in 2020 and beyond.
At My Office Apps our Kechie ERP software was designed as a modern solution with these trends in mind. Are you ready to execute your plan? If the time is now, call us to see how we can help you achieve your goals and meet the business challenges of the 2020’s.
10 tips for complying with sales tax regulations
10 tips for complying with sales tax regulations
There’s nothing sexy about sales tax compliance. There really isn’t. But there is something mighty compelling about not running afoul of the tax authorities.
Following some simple tips can help put even the least assiduous person on the path to successful sales tax compliance. And so, without further ado, here they are:
- Confirm your customers’ tax-exempt status. Exemption certificates need to be accurate, up to date, and readily accessible.
- Don’t ignore tax notices. Nothing good ever comes from letting a tax notice molder at the bottom of your to-do stack, even if you’re sure you’re blameless.
- Efile when you can (and when you must). Some states require electronic filing for all businesses, while others prefer it. For more information about a particular state’s requirements, check out the Avalara TaxRates state guides.
- Find out if you’re required to make prepayments. If you are, your filing requirements may differ from the standard filing requirements. For example, returns for some prepayments must be filed online in North Carolina, while others must be filed on paper.
- Get to know state nexus rules. If you have sales tax nexus with a state, you’re required to register with the tax department and collect and remit sales tax. Nexus rules have been changing at a rapid rate since the Supreme Court of the United States removed the physical presence rule in June 2018; it’s now easier than ever for a state to impose a sales tax collection obligation on remote sellers. See this state-by-state guide to sales tax nexus for up-to-date information.
- Identify taxability rules in states where you collect. Taxability rules for products and services differ from state to state (even from city to city in some states). Be sure you’re collecting what you should wherever you have nexus.
- Keep excellent records. You’ll need them if you’re ever audited. Auditors need to be able to track and verify each transaction from start to finish.
- Update filing frequencies on your tax calendars. A change in your business can lead to a change in filing status. It’s up to you to know how frequently you’re required to file.
- Reconcile! Reconcile! Reconcile! Start with the account balance at the beginning of the accounting period, then add the amount billed to customers and subtract the sales and use tax paid. The end result should match the current balance of your sales tax payable account.
- Use geolocation to determine sales tax rates. Relying on ZIP codes can lead to inaccurate sales tax rates. Geolocation provides more accurate rates, down to the rooftop.
Finally, consider automating sales tax compliance. With Kechie Inventory, you can automatically calculate taxes due at the time of invoicing, with no extra steps needed. Kechie is integrated with Avalara, making the process seamless, and automatic! Sales tax compliance is both essential and thankless: Your customers won’t praise you for getting sales tax right, but they’ll be sure to let you know if you get it wrong. Automating sales tax calculation, collection, and/or remittance helps minimize costs and increase your chances of getting it right.
Want to know more? Get the updated Sales & Use Tax Compliance for Dummies ebook.
The Difference Between Logistics and Supply Chain Management
The Difference Between Logistics and Supply Chain Management
Most people assume that logistics and Supply Chain Management (SCM) refer to the same process. But as it turns out, the two terms are not interchangeable – and they’re merely different parts of the global flow of finished goods and raw materials.
So, how did the concepts of logistics and Supply Chain Management become so intertwined in their use when they mean very different things? The confusion surrounding the terms might be attributed to the evolution and intersection of the processes – resulting in blurred definitions. Read on for a differentiation of logistics and SCM, and an overview of a cloud-based ERP software that helps streamline both processes.
What is Logistics?
Logistics is the process of coordinating when and how goods are transported and stored until they reach the end customer – it’s a component of the supply chain. It typically involves one organization aiming to ensure customer satisfaction. Simply put, logistics is “having the right item - in the right quantity - at the right time - at the right place - for the right price - in the right condition - to the right customer.”
The process covers activities such as obtaining raw materials, storing, handling, transporting, fulfilling orders, packaging, managing stock, routing, warehousing, and maintaining a demand-supply equilibrium. Logistics management is further divided into two categories, as shown below:
- Inbound Logistics: This is the movement of raw materials and goods from a supplier to the company.
- Outbound Logistics: Outbound logistics basically refers to the movement of finished goods to the customer or end-user.
What is Supply Chain Management?
SCM is the comprehensive coordination of interconnected activities such as transportation, location, inventory, and production among participating organizations in a supply chain. The aim of Supply Chain Management is to produce services or goods that meet consumer requirements and offer the best value – i.e., a competitive advantage. It’s the outcome of multiple organizations, such as consumers, wholesalers, retailers, manufacturers, or suppliers working together towards a common goal. SCM activities include; inventory management, logistics, sales, CRM & customer service, production, procurement, and distribution, to name a few.
What are the Key Differences?
- SCM takes into account individualized issues, questions, and processes that impact the product, while logistics focuses on the storage & movement of goods.
- The main focus of logistics is satisfying and meeting the needs of consumers. Supply Chain Management is geared towards gaining competitive advantage in the market, and managing inventory processes.
- Supply Chain Management involves multiple organizations, while logistics is a one-organization process.
- Logistics is merely an activity within SCM.
What Type of Supply Chain Management should I use?
In the real world, every business has to deal with logistics and Supply Chain Management. The challenge arises when growth is inevitable, and the business struggles with scaling. How does an enterprise meet the increased consumer demand, reduce spoilage, and minimize storage costs? The increased complexity calls for effective and sophisticated tools, such as Kechie’s Supply Chain Management, which includes the essential, Kechie Logistics module. This solution is designed to streamline your supply chain processes, while managing your logistics - warehousing, packaging, & other inventory processes, seamlessly in one, easy to use, solution developed for growing businesses.
What is Vendor Managed Inventory? How to Make VMI Work
What is Vendor Managed Inventory? How to Make VMI Work
Looking to streamline your supply chain and reduce inventory costs? You might want to look into Vendor-Managed Inventory (VMI). A VMI software might be the solution – as long as you know the best practices to make it work. So, what is VMI, and what is the impact on your business?
Vendor Managed Inventory is a business arrangement where the vendor of a product takes responsibility for making sure the buyer has the agreed inventory. The supplier or vendor ensures the stock is replenished automatically without the buyer’s initiation. If done right, VMI is a win-win situation for both the vendor and the customer.
What benefits can VMI bring to your business?
- VMI helps cut operating costs – With the supplier handling the quantity and frequency of orders, you can reduce costs associated with personnel and space.
- Lean inventory levels – VMI allows your vendors to supply in-demand goods at the right time. This also removes the need for safety stock.
- Improved Efficiency – The speed of stock replenishment is improved, and the risk of running out of stock is reduced. This improved service trickles down to the end-users.
What are the benefits of VMI for the Manufacturer/Supplier?
- Forecasting is easier courtesy of access to the buyer’s Point of Sale data.
- An optimized VMI program ensures you supply what is needed, and at the right time. Visibility to inventory levels helps the manufacturer ascertain the need for a product before it’s ordered.
- Produces a predictable and steady flow of income while mitigating the risk of losing the customer to a competitor.
- VMI reduces ordering errors and helps the supplier schedule operations productively
- A VMI program facilitates a stronger Customer-Supplier relationship. Both parties must work closely together to ensure seamless inventory management activities.
Cons of VMI
Regardless of the benefits highlighted above, enforcing a VMI program has a few drawbacks that business owners should keep in mind. One of the main disadvantages of VMI is its impact on sourcing. It’s difficult for supply chain managers to consider re-sourcing when the current VMI program is well-run. Some managers might be compelled to compromise supplier-related issues such as higher prices due to over-reliance on a vendor.
Granting non-employees full access to your inventory data is a significant risk. Leaving your stocking needs to the mercy of a 3rd party makes your business vulnerable to errors by the supplier, and even sabotage from competitors.
3 Steps to a Successful VMI Program
- Clarify expectations – and make them realistic: How will the system impact the supplier and the company? Both parties should be engaged in honest discussions to ensure everyone understands the risks and returns of the arrangement.
- Share information seamlessly: The success of a VMI program rests on the quality of information shared between the two parties. The supplier/manufacturer must have full visibility into the inventory levels to ensure a steady flow of goods.
- Clear and open communication: Constant and open communication is vital to the sustainability of the VMI business model. This includes discussing goals and progress towards achieving them. Each side must prevent a breakdown in communication, especially when miscues arise.
To make the best of vendor managed inventory, it's important to utilize a complete inventory management solution to carry out all of the necessary steps on your behalf. Without insights into your inventory, it's difficult to have automatic replenishment of vendor-managed inventory and timely invoicing. That's why it's important to utilize an inventory management solution like Kechie software, which allows you to set up, and streamline your VMI, to maintain automated operations between the vendor and all of the tracked inventory.
Transform Your Business with the Right Payment Processor
Transform Your Business with the Right Payment Processor
More than meets the eye
Swipe your credit card, grab a receipt. Type in some numbers, receive an order confirmation. As a consumer, it’s easy to run your errands and do your online shopping without thinking about how a credit card transaction actually works. But as a small business owner, understanding the process is key to choosing the best accounting solutions and keeping your costs as low as possible.
Every credit card transaction involves several different entities: the cardholder (or customer), the merchant (or business), the network, the bank that issued the card to the cardholder, the card brand, and the payment processor.
When payment information is exchanged between the cardholder and the merchant, the network routes that information to the card-issuing bank for authorization. The network clears the transaction, and at the end of the day it collects funds for all the transactions that occurred in a given 24-hour time frame.
The card brands—Visa, Mastercard, Discover, American Express, etc.—regulate the industry with standards and fees and establish channels through which information passes. For the services they provide, card brands exact payment in the form of assessment charges. The network leverages authorization fees, and the card-issuing bank imposes interchange rates. It falls to the merchant to pay these processing fees, which can add up to a significant percentage of your credit card sales.
It doesn’t have to be that way
There’s only so much you can do to alleviate the pressure of credit card processing fees, but streamlining your accounting procedures and integrating a trustworthy payment processing platform can transform your business, save you time and money, and prevent headaches.
Manual invoicing and accounting is a long, tedious, error-plagued process. Cloud-based accounting or ERP software, like Kechie ERP by My Office Apps, simplifies small business operations by providing an easily accessible information hub from which users can quickly retrieve accurate information. Rather than storing sensitive information in filing cabinets, toggling between numerous spreadsheets, and manually tracking inventory, you and your team can manage your logistics in one secure location.
Even with accounting software, however, invoicing remains a pain point. Merchants have to create an invoice, run the transaction through their virtual terminal, create a cash receipt, find the invoice, and, finally, post the payment to the invoice. That’s a lot of time-consuming steps! And the more steps there are, the more potential there is for data entry error.
Enter the sixth entity in the transaction process: the payment processor. Some processors provide an integrated payment application, which automates the invoicing process, automatically posts payments to invoices, and updates your general ledger to keep your records accurate and eliminate the need for duplicate data entry.
The payment application integrates directly with your accounting or ERP software for a simple, seamless transaction experience. Some payment applications can even save you money by lowering your interchange rate and qualifying you for reduced processing fees. And if you choose a processor that offers an online customer payment portal, your customers can pay their invoices on their own time.
Look before you leap
A wide array of companies offer payment integrations, and they each tout their own list of enticing promises—attached to complicated conditions and ensnared in industry jargon. How do you know which companies you can trust to deliver?
Here are five key features to look for to help you choose the best payment processor for your business.
- Fees and payment structure: Many processors will tempt you with low costs, but they’re probably not being upfront about additional charges or shoddy customer service. If it sounds too good to be true, there’s a good chance it is. Ask for a cost savings analysis and be wary of tiered pricing payment plans. Flat rate and interchange plus plans are much more transparent and likely to lower your processing rates. Long-term contracts are giant red flags. Reputable companies are confident in their product and committed to earning your business month after month by providing continual value and excellent customer service.
- Security: Just because you’re a small business doesn’t mean you can fly under the radar. If you process credit cards, you need to maintain PCI compliance to keep your customers’ data protected. Look for a payment processor that implements encryption, tokenization, and off-site data storage. Additionally, a processor that offers Level 3 processing can save you money on interchange fees by lowering your risk of fraud.
- Integration: When you have a small team, you need your business tools to work as efficiently as possible. A payment solution should integrate smoothly with your accounting software to minimize the time your employees need to spend on payment collection and avoid technical difficulties. Best-case scenario: Find an integration built specifically for your software, like EBizCharge for Kechie ERP.
- Support: No one wants to waste valuable time sitting on hold, waiting to talk to a support team that may not be based in the United States. Ask a potential processing provider what kind of customer service they offer. It’s worth taking the time to find in-house, live support.
- In-house development team: Your business is unique, and your payment processor should be willing to accommodate your individual needs when it comes to your integrated payment application. In-house development teams can offer you customization options and fix bugs to prevent a minor snag from becoming a major setback.
Using an integrated payment application with your accounting or ERP software can revolutionize your workflows and lower your processing fees—if you invest the time and resources in finding the best option for your business. The more you know about credit card transactions, associated fees, and the functions of the processor and integrated payment application, the better equipped you’ll be to make a smart decision. Don’t be discouraged by the search! Your business deserves a payment processor that will help it reach its full potential.
How to Upgrade from QuickBooks to a Fully Integrated IMS
How to Upgrade from QuickBooks to a Fully Integrated Inventory Management Software
A step by step guide on upgrading your inventory management solution.
If you’d like to upgrade your business management system to something more capable than Quickbooks, but have hesitated due to the time and effort to make a change, we have news for you. It really is not as difficult as you think. Our Kechie ERP software is designed for small and medium sized businesses in your situation and has built-in features that make this transition easy.
We made it simple by dividing up the process into the following phases:
- Migrate your data from the old system to Kechie
- Train your staff on how to operate Kechie
- Run the systems in parallel for a short period of time to make sure there are no problems
- Once you have gone live with Kechie and everything is running smoothly, you can explore the additional functionality that Kechie can provide to increase the automation and efficiency in your operations.
Transferring All of Your Data
To start with the first phase, most businesses have a few different data-bases that help them manage their business. They usually revolve around:
- Customer Master Data
- Product Master Data
- Inventory Master Data
- Accounts Payable Data
- Accounts Receivable Data
- Current Balance Sheet
- Historical Completed Customer Orders
- Customer Orders, yet to be Completed
- Historical Vendor Purchase Orders
- Vendor Purchase Orders that have yet to be Completed
- And perhaps a few others
Transferring this data manually, could be very time consuming, but Kechie has a great Data Import feature that will automate most of the work. As long as your old system can export the data into either a CSV or XLS spreadsheet format, the team at Kechie has functionality that can import these files into the Kechie system during implementation. These software routines will save considerable time. While doing this, some customers may use this as an opportunity to clean up their data and eliminate obsolete products or customer information, but it’s important to get this done before the import for your sake!
Using Your New Software
When using a new software system, people are always worried about training and getting used to the new system. Kechie has been carefully designed to provide an intuitive menu system that can be learned very easily. In addition, once someone has been trained to use one Kechie module, they will find that the menu arrangements for other Kechie modules are quite similar and learning how to use these is even quicker. When lost or stuck there are help videos within each of the major modules, as well as, a help desk to submit any questions or problems you might have.
When converting to a new system, it is always wise to run the two systems in parallel for a short period of time. It is always worth the extra effort to make sure that something major hasn’t been missed in the transition, because the cost of fixing a problem later can be much higher.
The Initial Transition
For the initial transition, most of our customers will just concentrate on starting to run Kechie with the same functionality that they experienced with their previous system. This is a good strategy, because it allows your team to focus on the initial transition and doesn’t introduce too many changes. However, we emphasize that is just a way to get started. The real value of Kechie is that it will enable you to scale, by providing you more modules and functionalities as you have need of it. You can activate some of the additional features available in Kechie and improve both the efficiency of your operations, as well as, your visibility into how well things are going.
For example, your old system did not support functionality related to manufacturing or purchasing. Once you are comfortable the other Kechie modules are running smoothly, you can then start automating these additional functions to achieve even further streamlined benefits of the system. Since the software has been designed to be highly integrated, once you do activate these additional modules, relevant data from them will start appearing automatically in the modules you were previously using.
A great example might be; when a manufacturing job is completed, the inventory module is automatically updated to show the additional inventory. Your team won’t have to manually enter in this data from an Excel spreadsheet or other ad hoc method you were previously using.
Let's Get Started
The team at My Office Apps will work with you every step of the way. Because our team has great experience working in a multitude of different manufacturing and service companies, we have been in your shoes. Our philosophy is not just that we are providing software, but we are helping our clients improve their business through automation and enabling more efficient procedures. We can advise you on how best to make this transition and offer suggestions on how you can improve your internal operations to get the maximum advantage of our software features. With Kechie, our customers can typically make the transition in weeks and not months, so they can look forward to enjoying the benefits of a more modern, easy, integrated ERP system. To learn more about Kechie and how you can upgrade, contact us. We’d love to show you how we can help you gain visibility and efficiency to grow your business.
Why You Need to Upgrade From QuickBooks, and What to do Next
Why You Need to Upgrade From QuickBooks, and What to do Next
Do you feel that your business is outgrowing basic accounting software like QuickBooks? Well, it may be a sign that you’re doing something right – your business is growing. While QuickBooks is undoubtedly the first choice for business startups and warehouse management due to its affordability and simplicity, it has its limitations. This popular accounting software was not built for heavy lifting. When your business expands and you start racking up clients, the software quickly changes from an asset to a reporting hindrance. If your warehouse faces this challenge, it may be time to upgrade to an enterprise resource planning (ERP) software.
Why are you Outgrowing QuickBooks?
In reality, QuickBooks might not have the scalability and functionality to handle more transactions (past a certain threshold) efficiently and complex processes. As your warehouse expands into multiple locations with higher traffic of goods, you’ll have to upgrade to a software that can handle your business needs.
Below are some of the telltale signs that you’ve outgrown QuickBooks:
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1. Slow Processes:
- Are users waiting too long to reconcile/balance books, bill clients, and generate financial statements?
- Or are your employees forced to purge data and use manual data entries in Excel? As data sets expand and the supply chain becomes complex, your old warehouse management system will hinder your growth potential.
- If your processes are slowing down, the system might be overpowered by too much data.
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2. Inventory Management Challenges:
- If you need to view shipped orders, have a large number of transactions, and need to track inventory in multiple warehouses, including bin and shelve locations, it won’t cut it.
- If you’re selling online, you may need eCommerce integrations and a CRM. Without these, some companies can’t even run.
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3. Serialization & Lot Tracking:
- If you have multiple SKUs, you won’t be able to see where your products are when it’s time to pick, pack, and ship them. It’s important to utilize serialization or lot number to track the products’ movement, giving you insights to know if they were returned or replaced in the right places.
- Are you being asked to upgrade due to the lack of these features? This is an obvious sign you need to transition to a fully integrated software.
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4. Perishables with expiration dates:
- If you have expiration dates, you need to be able to track your perishables when storing and tracking inventory. This is a huge problem for someone turning over a lot of inventory that may have an expiration date and can make or break your business.
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5. Anywhere Access and Software Maintenance:
- Are you stuck working from a single, on-premise location? This means not being able to take it with you wherever you go.
- Do you need to have an IT infrastructure and staff to help streamline inventory and other business processes?
- If you’re having to purchase updates or staying with outdated software that doesn’t measure up to your current needs, you may need to upgrade.
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6. Business Transparency:
- Is there a lack of in-depth reports outside the field of accounting? If you don’t have an in-depth analysis of inventory levels/ locations that a company needs to streamline a business, you won’t get an accurate measurement of your inventory.
- You need to be able to identify stock movement patterns, use previous sales history to predict future inventory reorders, of course, gain insights into customer and sales trends.
- If business leaders are having trouble accessing vital business data such as average sales margin, cash forecast, and cash position, it’s time to upgrade – unless you want to risk hurting sales and alienating customers with inadequate service provision.
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7. Software Security Features:
- Are you constantly modifying or deleting existing transactions (invoice journal entry etc.) that don’t follow the best-practice protocol in your financial statements?
- Do your software users have too many permissions you can’t control? Can they see and change content they shouldn’t have access to? This is a huge security risk and may lead to errors or malintent that can cause major issues with your data being manipulated if you’re not paying attention. It’s important to have a solution that can control user permissions and access control to limit the capabilities of individuals and require approval before making changes.
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QuickBooks Doesn’t Fit, Now What?If you have experienced some of the accounting challenges above, you should seriously consider leveraging a complete ERP solution. An optimal system should solve & answer the following questions:
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- Does the solution offer scalability?
- Does it address the existing inefficiencies of QuickBooks?
- Does the solution have automatic updates and access from anywhere?
- Does it offer online training, easy-to-use software, and remove the need for extensive IT staff?
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To give you an idea of the kind of ERP you should focus on, consider Kechie ERP. Kechie is a fully-integrated ERP solution that includes; bin location, multi-warehouse management, built-in CRM, inventory management, cycle count, eCommerce integration, RMA, lot, and serial tracking; many features growing companies need that are limited by your current solution. The cloud-based software uses an intelligent inventory tracking system to coordinate shipping from multiple warehouses with minimal inventory conflicts, and it’s accessible from anywhere! Best of all, Kechie ERP’s software adapts and grows with your business with easy implementation and customizable solutions - down to the user level, making the transition an easy one.
Schedule a Demo today and experience the Kechie difference!
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Signs That You Have Outgrown QuickBooks
Signs That You Have Outgrown QuickBooks
QuickBooks is a popular introductory accounting system for new and small businesses. Its ease-of-use, affordability, and basic functionality, allow you to start using it without an in-depth knowledge of standard accounting procedures. As a business begins to grow, significant imitations become apparent and at some point the business management has to start thinking about converting to a more capable system.
Extensive Supplemental Spreadsheet Use is a Sign That You Have Outgrown QuickBooks...
One sign this is happening to your business, is when your team starts requiring the use of many external spreadsheets to supplement the capabilities provided by QuickBooks.
A goal of any well running business is to automate and become as efficient as possible. One way of achieving this is to utilize well-integrated software tools that can minimize the amount of manual labor needed to track and report on your business operations. Any process that requires the use of external spreadsheets should be immediately reviewed to see if it can be improved.
Some of the issues that can arise using QuickBooks, or accounting tools/ manual spreadsheets include:
- Many pieces of data will require duplicate entries reducing employee productivity
- Errors can arise when data needs to be manually entered rather than automatically
- Data backups, audit trails, and data security are often quite weak when using spreadsheets
- Sharing data between employees may require sending emails, uploading and downloading from a shared server, or even manually passing it on physically with a USB thumb drive
- If different employees are using the same spreadsheet there may not be suitable enforcement to ensure that they are entering the data in a consistent manner
The reason that some companies may end up requiring many supplemental spreadsheets when using QuickBooks is because it was originally developed just as a basic accounting system. For many companies, the ability to track inventory, and manage production is a vital requirement. The QuickBooks support for this is insufficient. Certain required functions such as; lot tracking, bar-coding interfacing, running MRPs, and support for multiple warehouses may require supplemental solutions, which isn't how a business should be run. In addition, the reporting functionality in QuickBooks is focused only on providing accounting reports. They're the type of reports a user might need for managing inventory, or tracking production,which is something they don't provide for.
Other issues that a growing business may experience with QuickBooks, include; certain file size and data limitations, lack of suitable integration and automation capabilities with other software packages, lack of personalized support, and the inability to implement customization so that the software can work better for a particular business. A successful management approach is to adopt the philosophy of continuous improvement. So things that may have worked okay when a company first started may no longer be the best approach as a company grows. One exercise recommended is to review your operations, and count the number of external spreadsheets that are used by your staff to help run the business. You may be surprised at the result! And if you are, call us at My Office Apps to see a demo of how our Kechie ERP software can provide a more capable, integrated solution that will allow you to eliminate the manual spreadsheets, improve efficiency and gain better visibility into your overall operations.
ERP Systems and Cloud Security
ERP Systems and Cloud Security
A significant concern held by CIOs and top managers at companies of all sizes is the risk of a cybersecurity issue at their company. Their concern is justified and many are actively working to improve their software, systems, and procedures so that they will not have any problems.
A common misconception of ERP systems is that on-premise systems will have better security than a cloud-based system since it can be closely monitored. The fact is, the exact opposite is true! A cloud-based system will actually be MORE secure than one that you might operate on your own premises.
Reasons why Cloud security is better than on-premise
First, Software-as-a-Service (SaaS) providers are particularly focused on excelling in this area. They know that a breach in their security will cause customers to lose confidence them and severely impact their business. Their staff is particularly trained to identify and eliminate any potential security threats, and have a broader experience warding off these attacks. On the other hand, a user company’s internal IT staff will have too much on its plate trying to manage all of these responsibilities, while not being experts in cybersecurity.
In additional to having staff and internal procedures focused on providing great cybersecurity, having the right software to utilize is just as important. At My Office Apps, we partner with the Progress Software company for the back-end database functionality of Kechie ERP software. Progress Software was founded in 1981 and is one of the largest providers of database management software used by over 150,000 enterprises worldwide.
Security features that are built into this ERP software:
- The Authentication of Users: Who is allowed to get in either via a User Interface (UI) or directly to API’s?
- Authorization: Once a user logs into your application, what data are they allowed to access?
- Auditing: What did the user change?
- Data-at-rest: Is the data secure when it’s stored in the application?
- Data-in-motion: Is the data secure when it’s flowing through various architectural components of your application?
- Network connectivity: How do you make sure that the various ways in which a user can access your application are safe, both inside and outside the application boundaries?
The Kechie software takes advantage of these features by creating a smooth interface to this functionality that can enhance its capabilities. For example, different permissions can be programmed in the system for each user for either NO ACCESS, VIEW, UPDATE, or ADMIN privileges. These allow you to keep employees on a need to know and prevent unauthorized viewing, deleting, or changing of data by someone who shouldn’t be doing so. Another feature in Kechie is the CHANGE LOG function. This means that if a hacker ever was able to get into the system and change something, it could be detected. The hacker would not be able to cover their tracks. This feature is also useful in recovering from inadvertent errors in your staff. If something is mistakenly changed, an administrator could go in, figure out what happened and take corrective action. In addition, the cloud-based system also will have automatic data replication functionality. So if a data base becomes invalid due to a hacker or some other reason, the replicated information would be available for restoration of the data and maintaining functionality for the end user.
If you’re worried about communicating your data over the internet, precautions must be taken to ensure that a bad actor can’t tap into the connection, read the data, and cause mischief with this information. The internet standard for this is called Transport Layer Security (TLS) and the Kechie software fully complies with this. All data transmitted between the end user and the server is encrypted, meaning if someone were able to intercept the data, they would not be able to decode it or do anything with it. Simply put, the data sitting at rest on the server is encrypted, and if someone were to physically break into the server room and steal the storage hardware, they also would not be able to decode the data or do anything with it.
Your company’s data has been at the forefront of Kechie’s creation from the start, to make sure that it is kept secure by both My Office Apps, and its partners. With the Kechie ERP system, you won’t have to worry about cybersecurity. You can instead focus your efforts on running and building your business with peace of mind.
What to Think About When Selecting an ERP System
What to Think About When Selecting an ERP System
When companies start thinking about acquiring a new Enterprise Resource Planning (ERP) system, they typically assess their activities, processes, and evaluate their current resources. This is a good starting point, but much more needs to be considered when selecting an ERP system.
What to consider when selecting an ERP system?
The two key characteristics that will determine whether a company ultimately succeeds or not, are scalability and flexibility. Business managers are often surprised in finding that either their businesses grow at a much faster pace than anticipated, or that they do not achieve the growth originally forecasted. Both of these situations can create significant problems if using an inflexible ERP system.
In a fast growing company, it’s imperative to have visibility and traceability of your Inventory, Sales, and the overall profit-and-loss of your business. Choosing an ERP system that empowers you with the knowledge and freedom to manage the overall health of the business is crucial. A majority of the ERP offerings have limitations such as the number of Inventory Items, transactions, vendors, etc. Others may lack functionality with bar coding capabilities and advance warehouse management including a robust Materials Resource Planning (MRP) solution. Oftentimes, when you select the wrong type of ERP software, it will inevitably require you to look for additional solutions and / or integrations to compensate for the lack of these functionalities.
How does an ERP system help you determine your growth?
One common strategy to service a future business growth is to purchase a larger ERP business software believing an expensive enterprise solution is better and contains more features. However, not only is the software itself expensive, but it will require additional costs such as unwarranted implementation charges, consulting fees and IT infrastructure for an on-premise system. Adding to this, the difficult change process for your employees due to the complexity and lack of flexibility to match your business requirements will present additional challenges.
Individual packages or a complete ERP system?
Have you decided on purchasing multiple pieces of various software or going with an all-in-one solution? You may have not considered this as an option. Wouldn’t it make more sense to purchase all of the pieces you need, and try to integrate all of the best ones together? It would be like choosing all of your favorite actors to make your favorite romantic comedy movie. The problem is, you don’t know about their romantic chemistry. They might just absolutely hate each other, and give you the worst performance you’ve ever seen! The same thing happens with ERP software. When purchasing separate modules, they can tend to have a hard time integrating with each other. Especially when it comes to the most essential roles, like inventory management, finance, and sales. With a complete ERP system, you have the confidence of knowing that these were built in tandem, for the purpose of working efficiently together. This not only changes the way you use the software, but it actually makes it easier and more intuitive! By using an inventory management software that automatically tracks and updates the customers information, you are saving yourself precious steps, in turn, streamlining your operations.
True Cloud ERP vs On-Premise Conversion
What is a true Cloud ERP system? Why is it different than a system that utilizes both on-premise, and ERP? The answer revolves around where the software originated from. A lot of ERP software was created in the early 1990’s, before the cloud was a popular area of expertise. Many companies had an in-house server, where they would use an ERP system that was only accessible within the walls, with a wired connection attached. When cloud became widely utilized, these ERP providers decided to try to jump into a cloud conversion from their original on-premise solutions. Sounds simple enough, right? Well they had a huge set of problems when they first started this, to say the least. The software wouldn’t work the way they wanted, and their users had a hard time even getting into the CRM’s! The reason was, it was coded with the intention of an in-house server. Transferring that code is like trying to speak native Australian to a native Californian. Their lingos won’t intertwine, and they won’t be able to communicate efficiently. It’s important to consider a system that was built in, and for, the cloud, so that the software will be able to speak the same language, instead of trying to convert an outdated system, hoping there aren’t too many bugs. Read the full comparison white paper on, The ROI of Cloud ERP Software to learn more.
What if you choose the wrong ERP system?
What happens if you choose the wrong ERP system? Are you tied to a 5 year commitment? Can you start over once it’s been implemented, and you’ve spent 25% of the total cost of the system because it doesn’t work for your needs? The answer is probably, no, you can’t just throw it away and start over. So it’s important to do all of your research before-hand, knowing which modules you will need in 5 years, as well as, the ones you will need today. The nature of ERP software is a huge commitment regardless of contracts and pricing. The main factor is time. Your whole organization is switching from their current business management processes, to this new one, and it has to work out. Otherwise, you just wasted a lot of time when it comes to educating your employees on the software, and when it comes to how long it took to get it up and running. What if you’ve already been using some type of inventory management software for a few years, and you know it’s not going to cut it in the long-run? Then, you should definitely look for a solution that fits your needs. Choosing the right ERP system is not only important for your company, but for your team. It’s essential to make sure your employees can use the software, and actually like it, before making this type of commitment. Find a software that’s easy-to-use, intuitive, can be accessed from anywhere, and is ready to grow with your business.
In Conclusion
Unfortunately, operating a business is not always 100% predictable. At least on the software side, there are ERP systems that are designed for maximum flexibility and scalability with your business. Many of the newer and modern ERP systems are based in the cloud and use the SaaS (Software as a Service) business model. An idea solution will include; Inventory Control, Sales Orders, Customer Relationship Management (CRM), Purchasing, Finance, Pick, Pack and Ship, Manufacturing, Production, and an MRP engine all in one software. This type of cloud ERP system provides full functionality in a scalable manner with real time visibility and traceability. It’s important to find a cloud ERP software for small businesses that is engineered to provide great support for SMB's & enterprises, while also growing with your business.