It is simple enough to calculate the ROI on the sale of a particular product or a service. But how can you know the right ROI of the investment you made for an ERP?
Some will think directly about the money coming in and compare it with the price of ERP and decide whether it is an advantage or a disadvantage. That’s a simple way of looking at it, but it doesn’t cover the entire scope of the ROI driven by the ERP. Instead of looking at ERP as just a financial expense, consider the benefits of ERP and convert it into money.
It will give you a broader scope and the real ROI you get from the Microsoft Dynamics ERP.
Choosing The Right ERP to Increase Revenue
So, coming to the question, can we increase ROI through ERP?
- Yes, we absolutely can, provided a few precautions are taken while selecting an ERP.
- Choose a cloud ERP else you will miss the point of installing an ERP in the first place.
- Make sure that the ERP you purchase has strong security measures.
- The ERP provider must be on the path to constantly develop and better the system.
- When you have purchased a Microsoft dynamics ERP that satisfies the above criteria, you will have a good ERP in place. It is advisable to purchase ERP from some large providers as they have all the security systems and will also support integration with other systems.
- Once your ERP system is in place, making full use of it, you can not only double or triple your ROI but even more!
Microsoft Dynamics 365 Delivering Huge Returns
As we all know, Microsoft Dynamics 365 is one of the popular ERP systems used by major corporations and small businesses alike. In recent research conducted by Nuclear Research in September 2018, it was found that for every dollar spent by companies who have deployed Microsoft Dynamics 365, they are gaining $16.97 in returns!
That is a huge number that is higher than the ROI an average ERP or a CRM can bring. One of the main reasons for such a huge return on the ROI provided by Microsoft Dynamics 365 is mainly attributed to its cloud platform, the integration options, it’s easy-to-use interface, and the analytics. These key features have reduced operating costs and increased overall company productivity.
Adding to that, it is no wonder that these companies using Dynamics 365 have zero worries regarding the security of their data as it is a part of the Microsoft family.
So let’s look at each of the factors and how they contribute towards increasing the ROI.
Eliminating The Ambiguity with Data
With proper ERP, employees no longer have to think twice about the accuracy of the data. Data redundancy or duplication will also be a thing of the past once centralized ERP is implemented. As there is just one single system spread out over the entire organization, every employee in different departments and even in different parts of the world will get access to the same data and this greatly eliminates the confusion and doubts once and for all.
It also cuts down the data errors that is a common form of mistake among employees. Reducing these data errors and the ambiguity about the accuracy of data translate towards an increase in ROI.
Better Productivity
Of course, this is the whole point of getting an ERP system. The employees will be able to work efficiently as they will be making data-driven decisions. It will remove the boundaries between departments when a single source of data, will be provided to all encouraged inter-departmental collaborations.
An ERP will also remove most of the mundane and routine tasks, like data entry, which will give the employees more time to concentrate on the important tasks. A more productive employee automatically means earning more money for the company.
In the Nuclear Research conducted on Microsoft Dynamics 365, the Renault Sports Formula One Team was analyzed based on the Microsoft Dynamics 365 deployment. It was found that with Dynamics 365, the entire members can access data from anywhere, which increased their productivity. Reports that took weeks to compile were completed within hours with the help of Dynamics CRM Development.
Reducing the Operating Costs
When all your paperwork is done and the flow of processes within office fees is digitized, it becomes much easier to streamline. As the process is streamlined across the entire organization, employees will now spend less time trying to manage and keep track of the flow and instead focus on the actual tasks that will increase a company’s revenue.
Rightly using the ERP for its main applications opens up a lot of possibilities to increase your revenue. Investing in a good Microsoft Dynamics ERP can build your company higher and stronger, enabling you to reach your financial goals easily.
