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ABCosting and ERP Systems

by | Nov 19, 2019 | Costing

Enterprise Resource Planning (ERP) systems are essential to properly administre manufacturing type of organizations. There are many different departments in any business and the information those departments need to do the work properly is generated in other departments at the same time, this means that they need to work together to serve the clientele satisfactory as data exchange is vital for their regular operations.

Manufacturing companies would use ERP systems to combine the information gathered from planning, purchasing, inventory, sales, marketing, finance and human resources to facilitate coordination and increase efficiency both in operations and management.These systems usually are executed in the form of software tools that provide a web environment where employees can load their operational information with ease making the reporting part fast and easy.

As ERP systems are essential to the administration of the company, ABCosting systems can use the same operational information an interpret it from the financial perspective. Not only allowing both methodologies to work together but actually making them absolutely necessary of one another.

The ABCosting system will track how much resources are being utilized both as direct costs and overhead (indirect) costs by all the different processes and compare them towards the final product, service, channel or administration costs to determine profitability and cost reduction opportunities to name a few simple benefits.

For more information on how ERP and ABC systems can and should work together read this article: Click Here

For more information on how Activity-Based Management / ABCosting can help your business achieve new levels of profitability without losing Value, please CONTACT US and we will be happy to answer all your questions.

WE FACILITATE

Revenue Growth

By combining different practices and tools, your company can identify growth opportunities faster and discard factors that don’t add growth.

Increased Profitability

Increase your organization’s profitability by identifying profitable and unprofitable customers, products, services, etc. and making the required changes.

Performance Management

We work with your teams to have them buy-in into measuring performance for process improvement and setting relevant strategic growth objectives.

Costs Reduction

Our customers use TMS to get instant reports on cost allocations so they can easily identify cost reduction opportunities and maximize resources.

Complexity Reduction

In a complex world, reducing products and services complexity can push your company to become the industry leader and grow your loyal clientele.

Better Margins

Get better margins by making better management decisions. Sixtina will help you obtain detailed, timely and accurate data to make better everyday decisions.

Long-Term Results

Although short-term earnings are important for shareholders, long-term success is important for all stakeholders. Sixtina focuses on achieving the latter.

Innovation Opportunities

With an outside perspective, Sixtina will help your organization identify innovation opportunities to improve in ways not known before and improve market share.

Continuous Improvement

The key for achieving sustained continuous improvement is to get the right information to the right team at the right time. We help you get there.

SOLUTIONS

Cost & Profitability Management

Get useful information by evaluating overhead costs, analyzing customer and product profitability to achieve better margins and improve the bottom line.

Strategy Management

Execute strategies, keep track of continuous improvement efforts, and visualize all objectives instantly to improve your organization's performance.

Business Intelligence

Visually analyze Big Data for new insights, get accurate and timely reports, and communicate effectively throughout the organization for maximum impact.

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