The business software market offers a whole lot of tools that make it easier to manage an organization.
The key areas of the company’s activity include, among others, material demand planning. For this purpose, modern ERP system are used, which come in numerous variants and offer various functions.
If you already have a tool of this type but still do not use electronic document circulation, be sure to read our guide!
ERP Class System – Role In Management
The ERP (Enterprise Resource Planning) system is used to manage enterprise resources and plan their use. It also supports processes related to the warehouse, transport, and settlements.
Thanks to such software, these areas consume much less time. Production scheduling becomes more effective, and its settlement is much faster.
Implementation of the ERP system allows you to automate processes, which, of course, translates into shortening their duration and reducing human errors and mistakes.
In the face of digital transformation, companies often decide to extend ERP systems with additional functions that address additional areas of the enterprise.
This is how, for example, document workflow modules work. Thanks to them, the tool is suitable not only for managing finances, inventories, or warehouses.
But also for processing cost invoices or employee applications. However, as it turns out, this solution also has its drawbacks.
When deciding to expand the ERP system with a document workflow module, the company must take into account the fact that, unlike enterprise resource management, the workflow of documents can often change over time.
Such a situation requires sudden changes in the software. However, the introduction of any change requires a large amount of programming work, which translates into high costs and a long implementation time.
A dynamic business environment forces companies to make quick decisions, and an ERP program should support such processes.
Organizations are therefore looking for alternative solutions to combine the functions of both tools without losing efficiency.
A Good Document Circulation System – What Are Its Advantages?
To answer the question of how best to combine the functions of the ERP system with the circulation of documents, one should consider the most important benefits of implementing a dedicated EOD system.
Such a tool allows for much more than just forwarding invoices and other documents. The key advantages of the document workflow system include:
- shortening the invoice handling time at each stage (registration, description, acceptance, and assignment),
- optical character recognition (OCR), which automates data entry,
- informing accounting about the number of processed invoices,
- streamlining the flow of documents in the company,
- clear definition of employee responsibilities,
- supporting the timely completion of tasks through notifications
- signaling delays in payments or tasks,
- possibility of remote acceptance for authorized users.
Although the electronic flow of documents is associated primarily with invoice processing, its functional scope goes significantly beyond finance and accounting.
A good system of this type allows you to build any process – such as, for example:
. circulation of the employee application,
. contract negotiation,
. ISO certification,
. circulation and acceptance of the offer,
. management of work schedules, employee assets, or absence calendars.
To sum up, the implementation of electronic document flow in the company allows you to systematize the process, monitor it better, and efficiently expand the system with new areas.
Thanks to this, you reduce time, costs, and errors in document processing and automate repetitive processes.
You also ensure transparency in finances and day-to-day matters, while increasing work efficiency, avoiding downtime, and improving the use of company resources.
It is also worth remembering about quick and permanent access to all data – including archived ones.
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ERP System And Document Workflow – Synergy Benefits Of Both Tools
To build business processes, entrepreneurs can use modern ERP class systems extended with document workflow modules or purchase dedicated EOD platforms, often also called DMS (Document Management System).
The latter is used to process all files created in the organization. They function as complementary programs to ERP systems and are used both in the case of internal and external documentation.
A dedicated EOD system will guarantee you much more benefits than the document flow module in the ERP system. Such software offers many advanced features that cannot be found in enterprise resource management tools.
It is worth noting that by choosing the right platform, you will ensure fruitful cooperation between both systems. Thanks to the integration, they can exchange data, improving the efficiency of the organization.
Unlike the document flow module in the ERP system, the dedicated EOD software will allow you, among other things, to improve communication between departments and control the deadlines for task completion.
It will also give you access to OCR features with very high performance. It will also allow you to register contracts with file versioning, notifications, and reminders, and to settle holiday requests or business trips.
One of the most important advantages of the DMS program will be the low costs of its expansion with new modules.
In this way, you will make it easier for you to monitor other areas of the company’s operation, efficiently expanding the software with new functionalities and advanced technologies.
It is also worth remembering that, following good practices, only contractors who are financially related to the company are added to the ERP system.
Customers with whom you do not have such relations, but with whom you conduct correspondence (e.g. contracts, letters, offers, insurance, etc.), therefore do not have a history of cooperation in the program.
The dedicated EOD system allows you to add non-transactional contractors to process and archive their documents, without having to send these clients to the ERP.
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Advantages And Disadvantages Of ERP And EOD Synergy
Thanks to the proper cooperation of the ERP system with a dedicated electronic document workflow platform, you will automate and improve key processes for your company. The key advantages of such a solution include:
- streamlining the material invoice registration process,
- the ability to assign multiple cost dimensions before the document is transferred to accounting,
- the accuracy of describing documents, which results from the use of a dictionary of items at the assignment stage,
- the ability to add non-transactional contractors and register events, letters, contracts, etc.,
- the ability to register and automate the payment of documents other than accounting documents, e.g. pro forma invoices,
- ease of extension with processes responsible for individual areas of the company (e.g. circulation of leave requests, contract management, certified signatures, etc.),
- integrations with functions that must be written from scratch in the ERP system (e.g. e-sender of Poczta Polska, KRS, Kwalifikowany Signature, Autenti, etc.),
- importing orders or stock levels, allowing for efficient verification of invoices,
- the built-in graphical user interface, allowing you to modify functions and build new processes.
It is worth noting that the disadvantages of the DMS tool come down to the need to familiarize the team with the new software.
In the case of companies, the ERP system has such an advantage that administrators and employees do not need training, and the program does not have to be integrated with solutions from external suppliers.
Bet On An ERP System Integrated With EOD!
Automation of company processes is a step that should be taken by every dynamically developing company.
However, care should be taken to choose the right tools that will allow you to optimize subsequent areas of the organization.
Bet on a dedicated EOD system that will support your production management system.