Keeping up with the changes in regulations and tax structures, fluctuating fuel costs and a host of other factors bring a lot of challenges to the logistics and transport industries. Amidst this, if they maintain a robust infrastructure, it can be a relief. And for this, a comprehensive business management suite like SAP Business One can be of great help. In fact, a logistics business will be able to reap numerous benefits by working with a reliable SAP B1 partner in Mumbai.
What Are The Common Challenges For A Logistics Business?
- Cargo Clearance
In India, obtaining timely clearance of cargo at the ports can sometimes be a bit of a challenge. Delays here can lead to an overall transportation delay. And this can be detrimental to the reputation of the business.
- Fluctuating Prices Of Fuel
Based on the chosen mode of transport, the transportation cost fluctuates by default. Unpredictable cost additions can pop up whenever there are sudden fluctuations in the fuel prices.
- Delays In Transportation
Both road and rail transportation options come with their own challenges. The cost of transporting the goods might be higher in some rail routes. But road routes come with unpredictability in timing. Traffic conditions, issues due to bad roads and other factors can cause unexpected delays in transport.
How Can SAP B1 Help Tackle The Challenges
Working with a SAP B1 partner in Mumbai helps logistics businesses tackle the above challenges and they also offer a host of other benefits.
- Cut Down Operation Costs
SAP B1 helps businesses fine tune their accounting operations. As a result businesses will be able to track the minor and major expenses and income. This helps in gaining more clarity on where cost cutting is possible. Areas that add up to the unwanted costs can be identified. This helps in setting priorities for the next budget.
- Better Routes For Optimized Transportation
When there is an efficient system to automate data capture and tracking, a wide range of transportation issues in logistics can be eliminated. Real-time data tracking helps the teams to identify imminent challenges due to factors like road conditions and weather conditions. As a result, an optimized route can be identified. And this can also incorporate historical data for added accuracy. Delays caused in transportation can be minimized and eventually eliminated with this strategy.
- Instant Invoicing
Delays in generation of invoice and tracking of payments can lead to cash problems. Every little detail can show up in budgeting. To avoid this and create stronger budgets, Business One helps in automating the invoicing system. So, payments can be tracked easily. And when there are multiple points where money is spent, like acquiring permissions, paying state and central taxes and also handling fuel costs for transportation, every single bill can be digitized. So, even the smallest of expenses will be captured. This makes it possible to identify where all the money goes. Businesses will not have to struggle with finances not tallying at the time of budget tracking.
- Better Resource Management
Resources including people and equipment can be managed better with the use of Business One implementation. In logistics and other industries where there is a rich diversity in the team structure, resource management becomes much more practical with a streamlined system like B1.
- Keep Track Of The Inventory Details From Multiple Locations
Some businesses operate out of multiple warehouses. This is mainly to reduce the shipping times. But this can sometimes lead to disconnected data reserves. Cloud based Business One implementations will be useful in such cases. Businesses will be able to bring to one place the data from multiple inventory locations. This makes it easier to understand the inventory status of all the locations without having to physically visit them all. Having all the data in one place also means that cumulative understanding of the business’s current inventory status becomes easier.
Also Read: How Does SAP Business One Manage the Foreign Currency Exchange Rate?
Finding a SAP B1 partner in Mumbai is pretty simple today. Once you choose the right partner for your business implementing B1 and moving away from traditional systems becomes so much simpler. You can always sit with your B1 partner and figure out the most cost-effective mix of Business One tools to begin with and then scale the solution as you find more applications for it.
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