The Cannabis industry has three distinct verticals, and companies operate in either one or multiple verticals. These verticals are:
Enterprise resource planning (ERP) software is one of the most valuable investments a cannabis company can make. Each cannabis vertical has unique operating requirements when navigating distribution, inventory management, compliance, quality control, tax collection, sales, marketing, and business intelligence (BI). Hence, making the right choice for the ERP system is essential.
What To Look For In An ERP For Cannabis
Every cannabis business needs a solution that understands its industry, needs and requirements. There are 4 major ERP features that you should not overlook when choosing software applications for your business, namely:
1. Cultivation Management. This requires your ERP solution to have an integrated cultivation management system so that you can manage critical aspects of your greenhouse/cultivation and processing operations. This CMS integration should include:
- Data on plant growth, moisture content, nutrient or fertilizer applications, and feeding and pruning schedules.
- Regulatory compliance for state regulations to track plan inventories. This includes the number of plants, plant genetics, batch clone potency, wet and dry weight, facility locations, and degrees of waste.
- An integrated system to track costs, and inventory value and meet planning and purchasing requirements.
2. Production/Processing Management. Your ERP software should allow efficient production scheduling and management to increase output. Some tools you may need are:
- Resource allocation tools that track several metrics to help you make sure that your resources are being used well across your supply chain. This measures production capacity, labour availability, machine availability, and material availability.
- Quality assurance so that you can document critical quality control steps during cannabis processing and have records available during audits by health agencies. It also makes it easier to simulate issues or recalls to remain prepared for any situation.
3. Inventory Control. Your ERP system must allow you to keep track of cannabis inventory so that you may remain compliant while preventing theft or other loss. This software will enable you to track every plant from seed to sale. Cannabis compliance requires you to strictly monitor things such as waste and moisture loss.
4. Financial Reporting. The behind-the-scenes financial aspects of running a cannabis business are just as important as tangible tracking. A lot of software in the market today only manages certain aspects of the cannabis business, such as cultivation and processing. The ERP software you choose has its finance module fully integrated with cultivation, processing, and distribution management to provide you with run-time visibility into your business and the ability to run reports such as:
- Real-time Financial Reports.
- Ability to trace and track production costs
- Real-Time Cost Analysis.
5. Compliance with tax and health regulation authorities. When it comes to compliance and revenue reporting, US companies must report through METRC and BioTrack, and Canadian companies must file CTLS and B300 with Health Canada and the Canadian Revenue Agency. These compliance requirements are complex, and choosing the right system can save significant costs in preparing and filing these reports. Many customers choose Panni’s Sage X3 for compliance purposes. Here’s a quote from one of these customers:
“We were looking for a tool that will help us effectively manage all aspects of our business with emphasis on Cannabis production tracking, Inventory Management, Lot Traceability and Recall, Accounting, Shipping, Receiving, Vendor and Customer management, Sales and what is the most important, we were looking for a software that will generate CTLS reports and calculate excise duties for CRA. Panni’s custom Sage X3 solution for Cannabis has all these features incorporated, and with its user-friendly interface and seems the best tool for our business. “
Feel free to reach out to us for a software demonstration so you can learn more about how we can help you with compliance and revenue reporting.
How Sage X3 Can Help
Sage X3 is a market leader in cannabis ERP solutions, and working with a Sage X3 partner will allow you to acquire custom ERP cannabis software tailored to your business needs. Some of the critical functions of Sage X3 solutions for the cannabis industry include:
- Seed-To-Sale Tracking
- Inventory Tracking
- Automated Compliance Tools
- Financial Management
- Shipment Coordination
- Customer/Product Analytics
- Traceability (Forward and Backward)
How Panni Management Can Provide You With the Right Solutions
At Panni, we are dedicated to creating customized Sage X3 ERP solutions for your company. Our cannabis ERP solutions are designed for retail, extraction, and cultivation verticals.
We provide three distinct suites (fully integrated with financials) for the cannabis industry:
- Solutions for cultivators
- Solutions for retailers
- Solutions for extractors.
We also offer several add-ons to help you create the ideal solution for your unique business, including:
- Integration with METRC and BioTrack for the US market.
- Cannabis Retail Management Systems (CRMS)
- B300 Reporting Module For SageX3 (CRA, Canada)
- Cannabis Tracking And Licensing System (CTLS – Health Canada)
- Enhanced Cannabis Recall
Panni has been helping companies transform their businesses for over a decade. We are a trusted ERP implementation company that has helped many companies improve their bottom lines and grow their business. Want to know more about how Panni can help your business grow with Sage X3? Contact us today to get in touch with a member of our expert team.