If you’re managing a franchise chain, you might think that you need franchise specific software. While there are franchise software options on the market, this software is derived from Enterprise Resource Planning (ERP) systems. There’s no need to fork out cash or switch software if you’re already using an ERP system. ERPs are the first choice for franchises, as they offer a greater range of features that can be modified for individual business needs.
A cloud-based ERP allows a franchisor to manage a large network of franchisees in an automated way. It can support multiple franchise locations, allowing for the smooth analysis of large data. Franchisors can select what data they send and receive from franchisees giving them transparent business data to forecast future sales. The benefits of using ERP software for franchises are endless, but here are the key reasons you need an ERP to manage your franchises.
Optimising Inventory Levels
An ERP system gives the franchisor corporate level inventory visibility. As a franchisor, you can place purchase orders based on inventory levels and connect directly to your suppliers. Using an automated stock replenishment tool, across all franchises, gives individual franchisees information on historical data and seasonal trends. This means, as the franchisor, you are fully aware of what is going where, and your franchisees have a complete understanding of their supply. All parties are aware of how much stock they have and whether they will encounter any problems with future shortages or blowouts.
Using a cloud-based ERP gives both the franchisors and franchisees total visibility on important data like revenue, cash flow, profits and losses, all updated in real time. As the franchisor, you can avoid any problems when undertaking onsite visits, as the ERP reports everything in real time. By looking and comparing sales of outlets before you visit, gives you an indicated as to how the business is performing. Any problems can be pin-pointed, and sales goals can be easily rectified. Historical data allows you to spot problems early. This makes in-person store assessments faster and cuts down the need for stringent regulation, as all the data can be viewed remotely.
Marketing campaigns can be shared through the ERP from head office to franchisees. The marketing material can be used, improved, monitored and tailored to each franchise in real time. If you or your franchisees have great ideas for a sales campaign, an ERP allows everyone to share ideas and get feedback quickly.
Franchises Linked To Head Office
ERP software can help head office monitor important data like revenue, cash flow, profits, losses and expenses of each franchise. This can be done, in real time, without the need for time consuming, manual reporting. Using a cloud-based ERP provides peace of mind on both ends of the franchise partnership. Franchisees have access to the cloud ERP, but sensitive data is not shared between outlets or service providers, only between individual franchisees and the head office. Head office can decide what information is shared to franchisees, as well as what data is reported back to head office.
How can Acacia help?
Managing franchises doesn’t have to be a difficult or frustrating process. ERPs are the first choice for franchises, making your business run efficiently and effectively. At Acacia, we are a MYOB Advanced Platinum Partner and an industry leader in helping businesses and franchises overcome issues, rebound and become more profitable. We help optimise, automate and improve the traceability of your business. Acacia has the knowledge and experience across a range of businesses to provide the most cost-effective solution for your business.
If you run a franchising company and you are interested in talking through the advantages of moving to a cloud-based ERP, contact us to find out more.