The problem with Project-based companies
Let’s face it, most ERP systems are designed for either distribution / trading companies or simple manufacturers. They are based on a relatively simple set of processes:
Take a sales order
Work out where you are going to source the demand from
Purchase what you need and receive the goods and the invoice
Make the demand (if you are a manufacturer)
Ship product and invoice for it
All the rest of the finance stuff.
But what if you are a project company, be it dealing in supply, service or manufacture?
Your finance processes are completely different as they need to revolve around a segmented group of transactions connected to a project rather than (or as well as) an annual timetable.
Your inventory transactions need a project dimension as stock needs to be allocated to projects rather than in-house stock.
Profitability is measured by the project and timescales are always different (I haven’t yet found a convenient project that exactly matches any company’s financial year).
So how do Project-oriented companies find software that caters both for their unique project requirements as well as their “normal” business transactions?
Well most end up with two systems and then have the tricky job internally to interface them when the design of transactions in the one system do not match the other. And ultimately it all ends up in the inevitable spreadsheet.
There is a solution
So what you need is an ERP system that understands the constraints of the project environment. Priority ERP does exactly that.
For many years Priority has had the concept of projects infiltrated throughout the system. All transactions can be project based which means that project financial reporting is automatically segregated to the specific project whilst normal annual financial reporting shows the complete company view. No need for the immensely complicated spreadsheet just to try to monitor project progress.
The complexity of the project environment means we can’t explain it all here.
If you need more? Go to @MedatechUK, or contact us email@example.com,