Month: September 2021

ERP software has today become a ubiquitous tool employed by businesses across industries to streamline and automate business processes and enhance productivity and efficiency.

Thanks to its robust and exceptional features, ERP has broken information silos and centralized information; it makes relevant data available to team members, allowing them to perform better, and challenge the competition.

ERP is also used by organizations like nonprofits, hospitals, and government agencies, to ensure smoother workflows and more efficient management of day-to-day activities.

Studies show that the healthcare ERP market in USA is likely to reach $2.1 billion by 2025.

The same features that make ERP irresistible to businesses are also attracting healthcare providers as well.

Realizing the benefits provided by this revolutionary software solution, more healthcare institutions and professionals are migrating from legacy systems to ERP.

This allows them to organize and consolidate their confidential information, and ensure more reliable and efficient processes across the network.

Also Read : Factors for a Successful ERP Implementation

Role of ERP in the Healthcare Industry

ERP for healthcare industry is very useful when it comes to managing core business activities like inventory, HR, customer relationships, and finances.

For the integration of core and support services and back-office activities, various hospital departments require integrated systems.

Healthcare providers grapple with the need to fulfill two major goals – deliver quality care to patients, and reduce costs significantly.

Healthcare institutions constantly upgrade ERP systems so that patient care becomes better and more accessible.

Eliminating clinical errors and boosting the efficiency of care providers are two of the biggest reasons for the implementation of ERP systems in healthcare.

Thanks to the burgeoning number of technological advancements, healthcare organizations are now able to integrate doctor and employee information with patient databases.

Healthcare providers need real-time patient information like various test reports so that they can provide effective treatment and ensure optimal outcomes.

Streamlining information through various systems is critical – like the different diagnostic systems, communication systems, and electronic medical records for patients.

Access to medical records are given to patients, making it easy for them to take timely decisions and schedule appointments as necessary.

Also Read : Importance of ERP System in Different Industries

Reasons of Implementing ERP in the Healthcare Industry

There are several benefits of ERP in healthcare, and these benefits are the reason why ERP is widely implemented in healthcare today.

There are clinical and administrative reasons, like improved patient health and clinical results, reduced cost, and improved operational performance.

Let us look at each of the benefits in detail now.

1. Easier Access to Medical Records for Patients and Providers

It is imperative that healthcare workers are able to access patient’s records quickly whenever it’s needed – like if a patient calls regarding a medical issue, or needs to make an appointment.

However, this isn’t just about as simple as it sounds.

The older systems that are in use in most healthcare organizations, unfortunately, did not have this functionality.

For this reason, numerous healthcare providers have migrated from paper and manual entry systems to ERP solutions, which offer access to critical data at a single click; needless to say, this significantly improves the patient experience.

In this time of the global pandemic, it has proved its worth and been especially valuable; the medical institutions that moved to an ERP or updated their existing ERPs, have been at a distinct advantage over those that did not.

The biggest problem facing the healthcare system in the pandemic was the extra burden it had to handle; this burden was mitigated to a great extent wherever there was technological adoption by both providers and patients.

ALSO READ: Influence and Importance of ERP System in Different Industries

Monitoring body temperature, oxygen levels, blood pressure, and other indicators could be automated thanks to technology, allowing patients to receive quick assistance when required and enabling healthcare providers to ensure better patient outcomes.

Combined with other information like the patients’ medical and travel history, healthcare professionals could prioritize which patients required immediate medical intervention.

It also allowed them to instantly connect with patients without having to rush to the emergency ward every time.

2. Improved Patient Care

ERP platforms today are cloud-based, and this means that healthcare providers can access the system remotely – view patient information and reports even if they are away from the medical center.

This helps them give appropriate advice regardless of whether they are near the patient or not and helps patients make informed decisions regarding their treatment.

With sophisticated software, it becomes easy to schedule diagnostic and other medical procedures in the future.

A robust ERP system makes critical patient information available across disparate systems.

Also Read :  Challenges in ERP Implementation

3. Decreased Operating Costs and Diminished Errors

Just like any other business, healthcare institutions also need to manage their financial process efficiently.

ERP software for healthcare renders processes more efficient; various tasks like HR, accounting, payroll, inventory, and so on are handled by ERP and brought into one central database, optimizing and automating numerous backend processes like managing payroll, inventory, accounting, etc.

This makes the whole process of monitoring costs more accurate and efficient.

ERP systems can monitor patient payments and also help healthcare providers track their own expenditures – by organizing and referencing operating costs for vendors and relevant services.

Thanks to automation, the scope for human error in admin ops and data entry for inventory is almost zero.

4. Restructure Healthcare Processes and Implement Best Practices

Healthcare processes can be streamlined by integrating important facilities like emergency services, OP departments, EMR management, radiology, patient ID, and so on.

A robust ERP solution helps healthcare organizations to monitor all procedures and policies regarding matters like payments, member benefits, provider networks, registration, and so on, more efficiently.

It will help them to initiate and follow industry best practices.

5. Patient Safety and Confidentiality

As it eases patient-physician communication, erp for healthcare industry helps enhance patient safety significantly.

Medical records are highly sensitive in nature, and hence, it is essential that they are kept confidential.

Without a secure system, you could experience a data breach, and along with that, a loss of reputation and credibility.

Implementing ERP for healthcare is an excellent way to ensure that critical and sensitive patient data is protected.

A good ERP solution lets you configure the system so that only authorized individuals have access to patient records, and that too after dual or multiple authentications.

Such professionals will be able to update or modify the data within the ERP system as and when necessary.

If your healthcare service has an integrated ERP, other organizations will recognize your organization as being serious about patient confidentiality and security, and be convinced of your commitment to improving patient health and outcomes.

Also Read: How ERP Software Enhancing Your Business?

6. Analytics, Reports, Business Intelligence and Strategic Planning

Even a hospital or healthcare center is a business; deploying an ERP solution for healthcare can help you improve operational efficiency and provide real-time insights that help you take the right action.

By measuring key indicators or KPIs, an ERP offers information on matters like patient visits, budgeting, requisition, and so on.

The ERP software calculates and evaluates the operational efficiency of a healthcare institution, and helps identify shortcomings and bottlenecks.

Administrators can use all this information to strategize and draw up effective business plans to improve overall performance across various departments.

By determining which areas need to improve, top management will be able to track and determine whether they need to change existing methods and policies or continue with them.

Availability of smart and detailed business intelligence and operational insights will help managers to make swift, mission-critical decisions for your healthcare organization.

Most importantly, ERP programs can also throw light on budgets to help direct your expenditure, and make forecasts for the near future.

ALSO READ: Benefits of ERP in Production Planning

7. Improved Industry Compliance

Perhaps no other industry is subject to as many rules and regulations as the healthcare industry; non-compliance to the regulations may not only subject your organization to hefty fines and loss of reputation but can also have disastrous results for patients and the care you provide.

As a healthcare provider or institution, you must respond proactively and adhere to compliance requirements.

The first step in this direction is to ensure that your operations are transparent, secure, and traceable.

By sticking to legacy systems and obsolete methods of record-keeping, you could risk failing important audits or be found guilty of non-compliance with industry regulations.

ERP for healthcare, however, makes it easy for you to provide the requisite documentation whenever needed, regardless of where you are.

Adhering to regulations and compliance requirements becomes a breeze with this system.

Also Read: Key Benefits of ERP for Accounting and Financial Management

To Sum Up

By implementing an ERP solution in your organization, you can bring various stakeholders like patients, doctors, insurance companies, etc. on the same page, with centralized information.

There are numerous ERP software tools available in the market today that are robust, innovative, flexible, and user-friendly.

Healthcare professionals are freed from the worries of reducing expenses or coming up with ways to improve operational efficiencies, and can concentrate on improving the quality of care they provide to patients and ensure optimal outcomes.

ALSO READ: Benefits of ERP for Agriculture Industry

Hospitals, clinics, nursing homes, and professionals are rapidly adopting ERP software as a means to improve their own overall performance and to have an edge over the competition.

The requirements of heightened transparency and accountability have quickened the pace of implementing ERP in healthcare institutions.

If your organization has not leveraged this technology yet, it is definitely time to seriously considering moving to an ERP system.

Tranquil is a prominent cloud-based ERP software system that helps you to manage your projects and business work in a hassle-free way. Moreover, with this software, you can access your business data anywhere, any time. If you want to manage an ERP software system, you can get in touch with Tranquil software.

 

For any business, it is crucial that the accounting and financial management is properly handled.

Complex financial data like budget estimates, cash flow management, and so on, need to be kept current, enabling organizations to make informed, critical business decisions.

It is vital to track and examine the flow of funds coming in and going out; this information can help drive profits and business growth.

So what is the connection between ERP and accounting?

Enterprise Resource Planning, or ERP, plays an important role in modern businesses by enhancing productivity, automation, and streamlining of business processes – even accounting.

In fact, ERP solutions help companies to streamline the accounting process through data integration, providing a clear 360-degree view of the business, empowering business owners and managers to make quick, informed decisions.

ERP software is a far more efficient tool to manage the accounting and finances of an organization than a standalone accounting solution.

It helps you manage and track pan-organizational ops via a centralized platform.

Financial data insights not just facilitate cost efficiencies, it also boosts organizational financial productivity.

ALSO READ: ERP vs CRM: Key Differences and Benefits

Benefits Of ERP In Accounting

Now that we have an understanding of the connection between ERP and accounting.

Let us examine in detail what the benefits of ERP are:

1. Manage Your Comprehensive Accounting and Financial Needs

It is imperative for every business to efficiently and actively manage cashflows, and with an ERP accounting system module, this becomes super easy.

Not only does it offer access to critical business information, but it also enables you to set a budget and assign financial resources for different purposes like raw material procurement, marketing campaigns, employee salaries, transport, and various other operational expenses.

Having a unified system to manage multiple processes or departments reduces the time and cost spent on purchasing separate tools for each. In a nutshell, you can:

• Use ERP for capital requirements estimation and cash management
• Draw up budgets accurately
• Allocate costs for different activities
• Manage payments made to vendors, employees, and so on

ALSO READ: How AI transforming ERP?

2. Eliminate Duplicate Data Entry

Most organizations today deploy an ERP solution to streamline and manage business ops; when you integrate that with the accounting module, it saves you the headache of comparing and verifying the information between disparate systems.

It also removes duplicate entries, thereby considerably enhancing data consistency.

Also Read : Factors for a Successful ERP Implementation

3. Transparency Financial Information

With ERP in accounting, you can access financial information whenever you need it.

The ERP system functions to deliver precise, dependable information in a timely manner so that the organization’s resources are used optimally, and the business processes are properly organized and managed.

It provides an all-round view into financial data and this visibility

4. A Higher Degree Of Control

One of the biggest benefits of ERP in accounting is that it empowers you and affords you more control over your business.

You gain real-time visibility into how events and decisions impact your bottom line.

This way, you can learn and improve your decision-making, to reduce expenditure, improve profitability and drive growth.

Also Read : ERP software in Warehouse & Fixed Asset Management

5. Workflow Automation

Improving your core business ops becomes a breeze with a system that can automate your processes.

An ERP for accounting management includes time-saving features like inbuilt workflows; they automate your accounting and streamline the process of data entry.

It also improves the management of cash, resolves problems with cashflows, and simplifies complex accounts payable and accounts receivables activities.

You can easily gather, track, and analyze financial information from different departments with the ERP software’s Finance and Accounting module.

It can also generate financial statements like balance sheets, profit and loss statements, and so on.

All of this automation makes it absolutely easy to collate data across the entire organization and use the information to manage your business better.

ALSO READ: Important ERP Modules and Functions 

6. Reduced Human Errors

Manual data entry is always prone to errors; financial and accounting data is no different.

Often, fatigue and monotony can set in during manual capture, causing the individual to lose focus and press wrong keys, leading to erroneous entries, while such errors are quite commonly made, incorrect or incomplete accounting data can negatively impact the quality of financial reports, leading to even more problems – and sometimes, it could lead to complications in tax computation.

The ERP solution identifies and rectifies the errors in data entry, minimizing the risk of generating erroneous invoices, paying incorrect amounts, or any other accounting issues that may normally arise due to mistakes in the data entry stage.

Also Read : How ERP Software is Playing Role to Improve Business Productivity?

7. Excellent Tracking Capabilities

A critical benefit of ERP in accounting is that it can be utilized as a comprehensive financial management system, by enhancing activities related to finance and accounting like credit management, tracking of revenue, payment schedules of customers, and a whole lot more.

As activities like payments, revenue, and billing have high tracking capabilities, they can be easily managed if you have an ERP solution deployed in your organization; you can even use the software to keep track of profits your business makes, budgets, cost analysis, invoices, and so on.

8. Detailed Insights from Financial Data in Real-Time

ERP in accounting and financial management offers detailed, comprehensive visibility into the financial condition of the entire business, across departments.

The system makes sure that you can view the fiscal health of your organization efficiently and with clarity, helping you to control expenses, measure revenues, and handle other activities of the accounting process.

It ensures that you stay informed of every financial transaction immediately as it happens.

Also Read : Challenges in ERP Implementation

9. Robust Reporting Capabilities

The accounting departments of the organization end up spending a great deal of time preparing financial reports for the various stakeholders like banks, tax authorities, shareholders, and so on.

With an ERP system, however, all this manual work can be avoided, as it comes with robust reporting features.

Its inbuilt filters can be customized and apply as per the specific requirements of various agencies, to churn out accurate and detailed financial reports.

10. Financial Data Security

Being of a very confidential nature, financial information demands a high degree of security protocols for data protection.

A reliable ERP system is one that affords multiple level security with stringent protocols in place to databases that store information and offers only role-based access to users who will have to use multiple authentications to get in.

Such an ERP software will be able to prevent security breaches and protect sensitive financial information.

Final Words

Undoubtedly, ERP offers a host of benefits when used in financial management.

Of course, the statement takes for granted that the ERP solution so used, will be well designed, efficient, and function as it is supposed to.

If you are looking for a reliable ERP tool, you have come to the right place.

Our team of experts will be happy to take your requirements and give you a quote.

Just contact us to get started.

Tranquil is a prominent cloud-based ERP software system that helps you to manage your projects and business work in a hassle-free way. Moreover, with this software, you can access your business data anywhere, any time. If you want to manage an ERP software system, you can get in touch with Tranquil software.