Part 1 - Why Replace Your ERP
In this series, we offer the reader pointers from years of experience implementing Enterprise Resource Planning (ERP) systems. The blog series will have a consistent format – Advice on 5 points and offering additional points if the reader so chooses.
To view other parts of the 5 Points of Consideration for ERP Implementation click the links below:
- Why Replace your ERP? (This Blog)
- Who Will Implement your ERP?
- Prepare for a Demonstration
- Project Execution
- Key Project Execution Components for your ERP Implementation
Question: Why replace your ERP?
Enterprise resource planning (ERP) systems are critical to the smooth functioning of many businesses, managing vitals such as financials, customers, and supply chain management. As technology and business needs evolve, it may become necessary to replace your old ERP system. Here are five considerations that might influence the decision to change:
#1 Lack of an API - Application Programming Interface:
In today's connected world, having an API is essential for integrating your ERP system with other business applications and data sources. Older ERP systems often have no API (or a weak one). If that’s the case, you’ll likely miss out on valuable integrations like web, EDI and warehouse management. Also, well integrated partner solutions rely on API’s and certifications by the ERP publisher (like SAP). This will protect you.
#2 The Present ERP Product Hasn't Been Improved and Likely Will Be Sunset:
Technology and software are constantly evolving, and it's essential to stay up-to-date with the latest advancements. If your current ERP system has not been improved or updated in some time, it's possible that it will soon be sunset by the vendor, leaving you without support or upgrades. This is a scary situation if your business heavily depends on a software system with no improvements, no future and one day will stop working.
#3 Lack of Support:
A critical component of any ERP system is support, both from the vendor and the wider community. If your current ERP system does not have this “ecosystem”, it can be difficult to resolve issues and implement new features. This can lead to frustration and decreased efficiency, ultimately impacting your bottom line. When help is needed do you have someone to call?
#4 Cloud Not an Option:
The cloud is increasingly becoming the preferred deployment model for ERP systems. If your current ERP system cannot be cloud deployed, you may be missing out on the benefits of cloud computing, such as increased flexibility, scalability, and security. You also will incur IT infrastructure needs that require specialization and on premise support.
#5 Too Difficult to Get Meaningful Reports Out of:
One of the primary benefits of an ERP system is the ability to generate meaningful reports that provide insight into business operations. If your current ERP system makes it difficult to get the information you need, it may be time to consider a replacement.
In conclusion, replacing your ERP system can be a daunting task, but it is often necessary to keep up with changing technology and business needs. By considering the top five reasons outlined above, you can make an informed decision about whether it's time to make a change.
For five additional considerations in determining if you should replace your ERP click here:
