The demand for Enterprise Resource Planning (ERP) software and other best of breed solutions, covering finance, HR, payroll and other core business systems, is growing year on year as we see a shift in the technology market and the need to automate manual tasks and achieve compliance.
Increased efficiencies and cost savings are often key drivers for change, as well as the integration of business data flows, data integrity and security.
The question is no longer whether to invest in ERP solutions, but when and how to approach the current, complex ERP and best of breed market and what factors to consider when choosing an ERP solution.
Depending on size, requirements and processes, every organisation is unique, therefore there is no one-size-fits-all solution, despite the Enterprise Resource Planning software sales messages.
When it comes to your business, what is certain is that ERP is a significant investment that requires time, money and effort. Therefore, getting it right and ensuring return on investment from the very beginning, is crucial.
However, how can you be sure that you’re selecting the right solution?
The answer to that question lies in knowing the main factors to consider before choosing an ERP solution and embarking on an ERP implementation journey.
Here are some of the critical factors to consider when deciding on the best ERP fit for your business:
1. Understand your business processes
Understanding your organisation and processes is crucial in getting the best out of an ERP system. To achieve that, a holistic approach that covers the whole scope of the business is required.
Having worked with multiple organisations throughout the years, Moore Insight’s team of experts have developed proven methodologies to support their clients map their internal and external processes and develop a view of their total business landscape.
2. Focus on the value
Clearly defining the main challenges that you are trying to address with an ERP system and focusing on the value that it would drive for your business are key things to consider when embarking on an ERP journey.
A clear view of your business challenges, would help you to define your organisation’s unique requirements from an ERP software.
3. Cloud or On-premise?
Ownership cost, system upgrades, system performance and accessibility and speedy deployment are just some of the areas where the main differences between cloud and on-premise ERP lie.
Cloud-based ERPs typically have much lower ownership costs, than on-premise solutions, as you simply implement the software and access it from anywhere, anytime. That also enables a speedier deployment and a better system performance.
4. Customisation: Adopt or Adapt?
Does the system come with ‘out of the box’ functionality that is predefined for your industry, yet still configurable for any unique requirements? This will minimise the need for and higher cost of bespoke development and customisation.
Adapt means no bespoke coding and therefore rapid deployment. When adapting no specialist technical skills to setup or maintain the software are required, and typically lower costs are involved in the implementation.
The selected ERP solution can still be configured in specific areas that the client requires.
5. Ensure buy-in from your people
People are a crucial factor in every implementation project. Resistance to change coming from the workforce is a common challenge, so their buy-in is a must-have before choosing any ERP solution.
Although buy-in from staff is important, having the upper management team’s support can be pivotal. Upper management support goes beyond just approving a budget to spend in a new system; having true advocates of the investment, can be really influential to all staff.
Every business is unique, so taking the time to consider the main factors that will affect your final decision on an ERP solution, thus your business, is critical.
To learn more about selecting the right ERP solution, contact us.