All successful business leaders rely on some information to help them make the right decisions. Data collection, which is more or less automated in current Enterprise Resource Planning systems (ERP), has always involved manual work, such as taking notes during a telephone conversation. However, data has always been highly valued because it is the only way to understand customers and market needs.
Today, data collection is relatively easy, so businesses should have a strong understanding of their customers and market needs. This is still considered a challenge, but with modern systems like ERP this challenge is quite easy to overcome.
Data Helps You Make Decisions
Data is created and can be collected everywhere, even if the business is run by one person for the time being. Any website or social network receiving emails or making cold calls is a source of information that will undoubtedly be useful in the future, both to improve the business itself and to increase sales.
So what determines the decisions we make? For example, the question whether to purchase new inventory or upgrade old one is easily resolved if you have relevant data in the system. No more hesitation, no need to worry your head and make the wrong decision which would lead to the need to invest further. And that is just one example out of a million!
Firms performing business analysis recognize that companies applying modern data management solutions make more accurate and fair decisions, enabling them to operate more successfully.
Data Helps Solve Problems
A bad month or a drop in sales for a small business can become a serious existential problem, but intuitive changes can put an end to it even faster. And what happens when data is available? ERP allows you to analyze purchases, sales, consumer ratings and other information to draw the right conclusions and improve those areas that really need it. Optimal use of your budget will help your business get back on the road to success.
A great example of this is coaches of sports teams who constantly analyze data for each player as well as for the entire game. Everyone needs to know what they are doing well and where there is room for improvement. Based on the analysis, combinations and tactics are developed; the same processes should be applied in business.