What are resources ? Resources are any factors necessary to complete a goal, which are important, especially for businesses. In the following article, let's explore with 1C Vietnam what are resources? The main types of resources in businesses and methods to help manage resources effectively.

1. What are resources?

In business, resources are the internal strength of each enterprise, different resources will lead the enterprise to develop in different directions. Only when there are enough financial, human and material resources, can the enterprise conduct production and business activities.

To understand clearly what resources are , 1C Vietnam invites you to learn about the following resource subsystems:

• Human resources

Human resources are an indispensable element in the scope of resources, both as a management object and as a team directly responsible for activities. Therefore, human resources hold an important position in business development, helping to develop appropriate business strategies. Once investing in high-quality human resources, the performance of the business will be improved, enhancing competitiveness with competitors in the same industry.

• Social resources

Social resources will include external factors of the enterprise but still affect the production process and business activities. For example: Development of science and technology, political policy, state management policy, foreign affairs...

• Personal resources

Personal resources come from individuals, each person will have different abilities and thinking. When participating in production, each individual will contribute their talents to the business. The higher the quality of personal resources, the stronger the business will be able to build an organization and be ready to open up new opportunities in the future.

2. 7 types of resources in business

Focusing on resource development is the solution to help businesses boost their business and develop sustainably. There are many business resources, but there are 7 common types of resources that appear in most businesses today. Including:

2.1 Human resources

Staff is an important resource in the business. This is a group of people with knowledge, skills, experience and constant creativity to complete tasks, contributing significantly to the success of the business.

2.2 Material resources

Material is the assets that a business owns and uses in the production and service provision process. Material resources can be machinery, equipment, warehouses, factories, infrastructure and other types of fixed assets.

2.3 Financial resources

Financial resources are resources owned or used by a business to support its production and business activities. Such as owners, accumulated profits, borrowed capital and funding from investors, partners or banks.

2.4 Relationship resources

Relational resources include the relationships of the business with stakeholders such as customers, partners, the business community and suppliers. When the business builds trustworthy relationships with customers, this will create trust and satisfaction from customers, helping the business maintain and develop sustainable business relationships. At the same time, it opens up new business opportunities with previous customers.

2.7 Brand resources

Brand equity is an important aspect in the process of evaluating a company's resources. In other words, it is a type of intangible asset, including reputation, prestige and value provided to customers.

2.8 Knowledge resources

Intellectual resources are information, knowledge and data that a business owns or collects from outside. These resources help the business grasp the market, customers, competitors and the business environment in general.

2.9 Technological resources

Technology resources are information systems, technology, and software that businesses use to enhance operational performance, manage, and improve customer interactions. These resources may include: ERP, CRM, HRM systems, warehouse management software, websites, etc.

3. Ways to manage resources effectively

Resource management is the way to divide the elements to meet the production and business activities in accordance with the goals of the enterprise. Depending on the consumption needs of customers and the time, the enterprise will have different ways of managing resources. However, most enterprises need to comply with the following 4 basic principles:

3.1 Allocation based on strategic objectives

Most businesses will have their own development strategies due to their specific nature and scale. Therefore, resource allocation should also be based on strategic goals, and each goal also needs specific accompanying resources. Businesses should consider existing resources and assess the urgency of the goal to decide on the amount of resources and human resources to undertake.

3.2 Overall resource assessment

To effectively manage resources, businesses need to answer questions such as: What resources does the business own? Does the team need additional resources? After clarifying the above "problems", businesses will more accurately assess their needs, thereby making appropriate business decisions.

3.3 Reasonable and adequate allocation of resources

Allocating resources appropriately helps businesses ensure that their activities, functions, and expertise run smoothly. Accordingly, the department head will be responsible for checking, evaluating, and planning the use of these resources.

3.4 Monitor and adjust resources according to business situation

When realizing that resources are not being distributed evenly, causing waste, businesses need to quickly adjust to avoid affecting the entire operation. In addition, if realizing that additional human resources are needed to improve production efficiency, managers need to apply timely mobilization plans.

4. The most optimal resource allocation method

Once the importance of human resources is clearly understood, businesses need to implement plans to allocate resources effectively, helping to improve business performance, create opportunities and develop sustainably. Here are some things to note:

• Each business's development strategy will be different, so resource allocation also needs to be based on this principle.
• Enterprises need to conduct comprehensive resource assessments regularly, which helps enterprises allocate resources adequately and reasonably.
• Resources need to be able to function well in all daily operations of the business.
• Resource allocation should be based on activities related to the business operations of the enterprise. In particular, short-term plans will have a positive impact on long-term results. Therefore, enterprises need to establish complete business plans.
• Rotate human resources based on the business activities of the enterprise and understand the great value that individual resources bring. This ensures that employees will actively contribute and maximize their capacity.

5. 4 ways to optimize resources for businesses

Resource optimization is the process by which businesses improve the way they use resources to achieve high efficiency in production and business activities. However, this is not easy to do, businesses need to have specific methods and strategies to apply. Below are 4 ways to help optimize resources effectively that businesses should refer to:

• Optimizing human resources

- Invest in employee training and development. Helps improve employee knowledge, capacity and experience, supporting improved work performance.

- Establish a positive working environment, encourage creativity and recognize employee contributions. Including building a proactive corporate culture, creating opportunities for advancement and personal development.

• Optimizing financial resources

- Businesses need to monitor and control cash flow to ensure finances are stable and sufficient to maintain business operations.

- Research and evaluate investment opportunities with the potential to bring high profits and reasonable risks to take advantage of the company's capital.

- Finding additional sources of finance can help businesses borrow from banks, raise capital from investors or use other financial measures.

• Optimizing physical resources

- Businesses need to monitor, maintain assets, optimize the use of existing assets and assess the need to invest in new assets.

- Improve production processes and optimize business operating costs. Applying modern technology can help businesses improve productivity, reduce waste and maximize the use of physical resources.

• Optimizing technology resources

- Monitor and apply new technology trends to improve performance and customer relationships.

- Take advantage of system features and apply technology to maximize efficiency in production and business processes.

In the process of optimizing technology resources, 1C:ERP is one of the solutions that businesses cannot ignore. Developed on a modern low-code platform, the comprehensive resource management solution 1C:ERP helps businesses master technology and optimize according to each organization's operating model.

Some benefits of applying 1C:ERP solution:

• Improve business workflow, connect departments/divisions together.
• Integrate on-demand and real-time reporting systems, easy to operate without requiring in-depth programming knowledge.
• The system is ready with Vietnamese Accounting Standards (VAS) and International Accounting Standards (IFRS), supporting businesses to control and optimize financial resources.
• Strong data encryption and decentralization capabilities ensure information security and transparency.
• Optimize operating costs, support control and management of goals, effective KPIs...

It can be seen that resources are extremely rich and play an important role in the sustainable development of enterprises. Through the sharing about what resources are , types of resources and methods to help optimize resources effectively that 1C Vietnam sent above, we hope that business administrators will have useful knowledge, thereby creating appropriate production and business strategies. In addition, to experience the 1C:ERP solution, please contact 1C Vietnam immediately!