While the initial novelty has leveled, the cannabis industry continues to gain legitimacy, and its entrepreneurs find they are facing many of the same challenges that confront every other growing enterprise. Maintaining adequate inventory without overstocking, controlling the growing, processing and packaging costs per gram of every strain and product, working efficiently with suppliers and growers, and accurately forecasting demand are some of the concerns on the minds of every cannabis business owner. Cannabis and ERP work together to give you the edge.
Growing a successful medical or recreational cannabis business requires the same technology tools required to grow virtually any other agricultural or manufacturing business: ERP software. Here are four ways ERP can help you be a cannabis industry leader by operating more effectively than your competitors.
Supply and demand pipeline
Even with proper storage and handling, cannabis has a shelf life. Overstocking is costly and wasteful, yet understock and you risk losing sales and the goodwill of your customer base. The better able you are to forecast demand and make smart, timely purchasing and production decisions to meet that demand, the more likely you are to grow the business and your profits. What products are selling when and to whom? Which suppliers are providing you with the best terms and best pricing? Are slow or inaccurate lead times costing you sales?
ERP solutions like Microsoft Dynamics NAV are designed to provide data and information you need to answer these questions. Combine your experience in the market with fact-based metrics from your ERP, and you’ve positioned your business for long-term success. Although the demand for cannabis continues to rise, it’s a very competitive market; your cannabusiness needs the right business processes and information to capture and maintain market share and profitability.
Making the connections
You’re out in front, running a business. You need business management software that partners with you, providing a single, integrated solution encompassing sales, purchasing, cultivation, extraction, processing, accounting and inventory management. A disconnected system of spreadsheets and entry-level accounting applications requires too much of your time to maintain and doesn’t deliver the holistic views and strategic insight you need to make better business decisions.
ERP solutions like Microsoft Dynamics NAV is a flexible, adaptable business management solution that fits the way your cannabis operation works. It’s a single, integrated and comprehensive solution that helps you best manage all aspects of your operation.
High technology with down-to-earth usability
Yesterday’s ERP was clunky, unfriendly and required too many resources to implement, manage and use.
Microsoft Dynamics NAV is an ERP solution for today’s businesses. It works like the familiar Microsoft Office tools you already use, seamlessly connecting with Outlook, Word and Excel to help you complete common tasks right from your Inbox. And you get the same powerful capabilities across iOS, Android and Windows platforms so you get things done wherever you need to work.
Even with the uncertainties accompanying the new federal administration, cannabis businesses are set to grow at a brisk pace, reaching $24.5 billion by 2025. If you do not have the right accounting, inventory control and distribution system in place, you could miss out on your share of this lucrative market. Is your software capable of scaling to meet anticipated growth and expansion?
It makes smart sense to invest in an ERP solution that not only meets your business needs today, but is able to address your growth and evolution over the coming years. Too many small businesses don’t think long term as they shop for business software and end up with an entry-level application that ultimately stifles your growth potential. Microsoft Dynamics NAV has the power and flexibility to scale with you as you grow.
While the cannabis industry is still in its infancy, businesses in this space must overcome challenges of their more established counterparts. A flexible, powerful and integrated ERP application like Microsoft Dynamics NAV can help you address those challenges and continue to grow your business. Contact Silver Leaf software solutions to speak with one of our cannabis industry specialists and learn more.