Choosing the right ERP Solution for your organization

Is ERP the solution for you?

Enterprsie Resource Planning (ERP) is the right approach for organizations which want a single end-to-end system from the same supplier, with consistency, visibility and reliability across their business processes. If you are in a position to replace all of your systems at once - or to replace your systems in a gradual roll out - then ERP may be the right solution for you.

However, not all ERP solutions are the same. Some will be focused on a specific sector - manufacturing, for example, or services organizations or banking. The larger ERP vendors provide not just the applications but a proprietary technology platform and development environment. That can be good if you are prepared to commit to that technology environment and vendor, but has an element of lock-in and therefore risk.

Tips for Choosing an ERP System

1. Don't start with a checklist of every possible standard function - focus on what makes your organization different, and the functions you need to support that.

2. Don't just consider the initial cost of setting up a new ERP system, also think about the potential cost of updating the system

3. Consider the functionality you need, not just now but also any functionality you may need in the future - does the ERP system proivide it?  How easy is it to achieve?

4. Find out how the system (and the vendor) keeps up with new regulatory requirements?

5. Make sure you understand how easily the system can adapt to changes in your organization i.e. organizational change / restructuring?

6. Ask what level of support and training is available from potential ERP vendors?

7. Decide how dependent you will be on a proprietary technology platform in the future. Does it have a clear future roadmap? Are you comfortable with that level of technology dependence?

For all businesses the ability to handle global competition, new regulations and compliance requirements, and increased pressures to respond quickly to both opportunities and challenges is paramount for survival and growth.

Today's businesses need enterprise systems capable of adapting to inevitable business change, businesses driven by change need to choose an ERP solution which supports buisness agility and minimizes business disruption.

ERP and the cost of change

However, businesses of all sizes, in all industries can find changing and updating their existing ERP systems costly and time consuming. When a business change happens - an acquisition, reorganization, or even just a change of business process, a system that appeared flexible before being implemented can turn out to be difficult, time-consuming and costly to change. As the business evolves the costs can continue to mount.

Today's ERP systems face the challenge of providing the post-implementation agility needed to support business in a high change environment.

Selecting the right ERP solution with a flexible architecture capable of supporting your business as it grows is a very important decision for any organization.  The right ERP system will enable a competitive and agile business strategy while also minimizing business disruption risks.

Further information

Use the links below to discover more about choosing a financial software solution and find out how UNIT4 can help you're organizations financial systems embrace change:

CFO Research Report: The High Cost of Change for ERP

This report from CFO Research provides critical benchmarks for managing change in ERP systems.

    • "The question isn’t whether a typical ERP solution supports change, but rather, at what cost?"
    • "When evaluating ERP systems,companies need to look wellbeyond their “sticker price.”
    • "a typical company in our survey may spend an average of more than $1.2 million each year to maintain, modify, and update its ERP system."

Click on the whitepaper image to download your copy!

Further information