ERP Implementation For Non-Profit Organizations
ERP, or Enterprise Resource Planning, is a Software that many organizations are choosing to automate their business processes. ERP software have evolved a lot lately, and many of them now are web-based applications which can be accessed remotely.
An ERP is often described as the “Central Nervous System” for an organization.
This is mainly because an ERP provides automation, integration, and the technological intelligence to efficiently run all the required workflows.
An ERP would help :-
the Finance department of the organization to quickly close the books,
Sales would be able to manage all the customer orders,
Logistics department would be able to rely on the ERP to deliver the products and services to the customers on time,
Management of the organization would be able to provide instant visibility to Company’s performance to make logical and strategic decisions.
📑 Benefits of using an ERP:
● Better and Higher Productivity- an ERP system would help you to streamline and automate your business processes which will save human time and effort.
● Reduced Operational Costs- Unifying your IT systems will help you reduce your operational costs since it will cut out on the expenses like Multiple Licenses, Support Fees, Infrastructure, and Admin Resources by automating and bringing all the work processes in just one database.
● Better Insights- you would be able to eliminate duplicates and errors.
● Detailed Reporting- an ERP system would help you generate quick, automated, and accurate reports on your data.
● Enhanced Data Security- an ERP system which is spread all across the business departments does provide you with the features to have control over who can have access and editing rights to the sensitive data of the Company.
📑ERP for NonProfit Organisations / NGOs
Every organization has its own reason to opt for an ERP system for their organization they may vary from choosing to spend wisely to streamlining their business operations;
in the end, all those organizations want is to run their processes smoothly and efficiently.
Now, NGOs, who are working for the betterment of the masses, have way many branches to their daily operations with limited human resources.
Having an ERP software for an NGO could result in better and quicker working operations along with better coordination between the employees and volunteers working remotely.
However, choosing an ERP system in itself is a huge task, let alone the fact that anything that may go wrong in the working of an NGO may directly affect the masses they have been working for.
While choosing ERP software for an NGO, the following things need to be considered:
❓ How will the new technological infrastructure affect efficiency and operations?
❓ How the compliance procedures like accounting, tax, and reporting will be affected?
❓ How do the people within the NGO communicate? How will it enhance the communication with the volunteers, donors, partners, government agencies, etc?
❓ How can the donor database and the constituent management systems be streamlined and integrated with the other data?
❓ How secure would the system be?
❓ Is your existing system being able to cope with the growth?
📑How can an ERP System Benefit Non-Profit Organizations/NGOs?
1. Memberships- Members are the most important part of an NGO. With an ERP system, you can manage your members and categorize them. You can also set up Member Expiration to maintain an updated record.
2. Volunteers- Volunteers are the main workforce of NGOs. You will be able to classify the volunteers based on their category and can even record their availability, status, and the skills they can contribute.
3. Grant Management- There are NGOs which may get grants from Government Agencies or Foundations, while some may give grants to other NGOs.
Now, recording them along with recording the expenses made wouldn’t be a problem since an ERP System can do that for you with just a few clicks. It can also help you in eradicating the errors.
4. Multi-Currency Accounting- A Non-Profit Organization may take up grants from overseas and or may need to order items from abroad. Such transactions could be simplified with the help of ERP software.
You would be able to record and report those transactions in different currencies with the Currency and Exchange Rates, which can capture the exchange rates and conversion factors.
5. Customizations- An open-source ERP can be completely customized for your NGO. It can provide you with all the functions and processes that may be needed for your specific requirements.
6. Multilingual ERP Software- If you are an NGO that works for multiple countries, you can have a Multilingual ERP system that would provide you with the ease of better communication and understanding among the members, donors, volunteers, and audience.
Also Read :ERP For Small Businesses
If you are wondering what could be the Magical ERP System that would help you achieve all of these benefits that too being budget-friendly, the experts at Kanak Infosystems LLP. would recommend ERPNext. It is one of the best and most robust open-source ERP software gaining popularity all over the globe.
We at Kanak Infosystems LLP. have been working on ERPNext for quite a few years and have gained immense knowledge and experience of the entire framework and database.
If you, as an NGO, would like to explore the possibilities and benefits of choosing ERPNext for your organization, book a consultation with us now
1. What is the best ERP software for Non-Profits?
There are several ERPs in the market, and each of them has a benefit of its own. However, the experts at Kanak Infosystems LLP. would suggest opting for ERPNext. It is an Open-Source software which can be customized to its maximum capacity to meet your requirements.
2. Who uses ERPNext?
ERPNext is an open-source Enterprise Resource Planning Software which can be used by almost all organizations. No matter what industry-specific your organization is, ERPNext offers solutions for every domain. It has also come up with industry-specific solutions like ERPNext for Non-Profits, ERPNext for Healthcare Industries, etc.
3. Can we use this system only for NGO ?
ERPNext works wonders for NGOs yet it is not limited to them. This robust software is for every industry. Whether you own a retail store or it is a healthcare organization, ERPNext automates all your business processes.
4. What advantages do we derive out of this system from an NGO's perspective?
Once you implement ERPNext for your NGO, you would be able to automate your business processes which will help you in minimizing unnecessary human effort and operational costs.
It will also allow you to manage your donors, members, and volunteers more efficiently and effectively. Grant Management would be a major problem solver since ERPNext will help you eradicate all the errors and will manage your tax and currency exchange rates precisely.