Challenges that MSMEs need to overcome in 2021!

If you’re one of the many manufacturing business owners spinning numerous plates and tackling everything that needs doing single-handed, or indeed if you’re a consultant helping said business owners in areas outside their expertise, this article will add value and help you overcome your challenges with ease.

 

We live in rapidly changing times, especially for business owners. Considering that, in a single generation, businesses have had to adapt to entirely new marketing channels (web and social), deciding how to invest in and utilise new technologies, and compete on a global stage — things that were barely imaginable to our parents’ and grandparents’ generations.With changing times, the added task of learning new things and keeping oneself updated is a challenge itself.One side effect of these rapid changes and growth is that no single CEO — or any employee, for that matter — can be an expert in everything. This was, perhaps, always true, but it has never been more apparent.This is why, in my opinion, some of the biggest challenges businesses face today are best met and addressed with qualified consultants. Bringing on a consultant helps CEOs add the expertise and skills they need to address particular problems at particular times and can provide the best possible outcomes. Just a few of the challenges that businesses are facing that are best addressed with the help of a consultant include:

 

Uncertainty about the future

Being able to predict customer trends, market trends etc. is vital to a changing economic climate, but not every CEO has Warren Buffett-like predictive powers. Bringing in a consultant trained in reading and predicting those all-important trends could be the difference between a bright future and a murky one.

 

Financial management

Many CEOs  are flooded with brilliant ideas. That means they’re great at the big picture and disruptive thinking, but less good with things like cash flow, profit margins, reducing costs, financing, etc. Small and medium businesses may not require a full-time CFO but would do better to employ a financial consultant who can step into the role as needed.

 

Monitoring performance

Using a meaningful set of rounded performance indicators that provide the business with insights about how well it is performing is essential. Most business people are not experts in how to develop KPIs, how to avoid the key pitfalls and how to best communicate metrics so that they inform decision-making. In most cases, companies rely on overly simple finance indicators that just clog up the corporate reporting channels.

 

Regulation and compliance

As markets and technologies shift, so do rules and regulations. Depending on your industry, it can make much more sense to bring in a consultant to help with these areas rather than trying to understand the complexities yourself — and risk fines or worse for non-compliance.

 

Competencies and recruiting the right talent

Again, a small or medium-sized business might not need full-time human resources or recruiting staff, but during peak growth periods, finding the right people and developing the right skills and competencies is the key to a sustainable future. Bringing in a consultant with the expertise to find exactly the workers you need would be a wise investment.

 

Technology

As technologies change practically at the speed of light, companies need to innovate or be left behind — but many CEOs started their careers and businesses before many of these technologies even existed! Consultants can be vital for integrating new technologies, in particular mobile, app development, and cloud computing.

 

Exploding data

The older  generation certainly didn’t have to deal with terabytes of data or worry about what to do with it. 90% of the world’s data was created in the past two years and managing, keeping safe and extracting insights from the ever-increasing amounts of data your company produces needs to be in the hands of a qualified professional who can help you get the most return from that data.

 

Customer service

In a world of instant gratification, customers expect instant customer service — and can take to the web to share their displeasure at less than satisfactory service just as quickly. Consultants can find ways to improve customer service and bring it into the 21st century.

 

Maintaining reputation

In a similar vein, because customers can voice any displeasure so much more publicly and loudly than ever before, businesses have to monitor and maintain their online reputations. And while it’s an important task, it’s one best suited to a third party who can monitor and mediate with a certain amount of distance.

 

Knowing when to embrace change

Early adopter or late to the game? Consultants can help CEOs determine when to embrace change and when to stay the course. Not everything new is better, yet eschewing every change runs the risk of becoming obsolete. A professional outside opinion can make all the difference in these decisions.

 

Knowing the order status

Business owners need to know every status update regarding orders. If there is a case of delay, it is vital to understand the reasons(supplier delayed,machine breakdown etc) for delay so that the customer can be well informed and avoid any misunderstandings.

 

Knowing the exact profit according to invoice

Any business owner may want/need to know the profit made in a particular order or invoice. It is essential to have the detailed costing of the order to estimate the profit as per the invoice.

We are living in an era of constant change for the foreseeable future: change is the new normal. Preparing for and embracing that change by investing in the right kind of advice is the best way to meet these challenges head-on.

All the above enlisted challenges can be overcome with a single Enterprise Resource Planning system that will constantly provide real time data remotely or on site. A best fit ERP like Expand smERP can sort out optimal challenges faced by manufacturers in the export and import sector.

The Indian MSME sector is the backbone of the national economy. With around 63.5 million units throughout the geographical expanse of the country, MSMEs contribute around 6.11% of the manufacturing GDP and 24.69% of the GDP from service activities as well as 34% of India’s manufacturing output. They provide employment to around 120 million people and contribute around 45% of the overall exports from India. The sector has consistently maintained a growth rate of over 10%. One fifth of these MSMEs is based out of rural areas, which indicates the deployment of a significant rural workforce in the MSME sector and is an exhibit to the importance of these enterprises in promoting sustainable and inclusive development as well as generating large scale employment, especially in the rural areas. SMBs need to buckle up for not just facing but overcoming some of the very critical challenges for them. 2021 comes with a lot of expectations but the impact of 2020 for SMBs is still in the air. Devastated with the turmoil created by the pandemic, they are still recovering from the bottom of their growth curve. But, marketers should be ready to face new challenges along with the previous year’s impact in 2021.

 

Focus more on Data Literacy than data management

There have been large conversations, webinars, blogs, seminars, events and much more about how important data can be. And, that’s absolutely true. It is a game-changing gold mine.

Despite that, the knowledge of data and how to use it has been on the lower side. SMBs need to conduct educational programs for their employees who are anyhow related to data management.

A gold mine is of no use if any one of the complete workforces is not understanding it. Investment is essential in people and better resources also for efficiently exploring the benefits of data.

Expand smERP is India’s best fit ERP software for manufacturers in export and import industries. With our systematic automated software, running your business operations remotely is easy and affordable. It is the only 360 degrees solution for the constant growth of an ambitious company. Take the step and watch your company excel even in crisis times.

 

To know more details contact us at +91 9007026542.

Know the best way to overcome Operational Challenges today

It is aptly said; “We don’t grow when things are easy. We grow when we face challenges.” 

We know we are growing when challenges and obstacles come on our way. It is on us how we face the challenges and overcome each problem with suitable solutions for a smooth sailing business experience. Businesses have undergone several changes over the past year and will continue to do so this year too. The modes and methods of running an organisation has been compelled to modify and improvise in order to sustain during these trying times. Since the threat is still prevalent and the new normal is here to stay, you need to systemise your organisation for such massive changes.

 

Some of the top challenges that businesses face everyday are:

 

1. Tracking Inventory levels and maintaining adequate stock

Without a real-time view of inventory movement from your eCommerce or warehouse it is impossible to track the accurate stock. It is going to be a common issue when a certain product which has been in demand for sometime will suddenly lose demand. To maintain the balance between overstocking and understocking, you need a constant check on the inventory movement. Manually doing this task is a waste of time and resources. It is also important to move unused inventory by whatever means like discount etc. A best fit ERP software like Expand smERP is well equipped to take over such a task and maintain timely, accurate inventory control. As soon as you feel settled in the market scenario and you think your organisation is running smoothly, it changes again.

 

2. Optimising production capacity while maintaining product quality

Providing the best quality product to the consumers while optimising production is every manufacturer’s aim. It is the quintessential rule of success, to manage quality control efficiently and minimise wastage as much as possible. The amount of waste and scrap caused by your production line can cause less profit margin. Most often manufacturers give less importance to wastage while exhausting more time and effort on other things. Rejection of finished products that are not upto the quality standards is also a huge waste. Each time this happens, you put your production goals at risk and cut even further into your profits. This challenge can also be curbed easily by integrating a best fit ERP software that automatically manages your production without using much of your resources. This will reduce time taken in production along with extra waste and resources.

 

3. Maximising efficiency in operations

Standardising inventory and stock and improvising in the consistency in quality control creates an overall operational efficiency. However along with these, proper utilisation of skilled staff is also essential for optimum growth and returns. Wasted staff time reduces the manufacturing output to a huge extent. The typical manufacturing workforce still wastes far too much time performing manual machinery checks and keeping paper records. IT staff are imposed to spend a lot of precious hours maintaining hardware and software rather than finding new areas of innovation. On either end of the production process, the purchasing and shipping departments are too reliant on high costing logistics. These challenges can also be met by implementing an ERP software which automates and eases the entire operational processes.

 

4. Ensuring Cybersecurity

Many manufacturers underestimate the safety stance they need to take. Building security protections into everything you do should be a priority, from individual components to the entire footprint of your plant. If it’s connected, it needs to be protected. IT/OT convergence has helped to expose vulnerabilities in the OT environment, particularly when it comes to older technology and applications. OT patching, for example, is critical – but it is often overlooked by manufacturers that don’t understand how exposed they are. Enjoy 100% data security with diligence and grow your business with complete peace of mind with Expand smERP that stores data on the cloud and ensures maximum safety with trusted technology platforms like Microsoft Azure, SQL Server. We also provide 99.9%uptime for an uninterrupted online experience.

 

5. Optimising Network environment

The network environment is the backbone of a modern manufacturing operation, providing the data transit capabilities to move information and commands throughout your automation footprint. Keeping these assets up and running is required to ensure the smooth and prompt execution of application activities. Expand smERP provides domain expertise as well as monitoring capability to maintain a high level of availability to minimize downtime resulting from last network connectivity.

 

Overcoming these challenges is complex and difficult, but it’s well worth the effort. As technology continues to evolve, it enables great advancements in smart manufacturing and operational productivity. For manufacturers, that also means competitiveness at a much higher level. Being adaptable to these challenges can not only help you keep up and “future-proof” your plant, but also potentially give you a competitive edge.

 

Your business needs attention and a vision for the upcoming years as well. The future is in the cloud. A cloud based ERP software that is well integrated and mobile-enabled applications makes it easier to operate your business remotely.  With constant real time data, your business will be easily able to drive efficiency, quality, agility and faster response. This will also enhance your customer relations and hike re-sales.

 

Rely on Expand smERP –  India’s best fit cloud ERP software for manufacturers in export and import industry and find optimal growth of your organisation.

To know more details contact us at +91 9007026542.

Benefits of Business Implementation with Cloud ERP

Why should your business implement the cloud ERP software in its daily operations? Let us first understand the basic difference between ERP and the other software. An ERP software manages your company’s data centrally (on the cloud) that can be accessed by users with a web browser. Your technical staff need not handle it at all. It can be installed locally on the servers and hardware of your company. In today’s growing digital world, easy access to data at all times with safety is a great pro for any business.

Let us quickly go through some of the benefits:

1. Enhanced business intelligence

Most of the businesses in today’s world require real-time data to operate and collaborate and cloud ERP is the ultimate solution to it. Sales and marketing departments can use this software to understand their customers better and aid the buyer’s journey. No complex technical configuration or robust IT staffing is required.

2. Faster implementation

As a business, you constantly need to focus on innovation and creativity. So you need more time to think than handle the technical nitty-gritty. The cloud ERP’s technical environment can be configured in less than 24 hours. Your business management can quickly gain access to the resources which helps them focus on the organization transformation.

3. Greater focus on core competencies

As a company, you will always make better profits if you focus more on your customer experience than IT management. With the help of cloud ERP technology, you can give more time to your core business, for instance, the products and services you offer. You need not spend your resources on hiring a decently skilled IT team or building infrastructure. You can rather easily outsource it to cloud ERP.

4. Cost savings

You need not manually maintain your cloud ERP software or update your software and hardware. This helps your company save a lot of budgets. Though you still need to pay the subscription fee for cloud ERP software, the overall cost is way less. Most of them can even be customized according to your cost requirement.

5. Strong data security

Data breaches are so common in today’s world. Cloud ERP has such a sophisticated security system that the chance of a data leak from your organization is almost zero. The hosting environment is extremely secured and the entire system is very vigilant.

Conclusion

So, now that you know the benefits of cloud ERP software, take your business to the next level by implementing it in your business space as well.

Contact us at +91 9007026542.