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01.11.06
Open Source ERP For SMEs
 By
Sangeetha Naik
ERP (Enterprise Resource Planning) software has traditionally been used by large
corporations to integrate and automate diverse departments across the enterprise.
For a long time, smaller companies purchased individual accounting and payroll
packages and then migrated to expensive ERP solutions as they grew. They did not
have many options as ERP solutions were costlier and required magnitude and many
employees to justify their use.
Now, with many Open Source software coming out, it is possible for SMEs to go
in for ERPs at an earlier stage. There are several in the market including Compiere,
ERP5 and Fisterra. Companies have to carefully study individual requirements and
test out these softwares to determine suitability.
In this article, I would like to review CK-ERP, an Open Source ERP/CRM system,
ideally suited for use by SMEs. It has a total of 19 modules including accounting
ledger, Accounts Payable, Accounts Receivables, Purchase Order, Sales Order, Quotation,
Point of Sale, Human Resource, Payroll and contact management. It operates as
modules running atop phpGroupWare. This makes it possible for the software to
be easily installed on Internet if employees are in various locations or on the
Intranet for more secure transactions.
Here is a overview of its excellent features.
Customer Billing
process
Any company with more than 10 recurring customers should seriously consider using
an ERP (such as ck-ERP) to keep track of payments, work orders and related accounting.
ck-erp has ck-Quote (a Quotation module), ck-so (Sales order module) and ck-ar
(Accounts Receivable module) to keep
* Sales reps can key in Work Quotations for customers. The CK-Quote module allows
for easily configurable Quotation templates which can be printed or emailed to
customers.
* Sales reps can easily convert the Quotations to Sales Orders when work commences.
A Sales order serves as a formal record of a work order and the terms and condition
under which the work is executed sent to a customer. This direct conversion from
Quotation to Sales Order eliminates a lot of extra work typing out docs. However,
it is possible also to manually enter Sales Orders.
* At the time of billing, Sales Orders can again be converted to Invoices. It
is possible to create Invoices with or without Tax. Here again, print and email
friendly Official invoices can be generated. It is also possible to Bulk-Dispatch
several invoices at the same time.
* Want to check out how promptly a customer pays? Simply check the Billing history
which says when a customer was invoiced and how quickly he has paid you. You can
also check Billing histories of each Sales order.
* Once a customer has been invoiced, it is a easy matter to record payment receipts.
A single invoice can have several payments. For instance if a customer is invoiced
for $1000, he can pay in parts. It is an easy matter to enter part payments against
any invoice. You can also check out the pending payments - invoice wise, customer
wise and even company wise. An aging report shows you how much dues you have to
get.
* All invoice and payments get automatically integrated with the General Ledger,
making accounting very easy. It is possible to view related Journal/Ledger entries
for each invoice
You can easily enter customer records and configure various types of tax. The
accounts receivables include Accounts Receivable Aging reports, Customer Invoice
Aging reports and Detailed list of Tax collected.
If you are a Manufacturing company with thousands of customers, you can consider
middle agents like Distributors or C&F agencies as customers and keep track of
their payments using the same software.
Read
the rest of the article.
About the Author:
Sangeetha Naik heads bobcares.com, a Tech
Support company for webhosts and ISPs. She is the co-founder of Poornam Info Vision
Ltd., a software and IT services company which specializes in Linux based solutions
for Webhosts and ISPs. Poornam Info Vision is an ISO 9001:2000 certified company
with a team of over 100 engineers.
Sangeetha is a Computer Engineer based in India and has over 7 years of experience
in the hosting industry. |
