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What not-for-profits should look for in an ERP?

Choosing and investing in an ERP that’s right for your organisation for the long term is important. It means you don’t have to reinvest your hard earned funds and time in changing to another system, as a result of finding the limitations of your current one.

The end goal for your organisation is to streamline your work and your organisation as a whole, through a fully integrated ERP software solution. Acting as the engine of your business and delivering the operational intelligence your organisation needs to thrive. It frees you up to focus on the important things: doing more good.

The functionality of the ERP you choose is important. What is more important is that your ERP’s functionality matches your needs as a NFP. David Sankey, CEO of Addax Business Solutions shares his thoughts on what NFP organisations should look for when choosing an ERP solution ….

  • The ability for you to cost against multiple dimensions. 
    Most ERP solutions will have an impressive selection of analysis in its General Ledger. However, a NFP organisation needs to go deeper than the GL Chart of Accounts, ideally you are looking for a flexible solution that can cost down to Individual Program, Recipient Care or even Carer level.
  • The ability to manage time capture and time related costing efficiently. 
    We see a number of our NFP customers needing to split their indirect costs such as accrued leave, superannuation and allowances across care programs based on carer activities. Few ERP systems can do this post-payroll split of allowances and similar costs effectively.
  • The ability to track prospects and customers.
    Recent legislative changes in the National Disability Insurance Scheme (NDIS) has seen a shift in how NFP’s acquire work. An integrated Client Relationship Management (CRM) system to manage leads is becoming an essential feature when selecting an ERP solution.
  • The ability to keep a 360 degree view on your assets.
    With increasing pressure on NFP’s to track costs, a Plant or Asset Management functionality is key for NFP’s. Look for a solution that has the capacity to identify the need for when equipment needs servicing or utilisation needs monitoring.
  • Capacity to integrate with multiple major systems

We are seeing NFP organisations move to integrating their ERP solution with other systems, for example a Care Management System. Ensure your ERP solution provider has industry standard Web Service API’s to ensure this seamless integration.


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