Benefits of ERP for service and project companies

The biggest challenges for service and project companies are focused on profitability, productivity, control of contracts and services, and time management. The best way to optimize all this process is with an ERP for service companies and in this article we explain why and the benefits of this.

ERP systems have revolutionized all types of organizations around the world, including those specialized in services and projects, thanks to their great capabilities, which allow them to maximize the use of resources, manage project execution periods and manage expenses efficiently.

These are advantages that benefit not only large companies, but also small and medium-sized enterprises, since by implementing an enterprise management system, business processes are more efficient and costs are reduced; in addition, an ERP not only affects the company as such, but also the supply chain, which also includes customers and suppliers.

Initially, ERPs were designed to serve companies with products designed, manufactured and sold by themselves; and with the purpose of managing complex projects through a customized and flexible system. Therefore, today, service and project companies benefit greatly from the implementation of ERPs.

Benefits of ERP for service and project companies

By nature, service companies are oriented towards the creation of projects, for which it is essential that every movement is recorded in a system, either manually or automatically. However, it is still surprising how many service organizations rely on spreadsheets and manual processes to manage vital areas.

There are many advantages to having an ERP system for service companies, including making information available to all users, minimizing data redundancy and centralizing all information in a single database.

When managing the business with ERP software, information from all functional areas of a company is stored in a single database; therefore, there is no need to go to each department for details about any process.

In the service industry, it is the details that make the difference in the quality perceived by the customer, so efficient project management will be the key factor for satisfaction.

Some of the main benefits that a management system as SAP Business One brings to your company are:
  • Effective project tracking and management at all stages.
  • Recurring invoicing done in an organized manner for better customer service.
  • Control and authorization of expenses through the visualization of income and expenses for each project or service provided.
  • Administration by cost center and projects with a more effective analytical control.
It is essential for a service and project company to have full control over the products contracted by customers, as well as to be able to manage projects to optimize profitability, satisfy customers and increase profits.

Poor process management can lead to delays and errors with financial consequences and impacts on service, and therefore make the difference between success and failure.

Meet the ERP for service companies SAP Business One, which has been created for growing companies to operate like the big ones. Through its different functionalities SAP B1 is the integral management software that will allow you to manage more efficiently your company providing services and projects to achieve higher levels of profitability and productivity.

You can learn more through a DEMO of SAP Business One totally free and in which a specialized consultant will show you the different functionalities and scopes.

If you still have doubts and want to know if what your company needs to keep growing is an ERP, download our Ebook and learn more about this tool.