What is ERP system?
ERP system represents Enterprise Resource Planning and alludes to programming and frameworks used to design and deal with all the center gracefully chain, fabricating, administrations, budgetary and different cycles of an association. Endeavor Resource Planning programming can be utilized to computerize and improve singular exercises over a business or association, for example, bookkeeping and acquisition, venture the executives, client relationship the board, hazard the executives, consistence and flexibly chain tasks.
Individual ERP applications can offer programming as an assistance (SaaS), while a total set-up of ERP applications frames an ERP framework that can be utilized to successfully convey and unite business cycles to empower a progression of information between the applications, normally through regular data sets either on location/on-premise or in the cloud.
ERPs interface each part of an undertaking. An ERP programming framework considers better execution and venture the executives that enables plan, to financial plan, foresee and precisely report on an association's money related wellbeing and cycles.
Financial planning is the process of compiling and analysing companies’ long-term financial strategy.
It is a combined effort of preparing management reports, analysing financial trends, calculating the monetary effects of potential business decisions and helping the company’s leaders in taking decisions.
Why is financial plan required?
Take an example that a company is going to acquire another company.
The biggest challenge seems to be that how the acquiring company is going to finance the acquisition cost; it may be debt financing, or raising funds from public in public issue, raising funds on preferential basis from institutions or doing right issue from existing shareholders.
Every mode has its own repercussions.
Money does not fall from the sky.
An individual living till 75-85 years is an ordinary event today, with a decent measure of money related assets being spent on medicinal services in the last piece of their life.
Beyond 70-80 years of age, leaving a legacy for grandchildren, distributing assets among children and remaining financially independent are critical goals.
As you hit 90s, health costs surge unless you remain extremely fit.
Looking after your job, family duties and social commitments are not easy.
Mere thumb rules, shortcuts, broad-based plans and general advice cannot do the trick.
As you start off, you are trying to save time and money and think that having a Business Plan in place is not really necessary.
This becomes an absolute necessity when marketing your product or even looking at external investors for fundraising.
Underestimating the sales cycle can sometimes land the business in trouble!
One can go very wrong here and land into deeper crisis unless they are able to fix the flaws in the business model first.
Hire only those truly needed and take staffing up step by step.
Have a well-defined target market and good knowledge of your opportunities and threats, competitors and substitutes of your products, customer needs, and behavior, market value and demand.
