Performing an ERP Health Check

Process Using standard reports Using Financial Statements Using company-specific reports Partnering Opportunities

Measuring and understanding your business is a pivotal part of success and understanding how to leverage DEACOM to gather this information is critical. Bodies, cars, appliances, etc. all require annual check ins and your business is no different. This section is not about understanding how your software can improve, but how you can utilize your software to help your business improve. DEACOM takes a different approach to the ERP health check and will provide you with key metrics to leverage during times of decision making. The objective of this section will be to give executive level team members an overview of how they can utilize DEACOM reporting to understand the current state of their business.

What can a Health Check tell me?

By utilizing the beneath reports users will obtain with the tools they need to make strategic decisions for their business. The goal is to analyze reports such as inventory, A/R, and A/P and identify what specifically should stand out and how to take action accordingly.

How can I do a Health Check?

One of the main benefits of DEACOM is the reporting capabilities. Most of the time, people think they simply need to run financial statements to determine the health of their company. While that is a great place to start, DEACOM allows you to run various standard reports in other areas of the system that will help you more thoroughly analyze your business. The section below provides you with a list of standard reports and how to use them to monitor the health of your business.

Process

Using standard reports

Inventory Reports

• Aged - Displays how long each Lot has been in its current status or location (in other words - identifies obsolete inventory). It is recommended that you run this report and sort by age. Then, develop a plan to address the old inventory.
• Usage - Displays inventory turns as well as reorder dates. This is useful for identifying items that should be discontinued because they have low turns. This can be used in conjunction with the Aged report.

Sales Reports

• Period - This is a summary report showing Total Orders, Total Order Amounts, Profit and Revenue information for each period as defined by Fiscal Year setup. This report identifies which months are most and least profitable.
• Profit Detail - Detailed report showing Revenue, Cost, Profit, and Margin information for each Sales Order line on shipped Sales Orders. This is useful in determining which items are your most profitable.
• Profit Summary - Summary report showing Revenue, Cost, Profit, and Margin information for each shipped order. This is useful in determining which orders are your most profitable.
• Ranking - This is a summary report that ranks the report results from highest to lowest based on the "Rank By" selection on the pre-filter.
• Short Ship - This is a detailed report showing quantity and part information for Sales Orders where the Shipped Quantity was different then the Ordered Quantity. This is extremely useful in determining where you have some production issues.
• Trend Dollars - This report can be used to show year-over-year performance.

Purchasing Reports

• Ranking - This is a summary report that ranks the report results from highest to lowest based on the "Rank By" selection on the pre-filter.
• Short Ship - Detail report showing quantity and part information for Purchase Orders where the received quantity was different then the ordered quantity. This is a great report to show Vendor performance.
• Standard Variance - Detail report showing quantity, part information, Purchase Price, Standard Price, and variance for all Purchase Order lines. This report should be run prior to receipt to identify variances before they hit the GL.

Accounting Reports

• Payables Detail - Sub-ledger report which displays AP aging details according to the selected pre-filter criteria. You could run this report and sort by age to research and resolve any older open AP transactions.
• Payables Summary - Sub-ledger report which displays the AP aging summary information according to the pre-filter criteria. This report will identify what is due to each vendor and break the values into aging buckets.
• Receivables Detail - Sub-ledger report which displays AR aging details according to the pre-filter criteria. This report should be run and sorted by date to identify unpaid customer invoices.
• Receivables Summary Bill-to - Sub-ledger report which displays the AR aging information according to the pre-filter criteria sorted by Bill-to. This report will identify what is due from each Bill-to customer and break the values into aging buckets. Useful in determining customer credit.
• Receivables Summary Ship-to - Sub-ledger report which displays the AR aging information according to the pre-filter criteria, sorted by Ship-to Customer. This report will identify what is due from each Ship-to customer and break the values into aging buckets. Useful in determining customer credit.

Using Financial Statements

The financial statements are a quick method for management, auditors, banks, and investors to ascertain your company’s health. The financial statements are not limited an income statement or a balance sheet. DEACOM allows you to design financials specific to your needs. For example, you might want to create a report for your Operations department so they can see the expenses they have incurred.

• Balance Sheet - Report that summarizes an entity's assets, liabilities, and equity as of a given point in time. Indicates the health of a company at a certain date.
• Cash Flow - Financial statement which shows the projected cash receipts and disbursements.
• Income Statement - Financial report that shows an entity's financial results over a specific period. You can generate a period income statement which provides you the ability to see how your income and expenses are trending. It is also recommended that you include a budget so you can see how you are performing against your budget

Using company-specific reports

During your implementation, your Product Specialist can help you design reports specific to your needs. After your implementation is complete, any additional custom report requests can be directed to our Customer Success managers.

Partnering Opportunities

As a way to ensure our customer base has what they need to achieve long term growth, we look to leverage health checks. The Customer Success team is here to strategically evaluate customers goals and the health check is a critical piece of this puzzle. To put together an assisted evaluation of your health check results and formulate a road map for success, please reach out your customer success manager.