Get into the Swing of Summer ’16 with Sales, Subscriptions, and Rentals!
What is better than listening to our customer’s ideas and finding ways to make those a reality? Whether it’s a new and innovative business model or an existing one, we find incredible fulfillment in working out the complexities of the back office so companies can unlock the full power of Kenandy’s Cloud ERP for business innovation.
While the equipment rental business isn’t new, when thinking about expanding your business from traditional product sales and service to include new ways to deliver value to your customers, having a flexible cloud ERP is critical.
We’ve heard this repeatedly from our customers and prospects, so if you’re considering new business models that combine sales, rentals, and subscriptions, you’re not alone. How pervasive is the service model today? Economists and analysts alike foresee a future where every product or service is available via rental or subscription. Today, your iPhone or Android is likely provided on a monthly plan. The automobile is fast becoming a service with the popularity of ride sharing services like Uber and Lyft. Software has effectively moved to the “as a Service” model. Even arthroscopic surgical kits are typically a mix of rented equipment and consigned parts-–so all of those replacement joints, screws, and bolts that become your bionic enhancements, require rental and subscription capabilities for business operations to deliver these products effectively.
Other ERP systems today struggle to support a product sale and rental subscription model together as these business processes operate in different silos. For example inventory available for rent and field assets supporting subscription services are often managed in a fixed asset module while the rental and subscription invoicing may come from a different subsystems which creates a fragmented software architecture. This requires complex transfers between modules if companies are interested in offering their customers the option to buy the product they’ve been renting. For mid-market companies, the time, expertise, and cost required to add these complex flows are a major roadblock and often kill growth initiatives before they start.
With Kenandy Cloud ERP and the differentiated Business Ready Objects, we’ve teamed with our customers on the Summer ’16 release to bring rentals and subscriptions into the core of Kenandy and it’s simple because of our no-module architecture.
Any of our customer’s products can become available for rent or as part of provisioning a subscription service.
- Moving new stock into rental inventory? Kenandy seamlessly manages the transfer and can track serialized products as fixed assets with their own depreciation schedules.
- Have a customer that has ordered a combination of consumable and rental products? Kenandy provides consolidated invoicing based on your rules and pricing models, allowing for rental term and product pricing tiers, requiring no additional clicks or time.
- Receive rental inventory back into stock? Manage consolidated receiving processes for inspection, repair and restock with tracking of asset impairment or improvements along the way.
- Need to track everything about your rental and for sale inventory? All your inventory is managed through Kenandy’s unique traceability, following all your inventory and stock through movements into and out of the field.
Having the ability to easily test ideas is critical to empowering innovation. We’ve designed Kenandy’s Cloud ERP with this in mind so adopting new business models doesn’t have to be a hurdle.
With the barriers of legacy ERP systems removed, we’re finding our customers are more open to trying pilot programs, prototyping a new business, or even setting up completely new operations quickly – to succeed and ramp or fail fast and try again. Either way, that freedom to innovate can only lead to new and better ideas, and a culture of enablement and opportunity from within.
At Kenandy, we are committed to continuing to build a Cloud ERP that is flexible, ready for growth, and maps to your business processes. Whether those business processes are your current ones, or ideas you’re hoping to launch in the future, keep challenging us to deliver on our promise. We are dedicated to doing everything we can to ensure Kenandy’s Cloud ERP continues to be a solution that gives you the freedom to innovate.
Meet our team at Dreamforce this year and share some of your ideas about ERP for business innovation.
This post is a contribution by Rod Butters, CTO and President of Products and Services at Kenandy.