Technology Aided Transformation for Fixed Asset Management and e-Commerce
According to the recent survey, an incredible 46% of small businesses don’t track their inventory or use a manual process to do so. Inventory and fixed assets are sometimes treated as assets on a company’s balance sheet, though not all assets are inventory.
With these practices, it’s not surprising that about 1/2 of all new small businesses don’t survive past the first five years. Inventory and assets are actually very different things.
Inventory is what is sold to make a profit, and assets are what help the company obtain, maintain and sell off their inventory. When deciding between a fixed asset or inventory management system, this difference is crucial to understand, particularly for brick and mortar companies.
Why Is Keeping Track Of Inventory Important?
Inventory is considered a “current asset” by the company’s accounting team, which means that the company plans to sell the asset in the short term.
Over time, some inventory may become obsolete, or there may be too much on hand to sell within a reasonable period. An inventory system must include the ability to identify excess and obsolete inventory so that the company can adjust for this slow moving or non-moving inventory. Conversely, if your on-hand inventory is too low, you may lose sales due to inability to meet demand. This is where knowledge of your inventory turnover ratio comes in handy.
Maintaining complete, accurate, and up-to-date fixed asset records can be a challenge. Leveraging a software solution for managing these assets and the associated data can streamline the process, provide you more insight into your data, and ultimately allow you to rest easier.
Below mentioned are few important benefits that your business can enjoy:
- Increase organization of asset data
- Maintain more detailed asset records
- Save time preparing reports
- File reports on time
- Easy to manage change requests
- Automate depreciation calculations
- Automate the transfer of assets
- Easily manage change requests
- Assign asset owners
- Keep documents organized
Why Keeping Track Of Fixed Assets Is Important ?
Fixed assets, also known as hard assets, are considered long-term assets on the balance sheet. This means that the company expects to profit from use of the asset for a long time often referred to as its useful life. However, fixed assets do have a finite useful life, and accountants must record the decline in usefulness (the assets’ value) by recording periodic depreciation.
Over time, each asset’s value is reduced, but financial statements will continue to use the original cost of the asset rather than its current market value. To know how much value your assets are worth at any given time, you’ll need a tracking system.
Streamlining Your Business With “Tax Automation”
With rapidly changing technology, people and companies are all about automating their various functions and that’s a good thing as long as you know what you are automating and how to automate it correctly and efficiently.
Some people think it is simply providing sales tax rates for them to bolt into their ERPs. Others think it is the automation of the sales tax calculation process.
Both of these answers are technically correct, however, they fall short in the 21st century definition of sales tax automation.
In the new millennium, tax automation goes beyond just tax rates or tax calculation, it adds another layer – service. Service takes the concept of tax automation to the next level and really makes it complete. Service is the human component of automation. Sounds counter intuitive, but it’s true that all tax automation is driven by the human expertise.
Coming over to the hottest topic “Ecommerce”
In today’s fast-paced world, time is such a precious commodity that few consumers take for granted the convenience and ease of online shopping. Online buying and selling has become common practice in the B2B and B2C marketplace as well.
Whether your organization sells products or services to consumers or businesses, the right e-commerce platform and the right amount of business process re-engineering can help you maintain competitive advantage while achieving high customer satisfaction.
The most reliable way to evolve your business at just the right time is to look for clear signs that it is due for a new technology.
Why you need ERP?
- Your data is unmanageable
- Your insights are ineffective
- Your department don’t collaborate
- Your customers are unimpressed
- Your IT is expensive and underwhelming
- Your inventory is OFF
- Your team is tied down
Why Should You Integrate Your e-commerce with ERP?
Integrating your eCommerce sales channels with your ERP system allows you to operate more efficiently as a business. Your main types of data – order, inventory, item, customer, and shipping/tracking – are communicated between your once independent systems.
Some types of integration automatically pass this data between your systems. This eliminates your need to manually enter data from one system to another. While a webstore can certainly operate without connections to an ERP, how many tedious practices do you do now that you wish you could get rid of?
Manual practices such as hand-keying sales orders into your ERP. It’s a pain to update product information in Excel then uploading to your webstore or Amazon. Relying on decimating inventory across your systems by hand, or not being able to do it all, can cause you to oversell.
When these processes aren’t automated, it’s easy to make mistakes. Shipping addresses can be entered wrong. Incorrect inventory levels can lead to overselling. Product information could be incomplete, incorrect, or missing.
Ultimately, your customer experience is at stake, when you don’t integrate.
If you want to be successful online and keep up with increased online demand, your eCommerce strategy should include integration to your ERP, account, and inventory software.
eCommerce ERP integration allows you to easily account for new orders and fulfill them, regardless of where the sale is made. Products and pricing can be managed from one place, allowing you to have accurate and consistent product information.
Benefits of E-commerce ERP integration:
- Reduce manual entry to save time and increase throughput while reducing errors, when entering order, inventory, item, customer and shipping data
- Streamline inventory synchronization, track updates, and provide accurate inventory levels to customers, without hiring staff to manage these tasks
- Automatically notify customers when orders have been shipped and allow them to track the delivery of products
- Simplify how you manage price and product changes to inventory
- Be flexible enough to add multiple online and offline sales channels, without losing operational efficiency
- Meet tax requirements with automated tax compliance and eliminate exposure
Handle increased demand in online orders without extra resources
Brief About Udyog Software
Over the past 18 years, Udyog’s pragmatic approach has resulted in rapid growth enabling us to deliver sustainable solutions to our clients. Our continuous investment in our team helps us provide better solutions while adding innovative and practical solutions to the current portfolio of products and services.
Companies today invest considerable time & effort to understand the world of tax & accounting.It is next to impossible to keep track of all the changes in taxation & to benefit from various tax credits from Indirect Taxation process. Thankfully, Udyog with their knowledge to address these complex taxation rules, you can focus on your business goals.
A preferred tax solution partner for various ERP vendors and implementers, over the last two decades, Udyog has earned its reputation as a solution-centric company that delivers effective and successful tax planning services to its clients. We understand the localized and specific taxation requirements for Indian taxation and accordingly, our comprehensive portfolio of products and solutions are configured to meet all customer requirements regardless of industry type, vertical or size.
Their main offerings include tax and enterprise automation products and solutions like iTAX and Visual Udyog, and our flagship product Taxilla, an ISO27001 certified, cloud based tax automation and compliance management platform which can be used to file returns for all transactional taxes all over India. We also provide tax consulting, up-to-date information including tax news and updates, articles and knowledge content, analysis and interpretations, expert answers to taxation questions and support services.
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