Are ERP systems really similar to each other? Magic
Are ERP systems really similar to each other? Magic
discover | Friday - 08 / 03 / 2024 - 5:57 pm
If you consider the fact that an ERP system is like an umbrella that covers all areas and systems of your company and connects them, and integrates the different functional areas of your company into a single unified unit, then you will realize the seriousness of choosing the wrong system!. So you must know the core criteria for robust ERP systems
It’s not just about wasting money on a “bad investment,” but it can also lead to a wave of frustration among employees and customers. By the way, as you have noticed throughout your career, frustrated employees and customers tend to leave you!
Therefore, the answer to the title question is: No, ERP systems differ from each other, so it is wise to consider some criteria before choosing one.
Core Criteria for Robust (ERP) Systems 👩🏻🏫
◾ Flexibility and Scalability
Our team defines a “bad” Enterprise Resource Planning (ERP) system as one that you outgrow within 5 to 10 years. Your current requirements and needs should not be the only guide when you decide to purchase an ERP system. In such matters, you should also consider the features you will need as your company grows or the market landscape changes in the future. An ERP system must be flexible enough to adapt to all of that. Otherwise, an “inflexible” ERP system can actually hinder your growth instead of supporting it – and that’s probably the worst-case scenario!
In other words, look beyond the standard/usual features that every ERP system is supposed to offer; look for a system that “easily” adapts to changing business needs and embraces emerging technologies at the same time.
And watch out! 💡 If you find an (excessive) restriction on the amount of customization a particular ERP system allows, you better look for another ERP. It doesn’t make sense that when you want to “activate” any new technologies, you are forced to follow (workarounds) because the ERP system you chose is limited in its capabilities!
Instead, an ERP system should be a platform for growth, which means it is flexible enough to support your growth and integrate emerging technologies.
Without hesitation we can say that the search for ERP flexibility is a guarantee for the future of your company.
◾ Mobile and smart device support (full support)
With the rise of the Bring Your Own Device (BYOD) policy, business owners have seen a significant increase in employee productivity thanks to the ability to access workflows and data from personal mobile devices anywhere, anytime.
Of course, you wouldn’t want to expose these productivity gains to any lose (which could happen if you choose an ERP system with limited mobile support).
- Imagine sales representatives who can’t access key customer data during a deal because they’re tied to their desktop computers at the company headquarters. How happy and productive will that employees be?
- And what will your customers think when one of your sales reps visits them and says “I can’t update your information for our new agreement until I get back to the office”? Needless to say, business data needs to be accessible wherever work gets done.
Choose an ERP system with a mobile-friendly dashboard that can be accessed from anywhere, at any time. When your employees are on the go, they’ll be able to easily access work tasks and key data, avoiding long periods of downtime.
Perhaps more importantly, they’ll be able to enter and store data in a single process. When employees can enter data directly from the field, then the risk of errors will be reduced. Errors occur when employees have to collect data at a client’s office, for example, and re-enter the data into the system later.
Mobile compatibility is a critical ERP feature, and you should make sure it’s there.
◾ Integration with Existing Systems
Most companies have systems that are perfectly suited to their goals, and when these companies consider choosing an Enterprise Resource Planning (ERP) system, they may not be interested in changing their existing multiple systems and will instead keep them alongside the ERP system. The question to ask here is:
- How will these systems be integrated with the ERP system?
- There are always common data elements. Can the ERP system read and use the data in the other system? Will the same data be allowed to exist, and how will the consistency of separately updated data elements be maintained? Would you be better served by changing the other system so that the data is used by the ERP?
- What integration tools come with the ERP system?
The ERP system should integrate with csv files, as well as XML files that allow different systems to quickly transfer data between systems. Many customers and suppliers use EDI (Electronic Data Interchange) to share data between companies. If this is required, make sure the ERP system you choose supports this feature.
◾ Customer testimonials/ references
Ask the ERP vendor for the names of some of their customers who are willing to walk you through the entire implementation process.
From our perspective, you should not only focus on the software itself, but it is also important to consider the collaborative experience offered by the support team and their comprehensive technical/commercial acumen in cooperating with companies like yours.
In some cases where an ERP system fails to live up to expectations, it is not necessarily due to a shortcoming in the software, but perhaps due to a failure in the implementation process, such as inadequate communication.
Listening is important, as is responsiveness and building strong relationships (in addition to strong software solutions). Change is not limited to technology, but also extends to people.
Some call it “soft skills”; but it’s not! Make sure you can build trust and build a strong collaborative relationship between your employees and the employees of the ERP provider
◾ Lovely Ease of Use and Context Awareness
Each department in a company deals with specific types of data on a daily basis without the need to use other types of data. Therefore, the user experience (UX) within the system should be customizable for each user so that only the most relevant information is presented. This includes taking into account the context of companies that need specific data and metrics.
If you need to use alternative technical solutions to localize your ERP system, this is a red flag! An ERP system should be integrated.
◾ Long-Term Costs
It’s easy to get caught up in the initial costs, but what about the total cost of ownership (TCO) over the long term?
The ERP system must be compatible to reflect your company’s future business processes.
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