To mitigate those risks and pave the way for your enterprise to unlock scalability and growth, enterprise risk management software might just be the thing your enterprise needs. However,   existing off-the-shelf enterprise risk management systems might not suffice for your unique business challenges.

There may be instances where an off-the-shelf ERM software might not be able to foresee and forecast challenges and risks associated with your unique line of business. This is where custom ERM software will come to your aid.

Custom ERM software is not only optimized for all of your internal processes but also has the potential to forecast and predict pitfalls that your enterprise may be vulnerable to. A custom ERM system supports effective collaboration and increases efficiency by seamlessly connecting departments.

A custom ERM software will streamline data from various departments and will take into consideration your historical data to keep you abreast of the challenges and risks associated with your business. It will help you make informed decisions and pave a successful path for your enterprise.

The growth of the global ERM software market has also been quite exponential. The market is soaring at a bolstering rate of 5.8% and is projected to reach a valuation of $6.38 billion by 2027.

The significant increase in the adoption of custom ERM software by businesses can be attributed to the alarming surge in data security breaches within enterprises. Integrating custom ERM software with existing systems has become imperative for businesses to safeguard their sensitive data. The rise in data security breaches has created a pressing need for enhanced data protection measures, leading to the widespread implementation of custom ERM software.

In this comprehensive guide, we will study the key steps to build custom ERM software and how it works. We will also discuss the ERM software development process, features, implementation process, and an overview of ERM software development cost. Let’s delve deeper.

What is ERM Software, and How Does it Works?

Enterprise Risk Management (ERM) software is the ultimate solution for organizations looking forward to effectively managing risks. With its powerful features, ERM software solutions allow businesses to easily identify, assess, mitigate, and monitor risks in a centralized platform. This software enables organizations to make informed decisions and enhance their overall resilience.

Let’s see how an ERM software solution works:

Risk Identification and Assessment

ERM software helps businesses detect possible risks in various contexts, such as operational, financial, regulatory, strategic, and reputational issues. Users can collect data from various sources, including internal reports, external databases, and other risk indicators.

Once the potential risks have been identified, users can evaluate the probability of each risk’s occurrence. Organizations can prioritize risks depending on their possible severity through risk assessments, which can be qualitative or quantitative.

Risk Mitigation and Monitoring

ERM software assists in creating and putting into practice risk mitigation plans. Users can delegate tasks and responsibilities to pertinent parties, establish deadlines, and monitor the advancement of risk mitigation measures.

Risk monitoring is essential for ensuring that the mitigation techniques continue to work and that emerging risks are handled on time. The ERM software offers real-time monitoring capabilities through its dashboards, alarms, and automated reporting features. It allows entrepreneurs to get a complete view of their operations and quickly identify any issues or anomalies.

Reporting and Analytics

The ERM software includes extensive reporting and analytics tools that allow businesses to produce insights, spot trends, and evaluate risk exposure across several projects or business units.

Integration

To give an all-inclusive picture of risk across the firm, ERM software can be integrated with other enterprise systems, such as financial management, compliance, and project management tools.

Additionally, integrating ERM software with other enterprise systems streamlines processes, eliminates silos, and promotes collaboration among different departments, fostering a culture of risk awareness and accountability throughout the organization.

Also Read- How to build an ERP system? A complete step-by-step guide

Understanding the Implementation Process of Custom ERM Solution With Current Systems

The custom ERM software development procedure systematically aligns the finished solution with the organization’s risk management strategy and ensures seamless integration with current systems. Here are the key steps to build a custom ERM software solution.

Analyze Your Organization’s Needs

To effectively manage risk within your organization, it is crucial to conduct an extensive assessment of your risk management needs. This assessment will allow you to identify areas where implementing ERM software can provide value and streamline processes.

To ensure that the custom ERM software meets the requirements of all stakeholders, it is essential to engage representatives from various departments and gather their input on the functionalities and features they need.

Clearly state the aims and objectives of developing ERM software. Ensure that the objectives align with the organization’s strategic goals.

Gathering Requirements and Conducting Feasibility Analysis

The team you hired for your enterprise risk management software development project would first understand your firm’s unique risk management requirements and difficulties. Next, they would determine the custom ERM software’s necessary features and functionalities, such as risk identification, assessment, mitigation, reporting, and monitoring tools.

All the requirements that have been obtained get documented by the team. Also, they conduct a feasibility analysis to determine whether developing a custom ERM software will be technically, financially, and organizationally feasible.

System Architecture and Design

Based on the requirements gathered, the system architecture for the ERM solution would include several software modules. These modules aim to handle different aspects of the ERM system, such as data storage, data processing, user interfaces, and integration with other systems.

The data flow within the system will be carefully planned to ensure that data is efficiently and accurately transferred between the different software components. The design team works on user interfaces that are highly intuitive and user-friendly, allowing users to interact with the ERM system easily.

Development

After completing the system architecture design, the team moves on to commence the agile ERM software development process as per the specified design guidelines. The experts systematically create and evaluate different software modules using agile development methodologies. This iterative process ensures the functionality and effectiveness of each module.

Integration to Current Systems

Next, the custom ERM software gets integrated with current CRM, ERP, financial, and compliance tools. This integration ensures seamless data transmission and interoperability between current organizational systems and the ERM software. Read this blog to learn more about cloud ERP integration.

System Testing

Before full deployment, the QA team thoroughly tests the ERM software to find any faults or bugs and fix them. In this stage, the testers also involve the key users and stakeholders in the testing process to acquire feedback and make the necessary adjustments.

Deployment

The custom ERM software is prepared for deployment in the main production environment at this stage. The experts prepare a rollout strategy to avoid disruptions, ensuring the end-user’s smoother adoption of the software solution.

Adoption and User Education

After the deployment, set up training classes for staff members who will use the ERM software. Ensure they know the system’s features and how to use it efficiently. You can promote user adoption by demonstrating the advantages the ERM software delivers to regular business operations.

Ongoing Maintenance and Support

Continuous assistance, upkeep, and upgrades are crucial for ensuring that the custom ERM software remains up-to-date and aligned with evolving organizational needs. This allows for regular performance monitoring and enables prompt action to be taken in response to any issues or opportunities for improvement.

Now that you know the steps included in ERM software development services, let’s discuss the core ERM software features.

Checklist of Essential ERM Software Features

An organization’s specific objectives and requirements are considered while developing a custom ERM solution. Although the functionality of a custom ERM software can vary depending on specific company goals and procedures, the following crucial features should be implemented in the ERM software:

Customized Risk Categories

With the help of the software, businesses can create their distinct risk categories and subcategories that align with their particular risk management framework.

Data Archive

The data archive is a crucial feature for efficient data management. It lets the users store and organize large volumes of data securely. This feature is designed to meet industry standards and regulatory requirements, providing a reliable solution for data retention.

With the data archive feature, you can easily retrieve and access historical data whenever needed, making it an essential tool for analysis and decision-making.

Risk Assessment and Scoring

Users can evaluate and grade risks with the risk assessment and scoring feature according to their potential impact and probability of its occurrence. This feature allows for better risk management and prioritization.

Mitigation Plans and Actions

This feature allows the users to create and track plans for mitigating risks and taking actions to minimize or eliminate risks. It allows the users to assign responsibilities, set deadlines, and monitor the implementation of risk mitigation actions.

Real-time Monitoring and Alerts

The real-time risk monitoring feature allows real-time analysis of risk measures and sends alerts when pre-determined thresholds are crossed, allowing for quick actions.

Push Notifications

The push notification feature will allow users to receive real-time notifications directly on their devices, ensuring they are always up-to-date with important notifications. Users can expect to receive notifications for various events, such as new tasks assigned to them, project status updates, and important management announcements.

Data Visualization and Reporting

To give clear insights into risk trends and performance indicators, custom ERM software combines data visualization tools and customizable reporting features.

User Access Control

Role-based access control is a feature of custom ERM solutions that ensures that only authorized people may access particular risk data and capabilities.

Compliance Management

Custom ERM solutions frequently include compliance tracking and reporting tools that aid firms in maintaining compliance with both internal standards and industry laws.

With a complete overview of the top features of ERM software, it’s time to check out the cost of building robust ERM software.

Key Factors to Consider When Estimating the Cost of a Custom ERM Solution

The cost of developing ERM software can differ, considering numerous factors. To satisfy an organization’s unique needs, custom ERM system development is a complex process that entails designing, coding, testing, and integrating several modules.

The cost of developing ERM system software can range anywhere between $45,000 to $250,000. Larger projects with numerous functionalities tend to have higher costs, while smaller and less complex ERM software solutions can cost lesser. Here are some important factors that affect the overall cost:

Development Team

The cost of developing ERM software varies depending on how much each developer, designer, and other team member is paid per hour. It also depends on their geographical location.

Choice of Technology

The cost depends on the programming languages and technology stack used. Implementing advanced technologies to build custom ERM software can affect the overall cost of enterprise risk management software development.

Scope and Complexity

The cost of the ERM system is directly impacted by the size and complexity of the system. The cost increases when more modules, features, and functionalities are needed.

Customization

There may be extra costs involved in tailoring the ERM system to the specific processes and workflows of the firm.

Integration

It is also important to consider the cost of integrating the ERM software with current systems, databases, and outside applications.

Maintenance and Support

The enterprise risk management software development also includes the costs associated with ongoing maintenance and support necessary to keep the ERM system operating efficiently.

Also Read- ERP software development cost and factors

It is difficult to estimate the cost without analyzing the precise requirements of the ERM project.  To obtain a thorough cost estimation based on the requirements of your business, it is advisable to collaborate with a reputed tech partner like Appinventiv. We follow the top ERM software development best practices and deliver exceptional enterprise risk management solutions.

Build Your Custom ERM Software With Appinventiv

At Appinventiv, we have a team of top ERM software developers who are dedicated to offering you top-notch enterprise software development services.

We build highly intuitive ERM software solutions catering to your firm’s demands and challenges. Our experts understand that each organization has its unique risk management requirements, so they concentrate on building robust ERM software to match your current workflows and procedures perfectly.

Build custom ERM software by partnering with a renowned ERM software development company like ours, promote a risk-aware culture, and achieve superior business outcomes.

Let our experts assist you in maximizing the effectiveness of your risk management initiatives and advancing your company’s success. Connect with us today!

FAQs

Q. What is enterprise risk management software?

A. Enterprise Risk Management (ERM) software allows businesses to identify, evaluate, manage, and monitor various hazards. It offers a single platform for thorough risk management, assisting companies in making decisions that will protect their operations, reputation, and financial stability.

Q. How to build a custom ERM software?

A. Custom ERM software development needs careful planning and execution. Here are the key steps to build custom ERM software:

• Identify requirements: Work with stakeholders to determine the precise functionality and features that the ERM software must have.
• Choose the right technology stack: Select appropriate databases, frameworks, and programming languages for development.
• User interface design: To ensure that the software is easy to use, create a user-friendly interface.
• Implement risk assessment: Create modules for identifying, evaluating, and implementing risk mitigation measures.
• Conduct testing: Test the software thoroughly for errors, functionality, and usability.
• Install and integrate: Integrate the ERM software with other pertinent systems of the company.
• Continuous upgrades: Regularly monitor and update the ERM software to reflect shifting risk factors and organizational requirements.

Q. How much does it cost to build a custom ERM software?

A. The complexity of the software, the range of features, the technology stack employed, the development team’s size, their location, and the amount of time needed for development can all considerably impact the ERM software development cost.

ERM system software development can cost anywhere between $45,000 to $250,000. While larger, more elaborate projects with many functionalities might cost more as compared to smaller, less complex ERM software development projects.

Q. How long does it take to build a custom ERM software?

A. ERM system development is a complex process that usually requires significant time. On average, it can take anywhere from six months to a year or even longer to complete. However, this investment of time is well worth it, as custom enterprise risk management solutions can greatly improve the efficiency of your business operations.

With a tailored solution, you can streamline your processes, automate tasks, and gather valuable insights into your business data. So, if you want to optimize your operations and drive growth, consider investing in a custom CRM solution. Connect with our experts today for a detailed discussion.

Integration of ERP in financial management might seem very peculiar, as it is the impression that Enterprise Resource Planning (ERP) is normally associated with functions handling large amounts of data, for example, operations, customer relations, and sales. However, the truth is that ERP Accounting Software delivers much more than what simple accounting software does.

This article will help you understand everything you need to know about ERP accounting systems.

Differences between ERP and Basic Accounting Software

While basic accounting software with a set of modules is easily capable of performing specific financial tasks such as generating POs, billing/invoicing, electronic payments, expense handling, timesheets, etc., ERP accounting software goes a step beyond.

The ERP system for accounting and financial management can efficiently perform all the above-mentioned tasks. Additionally, it can track numerous tangible and intangible assets, like working hours, product life cycle, and other performance metrics. ERP accounting software can also automate various tasks performed by users in the finance department. It ensures that all the transactions are accounted for and reported accurately.

Here is a summary of the key differences between ERP and accounting software for better understanding.

Software

There is a broad difference in the scope of software when we compare these two systems, ERP and accounting software. Accounting software works stand-alone, whereas a financial ERP system integrates with the data from other tools used for different business processes.

Industry-specific

Accounting software has a limitation when it comes to meeting industry-specific needs. An ERP system can be customized and deployed based on the specific industry such as a contruction ERP or organizational needs catering to a broader services landscape.

Despite these differences, there is still an assumption that ERP accounting software development is costly and time-consuming, unsuitable for all types of organizations. But the truth of the matter is that an ERP is much more robust, catering to every business’s needs. Let us break some of the myths around ERP financial software.

The Myth and Facts about ERP Accounting Systems

ERP accounting systems are becoming increasingly popular in the business world. As explained above, an ERP accounting system does much more than what accounting software does. It is more of an advanced approach to dealing with accounting issues where respective modules are integrated as a part of the ERP package. However, many myths surround ERP accounting software features, creating confusion and misinformation. So, let’s explore some of the common myths and facts about ERP accounting systems.

Myth 1: Budding and small companies do not need to develop ERP accounting software

Fact: Considering that the company is small with fewer staff members, the operations and accounting can be managed without needing any custom accounting software development is a false assumption. Even small-scale businesses, especially those that wish to grow, need an effective accounting system to ensure the smooth running of their workplace. 

Appinventiv, as one of the leading ERP software development companies, can design ERP accounting software for companies of any size and industry. 

Myth 2: ERP Accounting software development cost is very high.

Fact: The cost of accounting software development might seem like an expensive deal, but the multiple benefits and features of ERP accounting software outweigh its cost. Leaving tedious, repetitive tasks on such a system saves time and costs in two ways. One, by freeing up the resources to do more strategic tasks, and secondly, by making the process less error-prone, thus saving on rework. When compared with the benefits and results, the cost seems justified.

Myth 3: Integrating an ERP accounting system with other tools is time-consuming

Fact: One of the most common myths about implementing the financial ERP system is that it might take weeks or even months to integrate it with the existing technical environment of the company. The ERP accounting software by Appinvetiv can help you complete the configuration and integration in just a few days based on the initial business requirements stated at the time of planning.

Myth 4: Understanding the ERP accounting system is challenging

Fact: It is assumed that learning, understanding, and getting accustomed to the ERP accounting system demands extra hours and lengthy training sessions. Yet the employees only adapt to the new system by a trial-and-error method that takes additional time to complete their basic work. But proper training, user-friendly eLearning modules, prompt support, and effective maintenance services will surely lead to the path of easy learning and adapting to the new system that offers individual growth to the users.

An ERP accounting software helps the accounts payable team interact with vendors, generate invoices, pay to vendors, and manage debit and credit notes, among other tasks. On the other hand, it helps the accounts receivable team collect resources from internal and external customers, generate POs, and more. It will not be an exaggeration to say that the transactions handled by an ERP system are voluminous, complex, and repetitive. Thus cloud-based ERP accounting software development is indispensable for businesses.

Also read: ERP finance – Making Analytics and Reporting Easy for FinTech Enterprises

ERP Accounting Software Features and Elements

The basics of accounting elements act as the base of the accounting fundamentals. These elements remain intact for creating the accounting ERP software that makes it possible to support and monitor the company’s financial activities.

General Ledger

As the name suggests, this is the basic accounting book. Creating daily journal entries and collating them at the end of the period is a meticulously tedious job. One error can lead to a mismatch in the balance sheet, and you will have to start from scratch. 

With the implementation of accounting ERP software, managing these journals can be automated. Additionally, the sub-ledgers can be integrated to reflect the transactions in the general ledger. Finance reports like trial balance, profit and loss statements, cash flow statements, and balance sheets can be generated with a few clicks, which makes it quick and effective.

Receivables

Also known as a customer ledger, this application keeps track of incoming transactions. Its primary role is to keep track of customer invoices, collections, commissions, etc. A robust financial ERP system, along with keeping track of all of the above, helps generate customer receipts when integrated with the interface of the cash management system.

Payables

Just opposite to receivables, payables track the outgoing transactions. Also known as vendor ledger, this feature of accounting ERP software keeps track of vendor transactions that include invoices, payments, credit memos, debit memos, etc. This can also be integrated with the cash management interface for vendor payments.

Payroll

When incorporated into financial management, the ERP system eases the payout process, such as capturing timesheets, calculating paydays, salaries, tax deductions, overtime payments, sales commission payouts, and much more. Correct and timely processing of salaries and other perks can also work as an advantageous retention tool by keeping customers happy.

Analytics & Audits 

Gathering information and automating them all sounds good but it makes sense only if they help strategize business processes for growth and expansion. An effective ERP accounting system will take care of the compliance requirements when punching in details and processing them for the first time. Consequently, the tool will perform these steps meticulously without compromise, ensuring that your data is always audit compliant. 

The data in one place can be converted into sensible analytics that will provide you with a wider perspective on the business process that is more profitable than the other. It will help you create strategies to improve and fill the process gaps for better results and overall organizational growth.

Also Read: A Complete Guide on Data Science & Analytics for Businesses

The various elements and features of an ERP system have given a clearer understanding of what is ERP system in accounting. Let us now look at the ERP accounting software development process.

ERP Accounting Software Development Process

“How to create an EPR accounting software” or “What is ERP accounting software development process” is one of the most asked questions when looking to implement it into the system. To answer this, here are the basic steps followed to build accounting software that is capable of meeting most of your business accounting needs:

Define the goal

Clearly define the scope of work and reason for developing the ERP system. Set clear expectations and discuss the ways in which the goals can be achieved. Your chosen development firm can’t deliver the desired outcome as long as they don’t know your exact requirements.

Prototype

Create wireframes to visualize the user interface. Wireframes display how the future components of the application will be placed on the screen. With the help of UI/UX designers and business analysts, you can design the wireframes and ensure what to add and what to leave.

Develop

This stage includes choosing between a local server and a cloud server, managing and maintaining databases in a format that is easily scalable and flexible, smooth integration of the existing applications with the ERM system, and finally, designing your ERP software on the grounds of the wireframes created as prototypes.

Test

To ensure the effectiveness of your overall ERF accounting software development process and its successful implementation in the system, every aspect of the ERP should be thoroughly tested.

Equip Your Team with ERP System

Having a robust ERP accounting system in place does not suffice to add value to the process. It is important to go the extra mile and train your team to exploit the benefits of the ERP system to the maximum extent. 

Keep the team informed

Implementing the new system brings along the requirement of putting in extra effort to learn along with performing the existing role. The transformation phase, at times, becomes challenging as not everyone in the team may like changes in the process and might not be ready to devote that extra effort to learning new things. Making everyone understand the vision behind bringing in the new system is the key to success. Also, it is important to communicate how it will help them in their personal growth by moving from monotonous jobs to strategic roles.

Assess your team’s ability

Knowing the strengths and weaknesses of the team is critical. Understanding the teams’ skill levels and desire to learn will greatly help plan future courses of action and adopt relevant techniques.

Firm training plan

A definitive and detailed training plan will help you and your team assess the time required to study and apply relevant features of the new system. A self-paced learning platform works best to train working professionals. However, timelines will still be required.

Progress and Feedback

While offering training through robust LMS, keep track of their learning progress and gather constructive feedback about the product and training modules.

How can Appinventiv Help with ERP Software Development?

With the fast-paced technological advancements in today’s digital landscape, it has been imperative for organizations to implement the latest tools and techniques like ERP accounting software. It will help your businesses strategize and plan future growth, enabling you to keep up with the competitive pace of the business world. ERP accounting systems can help you take a leap and gain a competitive edge in your industry.

ERP software development is a complex and challenging process with many variables. It is why you must rely on the top developers or a reputed accounting software development company for all your custom accounting software development needs. By using the expertise of a trusted technology partner like Appinventiv, you can get started with the development process of the customized ERP software more efficiently and achieve the desired result in the least possible duration.

With a proven track record and thousands of products delivered, we have the expertise and bandwidth to manage projects of every size and type. We know what it takes to develop accounting software for startups and large enterprises. With a team of more than 1200+  creative techies, we take pride in delivering cutting-edge digital solutions using the latest technologies within the specified and agreed timelines.

The positive testimonials from our clients and the diversified portfolio of projects across industries motivate us to perform better and serve every client with similar dedication. We can help you build an ERP accounting system tailored to your organizational needs. No matter your organization’s size or niche, automating the accounting system and opting for ERP software development services is an indispensable need of the time. 

Reach out to our experts to discuss your ERP needs now.

FAQs

Q. What are the technologies used to develop ERP financial software?

A. There are more than one programming languages that you can choose based on your business needs and the kind of data you are going to use.

• Java – If your backend systems and workflows are complex, the Java-based ERP system will support the cloud-based ERP accounting system. 
• .NET – By using .NET, or even better, ASP.NET, you can develop an ERP system that need not be cloud-based necessarily. Your ERP accounting module can smoothly function on basic internet connectivity.
• Python – As the ERP financial software is based on business logic and data, developing the financial system based on Python makes all the sense, as the core strength of the language is business logic programming.

Q. What are the primary benefits of using the financial ERP system?

A. There are multiple benefits that one can reap from its implementation. Some of them are:

• Retrieving detailed financial reports
• Fewer errors because of workflow automation,
• Reduced redundancy of resources
• No duplication of data entries, thus better control
• Financial data security

Q. Which is better? Off-the-shelf or custom accounting software development?

A. As the ERP accounting software is integrated with other internal functions for data fetching and overall reports, it is best to opt for custom accounting software development to meet all your business requirements and goals best.

Q. How much does it cost to build ERP accounting software?

A. The cost of building an ERP accounting software varies significantly depending on various factors, such as the complexity of the system, the size of the business, the features and functionality required, the number of users the system will support, and so on.

So, depending on these criteria, the cost to build ERP accounting software can range from $50,000 to $400,000.

Q. How long does it take to develop an accounting software?

A. The time to create accounting software varies depending on several criteria, particularly what type of ERP you want – cloud based accounting software development or web based accounting software development, and various other feature sets.

However, in general, it can take anywhere from a few months to a year or more to develop a comprehensive ERP accounting software. You should carefully plan and prioritize features to ensure the ERP accounting software development process stays on track and meets the intended timeline.

With a focus on building strong connections with customers, businesses can see significant growth by investing in custom CRM software solutions, which is evident in its exponential market growth. The global CRM market is expected to grow at 1.7% CAGR and is forecasted to reach a valuation of $49.6 billion by 2025.

Developing a custom CRM system can be a game-changer for your business. By tailoring the system to your specific needs, you can streamline your business’s processes and increase efficiency. While building a custom CRM system requires careful planning and thoughtful design, the benefits are well worth the effort.

But before you jump to designing and building your CRM from scratch, there are a few things you need to keep in mind, like what features you need and what kind of design you want. Most importantly, you also need to discuss the custom CRM software development cost with a tech partner like Appinventiv, whose experts will offer you a complete estimate. However, on average, the cost to build custom CRM software ranges between $30,000 to $300,000.

If you are not sure where to start, then you have landed at the right place. In this blog, we will discuss a few key statistics on the global CRM market, a step-by-step guide on how to build a custom CRM system, its cost, and how to choose a custom CRM software development company.

Custom CRM System Vs Market-Ready Solution: Which One is Worth the Investment?

When it comes to building a CRM system, there are two approaches – you can either use a market-ready CRM system or can build CRM from scratch.

Custom CRM application development is highly recommended for businesses looking to optimize their operations. By designing an application specifically for your business, you can ensure that it meets all of your unique needs. This allows you to finalize the set of features required as per your business needs, resulting in a more efficient and effective system.

We will summarize so you get a clear idea of the differences.

While we have looked at the major differences between a market-ready and custom-made CRM system, let us now look at some of the key benefits of creating your own custom CRM system from scratch.

Types of CRM Systems: Which One is Right for You?

By now, it must be clear why going for custom CRM software development services can be beneficial for your business. So now, let us have a look at the three main types of CRM systems- Operational, Analytical, and Collaborative CRM. 

Operational CRM System

Operational CRM systems are very beneficial to businesses. They help manage and integrate business processes, give employees the ability to access customer data from any location, and provide real-time visibility into various areas of the business. Additionally, these systems can improve customer service by automating tasks such as appointment scheduling and follow-ups.

Analytical CRM System

Analytical CRM systems help businesses make better decisions by providing insights into customer behavior. Additionally, analytical CRM systems can identify trends and patterns, which can be used to improve marketing strategies. Also, they can help businesses track the performance of individual salespeople and identify areas of improvement.

Collaborative CRM System

A collaborative CRM system is a CRM system that allows businesses to share customer data across multiple departments. This type of system is beneficial because it allows businesses to provide a more holistic view of the customer. Moreover, collaborative CRM systems improve communication between departments and allow businesses to make better decisions. They are packed with various features such as discussions, chat boards, file sharing, and streaming activities.

By choosing the right type of CRM system for your business, you can streamline your operations and improve customer satisfaction. 

You may like reading: Key benefits, features, and approaches of Salesforce integration solutions, a leading CRM system.

Custom CRM software offers a range of features that can help businesses streamline their operations and improve customer relationships. With customized dashboards, reporting tools, and automation capabilities, businesses can gain valuable insights into their customer data and make informed decisions. Let’s have a look at the features of custom CRM software.

Also Read- Salesforce Sharepoint Integration – Benefits, Process and Challenges

Features to Look for in Custom CRM Software Development

Creating a CRM system is an excellent way to take your business to the next level. By tailoring the software to your specific needs, you can streamline your workflow and get the most out of the system.

Here are some of the top features you’ll want to consider when opting for CRM app development.

Email Integration

Email integration is a key feature to consider in CRM app development. It allows you to connect your CRM software to your email account, making it easy to manage your customer relationships. With email integration, you can easily track customer interactions, generate custom reports, and more.

In addition, email integration makes it easy to share customer information with other members of your team. When considering email integration as a feature for your custom CRM system, be sure to consider the needs of your business and the level of integration that you require.

Leads Management

A custom CRM system can offer many benefits for businesses, including the ability to manage leads more effectively. With a custom CRM system in place, businesses can track every interaction they have with a lead and make sure that no opportunities are missed. 

Also, businesses can use their custom CRM system to automate some of the tasks associated with lead management, such as sending follow-up emails or scheduling appointments. By taking advantage of these features, businesses can increase their chances of converting leads into customers.

Task Management

​​Alerts and notifications are important features of any task management system. Push notifications alert users of impending deadlines or overdue tasks, upcoming meetings, or events. In a custom CRM system, alerts and notifications can be customized to suit the needs of the user. As a result, task management is an essential feature of any custom CRM system.

Reporting and Analytics

With reporting and analytics, businesses can track their sales data, customer interactions, and more. This data can be used to improve sales strategies, target new customers, and more. Additionally, reporting and analytics can help businesses to identify trends and patterns. 

For example, if a business sees that its sales are increasing during a certain time period, it can use this information to adjust its marketing strategy accordingly. By leveraging analytics, businesses can see an enormous amount of growth and success.

Customer Support

By incorporating the customer support feature into your CRM, you can automatically send alerts to specific team members or groups based on customer interactions, feedback, or product usage. This way, you can be sure that any potential problems are quickly dealt with and that your customers always receive the best possible service. 

Not only will this improve customer satisfaction levels, but it will also help to build loyalty and trust in your brand. Ultimately, a custom CRM system that includes customer support alerts and notifications is an essential tool for building a successful business.

Given above are some of the key features that you can get included in your CRM system. However, apart from these, there are several other advanced features that you can consider including as per your business needs, for instance, file sharing, pipeline view, social media integration, invoicing, third-party integration, chatbots, report generation, and more. 

[Also Read: Healthcare CRM Software Development – Benefits, Process, Features, Costs]

Things to consider for Custom CRM App Development

In order to create CRM software, you need to consider all the factors involved and plan accordingly. First, you need to ensure that you have a clear understanding of your business needs and what you want the CRM to do for you.

You also need to decide on the CRM features list. Will it be used mainly for customer management, or will it be needed for sales and marketing purposes? What sort of reporting and analytics do you need? Which technology will be used, and what are all the budget constraints involved? Let’s delve deeper to know more about it.

User Interface

There are many factors to consider when designing your own CRM, but one of the most important features is the user interface. A well-designed user interface will make it easy and intuitive for your users to interact with your system.

It should be easy to navigate the features, the design should be intuitive and consistent across all platforms.

Integration with Internal Business Software

Another main attribute while creating your own CRM is the type of software you want to integrate with. By doing so, you’ll be able to effectively manage your customer data and streamline your operations. If you’re looking for a more comprehensive solution, consider opting for CRM software that offers a wide range of integrations. A few common types of integrations include communication tools like Zoom, and Microsoft Teams, marketing automation tools like HubSpot, and Marketo, customer support systems like Zendesk, and Freshdesk, among others. 

Cloud-Based CRM

There’s a reason why so many businesses today are turning to the cloud for their CRM needs. Not only is it more affordable than ever to use this technology, but it’s also more reliable and versatile than ever before.

With a cloud-based CRM, you can store your data in one central location, access it from any device or computer, and share it with your team members easily. Plus, you can add new features and functionality to your CRM with minimal effort, making it an ideal choice for businesses of all sizes.

Post-Project Maintenance

Once the custom CRM is built and delivered to the customer, there is still a lot of work to be done in order to ensure that the CRM meets customer needs and is functioning as expected. Here are a few key things that a reputed CRM software development company like Appinventiv follows when building your CRM:

• Establish clear customer acquisition procedures and strategies
• Design customer profiles accurately
• Create automated workflows and processes
• Set up alerts and notifications to ensure timely updates and responses from your customers

Choosing the Right Custom CRM Software Development Company

Hiring the right custom CRM software development company is essential to creating your own CRM software. Not only do they have the expertise to build a system tailored to your business needs, but they can also save you time and money in the long run. 

The team should be dedicated to providing top-notch service and ensuring your satisfaction with the final product. Additionally, an app development company can help you streamline your data processing to ensure all data is properly organized, accessible, and perfect for your business, which meets all your needs.

Let’s move on to discuss the steps involved in building custom CRM software.

6 Key Phases of Custom CRM Software Development Process

With the right tools and guidance, building CRM software can be a breeze. By following these simple steps, you can create a CRM that fits your specific needs and meets your specific business requirements.

Setting up Clear Business Goals

If you want to build a custom CRM system, it’s important to first understand your business goals. Are you looking to increase sales? Reduce customer churn? Improve customer service? Build a better customer database? Or improve marketing insights? 

Once you know your business goals, it’s easier to select the right CRM system for your needs. By setting up clear business goals, you can identify the areas in which your business needs improvement and work towards achieving them by implementing specific CRM software features that will help you achieve your desired results.

Security and Legal Requirements

When building a CRM, it’s important to take into account the security and legal requirements of your business. A well-crafted CRM software will adhere to stringent regulations and protect your data from unauthorized access or use. It will also provide a secure means of communication between your employees and ensure that all transactions are properly documented and tracked. 

By following these guidelines, you can build CRM software that meets the specific needs of your business without sacrificing any of the functionality or features that make it so popular.

Choosing CRM Development Experts

CRM software development can get you on your toes, so you have a couple of choices to make: you can either choose to contract out the CRM development process, or you can choose to do it in-house. An internal team is definitely an option if you have the resources and manpower to handle the project yourself, however, hiring a development company will allow you to focus on other aspects of your business that are more important to you. 

Whichever route you decide to go down, make sure to consult with a reputable enterprise software development services provider who can help you create the perfect system for your business.

Custom CRM App Development Process

If the above-listed tasks are completed, the team will share the design, prototype, and workflow diagrams for your CRM software. Now at this stage, the framework is already chosen by the team that will help bring CRM design to life. 

The team is now responsible for taking the development forward by building software architecture, project roadmaps, wireframes, coding, managing deadlines, and gradually completing each milestone. After development, the testing phase will start, which will be conducted by QA. Mind that most CRM systems have several apps designed for different types of workers. They are connected to a single database and have functional linking.

Launch Phase

After achieving all the development requirements, now is the launch phase, where the software will be launched for the users in a beta phase and customer feedback will be the main goal. In order to fix issues and enhance the software functionality for users, the launch phase is most important.

Support Services

It’s an undeniable fact that after the development phase, post-maintenance services play a major role in the smooth running of the CRM system. Experts need to offer post-project support by improving CRM functionality based on customers’ feedback.

How to Choose a Custom CRM Development Company?

Custom CRM software can offer many benefits for businesses, from improved customer service to increased sales and higher customer retention rates. However, not all custom CRM development companies offer the same level of commitment. So, while choosing a company, it is important to consider several factors according to your business needs.

When it comes to custom CRM app development, it is important to pick a company that has the experience and expertise to deliver a high-quality product. Here are some tips for choosing a CRM development company:

• Look for companies with a proven track record of delivering successful CRM projects.
• Make sure the company has experience in your specific industry or sector.
• Ask for portfolios and case studies.
• Check out the company’s website and read its blog to get a sense of its approach to CRM development.
• Schedule a call for a clear discussion.

Cost to Build Custom CRM Software

If you’re looking for a comprehensive and customized CRM solution that integrates with all your other systems, you’ll likely need to invest in IT consulting services.

On the other hand, if you just need certain features added to your current system or if you want a more customized solution, then you can likely get just what you need without shelling out too much money. 

The approximate custom CRM development cost project can only be calculated depending few contributing factors that, include technology used, team size, software integrations, and a lot more. However, the rough estimation can be from $30,000 to $300,000.

How Can Appinventiv Help You Develop Efficient and Secure CRM Software?

Our team at Appinventiv has proven experience in developing software that can transform your business processes. We’ve created many software applications that allow users to ease their entire processes from scratch till the end.

Our engineers create several layers of security protection using various technologies and also offer regular security checks, testing, and maintenance services. 

If you are still struggling to initiate your custom CRM software development journey, then without any further ado, connect with our CRM experts, who will handle the full-cycle development for you. Our team of experts will offer top-notch custom CRM development services as per the latest trends and assist you through the entire process of your CRM journey. 

Get in touch with our experts.

FAQs

Q. How much does it cost to build CRM software?

A. The cost to build custom CRM software range from $30,000- $300,000. The CRM software development cost will vary depending on the desired features, customization needs, platform compatibility, system integration, and internal or external development methods. Connect with a reputed custom CRM software development company for a more precise quotation based on your unique requirements.

Q. How long does it take to build a CRM?

A. Depending on its complexity and degree of customization, CRM application development might take some time to develop. A completely working CRM may take, on average, 6 to 12 months to complete. However, less complex CRMs with fundamental capabilities can be created in just three to six months. It is crucial to keep in mind that these estimations may change depending on the size, experience, and accessibility of the development team.

Q. How to build CRM software from scratch?

A. The following actions are necessary when creating a CRM program from scratch:

• Define Requirements: Identify your unique business needs and objectives to help you define your requirements. Then, decide what CRM features and functionalities are most important.
• Design and development: Lay up a thorough design strategy that takes into account the processes, user interface, and database structure. Using the programming language and framework of your choice, create the CRM.
• Testing and deployment: Carefully check that the CRM program works as intended and complies with the specifications. Deploy the CRM to the hosting environment of your choice after testing is finished.
• Maintenance and Updates: Updating and maintaining the CRM program continuously, fixing any faults or problems that appear. Update the software frequently to include new features and improvements in response to user input and changing business requirements.

Inventory management and supply chain problems are global and are faced by businesses of all scale and sizes. If you are one of these companies that are still using excel sheets to manage the inventory or ones which are not managing it at all, it’s time to change that. 

In this article, we are going to talk about the benefits of inventory management software for business, highlighting how it solves the issues pertaining to mismanaged inventories. 

The limitations of inventory management

The list of advantages of inventory management is very huge. It helps with the optimization of stocks, saves costs, and makes supply chain efficient, etc. But the other list which is equally long is of the challenges or limitations of inventory management. 

While there are a number of issues in the inventory management process – 

Let us address the key problems which are present on a global scale.

Inconsistent tracking

Using the manual inventory tracking processes across spreadsheets can be redundant, prone to errors, and time-consuming. Even the small businesses can use a centralized inventory management software for ecommerce that would include accounting, tracking features.

Incomplete data

At any given point in the day, you should have transparency around what amount of inventory you have. To enable this, it is important that you get a complete set of data from multiple sources on an “as it happens” basis.  

Changing demand

Customer demands operate in an ever-changing mode. So while keeping a lot of stocks can lead to obsolete inventory, having too little can prevent you from fulfilling customer orders. 

What helps is having an order strategy wherein you are able to predict and fulfill demands. 

Supply chain complexity

Global supply chains move on an everyday basis, which places a burden on the inventory management tasks. In order to address the usual mode of operation where the wholesale distributors and manufacturers dictate the when, where and how, your inventory management process should be flexible and come with unanticipated lead time.

Insufficient order management

One of the most common issues of robust inventory management is two-fold: overselling of a product and running out of the inventory. While making use of the seasonal and historical data can help predict the orders, it requires a software-based approach to inventory management in logistics. 

These pestering issues find a solution in inventory management software for businesses. 

What is inventory management software? 

Inventory management software is a platform which automates certain aspects of warehouse management and inventory. They streamline the tasks which are needed to track inventory, manage the rendering process, and update the accounting data.

Fundamentally, the benefits of inventory management software lies in giving you real-time updates on what is happening with your stocks.

With the basics now addressed, let us look at what is leading to the growing popularity of inventory management software. 

Benefits of inventory management software for business

Inventory management processes can help save money and maintain the right stock count. However, you can see more benefits come in when you add the tool in your enterprise software development tech stack. With this sort of a software in place, you would be able to:

1. Perform inventory tracking

Inventory management software when integrated with your ERP can help better the inventory control by tracking it in real time. It shows where the product is located and how it is moving through the system. This leads to elimination of human error from the process, something which can never be made possible through a manual spreadsheet.

A majority of these software track each product as it enters and exits the cycle right from production and storage to sales. This way, businesses are able to lower the inventory management cost and create better relationships with the partners and their customers. 

2. Enable accurate reordering

The key advantages of inventory management software lies in offering you a clean record of the inventory, while streamlining reordering. The sales/consumption data that you get from the software can help you know when to reorder a product.

These software can be designed to go a step further by helping you order just enough items so that you are not holding any dead stock for an extended period of time. 

3. Prevent stock overselling

Overselling is a prime challenge for businesses, especially the eCommerce businesses. When you do not have an accurate picture of your inventory, it gets easy to run out of products. What this leads to is the inability to meet customers’ demand and in some cases suspension from the marketplaces. 

An inventory management software helps you monitor the demand and measure if your current stocks level is able to meet them. This way, you have a clear idea when to restock the products and by how much. 

(Also read: Hospital Inventory Management Software Development – Navigating the What, Why and How for Enterprises)

4. Reduce business costs

Inventory management reports inform you of the stocks which are there in the warehouse. So, when the order comes you know the amount of stock you have and the amount you will have to arrange. This saves the last minute hustle of getting stocks at high prices.  

Another way you get to save money is by not ordering products with low demand (which in turn leads to overstocking and the attached storage space costs) – an insight which you get through a clear understanding of the products in demand.  

The inventory management software can also help bring down the business costs around – 

• Employee wages – When the employees have less clarity on the stocks they will have to manage, they end up storing and managing more than what’s necessary, leading to the increased labor cost. 
• Transportation – Storage of excess inventory can lead to a rise in transportation costs of moving the product from one warehouse to another. 
• Insurance – Leasing or renting a storage space generally requires an insurance policy that would protect the place and the assets. So when a business ends up creating and storing stocks which are not in demand, they continue to face losses on both customer satisfaction and insurance front. 

5. Improve supply chain

When we talk about supply chain operations, unexpected challenges come as part of the parcel. With the right inventory management software in place, the retailers are able to make a proper supply chain diversification strategy. 

With the data that you generate about your inventory stocks, you are able to lower the risk of long waiting time if a supplier is unable to deliver products on time plus you are able to prepare for peak seasons in advance so as to keep the optimal amount of stocks in the warehouse.  

[Also Read: Best strategies for supply chain risk management]

6. Add new selling channels

Every eCommerce seller wants to try out new sales channels or platforms to list their products on. An inventory management software makes managing these multiple channels easy by centralizing the inventory management into one place. Doing this, enables you to have a clear view on how much of your inventory is being sold at which channel. 

Moreover, a majority of inventory management software for ecommerce comes with feature sets like real-time inventory syncing and forecasting. This makes it possible for you to maintain inventory control across multiple locations.  

7. Automate inventory management

Probably one of the biggest transformations of inventories can be seen in the many benefits of automated inventory management systems.  Automation or the implementation of AI in inventory management eliminates all the risks of human error while saving you hundreds of hours in doing repetitive tasks. 

The importance of inventory management in logistics, especially when you add automation in the mix, comes to the surface when you get real-time visibility on where your stocks are. This doesn’t just give you real time visibility into the inventory levels since the stock count updates automatically when the sale is made, but also helps perform accurate forecasting, which delivers a great customer experience through the elimination of overselling.

In the end, automation also comes in handy when you work with multiple warehouses and selling channels as it gets you real time visibility of where the product is. 

8. Forecast inventory for seasonal buys

When the order volumes rise substantially due to holidays or some events, the amount of inventory you have should be able to meet the demand. This planning is something that can be achieved through proper demand forecasting. 

The importance of inventory management systems lies in gathering and analyzing seasonal and historical data to note the sales pattern and make necessary adjustments in the stock levels.  

9. Manage multiple warehouses

Large businesses tend to be the first adopters of any kind of inventory software. This is because the primary benefits of inventory management software lies in connecting multiple warehouses and bringing all the different data points in one place.

These software provide a bird eye view on the entire supply chain by helping track stocks and its movement across different warehouse locations. So when a location runs low on a certain stock, they can order it from another place. The inventory management software can show which locations have the product, in what number, and at what price. There are some advanced inventory management software also that helps place an order while automatically updating the product count.

10. Greater productivity 

Businesses that use an inventory management software tend to witness higher production rates. With a lot less inventory mistakes to handle, they are able to concentrate on making high-quality products at a much faster rate. In addition to this, they can reallocate the labor hours to other productive tasks. 

Another side to this is better organization. The software helps businesses make a better system for organizing the inventory. Through this, the employees can categorize stocks by name, size, or other key parameters, helping businesses fill orders accurately and quickly. 

Final thoughts!

So here were the many benefits that come attached with inventory management software. As you would have reckoned, achieving these advantages would require you to have a custom inventory management software in place. Now, that is something you would need an expert’s help in. 

This is where Appinventiv comes into the picture. As an enterprise software development company, we have helped a number of brands across the globe develop and deploy inventory management software for their business. The result? Complete streamlining of the supply chain. 

We can help you too. Get in touch. 

While accepting, accessing, and mitigating supply risk has always been a part of the business domain, running a successful business in the present market structure is more challenging than ever before. The Covid-19 pandemic sent waves of volatility throughout every market, making businesses aggressively reform their operations, marketing, and supply chain operations. 

Likewise, climate change implications like Amazon Rainforest fires have also caused a cascading chain of material loss, international political conflict, and human rights violations. 

On the political front, the Ukraine-Russia war is causing its own set of disruptions in the supply chain industry. According to a Dun & Bradstreet report, over 374,000 global businesses depend on Russian suppliers – 90% of whom are based in the US About 241,000 businesses rely on Ukrainian suppliers of whom 93% are based in the US. 

In such volatile and complex socio-political environments, the definition of what is supply chain risk management has changed. What once used to be around a certain set of use cases has today been extended to cover a range of internal, external and unknown, known sets of risks. 

The correct supply chain risk management plan starts with understanding the kind of risks that a supply chain circle can encounter. 

Types of supply chain risks – The foundation of risk management for supply chain

On an end-to-end level, every part of the global supply chain comes with some extent of risks affecting your company’s performance, reputation, and the bottom line. When left unattended, both external, internal risks and known, unknown risks can lead to serious damage. 

Let us look at what the two categories of risks entail before we look into the best ways to handle supply chain risk management. 

Known and unknown supply chain risks

Known risks are the ones that are possible to measure and manage over time. For example, a supplier’s bankruptcy causing disruption in the supply chain is a known risk. Likewise, risks around cybersecurity vulnerabilities can also be measured through supply chain risk management software analyzing the IT system inside-out.

Unknown risks are the ones that are impossible to predict. These can be climate change like a dormant volcano erupting and disrupting the supplier network, a cybersecurity attack that originated from deep inside the firmware of an electronic component. When it comes to supply risk mitigation, these pose the biggest challenge.

External and internal supply chain risks

External supply chain risks are the risks that come from outside your company. The absence of transparency makes it difficult for them to be anticipated, and they would need more talent, time, and resources when it comes to mitigation. Supply chain risk analysis is most difficult in the case of external risks.

The types of risks that fall under the external supply chain category are:

• Material risk – These happen when the material or finished goods do not reach the end-users. These risks can delay or stop operations altogether for the resellers of the goods. 
• Demand risk – These happen because of poorly defined demand calculations, the demand-based risks leads to the excess product being made or, in contrast, unavailability of products to meet the demands. 
• Business risk – These are caused by a change in suppliers’ organization structure, unanticipated sales to another company, etc. 
• Environmental risk – These happen from several socio political issues, climate issues, and global health concerns. These risks are known to create devastating disruptions at different vulnerable points in the supply chain. 

Internal supply chain risks emerge from inside the organization. With the right set of supply chain risk management processes, these can be easily mitigated and addressed. Since they are the most predictable out of all the risks, businesses have to keep an eye on their proactive management and mitigation to prevent them from happening. 

The types of risks that fall under the internal supply chain category are:

• Manufacturing risks: These risks arise with the possibility of disruption in a key step or component in the workflow, which causes the operations to get off schedule. 
• Business risks: These are the outcome of disruptions in processes around personnel, reporting, management, and other key business operations.
• Planning and control risks: These are caused by incorrect assessment and forecasting of planned production and handling.
• Mitigation and contingency risks: These risks can happen when a business does not have the right set of contingency plans in place for handling supply chain disruptions.

Now that we have looked into the different risks that need stringent supply chain risk management strategies, it is time to get down to those plans and look at how the instances of supply chain disruption can be lowered. 

Supply chain risk management best practices

When we talk about risk management for the supply chain, the solution has to be very wide and highly proactive in nature. Moreover, it has to be designed for mitigating the risks in almost real-time after the disruption has occurred. 

Let us look into some of the supply chain assessment and mitigation strategies we share with our clients when they contact us for a solution.

1. Prioritization of business continuity plan

An effective supply chain risk management practice is as much about mitigation as it is about prevention. Protection of a company’s ability when it comes to maintaining the operations in the middle of a supply chain disruption is where a business continuity plan comes into the picture. 

Achieving this calls for a comprehensive risk assessment. Identification of all the different risks can help create a list of failure points in the supply chain, helping businesses create protocols and plans around mitigation. A way of approaching this lies in the PPRR model (Prevention, Preparedness, Response, and Recovery). 

• Prevention – measures taken for reducing and eliminating risk exposure in the supply chain
• Preparedness – measures around establishing appropriate, time-sensitive responses
• Response – controlling, limiting, and minimizing the impact of the supply chain disruption
• Recovery – measures taken to overcome disruptions quickly and safely

2. Proactive supplier risk management 

Businesses won’t be able to perform supply chain risk analysis and management effectively until they get visibility of the risks around the suppliers. You should conduct a thorough supplier risk assessment to identify and eliminate risk exposures built by supplier behavior and the many facets of the third-party relationships. Performing these external supply chain assessments should be a part of a regular supplier relationship management strategy conducted by a focused cross-function risk management team. 

The results of these assessments should be used by the risk management team for creating a vendor risk management program. A program that would prepare your business against every risk that arrives from the supplier network. Moreover, the data can be used for creating redundancies and minimizing the supply chain blockages. 

3.Improve cyber supply chain risk

In the digital age, where supply chains use modern technologies for more key business processes, cyber risks are bound to happen. When merged with other process gaps in the supply chain, these can lead to massive disruptions in the process. 

The solution to these risks can be seen in:

• Establishing a compliance standard for all the third-party vendors
• Defining the role of users and restricting the ability to access the system
• Performing an in-depth vendor risk assessment before signing any contract
• Developing a disaster recovery plan for instances where the breach has happened
• Regular updation of company’s antivirus and firewall software solutions

4. Management of environmental risks 

The Covid-19 pandemic has exposed the gaps that were always there in the global supply chain network. Now, although there is no definite way to prepare for environmental risks, it is important to build a supply chain risk management plan to ensure that your business continuity goes on. 

There are a few strategies you can apply when it comes to managing environmental risks:

• Multisource – You should categorize the suppliers not just on the basis of costs but also the impact of disruption. The ebay approach would be looking for a supplier that works out of multiple locations. 
• Nearshore – You should look for suppliers close to your center of operation and endpoint of the supply chain to lower the product development and delivery time. Now, although it can be expensive to partner with regional suppliers, it can be helpful when it comes to saving the potential risks. 
• Build buffer – With an expensive approach, creating a buffer comes in handy when doing new product launches or expanding in new areas. It doesn’t just lower the climate-driven environment risk but also helps with stockpiling goods that are always in demand. 

5. Track freight carrier metrics 

In order to build trust among the stakeholders, it is important for manufacturers to establish a dependable delivery timeline. While it is important that you partner with the best freight carrier provider to deliver consistent results, it might not always happen. 

A crucial part of managing risk in the supply chain will also lie in evaluating your carrier. Here are the things you should keep track of to prevent any supply chain disruption – 

• Transit time
• Number of stops and their average duration
• Average loading time
• Optimization of route
• Maintenance schedule

6. Model risk event situations 

Imagine if you get the ability to predict the risk event before it happens. While technology is not developed to that extent yet, facilities like predictive analysis, data science, and data modeling bring us very close to making it happen. These advanced technologies can be used to build models of potential risk scenarios driven by the worst cases. 

When you have access to these intelligent risk models, you are able to identify the gaps and prepare your business for the time when the disaster will happen. 

7. Invest in a supply chain software firm 

Managing supply chain risks in the modern, digital age calls for advanced analytics and artificial intelligence that would complement human’s ingenuity. You would need supply chain risk management software that is decentralized and high on the transparency factor, while being augmented by technologies like machine learning and robotic process automation. While it has been established that risks are a part of the supply chain business, what is scary is that there are businesses which still don’t have a supply chain risk management software in place. 

These software that a supply chain focused enterprise custom software development firm creates would offer a range of benefits like:

• Elimination of human delays and errors
• Real-time, decentralized data management and risk monitoring across the entire supplier network
• Simplification of data analysis that transforms data into risk models, contingency plan, and process improvement modes
• Automatic, cloud-driven backups accessible from around the globe in real-time

These are only surface-level benefits that a supply chain risk management software can get you. A well-planned and executed software can help with both proactive and preventive mode of handling supply chain risks. 

Parting notes

The extent at which the global supply chain has grown has made the sector irreversible. And with them, the risks of the supply chain at a global scale have also become irreversible. 

In our extensive experience around building software for risk management for the supply chain, we understand that it is crucial for organizations to create robust programs for the management of both known and unknown global supply chain issues. The need for proper supply chain risk management has grown to a level of urgency where the business leaders should not just set governance models and processes, but also bring about a change in company-wide mindset. 

By adopting the approaches that we have mentioned here, businesses will get a fair chance of lowering the supply chain disruptions, while identifying the complete value of their supply chain cycle. This adoption, however, can be difficult. This is where digital transformation companies like Appinventiv come into the picture. We don’t just help you with the software upgrade to become more responsive towards risk but also bring about a change in your business culture making them more conscious about management and mitigation of risks and market changes. 

Production efficiency in manufacturing is a crucial issue that manufacturing houses grapple with. While the ultimate aim is always to keep the efficiency of production at its largest, it is not the easiest task. 

In this article, we are going to look into the concept of production efficiency in manufacturing and ways businesses can improve it to better their bottom line. However, let us start with the basics first. 

What is production efficiency?

Production efficiency is a condition where the system doesn’t produce additional goods without interfering with the production of another product. This happens when the production of materials is happening at the lowest possible cost with the help of an optimal amount of capital and labor. 

Usually the production efficiency is measured in terms of the Overall Equipment Effectiveness – a metric that highlights the percent of planned production time which is genuinely productive. While the ideal OEE score is 100% – where the production line produces only the good parts with zero downtime, in an expedited manner, generally manufacturers are able to achieve anywhere between 60-85%. 

How to calculate production efficiency?

The formula for estimating the production efficiency is:
Actual output rate / Standard output rate X 100% = Production efficiency

Actual output rate: It is calculated as the number of products divided by the unit of time.

Standard output rate: It is the average rate of performance that a trained worker can produce per unit of time. 

Now that we have answered what production efficiency is, it is important to look into the why part of it. Why is it important for a manufacturing house to improve production efficiency?

What is the benefit of production efficiency?

Production efficiency helps production and manufacturing companies determine their maximum capacity which they can achieve through their current set of assets. It helps them in determining if they are being efficient with the available resources or if there is a scope to improve production efficiency.  

The importance of production efficiency in manufacturing can be seen in how it:

• discovers the resources needed for production
• eliminates the production waste
• reduces the energy used in creating products
• lowers the production costs
• improves competitiveness and trade 
• produces greater wages for staff

We have now come at a stage where we, after knowing the importance of production efficiency, have to look into ways of improving it. 

How to achieve production efficiency?

Production efficiency as you must have gathered till now plays a huge role in bettering the standards for a manufacturing house. Here are some steps into how it can be achieved. 

Evaluate the production line

The first step in bettering the production efficiency lies in gathering an understanding where it stands today. This is where production line efficiency analysis comes in. You should start with evaluating every aspect of the production line – the number of units your company produces in X time period. 

Another key metric would be reviewing what your capacity utilization is. It involves estimating the capacity of manufacturing output per factory in X time period. It enables you to measure which factory is performing at their highest output. 

Update technology

Working on obsolete technologies is one of the biggest issues that businesses face today. Only with the right set of technologies like AI in manufacturing, will you be able to give your team the competitive edge they need to become more efficient.

While technologies often call for heavy upfront investments, it can help when you make the move. Let me highlight this better with an example. Suppose your computer hangs for 5 minutes, it would lead to a 5 minutes delay in the information to reach the production line – an event that can lead to employees initiating the wrong process. 

Identify the bottlenecks in production

Bottlenecks occur when there is a breakdown in the production line. These bottlenecks can happen because of deficiencies in any of the two factors – equipment and humans. For a manufacturing house it is important to know how to identify the real bottleneck creator and then take suitable decisions on how it can be eliminated. 

Identify and remove wastefulness

In a manufacturing house, waste happens in multiple forms, some of which might not even be visible to the employees. It can be ineffective cooling/heating, poor ventilation or something else. Moreover, waste also happens in terms of unnecessary labor cost or mismanagement. Whatever the reason may be, the result is often always the same – negative impact on the production efficiency. The first step to this is identifying what the wasteful element of your manufacturing process is. 

The solution to this issue then lies in creating standards. The standards should be different for every team, depending on what their individual KRAs are. Once those standards have been established, it comes down to someone in the management role to ensure they are getting met. 

Improve the training process 

Unlike the generic assumption, it is not equipment but humans that cause a greater percentage of bottlenecks  and inefficiencies. And most of the time it is not even their fault. There should be proper training provided to the employees, ensuring that it meets the company’s standards. You should also make standardized operating procedures (SOP) once you have identified lack of training as the problem area. 

These SOPs can act as a manual for employees to follow as a way to measure and improve their processes. 

Optimize the inventory

The inventory of any manufacturing house is ripe for optimization, both in terms of raw material and the finished product. It is crucial that you partner with a custom enterprise software development company and build a manufacturing efficiency software. These solutions will enable you to create automated notifications for material billing, inventory tracking, and invoicing. Moreover, it would streamline the inventory process by eliminating the human time that goes in making reports and spreadsheets.

These ERP solutions can also help the manufacturing houses avoid the product shortage and stay on top of their inventory counts, ensuring that the stock is at optimal levels.  

[Also Read: How is IoT Helping Manufacturers Better Their Operational Efficiencies]

Frequently asked questions about Production Efficiency

Q. How do I check if my production line is inefficient?

A.  If you are producing less goods with high resources or raw material, if the majority of your employees are not able to deliver the quality, if customers are returning the products – all of these are signs that your production efficiency needs an overhaul.

Q. How is production efficiency measured?

A.  You can measure the production efficiency count by measuring the actual output of a process or a worker with the standard output set in the industry. The formula for estimating the production efficiency is:

Actual output rate / Standard output rate X 100% = Production efficiency

Q. The production efficiency of my business came out very low. How do I improve it?

A.  There are a number of ways to improve the efficiency as highlighted in the article above. Let me give you a quick recap of the ways. 

• Evaluate where the production line stands today
• Improve employee training
• Eliminate the bottlenecks
• Update the technology, etc.

How can Appinventiv help?

Improving the production efficiency is an ongoing task. The importance of making tweaks to lower waste, better employee training, and streamline the bottlenecked production line, can be a costly ignorance. To prevent manufacturing houses from making the mistake, Appinventiv provides them production efficiency software. These software helps manufacturing managers build online libraries of the SOPs, allocate the work orders, and manage the assets – all from a centralized dashboard that works on both desktops and smartphones. 

We have also worked with manufacturing plants to build mobile apps that enable workers to seamlessly access the quality control checklists, safety audits, and the project scope – all from their smartphones. 

Irrespective of what use case we work on, the outcome that we aim for is almost always the same – building a digitalized trail which combines compliance and quality checkpoints. In addition to this, the software also acts as a data powerhouse which improves production efficiency.  

Struggling with attaining your ideal level of production efficiency? We can help.

However, the agile-led growth and revenue benefits that a startup enjoys doesn’t remain unnoticed by the enterprises. This is one of the biggest reasons why larger organizations look up to capturing the benefits of an agile development process. But, being the torchbearer for nimble organizations, agile more often than not doesn’t fit into an enterprise model.

This is where the Scaled Agile Framework (SAFe) comes into the picture. It is a solid agile enterprise framework which can be used for helping large organizations overcome the challenges which negatively impacts the speed at which the enterprise grows.

In this article today, we are going to look into the different facets of the SAFe framework and how you can implement it in your enterprise – starting with what is SAFe agile.

What is SAFe and what is it used for? 

SAFe methodology is one of the types of agile framework. It is a knowledge base used by the development teams for implementing the agile practices in large-sized organizations. It tweaks the agile practices to make the process work for big teams. 

Functionality wise, SAFe merges information from four areas: Lean product development, Agile development, Systems thinking, and DevOps. It blends in the Agile and Lean practices and applies them at an enterprise level to better the business agility and help organizations as they grow bigger in size. Know how Agile and DevOps together can help your business grow.

Knowing what is SAFe is only the surface level information of the role the framework plays in scaling agile for the enterprise. The first step of understanding its role is to know when it should be used. 

When to use the framework?

• When your team is looking to implement an agile enterprise framework which would merge multiple team programs
• When teams are having their set of agile implementations in place but are facing delays, failures, and obstacles
• When the teams want to work on projects independently
• When you wish to scale the Agile process across the business but are unsure of which new roles are needed or how the current ones have to be changed
• When you tried scaling Agile in the business but struggled with aligning them to achieve consistent strategy across the different business departments.  
• When the organization has to better the product development time and wish to know how the other companies have succeeded in scaling it through Scaled Agile Framework (SAFe).

What are the benefits of using a SAFe framework?

Faster time-to-market

One of the biggest advantages of Agile SAFe framework is an improved time-to-market. By aligning the cross-functional agile teams with core business values, the leading businesses can meet customer requirements faster. It can also help them make quicker decisions, communicate effectively, streamline the operations, and remain focused on the consumers.

Improvements in quality

Rock-solid quality is one of the key SAFe values. It showcases the need for integrating quality in every development stage. This way, scaling agile benefits the organizations by shifting the quality check from last-minute focus to everyone’s responsibility. 

Increase in productivity

SAFe offers quantifiable improvement in productivity by empowering the teams to eradicate unnecessary work, find and remove the delays, constantly improve, while ensuring that the best products are getting built. 

Better employee engagement

Improved ways of working lead to engaged, happier employees. Another primary benefit of the Agile SAFe framework is helping the workers attain autonomy, purpose, and mastery, which are key elements in unlocking the intrinsic level of motivation. The businesses that follow SAFe have the set of tools required to lower burnout and better their employees’ satisfaction.

What are the different agile SAFe principles? 

 1. Take an economic view 

The SAFe model runs on providing the best quality for people and the society in a short sustainable time. The everyday business decisions should be made through an economic context. Moreover, scaling agile for the enterprise should include the strategy devised for every incremental value delivery.  

2. Apply system thinking

It is important to understand the systems in which the users and workers operate. These systems are complex and consist of several interconnected elements. In order to better the business process, it is imperative that everyone understands the larger vision of the system. 

3. Assume the variability and preserve options 

SAFe framework agile principle suggests to maintain a range of design options and requirements in the process for a long period in the development cycle. The empirical data can then be used for narrowing the focus, leading to a design system which creates efficient economic outcomes.   

4. Build incrementally with fast learning cycles 

Building solutions through a series of small changes enables fast customer feedback while mitigating risks. Because the system always runs, the increments might serve as a prototype for market validation and testing. Additionally, a fast feedback cycle helps with determining when to ‘pivot’.

5. Base milestones on evaluation of working systems 

Customers, developers, and business owners have a common responsibility of ensuring that any investment in a new solution should create economic benefits. An evaluation of this from the front of technical, financial governance is needed for assuring continuous investment to produce a stable return. 

6. Visualize and limit WIP, reduce batch sizes, manage queue lengths 

The lean enterprises aim to achieve the state of continuous flow in which the new system capabilities move quickly from a concept to cash. The keys to implementing these flows can be:  

1. Visualizing and limiting the amount of work in process. Doing this increases the limit demand and throughput and limits demand to their real capacity. 
2. Lowering the batch sizes of work to facilitate quicker and reliable flow 
3. Managing the queue lengths to lower the wait times for newer functionalities 

7. Apply cadence, synchronize with cross-domain planning 

Cadence builds prediction and creates a rhythm for development while synchronization leads to a connection of multiple perspectives integrated at the same time. 

Application of development cadence and synchronization merged with frequent cross-domain plans offer mechanisms that are required to operate efficiently in times of development uncertainty.

8. Unlock the internal motivation of knowledge workers 

The lean-agile leaders in an organization understand innovation, ideation, and employee engagement requires effort. It calls for purpose and autonomy, lowering the constraints, and building the environment of mutual influence, are all imperative to reach higher levels of employee engagement.  

9. Decentralize decision-making

Achieving quick value delivery calls for decentralization of decision-making. This lowers delay, betters the product development flow, provides faster feedback, and builds innovative solutions that are designed by those who understand the business best. However, there are some decisions that are global, strategic in nature and work around the economies of scale which calls for centralized decision-making. 

Because both types of decisions exist in the organization, building a reliable decision framework becomes critical to empower employees and ensure a fast value flow.  

10. Organize around value 

Today, enterprises are built around the principles which were created in the last century. 

In the digital era, the only competitive advantage for the businesses would be the speed in which the organization responds to the customers needs with innovative solutions. These solutions, in turn, call for a cooperation between the functional areas and their dependencies, wastes, handoffs, and delays. 

The SAFe framework agile principle suggests that when the customer and market demands changes, the enterprise should seamlessly and quickly reorganize around that business need. 

The benefits and the principles of the SAFe agile framework that we covered, can only be achieved if you have the best SAFe team in place. Let us look into them next.

What are the different roles in a SAFe framework? 

SAFe Scrum Master (SSM)

Unlike the traditional Scrum Master who concentrates on the basics of a team-level Scrum, the SAFe Scrum Master looks into the context of the complete enterprise and then plans and executes around the Program Increment (PI). 

SAFe Product Owner (POPM)

The role of Product Owner is that of a multi-tasker. They are responsible for budgeting, setting the priorities, and determining which of the items should be worked upon.  

SAFe Advanced Scrum Master

The Advanced Scrum Master is a level up from the SAFe Scrum Master. They have the responsibility to aid interactions with the product management team, architects, and other stakeholders in the larger enterprise level.  

SAFe Agilist (SA)

A SAFe Agilist is a lean-thinking manager who incorporates the principles and values of Lean-Agile Mindset. They create efficient teams and lead the transformation journey through the SAFe agile framework implementation roadmap.

Release Train Engineer (RTE)

The Release Train Engineer applies their Lean-Agile knowledge to execute and release the value. They have the responsibility of building high-performing ART by becoming a coach. 

Conclusion

SAFe is a guideline that helps big-sized organizations apply agile and lean practices. With accelerated speed and innovation becoming the new-normal, it becomes imperative for teams to scale under the framework.

While the Agile principles have been used by the startup world for a long time, SAFe agile framework opens the road for a broader sized team to apply the same principles. Now irrespective of the extent of the benefits that the framework offers, there is one undeniable fact – it is difficult to incorporate in an existing rigid legacy system because of its newness. 

Our enterprise software development service experts carry an experience in making agile work for organizations through the mode of SAFe agile framework. If you are a business owner who is struggling with the incorporation of the framework in the business model, reach out to us.

Implementing a CRM system is a great value-adding process that can bring substantial benefits to any business. It is the process of selecting, installing, and using CRM software to track and manage an organization’s communication with its current and potential customers.

But CRM implementation is a big move. Finding and implementing the right CRM is crucial to providing employees with the information they need at the right time. Also, when a new CRM is planned, it’s prudent to consider the needs of every department so that you don’t miss out on any important feature. If your CRM doesn’t work for everyone, it’s a problem for the whole company.

But don’t sweat it – in this article, we will present a step-by-step process of how to implement a CRM system successfully.

So, without further ado, let’s get started!

What are the steps in CRM implementation?

Choosing the right CRM solution is crucial, but key steps are needed to make it work for your business. Whether you’re replacing an old CRM system or are a first-time user, your implementation strategy is critical.

The right CRM strategy will not only streamline your sales process but also improve customer experience and optimize workflow for salespeople and managers alike.

So, here are the steps involved in the CRM implementation process.

Step 1: Define your CRM implementation strategy

Every successful implementation starts with building a solid CRM strategy. It includes the goals and objectives you want to achieve with CRM and how the system is expected to be used.

For instance, if you aim at growing your sales and expanding into new markets, sales force automation features should be your top priority. As a result, you will have a prioritized set of the underlying functionality for your CRM system implementation.

Besides, it’s advisable to assign tangible and measurable targets and objectives to be achieved by the CRM software implementation. Setting goals from the beginning makes it easier to achieve desired results.

Step 2: Build a core team

It’s essential to have a dedicated CRM team to make sure your CRM is used correctly and adopted successfully across the organization. The team will also monitor post-implementation progress and procure feedback to make the CRM software work best for the company.

Below are the key members you need in your CRM team:

• Project manager
• Developers
• IT manager
• Sales team manager
• QA testers
• Executive sponsor
• Software analyst
• Software test engineer

In case, you don’t have in-house experts who have the technical acumen, you can partner with a trusted enterprise software development company. The professionals will guide you in the custom CRM software development and implementation process from start to the end.

In addition to having a core CRM team, it’s crucial to gather all identified end-users. Getting feedback from them is essential to determine what features they need the most, how much training they’ll need, and a variety of other data points that help you introduce the new system with ease.

Now that you have a team in place, it will need to carry out its objectives as per the detailed CRM implementation plan.

Step 3: Create a CRM implementation plan

A CRM implementation plan outlines the stages your team and business need to take for the successful adoption of the CRM software. While developing a CRM implementation plan, it’s crucial to stay as concise and organized as possible in order to meet your objectives.

A CRM implementation plan must include the following elements:

Objectives: 

The objectives should define how the CRM aligns with your company’s goals and explain how employees will benefit from using it. This will also help your team measure the success of the software post-implementation.

Key players: 

This includes all the key players who will be responsible for the successful implementation of CRM systems. Jot down the team members’ roles, their level of involvement, and core responsibilities.

Budget: 

The budget will majorly include the cost of the CRM platform. Also factor in other possible expenses related to feature upgrades, outside hires or consultants, and advanced configurations related to customization or data migration.

Timeline: 

Plan a timeline for setting up the CRM software, training employees on how to use it, and monitoring progress post-launch.

The time taken to implement a CRM depends on the size of your company, the volume of data that needs to be migrated, and the complexity of the software. You can build in extra time for potential setbacks related to technical difficulties and debugging.

Step 4: Customize CRM settings

The next important step is to customize CRM settings based on the objectives outlined in your CRM implementation plan. Nearly every software allows users to customize the following elements:

• Company profile and settings
• Custom fields
• Permissions
• Layouts
• Entities
• Dashboards
• Workflows
• App integrations
• Pipelines
• Admin settings

Prior to launch, your team must ensure that all requested customizations are in place.

Step 5: Determine what data needs to be migrated

Data migration is the process of moving data from one software to another. You’ll either be transferring data from spreadsheets or your previous CRM. While it may seem like an easy process, data transfer must be done with caution to ensure all information is properly migrated to the new CRM software.

You can transfer the data in the following three ways:

• Data migration tool: A data migration tool helps transfer data from your legacy system to the new system. Make sure to select the tool that is compatible with your CRM software.
• Native CRM integration: Using this method, you save your data as a CSV file and upload it directly to the new CRM. This is usually a time-consuming process.
• Custom data migration: This method transfers a large volume of data or files with a significant activity history (like call records and emails).

You are not required to migrate all data from your existing systems. You can choose to leave some behind especially if they will not serve a purpose in your CRM. It can include outdated sales reports and customer details and poorly formatted spreadsheets.

[Also Read: A Complete Guide on Data Science & Analytics for Businesses]

Step 6: Integrate third-party apps and tools

Integrating your CRM software with third-party tools and apps like Slack and Facebook maximizes your organization’s overall efficiency. This allows your team to collect important customer data without leaving the CRM platform.

CRMs usually offer hundreds of third-party integrations, so prioritize them according to what is more important to your team.

Some of the popular integrations include:

• Lead generation tools
• Social media apps
• Email apps
• Project management tools
• Live chat programs
• Marketing and email automation programs
• Help desk apps
• Analytics tools

Step 7: Test the CRM for performance and security

The next essential step is to test the CRM software to verify if it is working properly and according to your requirements. It’s only through testing that you’ll learn how individual components work together and evaluate customer touchpoints to ensure they work as intended.

Here are the key areas that you need to pay attention to most while testing the CRM:

• Migrated data: Make sure there is no duplicate information and data is properly mapped and sorted.
• Performance: CRM should be able to handle tasks without any delay and hassle. Performance testing takes into account a CRM software’s response time, peak hours usage, and server usage.
• Integrations: Review all of your company’s integrated tools and apps to ensure they are correctly connected.
• Security: Your CRM software must be able to protect your client’s information through features like encryption.

Once everything has been adequately configured and checked, you can now introduce the CRM to the rest of the company.

Step 8: Train your users

Your new CRM software is now officially ready for use by the staff. Your team needs to undergo CRM training and learn how to use the new system. It’s also important to get feedback from them regularly to minimize roadblocks and issues with using the system.

Step 9: Create internal usage guidelines

Create common guidelines to use CRM and share it with your team members. This will make the entire process much smoother and easier for everyone.

The CRM guidelines need to be updated to reflect changes in the system. Everything should be clearly defined in the guidelines, including how, what, and, when everything needs to be inputted into the system.

Step 10: Monitor post-implementation performance

Right after rolling out the CRM software, it’s important to monitor whether your employees use it effectively or not. Below are a few steps you can take to ensure high adoption rates among intended end-users:

• Offer continuous training: CRM training must be an ongoing process. Offer regular online seminars and in-person classes, especially in light of any changes to the CRM software.
• Encourage feedback: Take constant feedback from employees. If they find the software not robust enough or find it difficult to use, listen to them and take the appropriate steps toward actionable change.
• Ensure direct managers are involved: End users will be more inclined to use the new software if their immediate supervisors promote the benefits of a CRM and also incorporate it into their own workflows.

By evaluating the user engagement and overall implementation process, you can determine whether the new CRM adds value to your company or not.

[Also Read: Healthcare CRM Software Development – Benefits, Process, Features, Costs]

Now that we have answered the most important question – What are the steps of CRM implementation – let’s discuss a few challenges related to the CRM implementation process.

Do you know, Salesforce is the world’s No. 1 CRM system and more than 150,000+ global businesses across industries leveraging its power to revolutionize their operations? Let’s know in detail the key benefits, features, and integration approaches of Salesforce integration solutions.

Also Read: How much does it cost to build a white-label mortgage CRM software

CRM implementation challenges and risks

The wide implementation of high-end software like CRM is not going to be without challenges. But being aware of these risks and preparing for them in advance can smoothen the entire process.  Apart from that, other common challenges of CRM implementation are listed below: 

1. Low adoption rate 

One of the major challenges in the implementation of CRM systems is the low adoption rate among the target users. If the software is too complex or users don’t understand the reason behind its implementation, there’s a high chance they will not use it. Also, if your new CRM is complex to learn and use, it can lead to lower productivity across the sales team until they learn the new system.

2. Absence of clearly defined goals 

More than 45% of the CRM implementations fail due to lack of clearly defined objectives and goals. Before you decide to use a CRM system, create a brief laid out plan on how the company can grow using the software, what changes you need to make and how you can expand your business using CRM. The important factor here is to put the entire organization in sync using these goals. 

3. Lack of technology integration 

Nearly all processes in the organizations need a software system to work and generate output efficiently. The problem arises when these software systems are not connected to each other which makes the data flow absent in the company. A successful CRM implementation guarantees a consistent data flow among all the departments of the company. This makes data management and analysis super easy and helpful.  

4. Regular maintenance

The right CRM will scale as your business grows. But choosing the wrong CRM will stagnate growth with extra costs for the features you need. Additionally, if your new CRM isn’t constantly being improved or upgraded, it will fall behind the times quickly and become a burden for your team.

The CRM software implementation process can be tricky. However, with some careful planning, you can make your implementation process a resounding success! To maximize your investment, make sure the implementation, configuration, and testing have been properly planned and done.

How can Appinventiv help you with custom CRM development and implementation? 

At Appinventiv, our experts are not only adept at developing the best CRM software for your business but also trained in integrating, customizing, training, and gathering feedback on your newly integrated CRM system. Our team completely takes the guesswork out of CRM implementation and helps you save time so that you can focus on other crucial business processes.

As a leading enterprise software development company, we have helped several businesses with successful CRM implementation to meet their different business needs.

So, if you are also looking to implement a CRM system in your business, contact our professionals, who will guide you through the entire process and offer you the best-in-class CRM solution.

Why are manufacturing and supply chain businesses highly reliable on technical outsourcing and strategic procurement when it comes to meeting customers’ demands? 

There’s one answer to justify the above questions.

Supply chain and similar manufacturing enterprises need to manage close relationships with a large number of supply bases on a real-time basis. This is not just an advancement but a necessity to survive in a highly competitive market. That’s when Supplier relationship management (SRM) software comes into play. 

Introducing the concept of supplier relationship management (SRM) to business

Suppliers are an integral part of the supply chain management process. If the suppliers are not monitored closely, the business harm could be up to any extent. You can suffer a delayed product launch, damaged brand image, penalties by regulatory authorities, and more. 

To overcome such risks, supply chain enterprises and similar businesses follow the SRM system. 

Supplier relationship management is a systematic approach to evaluate suppliers (or vendors) that supply goods, services, and materials to an organization, determine their contribution in the supply chain process, and develop a strategy to improve their performance. This concept applies to manufacturing industries and every enterprise that regularly deals with suppliers, especially in areas of operations and project management.

This may become a challenging task but not when businesses have SRM software to rely on. 

What is SRM software? 

An SRM software centralizes supplier-related data, helps update the fitting suppliers, analyzes their performance, and detects related risks to improve supply collaboration, planning, and management.  

When we talk about the importance of the SRM system in supply chain and b2b businesses, there are two essential pillars to recognize 

1. Evaluate if the suppliers are performing as per the organizational needs 
2. Identifying areas of improvement while engaging with suppliers throughout their lifecycle

The above two factors primarily exhibit why businesses need a supplier relationship management system. Apart from these, srm management gets businesses most of the supplier’s service. With constant evaluation, communication and feedback, it’s much easier to work closely with the suppliers and generate quick solutions. 

While we are talking about what the SRM system does, we also need to get familiar with how it does it. The SRM software system is packed with tons of tools and features that industries can leverage to yield successful results. 

Core features and use cases of the SRM business software 

1. Supplier data management 

This involves features such as 

•  Document storage (transactions, business receipts, invoices, contracts with suppliers, certifications of suppliers with background checks, documents of suppliers’ compliance, etc.)
• Registration of suppliers and sub-suppliers, and contractors by self-registration or sourcing via supplier portal 
• Automatic linking of the supported data record of all suppliers (for instance- all the background data, work history, and projects of a supplier are available on the supplier’s profile)
• Personal notifications on updates in supplier’s data or document
• Storage and tracking of all supplier data (current capacity and pricing, allotted location, ongoing operations, and previous company, etc.) 

2. Supplier risk management

This involves features such as 

• Real-time supplier risk mitigation and monitoring (financial and operational risks from the public/private data sources detected by Artificial Intelligence).
• Automatic risk alerting (on any operational risk exposure)
• Detailed dashboard (with an overview of overall risks involved, per risk factor, the possibility of risk as per supplier’s data, etc.) 
• Current supplier compliance regulatory check 

3. Procurement management 

This includes features such as

• Quick doc based creation of purchase requisitions and orders 
• Creation and management of allotted suppliers list (for instance- supplier assignment by project specialist to a specific service or location based on data insights) 
• Supplier status tracking for purchase orders and requisitions 
• Tracking of execution order (can be done for multiple tiers and sources)
• Automated three-way matching process (order receipts, purchase orders, and suppliers invoice). This is done to avoid any inconsistencies. 
• Communication tools to discuss orders with specialists and suppliers 

4. Bidding and supplier selection 

This includes features such as

• AI-based status pre-qualification tools (for assessing financial stability, risk of supply disruptions, regulatory compliance, etc.) 
• Automated sourcing event approval workflow 
• Supported collaboration with department managers on supplier nomination and selection
• Setup of supplier compliance requirements (capacity, sustainability, delivery terms, quality standards, etc.) 
• Form-based creation of events, auctions, and tenders
• Supplier bid comparison 

5. Supplier performance management 

This includes features such as 

• Accessible dashboards with a supplier activity overview
• Automated alerts on disrupting supplier performance 
• Supplier segmentation (based on engagement level and performance) 

6. Supplier contract management 

This involves features such as 

• contract status tracking
• Automated contract renewal 
• Template-based creation of supplier’s contract 

7. Cost management

This includes features such as

• Cost limits setups (per supplier/department)
• Real-time spend analysis 

8. Supplier portal 

This involves features like 

• Supplier catalog editing and updating 
• Supplier forum with Q/A sections and files 
• Template-based and custom supplier surveys creation (for suppliers feedback)

The above supplier relationship management software features are more than enough to manage the entire supplier base chain and fulfill the organizational needs. But the applicability of the SRM system doesn’t end here. Enterprises are well aware of the supremacy of custom software development but they often neglect the importance of post-deployment practices that could save them from a number of challenges. 

Enterprises need to strategize the implementation of the SRM system in their business. Even after you seek software development services, one factor you must always focus on is the supplier relationship management strategies. 

Best practices for successful implementation of SRM

Supplier relationship management guides an organization about the strategies that run the entire lifecycle of the suppliers. Although many enterprises have their SRM process in place, most often, there is always a scope of improvement when it comes to dealing with suppliers. 

Below are the five most preferred supplier relationship management practices the industry experts follow. 

1. Value mapping 

Many organizations primarily focus on cost-cutting post implementing supplier relationship management tools. Businesses can go beyond the expense factor and work on value drivers such as revenue growth, risk reduction, and asset utilization through the value mapping concept. 

A successful value mapping can be done by placing mutual understanding, trust, and communication with suppliers to derive tangible business values. A structured and well-planned srm practice can help you extract the most out of the system. 

2. Spend optimization 

Now, cost and expenses are what keep your business healthy and running. Supplier relationship management practices like reduced inventory, collaborative supply chain analysis, joint demand management, and total modeling cost help you in optimizing the total business expenses. How, if you ask? The mentioned practices focus on delivering the cost-cutting initiatives and can bring down the expenditure graph for the short term. 

3. Risk mitigation 

Enterprises of all scales and sizes suffer from supply chain disruption at some point of time. The disruption could be due to price volatility, product or service quality issues, and third-party dependency issues; however, SRM tools and software can easily predict and manage these risks. A supplier relationship management system also helps you with automating the procurement process. The practice of mitigating risk and encountering a solution that benefits the value chain is highly followed in the supply chain enterprises.

4. Top-down approach 

A successful SRM strategy is all about craftsmanship; therefore, it can not be achieved without onboarding the specialists and stakeholders in your process. Your SRM strategy implementation must start from the top rank and move down through managers and staff members. An effective SRM process keeps everything in the loop, from paperwork and people to operations and development. 

Combined with a standard SRM system, these strategies can work wonders with supply chain management and bring you unlimited benefits. Now that we are talking about the business benefits let’s explore more. 

Business benefits of SRM software system

An SRM software does more than just manage the supplier base. There are a number of benefits in pursuing SRM best practices and strategies for your business. Some of the significant ones are discussed below. 

1. Quality control and cost-saving 

Having a strong supplier relationship management process in your organization results in timely identifying cost-saving opportunities and scrutinizing the quality of supplier control. This directly contributes to the quality and cost factor and impacts the bottom line of the business. 

2. Compliance with relevant parameters 

Every supplier in the organization needs to fulfill a certain set of parameters to work efficiently. Through SRM, these parameters can be studied to analyze the supplier’s performance. This way, you can figure out if your business is getting the most value out of the supplier or not. 

3. Growing supplier base management 

A myriad of factors like increase in the operation scale, broad access to global suppliers, enhanced complexity of supply chain, etc., contribute to growing supplier base. 

As the suppliers keep engaging with various organizations, it’s not just challenging but also impossible to manage the entire supply chain without an effective SRM process. SRM provides a 360-degree view of the entire supplier database to upgrade management. 

4. Development programs for suppliers 

Once you evaluate suppliers and their areas of improvement, supplier relationship management software can also help you design various development programs to support your suppliers. These programs cater to organizational needs and requirements and can act as a catalyst for fulfilling long-term needs. 

5. Supplier self-service 

Among all the above benefits, the most significant advantage of a supplier relationship management system is that it gives the power to your suppliers to manage their own data. They can create their own profiles, spot and assess new supplier partners, update order details, and track payments using a collaborative platform. 

Besides these, SRM also supports supplier responsiveness, supply chain continuity, and long-term visibility. All these benefits directly contribute to the growth of the organization. 

How can Appinventiv help you with SRM?

Whether you are just stepping into the supply chain business or looking to enhance your existing supply chain process, having a standard SRM system is crucial to all. When it comes to seeking enterprise software development services, you need a reliable source to guide you through the technical aspects of your business requirements. 

Appinventiv not only helps you with technical insights but can also integrate SRM software and tools with your workflow successfully. You can efficiently address pressing issues such as low engagement, less transparency, supply risk, and less ROI using dedicated enterprise software.

Talk to us to know more. 

However, a transition from legacy systems onto newer, agile architectures is a challenge few organizations want to tackle head-on. Some waver, others falter midway and run their migration plans into jeopardy with a lack of endeavor, if not ambition. 

To be clear, creating an IT modernization roadmap is a dynamic process. It requires rigorous brainstorming, planning, and forecasting to achieve critical mass. Therefore, in this article, we will share with you five strategies for technology modernization.    

What is IT Modernization?

In short, IT modernization refers to the process of updating either partial or complete software layers underpinning the enterprise for improved productivity, optimized performance, and maximized technological efficiency. 

Software gets outdated rather rapidly. Undertaking in-house modernization of technology has become intertwined with realizing sustainable profitability and maintaining marketplace supremacy. But that is not the only reason being propounded to go ahead with such plans.

Legacy Core IT systems are often heavy on upkeep and running expenditure. A Deloitte Global CIO Survey found that it is such investments that consume the maximum bandwidth of the total investments allocated towards IT.

In what has turned out to be quite paradoxical, higher costs are correlated to lower productivity. The same survey, when quizzed the sample participants on their view of technologies most likely to have a grassroots impact on IT, then analytics, digital, and cloud platforms emerged as the victor. The need for a digital modernization strategy towards such verticals, therefore, couldn’t be understated. 

Viewed from the corporate prism, modernization of technology is being undertaken with an eye on customer centricity to lift business optimization at par with the standards of the digital age. 

Is it the Right Time for an IT Modernization Strategy?

Technological paradigms have rendered an age of non-stop, perfectionist advancement. Legacy systems could cover up for judgemental error from their human overlords, however, technology modernization could, in theory, instate a company’s competitive edge and help them galvanize IT resources at an unprecedented level of effectiveness. 

Internet connectivity, mobile-device mass penetration, and digital adoption on part of the customer are augmenting data creation. A macroeconomic world that rewards first-to-the-market producers demands the onset of flexible, scalable IT architectures to innovate at pace. 

Read to learn how to choose the right IT consulting firm and strategy for your business in this blog.

And as if the aforementioned trends don’t signal the trends, the same vendors supporting legacy IT systems have (ironically) launched custom-built, ready-to-run, new-generation product offerings for enterprise customers. ERP vendors are at the top of this list competing aggressively with cloud vendors to offer mid-office and back-office solutions. 

Another case in point is the Common Business Oriented Language (COBOL) that has seen a drop in learner uptake pointing to the dropping popularity of mainframe programming languages, used to support legacy systems. Such factors have cornered CIOs and made them seriously consider their technology modernization strategy. Some of the common questions to ask oneself before creating a technology modernization strategy are as follows: 

• Are business functions finding the current IT stack an impediment? 
• How will the immediate goals of business units influence core IT?
• What computational resources are required to uplift business performance?  

This up-close evaluation should handhold you to modernize technology. It’s important to note that end-to-end systematic changes may not be the prescribed course of action for all. Variable factors such as organization size, vision, and outlook should help derive the extent of tech enablement required at the core. Basis this, the digital modernization strategy could equate to a mere retrofit of the proverbial spinal cord of legacy systems. 

The aim of this entire rigmarole is to acquire a simplistic, and business-friendly workflow. As a result, road mapping cannot be visualized without first understanding the in-use software system. Project estimation, timeline setting, and goal formation come subsequently in the course of action. Having developed a supposedly useful system iteration, further steps unfold towards perfecting the newer version for use.    

However, before that let us first take a look at some typical examples of IT modernization. 

Examples of IT Modernization

Here are the typical examples of infrastructure modernization that enterprises usually undertake: 

ERP Upgrades – ERP systems power digital businesses in extending a centralized software platform to handle purchase orders, inventories, SKUs, marketing campaigns, finances, and human resources among other assets. Therefore, upgrading to a new ERP solution is common as ERP products that better align to a company’s vision hit the market.

Also Read: Guide to Estimating the ERP Software Development Cost 

Mergers & Acquisition – M&A are part and parcel of the business world. A lot of software decommissioning and digital retrofitting comes along when two distinct entities merge. This is an opportune moment for evolving your IT vertebrae to industry standards. 

EDI Transformation – Electronic Data Transfer Systems have been fueling global business growth for quite some time. However, a good portion of large-scale supply chains continue to operate on archaic legacy EDI foundational layers that need renovation.   

How to Build an IT Modernization Strategy?

The end-user experience and brand ratings go hand in hand. This user experience is interspersed with the technological footing of your company. As an adage, core IT strength presages successful business development plans. As a leading IT consulting service provider, we suggest a five step workflow to get going on this:

#Step 1 – Set Milestones

Profits aren’t built in the abstract. They require clear vision statements and course correction before even a minutiae of results are realized. Translate your goals into measurable action points against a threshold. Use competitive benchmarking and trend analysis for establishing productive guidelines. 

#Step 2 – Optimize Resources

You don’t want your team to run out of steam. Your workforce is your greatest capital so monetizing it should be a priority. Deploy validated product managers who can manage and ensure discipline. The motive is to allot responsibilities as per core competencies. 

#Step 3 – Experiment

A small-scale design sprint to tiptoe on untested models of IT isn’t a bad idea. Provided you have the personnel with the requisite experience in getting in and out of the quagmire, you should test out your hypothesis of various IT modernization models (discussed in detail later) before launching a full-scale turnover. 

#Step 4 – Measure

Self-auditing enables stakeholders to measure change management in terms of key performance indicators. Having an agile mindset in this view handholds you to productive streamlining. 

#Step 5 – Stabilize Teams

Attrition is a productivity killer. Application modernization requires an all hands on deck approach. Needless to say you need confident, mature, and astute leadership to pave the way rather than abandon the docks. Before venturing on such a recurring endeavor, ensure that key members are on board and ready to back you to the moon and back.  

While the steps given above are imperative to an effective IT modernization strategy, the process is often time consuming, exhaustive and expensive. As per a research from Couchbase, upto 90% of digital transformations of companies fail due to a multitude of reasons such as the lack of appropriate IT talent and technological infrastructure. 

Outsourcing your IT modernization requirements to an IT service company like Appinventiv can provide visibility and stability within your organization while enabling your business to operate in a more strategic manner.   

Create an Outcome-Oriented IT Modernization Roadmap

Experts acknowledge and recommend the following categories of enterprise digitization: 

Replatform – It refers to re-hosting or migrating your current IT infrastructure onto a digital, specifically cloud setting. Considering the scale of the migration, enterprises most commonly switch to the Infrastructure as a Service (IaaS) model of the cloud. For much of the migration, the integral code base remains the same. This re-adjustment of the code saves total deployed resources and as a by-product migration charges. 

Remodify – This type of model aims to implement new IT capabilities on top of the existing software layer. The objective is to leverage the advantages of big data stored in legacy silos for purposes of data visualization, improving customer experience, employee engagement, and future-aligned data discovery. Similarly, data analytics is another wing that utilizes this type of IT modernization strategy. 

Reimprove – This type of IT modernization strategy involves working on the inconsistencies of the existing tech stack. For instance, analysts could be required to reconcile data in order to simplify business processes. 

Yet another motive of this exercise could be system integration which seeks to overcome the data sharing hindrances of legacy firewalls to share insights with third-party data vendors posted outside the organization. An immediate advantage of such a process would be to optimize cloud investments and further simplify the maintenance of core IT. 

Replace – It facilitates household corporations in that they do not have to shut the door on the entirety of their legacy infrastructure. Instead, they could substitute outdated workflows with state-of-the-art solutions and continue using the legacy system as it is. This approach pushes businesses to explore new frontiers for project completion and not replicate the bygone age. 

Reconsider – You don’t have to follow the herd. Pave your own way. Maybe the legacy system is actually cut out for your needs. Often, the boardroom dilemma revolves around imitating competitors. The answer is in the data. If your balance sheets are pointing towards profitability, then perhaps “good enough” is actually good for you. 

Use Cases of IT Modernization

IT modernization is not a new concept but has been around for a while. 

A famous use case is that of PayPal. The e-payments giant is estimated to have enabled transactions worth $4 billion on its platform in 2014. The company has been quite vocal about its commitment to disrupting thyself in order to maintain the competitive edge. 

For instance, PayPal was in the news for transitioning from a waterfall model to an agile methodology. The colossal scale that had to be achieved pushed PayPal to retrain upto 510 intercontinental teams working through different time zones. 

In doing so, PayPal upended its back-end systems and subscribed to a private cloud setting thanks to OpenStack cloud management software. Since then, in an effort to build on its self-disruption model, the digital payments conglomerate has partnered with mobile payment vendors that help cover up the cracks in PayPal’s portfolio of services. 

Amtrak is another example wherein its customer experience transformation initiative is grounded in core IT rejuvenation. The company aimed to achieve uniformity and seamlessness to offer high end, personalized, and standard-setting customer experience through multivariate channels such as Amtrack.com, its captive units, and third-party outposts. 

Termed EPIC and commenced in 2011, Amtrak has innovated its way to compliment ticket bookings with full-spectrum travel services that encompass third-party suppliers. 

Rethink Digitalization 

As an enterprise software development company, Appinventiv can help you rethink your core IT infrastructure policy.

Since inception, our workforce has helped over 500 businesses streamline IT processes with a cumulative 459,000 processes simplified. Having made varied contributions to emerging and established entities in the entertainment industry, travel sector, event management, sports, SaaS, and telehealth (among others), we are eager to help your business realize its true potential. 

Let’s get in touch, we’re sure to give you bang for your buck.