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Improving Dynamics NAV for the Middle Market

June 17th, 2010 by Bharath Lanka

Small- and medium-sized businesses (SMB) have unique requirements for their enterprise resource planning (ERP) needs. The industry-leading companies that most benefit SMBs are those that assist companies in aligning their ERP solution with their strategic goals.

Microsoft offers a complete suite of interconnected applications designed with SMBs in mind. While Microsoft Dynamics GP is clearly focused on the smaller enterprises, over the years, our work with Microsoft Dynamics NAV has shown it to be a more robust and cost effective enterprise solution for the middle market. Dynamics NAV is simple to use and very adaptable but it generally requires the assistance of an external service provider to ensure an optimally performing implementation. Maintain a relationship with an external service provider with NAV expertise is particularly important in light of the constant improvements that Microsoft makes to the platform.

Recently, Microsoft unveiled Microsoft Dynamics NAV 2009 R2, with significant upgrades in platform architecture, built-in integration with Microsoft Dynamics CRM and online Payment Service. The release will be available in the fourth quarter of 2010, a timeframe that introduces the release more quickly than scheduled.

According to Microsoft, Dynamics NAV 2009 R2 will include the following enhancements:

Microsoft Dynamics CRM integration. In its continued effort to ease the sale of CRM to its ERP base, Microsoft is providing built-in integration with Microsoft Dynamics CRM. Benefits of customer relationship management (CRM) integration include eliminating redundant data entries, keeping information up to date in both ERP and CRM solutions, and providing salespeople with the ability to quickly access detailed business information about contracts, pricing and product availability. Customers can choose between integration to on-premises Microsoft Dynamics CRM or Microsoft Dynamics CRM Online with the option to migrate to either option over time.
Online Payment Service for Microsoft Dynamics NAV. This enables customers to process payment transactions from the Microsoft Dynamics NAV interface across multiple channels, including e-commerce, point of sale and call center transactions. The Payment Service works with leading payment processing services and all major credit cards.
Role-Tailored interface access for remote or roaming users. Microsoft Dynamics NAV 2009 R2 supports direct access from the Microsoft Dynamics RoleTailored experience over the Internet. This allows for remote or roaming users to take advantage of the richness and Microsoft Office integration of the RoleTailored interface and the many integration features connected to local resources, such as the operating system and Microsoft Office. This reduces the complexity and overhead compared with using other applications such as Citrix Systems and Terminal Services, especially for hosting partners offering cloud-based Microsoft Dynamics NAV deployments.
Microsoft Application Virtualization support. The Microsoft Dynamics NAV 2009 R2 Role-Tailored interface can be deployed using Microsoft Application Virtualization (App-V) technology, which is relevant for both on-premise and hosted solutions. This provides a better experience for the end user as all integration with local applications is done on the desktop. It also cuts IT costs by centrally managing Microsoft Dynamics NAV client installations with automatic deployment to the desktop after an update.
Windows 7 user experience improvements. Through Microsoft Dynamics NAV 2009 R2, jumplists can be used to open recently accessed customers and vendors for increased business productivity and efficiency, and the icon overlay functionality provides information on system events and status streamlined with the Windows 7 user experience.

We believe that these important advancements in the NAV solution will broaden the platform’s market presence by making it more attractive to middle market enterprises in vertical industries that might not have considered it before.

Posted in Microsoft Dynamics NAV, SMB | No Comments »

Outsourcing and the Middle Market

June 14th, 2010 by Bill Martin

Historically, the outsourcing of functions such as help desks, human resources and communications has been concentrated in large enterprises and multi-national companies. Beyond the organizational turmoil associated with outsourcing entire functional areas and the perception of losing internal control over internal business processes, one of the main reasons why small and mid-sized businesses previously did not take advantage of outsourcing is because business outsourcing vendors generally ignored the smaller business marketplace.

In recent years, small and mid-market businesses have begun to embrace outsourcing as a way to increase operational efficiencies, reduce costs, and promote enterprise transformation. As a result, more vendors are now focusing on the small and mid-size business market; helping them to compete with larger companies.

According to Frank J. Casale, founder and CEO of The Outsourcing Institute, for many of these mid-sized organizations, the outsourcing of business processes is proving to be an effective way to cut operating costs and increase efficiencies. He also notes that, in a lot of industries, middle market companies are forced to compete with much larger enterprises. By outsourcing some of their more costly business processes, smaller companies are able to level the playing field. In that regard, outsourcing serves as an equalizer.

Outsourcing of the human resources function is at the top of the list of outsourcing processes, accounting for 73% of back-office services that are outsourced, according to a Gartner, Inc. study. That same study found that business outsourcing by SMBs (small and mid-sized businesses) was valued at over $15 billion in the United States.

With the lingering fear of a loss of control over internal operations, many smaller businesses dip a toe in the water by outsourcing only a very small portion of their functions to service providers; retaining the perceived strategic areas such as finance and accounting in-house. Activities that are increasingly outsourced include facilities management, logistics management, and HR. Small and mid-sized businesses are discovering that outsourcing a portion of their business operations frees up both time and capital resources. Senior executives and managers can then concentrate on more strategic activities that impact the revenue-producing areas of the company. For businesses that have yet to implement an enterprise resource planning (ERP) solution, outsourcing, in the form of Software-as-a-Service (SaaS) provides them the opportunity to access the newest and best technology.

SMBs face some unique challenges when attempting to implement outsourcing strategies. Due to the relative immaturity of broad-based outsourcing services to this demographic, many SMBs simply do not have the teams in place to acquire and manage service providers who may themselves be just beginning to reach out to SMBs. It is important that middle market companies find outsourcing partners that will work with them during the initial acquisition phase as well as providing continuing support as the SMB business requirements change over time.

Often, SMBs consider outsourcing as a series of tasks or separate functions instead of components of an overall sourcing strategy for the company. Service providers must work closely with small and medium-sized businesses to ensure that key business requirements are incorporated, business metrics are utilized and tracked, and specific and measurable short- and long-term outsourcing goals are in place. When researching an outsourcing partner, SMBs should look for companies which possess the knowledge, tools, expertise and experienced staff to help manage outsourced functions.

Posted in Outsourcing, SMB | No Comments »

SMB’s Still Need to Get Up-Close-and-Personal with the Web

April 29th, 2010 by Bill Martin

An amazing number of small and mid-size enterprises continue to avoid taking advantage of all the potential offered by establishing a robust Web presence. For businesses of all sizes, but particularly those that have seen their ability to grow constrained by the economic events of the past two years, harnessing the power of the Web and expanding their digital footprint is critical.

The question has to be asked: Why the reticence and/or complacency?

There are several schools of thought as to the core reason(s).

Establishing an e-commerce site is too expensive

Many companies will readily admit that they need to be on the Internet but fear the aggregated cost of getting there. Visions of $20,000 or $30,000 spent on a flashy Web site and e-commerce capability may create paralysis in even those business owners who perceive themselves as tech-savvy.

The truth is that those days of time consuming and expensive Web development projects are a thing of the past. The tools are better, the development platforms much more friendly and the service providers have matured their processes to the point that $1500 – $2000 can buy a state-of-the-art e-commerce solution.

It’s a generational thing

The SMB population has many 40, 50 and 60 year olds leading companies that didn’t grow up with the Internet and whose frame of reference when it comes to building the business is grounded in the traditional business models of their generation and marketplace. The digital channel, and even more so the social media channel, are foreign and uncomfortable enough that engagement and utilization is not nearly to the levels they should be.

While there may be more than a grain of truth here, fifteen years of experience, socialization, institutionalization and growth of the Internet as a cornerstone engine of commerce should have overwhelmed any negative sentiment harbored by the vast majority of that population of business leaders that are less than digital-centric.

No time and no bandwidth

Small and mid-size businesses tend to operate as lean as possible and allocating the human and time resources to build and constantly maintain a web presence that can remain beneficial to the enterprise over the long term remains, in too many cases, a non-starter.

Outsourcing non-core activities has become fundamental for senior management to provide successful stewardship of the business they are chartered to lead. Few small and mid-size businesses would or should consider web/e-commerce development as part of their core competencies. That is why there are so many companies that specialize in designing, developing and implementing the state-of-the-art in online presence for so many large enterprises as well as those in the SMB sector. You don’t have to do it yourself to harvest all the benefits of expanding the utility of your business online.

At this stage in the lifecycle of the digital business model, there is no good excuse for companies to sacrifice the growing opportunity offered by the online channel. No matter what industry they operate in and what constituencies they market to, the SMB enterprise risks either total or partial obsolescence if they fail to offer their customer base the multi-channel option that leverages online access.

Posted in Ecommerce, Outsourcing, SMB, Web Development | No Comments »