To get these ERP solutions up and running, millions of euros are being invested by organizations in implementations, upgrades and modifications of the systems. Although an incredible amount of time and capital are being invested, many organizations today, find that their ERP systems are not realizing the initially expected benefits.
Some of the major difficulties that companies are facing today include:
- Suboptimal process performance or processes not executed as intended;
- Insufficient management reporting to support the decision making process;
- A high amount of working capital is required to run the system;
- Bypassing of the system’s integrated internal controls is not detected in a timely fashion;
- Heavy month end procedures that slow down the closing process;
- Limited control processes;
- Limited or no use, during the Financial Statement Audit.
The concepts of data analysis and mining are known techniques to provide descriptive, prescriptive or predictive business information. What is new is its application to transactional processes and the way it is applied to evaluate the overall performance of a company.
KPMG Advisory applies a combination of data analysis & process mining to help enable management to objectively identify irregularities, process improvements and harmonization opportunities within business administration and financial processes. By applying root-cause analysis, valuable insights are provided on when, where and why processes have been performing suboptimally.
Whereas other approaches might rely on experience or subjective process analysis and understanding, KPMG Advisory’s methodology is driven by facts captured within your ERP system and therefore represents the way your business really operates.
The outcome of KPMG Advisory’s data insights and root-cause analysis is a portfolio of actions that may offer tangible results to address the constraints that have been holding the ERP system back. Typical improvement actions can include changes in configuration, reduction of manual interventions through automation, training to specific departments, development of reporting capabilities, periodic re-assessment of performance and operations through continuous auditing and monitoring solutions, etc.
At KPMG ‘Intelligent Decision Support’, we assist companies with the development of the business case and roadmap to unlock the true potential of their ERP system. We help leveraging the investments in their ERP environments by transforming ERP data facts into business value.