Many business leaders believe that implementing a new enterprise resource planning (ERP) system into their business requires serious thought. And, it does. But while concern has its place, high level executives tend to over-complicate this process.
An ERP implementation comes with obstacles, sure, but obstacles can be found everywhere. The mindset shouldn’t be well it’s hard so let’s table it for later, the mindset should be “Let’s grow our business more effectively, so where do we start?”
The top 4 reasons why companies delay the launch of a much-needed ERP implementation are:
- It’s a risky bet that might not pay off.
- Lack of time – “This will take forever to put together!”
- Perceived shortage of resources – “I don’t have the expertise! I can’t afford it”
- Lack of procedural and technical expertise – “How do we proceed?”
Let’s figure out how to solve these “problems” together.
Always Remember the Golden Rule: Hedge Your Bet
It is well known that a company’s success is directly correlated to their business processes, work-efficiency and overall productivity. With this in mind, a company that delays necessary improvements to their operations should really consider alternative options — like bringing in an outside firm to help them with this process.
Everyone loves the idea of Return on Investment (ROI). That’s because it’s a measure of what you put in to a project versus what you get out of a project.
The best way I can explain this concept is by using an analogy. Maybe you are an investor, or a bit of a gambler? If you are, then you probably understand the rule of thumb: hedge your bet or investment (if possible). That way you can protect your potential losses and increase your odds of expanding your assets.
Now, let’s say you are considering investing money back into your company by way of a new ERP implementation. If you were going to hedge you bet on this investment, you might look into receiving expertise and guidance from an established ERP solutions firm. Perhaps, a company that is familiar with complicated technicalities relating to ERP (such as: request for proposals, implementation management, custom applications ETC).
If you think that an ERP implementation is risky, you have grounds, but only if you try to pave the way yourself. If you partner with a specialist, you will reduce costly risks and increase your chances of a successful and efficient ERP implementation.
“This Will Take Forever To Put Together!”
Maybe you’re still not convinced. Maybe you are under the impression that an ERP implementation process will last a lifetime.
Like all things, quality does take time, but sometimes this perceived time elapses a lot quicker than you’re imagining.
One of our goals as ERP specialists is to successfully determine your company’s current needs and future projections. Comprehending the full picture of your system may take some time, but this is where you want quality time spent. If you race through this phase, which many “ERP specialists” tend to do, your worst nightmare(s) may, in fact, come to fruition.
We seek input from executives, managerial teams and ground-level employees. This feedback is crucial in developing a successful solution, especially in the specific case when a business is attempting to evolve from a legacy system.
If you are afraid that an implementation will last forever, that’s actually very normal. We see it all the time, but that’s why you bring on a partner like Calsoft because we can help put your apprehensions at ease. We are here with you every step of the way and we act as a coach, a mentor, a business partner, a strategist, a developer and a friend. Our goal is to help your company succeed.
If you are interested in hearing more about how we handle the various processes of ERP implementation, please connect with us. You will find that Calsoft has decades of experience in IT software and solutions and is ready to help you with the leg-work of a successful implementation.
I Don’t Have the Right Expertise!
Sure. At first glance this reason sounds like a roadblock, but it doesn’t have to be. You can leave the hard work to the experts.
Think about this:
You wouldn’t choose a fitness coach and tell him or her what exercises work best. If you already had that knowledge, you would most-likely have the physique you want, and therefore wouldn’t need a trainer.
Am I right?
If your goal is to get into shape, you will probably just trust that your trainer knows what’s best and you will allow their level of knowledge and expertise to lead the way.
So in the same breathe, let your ERP and business intelligence experts work to define and prioritize your needs. Your partners can help propose a reasonable budget range or, in scenario that you have a specific budget, can advise you how best to accomplish your goals based on your situation.
Just like the way you would let your trainer get you into shape, let your ERP partner guide you to the results you want.
I Can’t Afford it!
I know it sounds too good to be true, but nowadays there are so many alternative ways to afford a new enterprise resource planning system.
Depending on which route you want to go (On Premise ERP model) or (software as a service, SAAS model) you can pay or finance how you please. You can even pay per phase, if that’s the route you want to take.
Before you just rule yourself out, look into the different ways of affording an ERP. There are plenty of options and diverse alternatives. The take home idea here is that even though it may seem costly, it’s actually an investment that will help generate profits in the long run. Once again, financial decisions of this caliber can be thoughtfully navigated with the help of a partner.
“I’m Interested. How Do We Proceed?”
Engage with an expert. Plain and simple.
If you want (or more likely need) to upgrade from a legacy system, if you want to grow as an organization, if you want to scale, then an ERP system can offer wide-ranging possibilities.
Your next steps should be to conduct interviews and vet quality erp vendors. Meet with them, have them explain the process to you. You have questions, they will have answers.
You can go through and research a million different sites online, but the truth is, all businesses are built differently and yours probably isn’t any different. Specifically for technical criteria like material requirements planning (MRP) or implementation procedures, you’re better off getting information straight from the source.
When you begin talking with experts, you will notice that they will need information from you and your team as well, and since you like your someone who likes efficiency, an expert will make the interview process smooth and straight to the point.
The following steps: You will discuss things like objectives, project requirements and scope of work. Maybe your business is interested in customer relationship management (CRM)? Depending on your area of business, you might even discuss production planning, manufacturing resource planning and/or supply chain management.
At the end of your discussions, your expert will prepare 2-3 viable solutions. Once you have your solutions you can weigh the advantages against the disadvantages and move forward with a strategy that will focus on enhancing your business.
This is the part where I tell you that Calsoft is your go to partner, and we are, but if you need to get a second opinion, we can understand that. If you are ready to move forward with a Microsoft Gold Partner, then please contact us now.
Once we have your information, we will reach you, because our job is to make your life easier, and more effective.
How Can An ERP Solution Benefit My Organization?
A Dynamics ERP solution can benefit your organization by providing,
- Alleviation of stress and reduced frustration
- Clearly defined daily business operation reduces discourse and frustration.
- Consistent system across the organization promotes an understanding and easy to use and train interface.
- Improved accuracy and accountability
- Mitigation of human error through tailored and carefully designed daily business workflows can make an employee’s position less subject to human error and an employee more accountable.
- Transparent reporting can see where data input and collection begins and ends adding to the accountability of the organization when seeking solutions for problems as they arise.
- Sense of accomplishment
- Increased satisfaction through an ability to measure goals transparently, and ability to see how an employee’s impact has aided in the organization through accurate reporting metrics.
- KPI’s can aid management in accurately reward employee performance, development, and work ethic accordingly.
- Collaborative environment
- Clearly defined business objectives through tangible reporting provides seamless understanding and communication across internal meetings and when answering the question, “What’s next?”
- A tailored ERP application used across an organization in which data can be measured and dissected between departments to aid in collaborative decision making.
- Easy to use interface makes data easy to share and understand promoting collaboration between departments.
- Improved talent acquisition
- Accurate KPIs can aid in recruitment and making the human resources role within your organization a more effective unit.
- Accurate Inventory management and forecasting reports can assist in providing a more “real time” approach to hire appropriate resources in the demanded departments.
- Hiring the right candidates in line with business requirements reduces costly employee turnover.
These added benefits can ultimately create a sustainable theme of improved employee morale, job satisfaction, and increased employee retention rates.
If your organization is considering an ERP software solution, consider consulting with Calsoft Systems. Contact Calsoft Systems to determine how Microsoft Dynamics can be a solution to your unique business needs while fostering what matters most behind business success, your people behind it.