To all small and midsize businesses: how efficient is your business? Would it be possible to reduce storage costs if you were to adjust your production schedule? Are you timing shipments from your suppliers so that you receive parts or tools right when you need them? Are you marketing to your customers or clients at the times when they are most likely to make a purchase?
Production, purchasing, and sales: improving the timing of all of these things can serve to ensure that you are able to grow your business. Each element, when functioning with maximum efficiency, has the potential to cut your company’s costs – and, as a result, improve your organization’s bottom line. However, in order to determine where your company is already performing efficiently and to identify areas where there is room for improvement, having access to the right data is essential.
Monitoring your production line and considering storage and shipping costs can help you to manufacture products just in time – reducing the costs associated with warehousing or, on the opposite end of the spectrum if products are not ready on time, the costs of expedited shipping. Evaluating your supplier relationships can help you to identify whether you are purchasing with the right frequency and help you to identify opportunities to lower costs. Knowing when your customers are most likely to buy and timing marketing messages effectively can help to increase sales.
Ultimately though, in order to make improvements in any of these areas, you need to know how you are doing now. Especially when your business is in a growth period, having access to data and information that is accurate and current prepares you to make the right adjustments – and avoid the risk of making a costly mistake.
Some tools allow you to access financials, supplier information, details about your production line, and data related to marketing and customer buying trends. With this information, you will have the power to fully understand your business and to chart the course from where you are to where you want to be. SAP Business One provides you with the data you need to analyze your situation in real-time, weigh the benefits and risks of decisions, and track your successes as you strengthen your organization.