Epicor and epic ERP recently co-hosted an information-sharing event for financial managers at Pablo Clark Racing in Kyalami. One of the core themes was the integration of artificial intelligence (AI) within the ERP environment, which has become a prominent feature of Epicor’s Kinetic platform.

According to Hanneke Strumpher, solutions specialist at epic ERP, many businesses are hesitant to embrace AI due to its perceived complexity or irrelevance to their operations. She clarified how AI can provide significant benefits, such as anticipating vendor issues or alerting businesses to declines in customer profitability before they even review reports.

“Imagine having a system that alerts you to potential issues with a vendor before you even review a report,” she said. “Epicor’s Kinetic system, drawing on various data elements, can predict challenges down the line. Similarly, it can notify you of a decline in profitability with a particular customer, offering insights into why this might be happening. This proactive notification system identifies problems before you are even aware of them.

Additionally, instead of manually using a low-code tool to generate reports, you simply provide a prompt, and the AI-powered technology compiles and generates the report for you, seamlessly integrating all relevant data.”

Charlene Jacobs, channel sales manager for Africa at Epicor, touched on several AI-enabled products that are already embedded within Epicor Kinetic.

A new AI feature developed by Epicor is the Epicor Knowledge Assistant. “This feature allows users to query the ERP platform directly without needing to navigate to external resources such as EpicWeb, the knowledge base, or other Epicor documentation,” she said. “By simply asking the integrated knowledge assistant a question, users receive prompt, concise responses, enabling them to stay on the same screen and maintain workflow continuity.

“This new tool, recently released, significantly enhances user efficiency and access to information.”

Epicor customer Visa Cash App RB Formula One Team uses Epicor Prism, an AI-powered network of agents to improve production and procurement, ultimately accelerating on track performance.

“This innovative tool, set to be generally available early 2025, will deliver strategic benefits, allowing teams to optimise performance and make data-driven decisions in real time.”

Mihir Gulabbhai, epic ERP’s head of solutions and technical presales, gave an interactive demonstration of AI in action within the Epicor Kinetic environment. He showcased how AI simplifies tasks such as procurement, by analysing supplier data and offering recommendations based on historical performance, pricing and lead times.

“For example, AI helps procurement officers make decisions by showing real-time insights, such as which supplier offers the best combination of price, quality and delivery speed,” he said. “AI further streamlines processes by suggesting reports, dashboards and actions based on user behaviour, eliminating the need to manually sift through data.”

Gulabbhai highlighted how the AI tool can extract key data from supplier emails, generate responses, and track supply chain interactions, all within the ERP system.

“This reduces the need for multiple open tabs or manual inputs, allowing users to focus on more strategic tasks,” he said. “The AI even assists with email responses by adjusting tone and content based on context, making supplier communications faster and more efficient.”

Mihir Gulabbhai, epic ERP’s head of solutions and technical presales

The event demonstrated how Epicor Kinetic, supported by AI-powered tools is revolutionising the way businesses manage their operations.

“By providing real-time insights, automating decision-making, and streamlining processes, AI integration within ERP systems like Kinetic is helping businesses stay ahead of their competition, enhance efficiency and make more informed decisions,” said epic ERP general manager Nic Baker. “With its focus on predictive analytics, automated reporting and interactive AI-driven tools, Epicor Kinetic, through epic ERP, positions itself as a key enabler for businesses looking to thrive in fast-paced, data-driven environments.”

epic ERP general manager Nic Baker

For a free demo, contact us and one of our ERP solution experts will get in touch.

– featured in Absa’s media centre – 

 

Absa Corporate and Investment Banking (CIB) has collaborated with two major Enterprise Resource Planning (ERP) providers in the manufacturing and legal sectors Epic ERP and AJS respectively. This collaboration is to implement integrated seamless payment solutions which will reduce inefficiencies and minimise fraud and operational risks which are common with online banking payment systems.

 

John Molanda, Head Product Innovation, says many business clients perform their financial transactions using an online banking system, which creates inefficiencies due to recapturing data and increases the risk of payments files being intercepted. While the alternative is to create a host-to-host connection to transfer data between their line of business systems and the bank, this invariably results in high costs and is technically challenging.

 

The bank has been working with the two collaborators to launch seamless banking solutions like integrated payments and reconciliations. Furthermore, with the advent of Covid-19, this latest innovation is yet another example of how Absa is responding to adopting digitised interventions to limit manual processes, and enhance the client experience.

 

AJS is a leading provider of trusted business software applications for the legal and corporate markets. Justin Perfect, Support and Project Manager of AJS, says he is delighted to be associated with a financial partner like Absa, and looks forward to unlocking even more synergies that will naturally benefit both AJS and Absa clientele.

 

“Not only have we as a software development house embraced the integration with Absa, but more importantly our clients have too. They have experienced first-hand the motto of “more for less” bearing fruit, as a task that took more than twenty minutes, now takes five minutes to complete. Added to this is the reduction in risk to the firm that has put them at ease. As we continue our journey with Absa, we are excited by the value that we will be able to offer our clients,” says Perfect.

 

EPIC ERP is the master reseller for EPICOR software in Africa. Epicor primarily focuses on manufacturing clients in the mid-market segment.

 

Stuart Scanlon, Managing Director of Epic ERP, says the company is proud to be associated with a bank like Absa, whose ambition is to become the leading Pan-African corporate and investment business, through placing focus on collaborations at the core of creating innovative solutions and gaining access to new markets.

 

“We look forward to working with Absa as this relationship represents a powerful opportunity for Epicor and Epic ERP customers to not only improve banking processes but help in reducing fraud,” says Scanlon.

 

“Leading up to this collaboration, the Absa Transactional Banking teams conducted extensive client research, which substantially enriched our understanding of client operating environments. Through this research, we discovered that while bank platforms are pivotal in helping run a client’s business they can also be points of inefficiency and risk. With this understanding, we deliberately looked for organisations with whom we could collaborate to offer our clients an even more secure and efficient way of doing business,” he says.

 

“We have used bank API’s to connect to the ERP’s in this way we can ensure that we personalize the client experience and that the relevant bank response is real time. We are excited with the collaboration and this gets us closer to making sure that our clients can get business done,” says Molanda.

 

Absa’s transactional banking strategy is to build digitally scalable solutions for corporate clients. “This initiative forms a critical part of our digitisation journey. We are investing in critical API infrastructure to be able to offer our clients seamless banking experience. Working with a technology like Epic ERP and AJS, has been great for us to be able to push the boundaries of our technical capabilities. We are excited with the collaboration and this gets us closer to bringing our clients possibilities to life,” says Molanda.

-By Stuart Scanlon, MD of epic ERP, and featured in IT Online –

South African businesses are now facing the truth that the cloud is an indispensable part of standard operating procedures required for the digital landscape.
The arrival of multinational data centres in the country, means more decision-makers are experimenting with transitioning their solutions and data to this online environment. However, the essentials of cyber security must never slip.

 

Data is fundamental in the connected environment and now more than ever companies rely on data analytics to draw insights and customise offerings. End-users must be comfortable sharing their personal information and safeguarding this information must be a business priority.

 

Data sensitivity

 

The reality is that nobody is safe, and no organisation can afford to assume they will not be targeted. According to the 2018 Cost of a Data Breach Study, the average cost of a data breach globally is more than R56 million. Given the complex regulatory environment when it comes to data protection, businesses can ill afford to only pay lip service to security.

 

Statistics show that almost a quarter of files in the cloud contain sensitive data. This can range from financial records to business plans. The same research found that sharing sensitive data with an open, public link has increased 23% over the past two years. Companies must do more to educate users on the risks associated with this.

 

The reality is that while the service provider takes responsibility for the data once it reaches their servers, the path the data takes to get there puts the onus firmly on the organisation. Companies must investigate the opportunities that private and hybrid cloud solutions provide.

 

Changing approaches

 

Going the private or hybrid route provides a range of benefits. These offerings typically deliver automated, real-time, and exception-based options for organisations to carefully manage sensitive data.

 

According to Gartner, the biggest problem is not in the security of the cloud but rather in the control of technology. One of its most concerning statistics is that by 2022, at least 95% of cloud security failures will be the fault of the organisation and not the service provider itself.

 

These failures can link back to clicking on malicious links or misconfiguring servers and network devices. In fact, this has been classified as ‘inadvertent insiders’ (employees who unwittingly cause security incidents through negligent actions) accounted for nearly two-thirds of all data records that were compromised in 2017.

 

The human element

 

Human error being one of the most notable contributors to a lack of security, means that organisations must assess how they approach internal user education. Worldwide, most organisations admit that traditional security solutions do not work in cloud environments. Prominent risks are data loss, leakage, threats and breaches of confidentiality.

 

Clearly, anti-virus and firewall solutions are not comprehensive enough to protect against these threats. Everything from educating employees, encrypting data, implementing multi-factor authentication, limiting access control, testing security measures, and other elements must be considered indispensable.

 

By taking time to assess and strategise effective protection measures, organisations will be able to mitigate the risks inherent to data. Don’t be left open for attacks that can potentially result in the business having to close its doors.

-By Dr Daneel van Eck, software architect at epic ERP, and featured on ITWeb, BusinessIT and Gadget –

The arrival of multi-national data centres in the country makes the cloud a business priority. It is an essential tool in how a company remains competitive in a changing digital environment. It’s here that enterprise resource planning (ERP) solutions play a critical role.

 

Gartner estimated that the global public cloud services market will grow 17.3% this year to $206.2 billion, up from the $175.8 billion in 2018. The transition to the cloud needs to be logical and made either through an ERP solutions or collaborative assessment.

 

Traditionally ERP is viewed as expensive, cumbersome and inflexible solutions that integrate different business components. But the modern ERP environment is quite different, especially for the small business sector.

 

Cloud first

 

Part of this can be attributed to the success of the cloud when it comes to delivering cost effective secure solutions and more computational power. SMEs do not care about the cloud or even ERP as a concept. They just want to get business value with little disruption to operations.

 

ERP in the digital/cloud landscape should be viewed as a more intelligent way of managing a business, irrespective of a company’s size. ERP must be able to integrate data and deliver on business expectations with an all-in-one solution that transcends IT knowledge.

 

ERP is vital in the modern environment driven by data. Consider some of these statistics. By 2020, every person will generate approximately 1.7MB of data per second. Also, the accumulated volume of big data will increase from the current 4.4 zettabytes to approximately 44 zettabytes (equal to 44 trillion GB). Google now processes more than 40 000 search queries per second. According to InternetLiveStats.com, when the company was founded in 1998, it was serving 10 000 search queries per day.

 

Cost-effectiveness

 

With corporate budgets under pressure, everything from human resources to IT spend needs to be managed. The cloud has the ability to scale up or down according to the needs of the business. Cloud providers offering all these services in a hosted environment, so companies can focus less on spending resources on hardware and software, and more on service delivery.

 

An ERP world

 

By migrating ERP systems to a cloud-environment, organisations can free up internal IT resources. These employees can focus on delivering value instead of performing ongoing maintenance. Now IT can be geared towards the growth of the business.

 

ERP in the cloud means that solutions always stay up to date. Updates in the cloud happen with minimal disruption. Some service providers offer sandbox functionality for customers to test out significant new features before they are rolled out.

 

A critical benefit of ERP in the cloud is mobile access. Given the growth of mobility in South Africa and the rest of the continent, linking mission-critical data to professionals in the field, in real-time ensures business value is delivered as close to the source as possible. All relevant information is accessible from the convenience of a smartphone or tablet.

 

A cloud-driven ERP environment provides a more secure way of benefitting from a digital approach to business. Those organisations willing to embrace it will be the ones to gain a significant competitive advantage.

The role of a Chief Financial Officer (CFO) has conventionally centred on financial planning, data and reporting, but in an increasingly digital world, this responsibility is beginning to change.

Digital transformation has ushered in technology like the Internet of Things, artificial intelligence, predictive analytics, and augmented and virtual reality. Not only does the CFO of today need to understand what these new technologies mean but also how they impact every aspect of the business, the investment required to implement them, how they affect other business functions and how they can be used strategically to drive business growth.

But that’s only the beginning.

In this new multifaceted role, the CFO isn’t required to be a technology specialist but must have a confident and comprehensive understanding of the fundamentals of new digital technology. The CFO’s responsibility is no longer a back-office function, where reports are compiled on past financial activities, instead it’s about looking forward to uncover new sources of revenue and to help strategically shape the long-term financial future of the business.

In addition, the new CFO is expected to:

• Recognise the value of real-time data in order to make faster, smarter decisions
• Pinpoint technology that will improve internal efficiencies
• Bring attention to the legacy systems that expose the business to risk
• Embrace the role of change agent and drive change in people and processes
• Identify emerging digital technology trends that will add value to the whole business
• Empower CEOs with strategic digital insights
• Shape the customer experience
• Reduce digital risks

While the CFOs of the future will need to collaborate more with their CEOs, to identify technology investments that will drive new business, they must also engage more with operational leaders, using financial data to guide operational decision-making.

Take the example of Robotic Process Automation (RPA), new software technology that is beginning to replace repetitive manual functions such as balancing a company’s books. CFOs must investigate and implement digital technology solutions, such as robust enterprise resource planning (ERP) software, that will streamline and simplify operations, reduce costs and improve the quality of the financial data being produced. In an evolving finance department, the CFO needs to also prepare staff, so that they embrace – rather than fear – digital technology changes.

With their unique bird’s-eye view of the business, the modern CFO should be at the centre of digital transformation, identifying opportunities, collaborating on strategy, building value and ultimately driving top-line growth. In a world where competition is becoming global, organisations must embrace digital transformation – with their redefined CFOs taking the lead.

 

Image source: Blackline

Smart machines, IoT and Industry 4.0 are enabling manufacturers to digitally transform their operational processes and evolve into faster, leaner businesses. Those manufacturers that aren’t making any moves to implement these technologies and strategies run the risk of falling further behind their competitors.

Here are six industry trends for the year ahead:

1. Smart machines

Small to mid-size manufacturers will increasingly be able to afford smart production machines, enabling them to run unattended, for longer shifts and with increased safety. Being better connected and operating more efficiently will mean businesses are more competitive, flexible and ultimately more profitable, compared to traditional machinery and automation.

2. Mobile ERP

The ability to access business information from anywhere and at any time through mobile ERP, is providing manufacturers with a major competitive advantage. The benefits of this enabling technology are many, including the ability to capture data more accurately, better inventory management control and improved operational efficiencies. With a mobile ERP solution, business owners can make better decisions when it comes to potential threats and potential opportunities.

3. Real-time monitoring

While real-time monitoring reveals actual productivity on the shop floor and current progress towards goals, the rich data also allows manufacturers to improve operations and positively impact inventory reconciliation, scheduling accuracy and production line performance. Real-time monitoring is driving success in the manufacturing industry.

4. Products must be smart and connected

Widely available wireless connectivity is providing the platform for innovative manufacturers to move towards smart, connected products, which will replace legacy products. These smart, connected products not only provide opportunities for new functionality, but they are more reliable, efficient and create a leaner, more cost-effective manufacturing ecosystem.

5. Analytics and business intelligence (BI)

With a wealth of valuable data created through real-time monitoring, manufacturers will increasingly rely on scalable analytics and BI to improve production and resource planning. By gathering and intelligently analysing data, manufacturers can see patterns that would otherwise be impossible, allowing them to also streamline operations and save costs.

6. The Internet of Trusted Things (IoTT)

Businesses around the world are investing billions in Internet of Things (IoT) technology, which has the potential to revolutionise all industries, including manufacturing. While IoT has grown rapidly in the past few years, one of the biggest challenges it faces is that of security. Enter the Internet of Trusted Things (IoTT), which, while it still faces many challenges, is intended to secure a company’s ecosystem. This will be done, for example, through smart contracts that ensure access to important data is restricted to certain people who meet specific requirements.

Early adopters of these trends will likely surpass their competitors by improving business operations, streamline efficiencies, reducing production delays and generating greater revenue.

Over the last several years, manufacturers have embraced cloud applications. According to one estimate, between 2013 and 2023 the percentage of manufacturing and distribution software delivered via software as a service (SaaS) will increase from 22% to 45%.

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~ Top minds come together at the Epicor Customer Summit Africa to validate digital technology trends that improve South African Businesses ~

 

Epic ERP, a Southern African distributor for Epicor Software Corporation, a global provider of industry-specific enterprise software to promote business growth, hosted the Epicor Customer Summit 2019 where the highlight of the day was intense debate on how digital technology trends and relating disruptive technologies are in the space now to make or break business.

 

In South Africa, manufacturing only contributes 13% of the annual GDP. KPMG recently reported that two out of three manufacturing CEOs are anxious about their ability to keep pace with technology.  If modern technology was embraced, the International Monetary Fund’s(IMF) prediction of South Africa reaching 1.4% in GDP growth in 2019 is a distinct possibility.

 

Andy Coussins, Senior Vice President and Head of International for Epicor Software says, “Change is happening, and many South African companies now find themselves trapped with legacy technologies.  In order to capitalise on future growth opportunities a change in mindset is needed.  Adopting disruptive technology will allow companies to adapt to changing market conditions, gain competitive advantage, and improve overall operations and profits.”

 

Chantell Ilbury, a leading scenario strategist and one of Africa’s most strategic creative thinkers, sheds light on South Africa’s mind set when it comes to new technology adaptation that will be perceived as disruptive to the existing status quo.

 

Ilbury advises, “Most South African companies are afraid of change and would rather be locked into legacy systems to feel safe. But without becoming more agile and moving forward they are simply letting their business stagnate, they will soon find out that companies who have embraced and adapted to rapid market changes through technology will be successful.”

 

In order to enable digital transformation capabilities, companies need to realise that they have to overcome the barriers/processes that limit their IT infrastructure from digitising.

 

To do so, logic dictates that the necessary IT services have to be in place to facilitate rapid availability and scale. This will make it easier to deliver demand-oriented access to innovative applications at any time, whether for pilot projects or standard processes, allowing your company to embrace the advantages of ‘disruptive’ technologies and ensure sustainable growth and enhanced market relevance.

 

Some examples of advantageous disruptive technology include:

 

Digital twinning

Digital twinning enables engineers to create virtual product prototypes and maintain virtual representations of these products, making necessary amendments to optimise its business performance. Digital twinning is valuable for product development and digital twins can be utilised to simulate an asset’s operations through the creation of digital simulations.

 

Artificial intelligence for robotics and planning 

Large manufacturing companies have already begun using AI to empower enhanced material purchasing and decision allocation. This will allow for more accurate prediction on delivery times and volumes based on capacity and planned and unplanned downtime. Others are exploring how predictive analytics and AI could enable them to reinvent capacity planning and achieve a more predictable performance

 

Real-time visibility for business decision making

Advance business analytics provide the visibility to make immediate and impactful decisions that drive bottom-line results. Having instant access to the data that underpins company performance allows for better planning, scheduling and resourcing as well as providing an actionable long term financial and operational outlook

 

Blockchain in the supply chain

Blockchain is a data structure that makes it possible to create a digital ledger of transactions. This uses cryptography to manage secure access to the enterprise blockchain ledger, and once a block of data is recorded on the ledger, it is extremely difficult to change or remove.

 

Implementing blockchain technology can revolutionise the supply chain, delivering the transparency, scalability, and enhanced security that makes it easier and safer for businesses to work together over the internet. When connected to an Enterprise Resource Planning (ERP) system, this technology can also provide executives with real-time and robust data.

 

According to Hesham El Komy, Regional Vice Presidentfor Epicor Software in the Middle East, Africa and India (MEAI), “Legacy systems can lead to a data overload, making it difficult to manage a growing wealth of information – which includes details related to financial transactions, inventory and production processes. Information overload puts workers under pressure which can reduce their ability to make accurate business decisions. Transversely, modern technology, such as Epicor ERP, allows companies to be agile, adopt new technology and innovate at a greater rate than ever before.”

 

In its recent study, Deloitteobserves that organisations from every industry face mounting pressure to transform and make the shift from product-centric business models to capture other sources of value. Interviews conducted by Deloitte with manufacturing executives highlight a worrying trend that interviewees expressed concern that their organisations are not preparing or moving fast enough to address future disruptions on the horizon.

 

“From this Deloitte study we can see that the trepidation around embracing digital trends comes with the literal fear of disruption to legacy systems that have created cemented processes that hamper a company’s growth,” says Stuart Scanlon, Managing Director of epic ERP South Africa.

 

“That being said, we are proud to showcase at our event today the number of South African businesses that have managed to be ahead of the curve and embrace digital trends that made them far more competitive on the local market.”

A business is only as good as its reputation. And now, more than ever, we are living in a world where reputations can be made, and destroyed, overnight. It’s not just about keeping shareholders happy anymore – interest in corporate governance is becoming important to ever-growing segments of the population. Company leaders would be wise to take heed! This is an area that demands constant, rigorous attention, because the marketplace is the ultimate compliance officer.

But what exactly is good corporate governance? In its simplest terms, it’s a commitment to openness, honesty and transparency. It’s a willingness to adhere to a written and unwritten code of ethics and moral values, with every decision guided by independence, accountability and fairness. What’s important to note is that laws and regulations alone cannot guarantee fair practices. Every individual in the company – from top to bottom – must have a willingness to act ethically.

 

Is prevention better than cure?

 

When it comes to corporate governance, the answer is most definitely yes. You may have heard the old saying “It’s easier to ask forgiveness than to ask permission.” Open any newspaper and you’ll find an embarrassing number of institutions attempting to do just that – assuming they can get away with dodgy business dealings or treating their customers poorly. But in this age of near-instant information, word spreads. People find out. And they don’t easily forget.

According to Parmi Natesan, Executive: Centre for Corporate Governance at the Institute of Directors in Southern Africa (IoDSA), “Poor governance practices continue to hamstring our public sector institutions, and we need to understand the issues here so they are not repeated.” Indeed, when a company’s reputation is damaged it’s extremely difficult to fix it. Just ask VW, or Bell Pottinger, Facebook, Google, or the seemingly endless list of local SOEs who are in full damage control. Some will never recover, and their shareholders are understandably livid. If they’d simply focused more on ethical corporate governance from the start, many of them wouldn’t be in this situation today.

It’s an issue that has not gone unnoticed. In February’s hard-hitting State of the Nation Address, President Cyril Ramaphosa himself stated that “This is the year in which we will turn the tide on corruption in our public institutions.”

Natesan adds, “The essential first step to achieving this laudable goal is to instil leadership that is both effective and ethical (as espoused in the first principle of King IV) across all sectors… The link between ethical and effective leadership is one of the distinguishing features of King IV, and I think recent events have shown us the fundamental truth of this.”

So where does that leave us? Certainly, effective, ethical leadership is vital, but leaders can only do so much without having systems in place to allow them to focus on the big picture.

  

Good corporate governance starts at the source

 

“It may sound like an old cliché,” says Stuart Scanlon, managing director of epic ERP – the official Southern African distributor of Epicor software, “but you cannot manage what you cannot measure. Corporate governance starts with having real-time access to information across the business. Disparate data sources and synchronised reporting databases simply cannot cut it anymore.” Solutions like Epicor CRM are instrumental in that they are able to consolidate multiple data pools into a system that allows for instant auditing and control over every aspect of your company’s interaction with your customers and prospects, all while providing the sort of transparency, agility and responsiveness that are vital to retaining them. In this real-time world, every minute gained can make a huge difference in ensuring that your corporate governance goals are being met, and that issues are addressed the instant they arise.

 

Ultimately, we all benefit

 

The impact of effective corporate governance can be far-reaching, extending beyond individual companies to the national economy as a whole. If everyone plays their part, public and investor confidence grows, which is especially important when one considers the increasingly international character of investment.

If we as a nation are to enjoy the benefits of the global capital market, and an increasingly globalised customer base, we must make it our priority to adhere to internationally accepted principles and corporate governance practices. It’s a win-win situation – both morally and financially.

Johannesburg (05 November 2018) – As implementation of new EU General Data Protection Regulations continues, many South African companies are finding themselves unprepared and likely to face stiff penalties if they don’t seek compliance as a matter of urgency.

 

Protection of personal information has been thrust squarely into the spotlight in recent years, spearheaded by the recent Facebook Cambridge Analytica scandal where a third party app scraped millions of users’ data, allegedly to influence the outcome of the 2016 US election. While local laws such as POPI exist, the EU is taking a far more aggressive stance on just how much control citizens have over their personal data – specifically regarding sensitive subjects such as race, ethnicity, gender, bio-data, sexual orientation, and political and religious opinions – which cannot be handled without explicit consent. Companies must also delete information about a contact as and when requested. The regulations stipulate that it must be as easy for someone to withdraw their consent as it was to grant it. This has been termed “The Right to be Forgotten”.

 

According to the regulation, individuals have the right to:

– be informed
– be forgotten
– rectification
– object
– portability

 

In the case of a security breach, which poses a high risk for an individual’s rights, the controller must contact and inform them. If the person requires more details about the breach, this information must be conveyed in an easy and understandable language.

 

Even if a company is not based in the EU, it must adhere to these regulations if it holds data belonging to EU citizens. This is where many South African companies are getting caught short, according to Stuart Scanlon, managing director of epic ERP – a leading ERP planning software systems specialist. If found to be in breach, they could be fined by the UK’s Information Commissioner’s Office (ICO) up to 2 percent of their global turnover or up to €20 million (R326 million), which is a significant amount.

 

So what can local businesses do to navigate the somewhat daunting road to compliance? Scanlon asserts that there are options available, such as epic ERP, which consolidates multiple data pools into a system that prioritises security, easy auditing and strict data access management, along with traceability and the use of accredited, certified data centres. When it comes to compliance, it pays to treat users’ data as seriously as the new regulations demand. And it is time for a renewed focus on effective, ethical corporate governance.

 

Far from being a reason to panic, the U.K. Direct Marketing Association sees this evolution as an opportunity for businesses to transform the way they see people, and how they interact with prospects and consumers. In their words: “Businesses should seize upon GDPR as the catalyst to transform their businesses into human-centric ones. They should use the GDPR framework as the foundation for an authentic and transparent relationship with their customers.” By streamlining, refining and focusing on improved data governance, the benefits of more effective data-driven marketing can certainly outweigh the effort required to be compliant.

Last month, South Africa officially entered into a technical recession. According to reports, it is the country’s first since the 2008/2009 global financial crisis. So, even though corporate budgets have been under pressure for some time, the expectations are that costs would need to be curbed even more. How will this impact investments in digital innovation?

 

Popular wisdom indicates that companies need to bunker down in times of crisis. However, given the competitive environment of the connected age, this is not possible if they have hopes of remaining relevant. In fact, now would be the opportune time to invest in enterprise resource planning (ERP) and other technology-driven solutions to capitalise on the opportunities that exist in the market.

 

These take the form of cost reductions, productivity enhancements, and other internal-focused strategies. But perhaps more importantly, they are also available through new products and services development for additional income streams. The days of sticking your head in the sand until the storm passes are long gone. Decision-makers need to be proactive, especially when it comes to technology investment.

 

Long-term vision

ERP provides a platform to achieve this. When effectively plugged into the data analytical capabilities of an organisation, optimising ERP systems mean companies can more quickly adapt to market demands. Focusing on completing these enhancements from an internal efficiency perspective, provides organisations with even more of an impetus for growth once the difficult times have been overcome.

 

Yes, short-term realities need to be part of any business strategy. Equally, the long-term vision still needs to hold true, as any economic cycle (whether positive or negative) remains temporary and the business needs to be ready for when the tide turns.

 

Customer-centricity

One thing that remains constant (even in these digital times) is to ensure customer retention is a key priority. People are even more selective in their service providers than previously. This means that companies need reliable ERP systems that are capable of helping manage the influx of data for real-time insights. Relationships will also be a competitive advantage, particularly when economic difficulties are happening. It is all about analysing customers, reinventing solutions, and catering for their expectations.

 

It also means that businesses need to rethink their mobile strategy, to provide the solutions people expect on the devices they prefer. Again, the data capabilities of an integrated ERP solution will help create an enabling omni-channel environment that not only serves existing customer segments, but also create new ones (with new revenue opportunities).

 

Some might even go so far as to suggest that ERP is recession-proof. Considering the mission-critical nature of the features and business benefits provided, this might not be far from the truth. If a business today does not have an ERP system that integrates into the organisation, then it might as well close its doors.

 

All told, ERP will be one of the most important investments a business can make during times of economic crisis. And the innovation it unlocks will set it on a strong path for the future.

 

About the author: Stuart Scanlon is the managing director of epic ERP. epic ERP is a leading Southern African ERP planning software systems specialist and the official distributor for Epicor Software Corporation. For more information visit www.epicerp.co.za.

Whether it is showing customers how construction sites are progressing in India, helping utility companies spot faults in distribution lines across the United States, or assisting with stock take at warehouse operations in South Africa, drones have changed the way business works.

 

So, what began with aspirations of home pizza deliveries has grown into an industry that can add value to just about any sector of the market. Given how rapidly the technology has evolved, drones are sophisticated tools that can capture data accurately (think HD cameras, GPS locations and other embedded sensors), can access high-risk areas without compromising the safety of employees, and are secured using sophisticated algorithms.

 

Just consider trying to inspect the safety of a 60-floor skyscraper. In the past, this was a labour-intensive task often involving hiring an expensive helicopter. Today, this has largely been taken over by drones that can capture inspection information and measurements, as well as take marketing photographs.

 

It is estimated that there will be 600 000 drones operating commercially in the US by the end of this year. This reflects how pervasive these devices have become and the opportunities they provide business.

 

As mentioned, these units have become invaluable for inventory management and stock take. Even better, it can take place without requiring a business to shut down, as it is not as pervasive an activity as getting employees to manage the stock take process themselves.

 

Real-time delivery

So, whether it is stock taking, surveying, photography, security, emergency services, or any other application, drones do offer several use case scenarios. One of the most significant advantages the technology provides is the ability to transmit data in real-time. While much has been written about the pervasiveness of the Internet of Things (IoT), thoughts generally turn to land-based devices. However, the appeal of drones should not be neglected as it can provide a significantly different perspective as opposed to land-locked systems.

 

All this data being generated can feed directly into an integrated enterprise resource planning (ERP) system. On its own, the drone data is useful, but the real power of these devices lies in unlocking insights through the ERP of the business. With data being generated on a real-time basis, the business can also respond faster than before, thanks to the powerful analytical solutions at their disposal.

 

Business insights

Consider the impact this real-time response could have on security, for example. Being able to monitor securely from above, armed response companies can send additional support to crime zones as required. They are also able to view hotspots – for more accurate risk assessments – before dispatching units.

 

From a manufacturing industry perspective, we have touched on the positive impact on stock take. Building from here when it comes to inventory management, drones (when linked to ERP) empower decision-makers with insights necessary to meet customer needs more organically than previously.

 

Drones should therefore be viewed as an invaluable business tool especially when integrated with more dynamic ERP solutions. They provide decision-makers with an invaluable solution to deliver on customer expectations faster than before and help influence strategy in ways previously unimaginable. One day, drone pizza delivery will be ubiquitous, but there are already so many more things to be done with the technology.

While machine-learning and artificial intelligence (AI) have gotten their share of the limelight recently, there is a third component that is becoming more prevalent in warehouses and manufacturing plants around the world; robots and process automation. Even though this is hardly new, the potential when paired with the previous two elements and enterprise resource planning (ERP) solutions, is significant to enhance any shop floor environment.

Given how technology is evolving, today’s robots are significantly more intelligent than their predecessors. Even though cynics argue that this could negatively impact jobs, the reverse is true. Yes, the capabilities of robots on shop floors and in warehouses can easily reduce much of the human labour element, but they also provide manufacturers with the platform to upskill their workforce.

Being more productive

Like the efficiency improvements when businesses moved from fax machines to mobile phones, machine-learning and AI greatly enhance automation and provide the ability to react quicker, be more agile to market demands, and connect more easily to the Internet of Things (IoT) ecosystem.

And while robots certainly bring value for accountability, they must link to all facets of the digital and real world environments. This is where ERP becomes increasingly essential in any modern shop floor or manufacturing environment. Without having the ability to manage these components, link to the available data, and understand where efficiency gains are to be had, companies can easily lose traction to their competitors. ERP is an enabler that brings more dynamic integration from the shop floor and more effectively gives vital accountability (and traceability) for digitally-led businesses.

These efficiency improvements can also be felt in evolving into a more productive organisation. Thanks to IoT and the connectedness of manufacturing environments, employees, business partners, and suppliers can have real-time access to the shop floor through any device. This enables them to have access to stock levels, monitor deliveries, and other important elements like profitability, cash, and so on, directly from within the ERP system on their device.

Driving profits

In turn, this increased visibility to real-time data ensures a business can better manage operations across business units or locations, leading to improved profitability. Take the role of robots, machine-learning, and AI as an example. By freeing up employees from tasks, companies can upskill them to deliver more strategic value to the organisation. There will always be a need for the creative and strategic value workers can provide, and through training and other skills development initiatives, this can be focused with better service delivery, leading to a likely increase in profits.

In a digital environment, automation takes many different forms. Therefore, a robust ERP solution is needed to ensure that the organisation can more easily accommodate the myriad of open architectures and solutions out there driving machine-learning, AI, and the like. In many respects, this adds a degree of future-proofing to a digital organisation as it is more easily able to adapt to any new innovations.

Modern business leaders are achieving benefits using readily available technology, such as drones, to reduce laborious tasks such as manual stock takes. This is not the case of science fiction but rather science fact, as shop floors embrace a new level of sophistication thanks to the interoperability provided by modern ERP. All of this can easily be driven from the cloud and enable businesses to take advantage of IoT and shop floor automation to move their businesses forward.

All this requires an open mindset and willingness to embrace innovations, leverage ERP in different ways, and identify the new opportunities offered by a digital-driven warehouse.

By 2020, more than 20 billion connected things will be in use worldwide across consumer and business segments. This is an estimated 2.6 smart connections for every person on the planet! Clearly, the Internet of Things (IoT) is going to be an important business driver for the next few years. Its impact on food traceability will be instrumental in addressing everything from world hunger to improving food safety.

In laymen’s terms, IoT refers to any object that can connect to the internet. And by object, this could mean things as diverse as clothes, water meters, fitness devices, mobile phones, and even food packaging. Even though people have become familiar with the concept of being connected, IoT takes it to an entirely different level.

IoT provides organisations, irrespective of industry, with the means to capture data covering a broader range of fields than previously possible. In turn, this requires the data to be managed and converted to insights that can result in improved service delivery, product development, and other competitive advantages.

ERP-driven

Of course, managing the massive influx of data generated by these devices requires solutions that are flexible and customisable to organisational requirements. This is where enterprise resource planning (ERP) systems come in.

Many might baulk at the thought of ERP being considered flexible, but today’s systems are far more nimble and user-friendly than the behemoths of the past. Modern ERP vendors cannot rely on complex proprietary code with a closed architecture. They need to be open for business and ready to interact with any device irrespective its location. Considering the impact this will have on businesses that embrace this philosophy, having a platform that offers real-time IoT data analysis and business intelligence will drive a lot of innovation and efficiency across the supply chain.

Consider a typical production shift of eight hours. If the machines in a food plant is inefficient by just two seconds and, considering that each cycle time only last a few seconds, this can add up to losses of a full eight hour shift per week if not more. Being able to read the real-time machine information into production planning through IoT and ERP systems, a food processor can significantly drive efficiency. The same can be said on the volume of data.

Understanding what is really going on across all your machines, across all the plants, across any location is no longer a nice to have in this competitive environment. Then factor in components such as moisture content, viscosity, volume, and so on, then the business will really be able to embrace true traceability.

Solving problems

It might sound trite, but combining IoT, ERP, and effective data management has the potential to solve significant global issues such as world hunger. By optimising processes, crop yields can be improved. Furthermore, by using IoT devices in equipment, farmers can receive better insights on soil volatility as well identify the best methods for harvesting and storing produce.

As for the rest of the supply chain, being able to work out the best routes for collection and delivery, and even reducing wastage by ensuring the right stock levels are distributed to retail outlets.

But without even a willingness to embrace IoT and ERP-driven systems, the food sector is destined for failure. The signs are clear, change is inevitable and IoT will bring traceability to a more integrated level.