Enterprise resource planning (ERP) systems can transform your business operations and help your company be far more productive. This is appealing to every business, but what are the downsides of engaging in an ERP implementation? And do they outweigh the benefits?
The Pros
Let’s dive into the biggest pros of engaging in an ERP implementation:
You’ll integrate your data. This is one of the biggest pros of an ERP platform: it consolidates all your information, making it easier for everyone in your company to communicate and make decisions based on the same data. That means your data is not only more accurate, but easier to access for everyone who needs it. Management of all business intelligence is streamlined and data is housed in a centralized location.
Your financial management and planning will be vastly improved. Because an ERP system provides better visibility for all aspects of your company’s finances, you’ll reap benefits in the financial management area as well. You can use your ERP software’s financial management applications to manage all data, of course, but an ERP system will enable you to create robust, sophisticated reports for stakeholders in and connected to your company. Even better, within your ERP system you’ll be able to connect financial management with inventory management, purchasing, manufacturing and planning, e-commerce, customer relationship management and many other modules. If you want insights into your financial reporting, budgeting, billing and more, this is a big benefit of an ERP solution.
Manual no more! The inefficient processes within your organization are those that are manual (and these are also prone to bigger human-driven mistakes). With ERP in place, you’ll be able to automate processes, which is less prone to errors and gives your employees back more of their time for other things that are likely more beneficial for your bottom line. You’ll be able to access your data anywhere, anytime, whether you’re in your office or across the world.
An ERP system will grow with you. At TGRP, we remind clients seeking system implementation support often that an ERP is certainly a daunting endeavor, but if efficiency and growth are two of your goals, the process is well worth it. Choose the right ERP system and implementation support team and your ERP software can grow with you. Adding modules, users and more is simple.
The Cons
The pros of an ERP system implementation are many, but what are the cons? There are a few things to consider:
An ERP implementation can be costly. There’s a cost to invest in an ERP system and engage an experienced team to guide you through it. You’re also committing to an ongoing expense in the software subscription as well as the less-regular costs of account maintenance to keep your systems running smoothly. You’ll need to make sure the return on investment is high in order to justify the cost.
The actual implementation takes a team. If you’re looking to hire a consultant to implement an ERP system for you without any involvement from your employees, think again. A system implementation is a significant project that will require comprehensive planning and a team of professionals, both within your organization and outside of it. For some, the very idea of this is scary when their people are already busy. Yet, proper planning from the outset can use people’s time efficiently and make the process smooth and streamlined.
If your records aren’t great, data migration could be a challenge. If your existing records are scattered, the process of migrating data into an ERP could be problematic. That’s when good planning and a supportive team of implementation experts become very important. The right team of consultants can help you prepare your data for migration (to avoid data duplication and discrepancies) and set you up for success going forward.
Need Guidance? Look to TGRP Solutions
If you’re at the beginning stages of an ERP implementation and you don’t know where to begin, contact TGRP Solutions. Our team has experience leading ERP implementation projects for companies of various sizes and our consulting team has experience with Oracle, NetSuite, PeopleSoft, Workday and SAP, among other well-known ERP systems. Although the software vendor you select should have its own customer support team to guide you through implementation issues, apply patches and provide scripts, TGRP Solutions can offer invaluable support in many ways, including:
- Offering guidance on the level of support needed, and which ERP system best suits your specific needs and budget;
- Developing the roadmap for the ERP implementation;
- Acting as the point of contact to drive and support the ERP implementation.
Our team can help you identify what types of tools and functionality you need within your ERP in order to create dashboards, scorecards, reports and other analytical tools you’re seeking. We’ll walk you through the automation process and help you lay out your organizational goals. Contact us to learn more about how we can support you through a smooth migration and implementation (and thereafter).
