Do you know about drawbacks of accounting & ERP softwares?
There is similarity between the features & functions in built in accounting softwares no matter whether they have been developed by different manufacturers, in less advanced period of time, a distinct staff is employed to handle accounting information through registers & files maintained manually. But technology has changed everything. And we now have computerized form of accounting which had replaced its manual counterpart. Nowadays, you can easily find several different categories of such softwares from basic to advance depending on the needs of specific business organizations. But you cannot take them in use before you know about the pluses & minuses associated with these softwares.
Drawbacks of such softwares are given as follows:
• Inflexible capability: Basic ERP Softwares have limited capacity for storage & not meant to handle complex tasks. Thus, there is a risk associated with these softwares, if employed for business management task. Change is the ultimate attribute of time And you can’t stay unaffected with it if you have to grow. Expansion of business & continuously evolving requirements of business management should be handled altogether so that high profits can be ensured. But with these softwares, the risk factor associated is not reducible. Therefore, it is needed that Business officials who deal with the introduction of new technology for development reasons should carefully check that the softwares to be taken in use should be future compatible.
• Bounded features of report making: Evolving business needs asks for multiple forms of reports to be generated by the accounting softwares like profit reports, loss reports, capital flow etc. But the basic accounting softwares cannot handle such needs as they are designed to provide simpler reporting options. Higher level features that are mainly required are not available in them. Also, you cannot think of changing the reports in a way you want them to be. You can only have them in a way that software has been designed for; they cannot be personalized with respect to the needs. No matter if you have a small business group or a bigger one, if you are in need of the above mentioned kind of reports which are advanced & different in nature, you cannot expect these softwares to provide them to you until you get the advanced software.
Drawbacks of such softwares are given as follows:
• Inflexible capability: Basic ERP Softwares have limited capacity for storage & not meant to handle complex tasks. Thus, there is a risk associated with these softwares, if employed for business management task. Change is the ultimate attribute of time And you can’t stay unaffected with it if you have to grow. Expansion of business & continuously evolving requirements of business management should be handled altogether so that high profits can be ensured. But with these softwares, the risk factor associated is not reducible. Therefore, it is needed that Business officials who deal with the introduction of new technology for development reasons should carefully check that the softwares to be taken in use should be future compatible.
• Bounded features of report making: Evolving business needs asks for multiple forms of reports to be generated by the accounting softwares like profit reports, loss reports, capital flow etc. But the basic accounting softwares cannot handle such needs as they are designed to provide simpler reporting options. Higher level features that are mainly required are not available in them. Also, you cannot think of changing the reports in a way you want them to be. You can only have them in a way that software has been designed for; they cannot be personalized with respect to the needs. No matter if you have a small business group or a bigger one, if you are in need of the above mentioned kind of reports which are advanced & different in nature, you cannot expect these softwares to provide them to you until you get the advanced software.
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