Following the start-up of the business and on entering the growth phase of the business’s lifecycle, the business is likely to experience a rapid increases in sales, revenue generation and market presence.
The growth phase requires the scaling up of operations, the introduction of new products and possibly the entrance into new markets. Behind the scenes manual processes should be replaced with automation where possible to aid operational efficiency and reduce time-consuming manual practices. Here investment into infrastructure such as technology, facilities and equipment needs to take place to support the increased operational demands.
To handle the complexities of a growing business, companies often look to implement more sophisticated processes and systems – the introduction of new financial systems or ERP’s now look to make their entrance. The introduction of such systems aids improving efficiency and scalability.
Once the company has made the decision to introduce a more sophisticated financial system or ERP then the way that this is done needs to be carefully considered. Does the company have the internal bandwidth to implement the new system internally or does the company need to look to a third party to help with the implementation of the system? In this respect there are a number of options to consider:
· If the internal team has the capability, time, knowledge and experience to handle not only their usual day-to-day work and the system then this is the preferred route.
· If the internal team has the capability, knowledge and experience to implement the new system, but not the time then the company could look to back-fill their day-to day usual activities. However:
o If budget and recruitment are not restrictions, then changes to the departmental / organisational structure can be implemented to deliver the required system.
o If budget is limited, or there is a freeze on recruitment then this may not be an option that can be followed.
· If time, knowledge, experience and capacity of the internal team are limited then the utilisation of an external implementation team will be the most expeditious and most cost efficient way to implement the desired Financial System or ERP.
If the above strikes a chord with you or you need further information then reach out to us for a discussion. Following this discussion, we would look to put together a proposal for you of how we can assist your business.
