When we need systems in company

08.05.2017

 

"I need my company’s operations to be based on systems", "I want my processes to be automatized" – these are the sentences company owners and executives say frequently.

What do they mean by these sentences?

Proccesses

Before any company decides to systemize their business processes, they first need to imrove their processes and make them more efficient. Often, it happens that management implements systems in their process with a hope that it will automatically fix existing problems but they soon see that system can only be effective if the processes a system has to manage are efficient and diligently planned. Process is effective when it is:

  • Transparent
  • Replicable
  • Documented
  • Supported by tools
  • Easily accessible

Systems

Structured and sophisticated processes enable a company to implement systems that will help them manage processes with more accuracy, speed and simplicity. It is a commonly acclaimed notion that ERP system has a capability to automatize all business operations and there is no need for other type of system, but in reality only the combination and unity of below mentioned systems can enable process automatization:

  • Core Business Systems – Company and industry specific system (e.g banking, medical, distribution, etc.)
  • ERP (Enterprise Resource Planning) – Accounting of all types of financial operations
  • HCM (Human Capital Management) – Company’s entire staff data is stored and managed in this systmem as well as it serves as Internal Human resources portal for the Organisation
  • CRM (Customer Relationship Management) – System designed to store and manage customer data
  • BI (Business Intelligence) – Reporting and analytics tools for all type of systems.

 

Author

Tornike Chkhaidze

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